Adding the Copper Mountain mine (above) in British Columbia to Hudbay’s portfolio makes the company the third largest Canadian copper miner. (Photo: Copper Mountain Mining)
Hudbay Minerals has completed its previously announced acquisition of Copper Mountain Mining. The company is now a wholly-owned subsidiary of Hudbay. Copper Mountain shareholders received 0.381 of a Hudbay share for each Copper Mountain share previously held.
The transaction creates a premier Americas-focused copper mining company, according to Hudbay, that is well-positioned to deliver sustainable cash flows from an operating portfolio of three long-life mines, as well as compelling organic growth from a world-class pipeline of copper expansion and development projects. All assets in the combined portfolio are located in the tier-one mining-friendly jurisdictions of Canada, Peru and the United States. The combined company represents the third largest copper producer in Canada based on 2023 estimated copper production.
“We look forward to the formal integration of Copper Mountain into our complementary portfolio of operating assets,” said Peter Kukielski, president and CEO of Hudbay. “By applying our technical expertise, we expect to unlock significant annual operating efficiencies and synergies at the mine.”
The transaction grows Hudbay’s management team with the addition of Letitia Wong who will lead integration and Richard Klue as vice president, engineering studies, in addition to benefiting from other members of the Copper Mountain team that are continuing with the combined company. As previously planned, Gil Clausen, Copper Mountain’s President and CEO, has retired and will transition to an advisory role for the combined company for the next year.
In connection with the closing of the transaction, Hudbay has appointed Jeane Hull and Paula Rogers to its board of directors. Hull was the COO for Kennecott Utah Copper. Rogers was affiliated with Goldcorp and Wheaton River.
