Favourable base metals prices have seen Lundin Mining reporting its second consecutive quarterly free cash flow record, with generation of $407-million – a substantial increase from $194.5-million a year earlier.
The Canadian base metals company increased its revenue by a quarter to $756.4-million, while net earnings rose by 42% to $190.6-million and adjusted earnings increased by 58% to $168.4-million.
Outgoing CEO Marie Inkster, who will be succeeded next week by Peter Rockandel, says that the group’s financial performance was underpinned by strong operational performance, most notably quarter-on-quarter production increases and cash cost improvements at Chapada and Zinkgruvan.
The group’s total copper production increased by 6% to 65 077 t, zinc production increased by 18% to 38 769 t and nickel output dipped to 4 124 t. Gold production remained unchanged at 46 000 oz.
The production guidance and full year cash cost guidance remain unchanged for all operations.