Hudbay enters exploration pact with Saskatchewan First Nation

Hudbay Minerals (TSX: HBM; US-NYSE: HBM) forged a new exploration partnership with the Peter Ballantyne Cree Nation that establishes a framework for collaborative mineral exploration across traditional territories in Saskatchewan. The Toronto and New York-listed mining company announced the agreement commits both organizations to meaningful participation in future exploration projects within PBCN's ancestral lands.

"Our relationship with the Peter Ballantyne Cree Nation is rooted in a shared vision of building the future together," John O'Shaughnessy, vice president of Hudbay's Manitoba business unit, said. "Reaching this agreement is a significant step towards economic reconciliation and underscores our dedication to creating lasting mutual benefits. We recognize that treating our external communities of interest respectfully and fairly, and operating transparently, are the true foundations of a mutually beneficial and long-lasting relationship."

Extent of new agreement

The Peter Ballantyne Cree Nation spans territories covered by Treaty 6 and Treaty 10, encompassing eight distinct communities across northern Saskatchewan. These settlements include Amisk Lake, Deschambault Lake, Kinoosao, Pelican Narrows, Prince Albert, Sandy Bay, Southend, and Sturgeon Landing. A single chief and 14 elected councillors govern the nation, which calls itself Assin'skowitiniwak, meaning "people of the rocky area."

Councillor Clayton Sewap stressed the nation's continued stewardship role over these traditional territories under the new arrangement.

"Our Nation has always held responsibility for these lands, and this agreement reflects that role moving forward," Councillor Clayton Sewap of the Peter Ballantyne Cree Nation said. "Through this partnership, we are ensuring that exploration is guided by our voices, our knowledge and our priorities, while creating real opportunities for our people."

"This relationship is crucial for our ongoing exploration success in the region," Neil Richardson, director of sxploration for Hudbay's Manitoba business unit, said. "We look forward to collaborating closely with Peter Ballantyne Cree Nation as we begin our fieldwork. Having their guidance and support to work together ensures that we are exploring these traditional territories responsibly and respectfully."

The formal agreement ceremony honored traditional protocols through the passing of tobacco, a customary gesture that symbolizes the respectful initiation of partnerships between Indigenous nations and external organizations. Both parties plan to hold a community celebration in Amisk Lake during the spring months.

Agreement dovetails with company's mining goals

This exploration agreement creates opportunities for Hudbay to expand its resource base and potentially extend the operational lifespan of its established Manitoba mining operations. The company views the Saskatchewan exploration program as a natural extension of its core Snow Lake operations, which currently maintain projected mine life extending through 2041.

Hudbay's Manitoba operations have undergone significant transformation since 2021, repositioning themselves as primary gold producers. The Snow Lake facility expects to generate approximately 190,000 ounces of gold annually over the next three years, with production costs projected at $650 per ounce for 2026. Current mineral reserves contain an estimated 1.9 million ounces of gold, while inferred mineral resources add another 1.3 million ounces to the total resource estimate.

More information is posted at www.HudBayMinerals.com