Vancouver-based Lundin Mining Corporation aims to rank among the world’s top ten copper producers. On June 18, during its Capital Markets Day, the company shared its goal of producing over 500,000 tonnes of copper and 550,000 ounces of gold each year.
The plan includes major expansions at current sites and developing the Vicuña district, one of the richest untapped sources of copper, gold, and silver.
Jack Lundin, President and CEO, commented,
“Lundin Mining is entering an exciting new growth phase, underpinned by a clear path to increase copper production through low-cost brownfield expansions at Candelaria, Caserones, and Chapada. These projects are expected to deliver meaningful production gains over the next three to five years. Across all our operations, we see significant exploration upside, including promising opportunities at Eagle that could meaningfully extend the life of mine. In parallel, our Vicuña Project offers transformational long-term growth potential. Backed by a significantly strengthened balance sheet, reduced cash costs, robust free cash flow generation, and a best-in-class team, we are well-positioned to continue returning capital to shareholders while advancing ambition of becoming a top-ten global copper producer.”
Lundin’s Copper Expansion Plans Backed by Operational Strength
Lundin Mining plans to boost copper production by 30,000 to 40,000 tonnes annually within three to five years. The company revealed that these increases will mainly come from brownfield expansions at existing operations.
2025 Production Guidance
Here are some of the strategies for achieving the targets:
Candelaria
At Candelaria in Chile, Lundin is shifting its underground expansion to a more cost-effective model. This change will maintain nearly the same output while improving equipment use and speeding up underground development. Lundin expects to increase annual copper output by about 10%, adding around 14,000 tonnes.
Caserones
In Caserones, Chile, better leaching methods are increasing copper cathode production. By maximizing underused plant capacity and accessing more oxide material, Lundin aims to produce an extra 7,000 to 10,000 tonnes of copper each year.
Chapada
In Brazil, the Chapada mine is set for significant growth. A nearby brownfield project, the Saúva project, could contribute 15,000 to 20,000 tonnes of copper and 50,000 to 60,000 ounces of gold annually. This would boost copper output by 50% and double gold production at Chapada. A prefeasibility study is underway and should be ready by year-end.
Boulderdash Project: U.S.
In the U.S., exploration continues at the Boulderdash project near the Eagle Mine. Lundin has an agreement with Talon Metals for a 70% stake if the project progresses. A successful discovery here could greatly extend the Eagle operation’s life.
Vicuña Project Could Transform Lundin’s Production Profile
Lundin holds a 50% stake in the Vicuña Project, which includes the Filo del Sol and Josemaria deposits. This area is now seen as one of the largest copper, gold, and silver resource regions worldwide.
An integrated development study is in progress, aiming to detail production outlooks and capital needs. Completion is expected in early 2026. If successful, this project could significantly enhance Lundin’s position among global mining leaders.
Copper and Gold Targets Within Reach
In the coming years, Lundin Mining forecasts steady production growth. Copper output is set to rise by up to 40,000 tonnes annually, while gold production could increase by as much as 70,000 ounces.
- These efforts support the larger goal of achieving annual production levels of over 500,000 tonnes of copper and 550,000 ounces of gold.
Lundin’s Strong Financial Outlook Supports Growth
Another feather in its cap is: Lundin Mining continues to show strong financial performance. The company plans to return $220 million to shareholders each year through dividends and share buybacks.
For 2025, Lundin anticipates revenue around $3.7 billion, assuming a copper price of $4.40 per pound. Adjusted operating cash flow is expected to reach $1.3 billion, with adjusted free cash flow around $800 million.
From 2025 to 2029, Lundin expects to generate $8.1 billion in cumulative EBITDA, $6.5 billion in operating cash flow, and $4.9 billion in free cash flow.
Recent Copper Output and Cost Savings Boost Confidence
Furthermore, in April and May, Lundin produced 53,000 tonnes of copper. Year-to-date copper production through May is 129,800 tonnes. This kept the company on track to meet its annual targets.
Cash costs at the Chapada mine have decreased due to strong gold prices and a weaker local currency in Brazil. Consequently, Lundin has lowered its overall copper cash cost guidance from $2.05–$2.30 per pound to $1.95–$2.15 per pound.
Lundin Mining Powers Up with 100% Renewables in Candelaria
Lundin Mining continued to make progress on reducing its greenhouse gas (GHG) emissions in 2024. One of the key steps was at its Candelaria operation, where the company increased its renewable electricity supply from 80% to 100% by updating its power purchase agreement. With this change, all of Lundin Mining’s sites in Chile now run entirely on renewable electricity.
Scope 2 Emissions Drop Despite Overall Rise
- Since 2019, the company’s market-based Scope 1 and Scope 2 GHG emissions have dropped by 62%—from 1,543,612 tonnes in 2019 to 953,051 tonnes in 2024.
However, total gross Scope 1 and Scope 2 emissions were slightly higher in 2024 compared to the previous year. This increase was mainly due to including a full year of fuel-related emissions from the Caserones mine. Still, market-based Scope 2 emissions went down by 6%, helped by the shift to fully renewable electricity at Candelaria.
Lundin Mining is on track for a significant increase in copper and gold production. With low-cost expansion and a promising mining district, the company is focused on meeting its growth objectives. Grounded in solid financials and a commitment to shareholder returns, Lundin’s future relies on strong fundamentals and global opportunities.
