Canadian mining company Hudbay Minerals has had a strong end to 2023, with higher copper production, record gold production and record financial performance in the final quarter.
This strong performance resulted in the miner achieving its yearly guidance metrics, with president and CEO Peter Kukielski describing 2023 as the year of “execution and delivery”.
Hudbay achieved quarterly and annual revenue of $606.2-million and $1.69-billion, respectively, with consolidated copper production of 45 450 t and record consolidated gold production of 112 776 oz in the fourth quarter from continued higher grades at the Pampacancha deposit, in Peru, and the Lalor mine, in Manitoba, as well as the contributions of the newly acquired Copper Mountain mine, in British Columbia.
The company delivered a significant increase in operating cash flow before change in non-cash working capital to $246.5-million in the fourth quarter, a 35% increase compared with $182-million in the third quarter.
Hudbay also achieved its 2023 consolidated production guidance for all metals, including copper production of 131 691 t, gold production of 310 429 oz and silver production of 3.58-million ounces. This represents increases 26%, 41% and 13%, respectively, compared with 2022.
“2023’s achievements are a testament to our outstanding team, which continues to deliver the plan while always operating safely and efficiently,” said Kukielski.
For 2024, Hudbay is forecasting a 19% increase in copper production to 156 500 t, with continued higher grades in Peru and a full year of British Columbia production.
Consolidated gold production is forecast to decrease slightly to 291 000 oz in 2024, owing to higher than planned gold grades being mined in Peru in the fourth quarter of 2023 and a deferral of high grade gold zones in Peru to 2025. Total gold production in Peru over the 2023 to 2025 period is expected to be higher than previous guidance levels.