Canadian Mining Journal

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ZINC-COPPER MINING: HudBay outlines production, spending plans for 2011

TORONTO - HudBay Minerals is looking forward to next year with optimism and plans to produce between 70,000 and 90,000 tonnes of zinc plus 40,000 and 55,000 tonnes of copper. Reduced production at Trout Lake will be offset by a full year of...



TORONTO – HudBay Minerals is looking forward to next year with optimism and plans to produce between 70,000 and 90,000 tonnes of zinc plus 40,000 and 55,000 tonnes of copper. Reduced production at Trout Lake will be offset by a full year of production at Chisel North and higher grades at the 777 mine next year.

The company’s capital budget will be $289 million, including $164 million at the Lalor gold and $8 million at the 777 North base metals projects in Manitoba and $13 million at the Fenix nickel project in Guatemala. A further $105 million is budgeted for sustaining capital.

HudBay also plans to spend $59 million on grassroots exploration in the Flin Flon Greenstone Belt, Chile and the Yukon. Meanwhile, drilling at Lalor recently intersected 8.0 metres of 9.28 g/t Au 200 metres down plunge of the 25 zone. At Reed Lake the first step out hole intersected 10.1 metres of 2.39% Cu approximately 210 metres from the known deposit.

HudBay geologists will conduct a webcast exploration update at noon eastern time on Dec. 15. It will be available at the website, www.HudBayMinerals.com.