Lundin completes acquisition of Chile's Caserones copper mine

Canada’s Lundin Mining completed the acquisition of 51% of Chile’s SCM Minera Lumina Copper from Japan’s JX Nippon Mining & Metals thanks to an US$800mn loan and mulls obtaining an additional 19%.

Through the operation, Lundin gained a majority stake in the Caserones copper-molybdenum mine in Atacama region, which last year produced 139,000t of copper equivalent, according to the miner.

“Lundin Mining adds another long-lived, significant-sized copper mine with significant growth potential to its portfolio of assets,” CEO Peter Rockandel said in a statement.

Rockandel added that Lundin produced 191,000t of copper in H1, with Caserones contributing some 69,700t, of which 61,300t concentrate and 8,370t cathodes, in addition to 2,390t molybdenum.

Caserones is 20km from Lundin’s Candelaria operation and close to Josemaría, which is just across the border in Argentina’s San Juan province.

This proximity facilitates synergies in terms of supply, logistics and management, the statement said. In addition, the 58,500ha Caserones asset still has exploration potential.

Lundin plans to invest US$110mn this half in Caserones’ development and capitalized waste excavation, improvements to the mill and tailings storage plant.

Caserones' 2023-25 guidance remains at an average 120,000t/y copper and 2,500t/y molybdenum.