VANCOUVER, BC, Aug. 2, 2024
/CNW/ - (TSX: LUN) (Nasdaq Stockholm: LUMI) Lundin Mining
Corporation ("Lundin Mining" or the "Company") is pleased to
announce the closing of an increase to its existing term loan
("Term Loan"), maturing on July 27,
2027, in the principal amount of $350
million, in connection with the previously announced closing
of an additional nineteen percent (19%) interest in SCM Minera
Lumina Copper Chile ("Lumina Copper"). See press release dated
June 26, 2024 "Lundin Mining
Exercises Option to Increase Ownership in Caserones to 70% and
Receives Commitments to Increase the Term Loan by $350 Million".
The Company has used the Term Loan to refinance the drawdown of
the existing $1.75 billion revolving
credit facility that was used to fund the upfront cash
consideration of $350 million for the
additional acquisition of nineteen percent (19%) of the issued and
outstanding equity of Lumina Copper, which owns the Caserones
copper-molybdenum mine in Chile.
The Term Loan bears interest on US dollar denominated drawn
funds at an annual rate equal to the Term Secured Overnight
Financing Rate plus a credit spread adjustment plus an applicable
margin of 1.60% to 2.65%, depending upon the Company's net leverage
ratio. The Term Loan is unsecured, save and except for a charge
over certain assets in the United States
of America, and has similar covenants to the Company's
existing $1.75 billion revolving
credit facility.
BMO Capital Markets, ING Capital LLC and The Bank of
Nova Scotia have acted as Joint
Lead Arrangers and Joint Bookrunners. Bank of Montreal is acting as Administrative Agent and
Bank of Montreal, Canadian
Imperial Bank of Commerce, ING Capital LLC and The Bank of
Nova Scotia are acting as
Co-Sustainability Structuring Agent. Bank of Montreal, The Bank of Nova Scotia, ING Capital LLC, Canadian
Imperial Bank of Commerce, Fédération des Caisses Desjardins du
Québec, The Toronto-Dominion Bank, Bank of America N.A., Royal Bank
of Canada, Export Development
Canada, National Bank of Canada,
MUFG Bank Ltd, Canada Branch, and
Citibank N.A., Canada Branch,
acted as lenders.
About Lundin Mining
Lundin Mining is a diversified Canadian base metals mining
company with operations and projects in Argentina, Brazil, Chile, Portugal, Sweden and the
United States of America, primarily producing copper, zinc,
gold and nickel.
The information in this release is subject to the disclosure
requirements of Lundin Mining under the Swedish Financial
Instruments Trading Act. The information was submitted for
publication, through the agency of the contact persons set out
below on August 2, 2024 at 14:30
Vancouver Time.
Cautionary Statement on Forward-Looking
Information
Certain of the statements made and information contained
herein is "forward-looking information" within the meaning of
applicable Canadian securities laws. All statements other than
statements of historical facts included in this document constitute
forward-looking information, including but not limited to
statements regarding the Company's plans, prospects and business
strategies. Words such as "believe", "expect", "anticipate",
"contemplate", "target", "plan", "goal", "aim", "intend",
"continue", "budget", "estimate", "may", "will", "can", "could",
"should", "schedule" and similar expressions identify
forward-looking statements.
Forward-looking information is necessarily based upon various
estimates and assumptions including, without limitation, the
expectations and beliefs of management, including that the Company
can access financing, appropriate equipment and sufficient labour;
assumed and future price of copper, nickel, zinc, gold and other
metals; anticipated costs; ability to achieve goals; the prompt and
effective integration of acquisitions; that the political
environment in which the Company operates will continue to support
the development and operation of mining projects; and assumptions
related to the factors set forth below. While these factors and
assumptions are considered reasonable by Lundin Mining as at the
date of this document in light of management's experience and
perception of current conditions and expected developments, these
statements are inherently subject to significant business, economic
and competitive uncertainties and contingencies. Known and unknown
factors could cause actual results to differ materially from those
projected in the forward-looking statements and undue reliance
should not be placed on such statements and information. Such
factors include, but are not limited to: global financial
conditions, market volatility and inflation, including pricing and
availability of key supplies and services; risks inherent in mining
including but not limited to risks to the environment, industrial
accidents, catastrophic equipment failures, unusual or unexpected
geological formations or unstable ground conditions, and natural
phenomena such as earthquakes, flooding or unusually severe
weather; uninsurable risks; volatility and fluctuations in metal
and commodity demand and prices; significant reliance on assets in
Chile; reputation risks related to
negative publicity with respect to the Company or the mining
industry in general; delays or the inability to obtain, retain or
comply with permits; risks relating to the development of the
Josemaria Project; health and safety laws and regulations; risks
associated with climate change; risks relating to indebtedness;
economic, political and social instability and mining regime
changes in the Company's operating jurisdictions, including but not
limited to those related to permitting and approvals,
nationalization or expropriation without fair compensation,
environmental and tailings management, labour, trade relations, and
transportation; inability to attract and retain highly skilled
employees; risks inherent in and/or associated with operating in
foreign countries and emerging markets, including with respect to
foreign exchange and capital controls; project financing risks,
liquidity risks and limited financial resources; health and safety
risks; compliance with environmental, unavailable or inaccessible
infrastructure, infrastructure failures, and risks related to
ageing infrastructure; changing taxation regimes; the inability to
effectively compete in the industry; risks associated with
acquisitions and related integration efforts, including the ability
to achieve anticipated benefits, unanticipated difficulties or
expenditures relating to integration and diversion of management
time on integration; risks related to mine closure activities,
reclamation obligations, environmental liabilities and closed and
historical sites; reliance on key personnel and reporting and
oversight systems, as well as third parties and consultants in
foreign jurisdictions; information technology and cybersecurity
risks; risks associated with the estimation of Mineral Resources
and Mineral Reserves and the geology, grade and continuity of
mineral deposits including but not limited to models relating
thereto; actual ore mined and/or metal recoveries varying from
Mineral Resource and Mineral Reserve estimates, estimates of grade,
tonnage, dilution, mine plans and metallurgical and other
characteristics; ore processing efficiency; community and
stakeholder opposition; regulatory investigations, enforcement,
sanctions and/or related or other litigation; financial
projections, including estimates of future expenditures and cash
costs, and estimates of future production may not be reliable;
enforcing legal rights in foreign jurisdictions; risks associated
with the use of derivatives; risks relating to joint ventures and
operations; environmental and regulatory risks associated with the
structural stability of waste rock dumps or tailings storage
facilities; exchange rate fluctuations; compliance with foreign
laws; potential for the allegation of fraud and
corruption involving the Company, its customers, suppliers or
employees, or the allegation of improper or discriminatory
employment practices, or human rights violations; risks relating to
dilution; risks relating to payment of dividends; counterparty and
customer concentration risks; activist shareholders and proxy
solicitation matters; estimation of asset carrying values;
relationships with employees and contractors, and the potential for
and effects of labour disputes or other unanticipated difficulties
with or shortages of labour or interruptions in production;
conflicts of interest; existence of significant shareholders;
challenges or defects in title; internal controls; risks relating
to minor elements contained in concentrate products; the threat
associated with outbreaks of viruses and infectious diseases; and
other risks and uncertainties, including but not limited to those
described in the "Managing Risks" section of the Company's MD&A
and the "Risks and Uncertainties" section of the Company's Annual
Information Form for the year ended December
31, 2023, which are available on SEDAR+ at www.sedarplus.com
under the Company's profile.
SOURCE Lundin Mining Corporation