TSX, NYSE – HBM 2025 No. 30 Hudbay’s Third Quarter 2025 Results Demonstrate Operational Resilience
Toronto, Ontario, November 12, 2025 – Hudbay Minerals Inc. (“Hudbay” or the “Company”) (TSX, NYSE: HBM) released its third quarter 2025 financial results today. All amounts are in U.S. dollars, unless otherwise noted.
"This was a quarter of resilience for Hudbay as we demonstrated the strength of our operating capabilities and the benefit of our diversified operating platform at a time of mandatory wildfire evacuations in Manitoba and temporary operational interruptions in Peru,” said Peter Kukielski, President and Chief Executive Officer. “Through our team’s continued focus on delivery and driving operating efficiencies in the face of these challenges, we expect to achieve the low end of our consolidated copper and gold production guidance ranges and we are further improving our consolidated cost guidance for 2025. During the third quarter, we continued to take steps to reduce long-term debt, reinvest in highreturn growth projects and advance our strategic initiatives to build a stable and diversified operating platform with significant copper growth upside. We are delighted to have secured a premier long-term strategic partner in Mitsubishi, enabling us to unlock significant value in our copper growth pipeline, further solidify our financial strength and significantly reduce our share of the remaining capital contributions for the development of Copper World. Hudbay's unique copper and gold diversification, combined with our continued focus on cost control, enable us to maintain industry-leading margins and deliver strong and stable cash flows.”
Demonstrated Operating Resilience in the Third Quarter
- Achieved revenue of $346.8 million and adjusted EBITDAi of $142.6 million in the third quarter of 2025.
- Achieved consolidated copper production of 24,205 tonnes and consolidated gold production of 53,581 ounces in the third quarter, demonstrating strong operational resilience with Manitoba operations suspended for the majority of the quarter due to the wildfire evacuations and temporary operational interruptions in Peru.
- Strong cost performance continued in the third quarter with consolidated cash costi and sustaining cash costi per pound of copper produced, net of by-product credits, of $0.42 and $2.09, respectively.
- Reaffirmed full year 2025 consolidated production guidance for copper and gold, despite the temporary operational interruptions and production deferrals. Full-year consolidated copper and gold production is now expected to be near the low end of the guidance ranges.
- Further improved full year 2025 consolidated cash costi guidance range to $0.15 to $0.35 per pound, an additional improvement from the previously updated guidance range of $0.65 to $0.85 per pound, as year-todate results are trending well below the low end of the cost ranges. Also improved full year 2025 consolidated sustaining cash cost guidance range to $1.85 to $2.25 per pound copper from the original guidance range of $2.25 to $2.65 per pound as a result of increased exposure to gold by-product credits and continued strong operating cost control.
- Peru operations produced 18,114 tonnes of copper and 26,380 ounces of gold in the third quarter, with copper being slightly lower than quarterly cadence expectations and gold far exceeding quarterly cadence expectations while navigating intermittent interruptions and a temporary mill suspension during the quarter. Peru cash costi per pound of copper produced, net of by-product credits, was $1.30 in the third quarter, outperforming the low-end of the cost guidance range. Full year copper production in Peru is expected to be in line with 2025 annual guidance and full year gold production is expected to exceed the top end of the guidance range.
- Manitoba operations produced 22,441 ounces of gold in the third quarter, lower than quarterly cadence expectations as a result of temporary production interruptions from mandatory wildfire evacuations that shut down operations for the majority of the third quarter and deferred gold production. A business interruption insurance claim has been submitted to compensate for a portion of the wildfire-related downtime. Manitoba cash costi per ounce of gold produced, net of by-product credits, was $379 in the third quarter. Subsequent to
the quarter, due to additional unplanned down time in October as a result of winter storm power outages, some gold production has been further deferred and full year gold production in Manitoba is now expected to be slightly below the low end of the 2025 annual guidance range.
- British Columbia operations produced 5,249 tonnes of copper in the third quarter at a cash costi per pound of copper produced, net of by-product credits, of $3.21. While the initial phase of the conversion of the third ball mill to a second semi-autogenous grinding ("SAG") mill was completed successfully in the third quarter, there was required maintenance at the primary SAG mill at the end of September and into early October, which is expected to result in reduced mill throughput levels for the balance of 2025 and full year copper production in British Columbia is now expected to be below the low end of the 2025 annual guidance range.
- Third quarter net earnings attributable to owners and earnings per share attributable to owners were $222.4 million and $0.56, respectively, reflecting a pre-tax full impairment reversal of $322.3 million on Hudbay's carrying value of the Copper World project as a result of the announcement of a $600 million strategic partnership with Mitsubishi Corporation ("Mitsubishi") for a 30% minority interest in Copper World, which is expected to close in late 2025 or early 2026. After adjusting for this transaction and various other non-cash items, third quarter adjusted earningsi per share attributable to owners was $0.03.
- Financial results in the third quarter were impacted by the deferral of a 20,000 dry metric tonne copper concentrate shipment in Peru, valued at approximately $60 million (high gold content), from the end of September into early October due to ocean swells at the port.
- Cash and cash equivalents decreased by $14.4 million to $611.1 million during the third quarter and total liquidityii was $1,036.3 million as at September 30, 2025, reflecting $13.2 million of additional senior unsecured note repurchases during the third quarter.
Further Debt Reduction and Balance Sheet Strength
- Hudbay's unique copper and gold diversification across its operations provides exposure to higher copper and gold prices, which together with a focus on cost control across the business, continues to expand margins and generate attractive operating cash flowi.
- While the majority of revenues continue to be derived from copper production, revenue from gold production represented more than 38% of total revenues in the third quarter of 2025.
- Generated positive free cash flowi in Peru and Manitoba in the third quarter of 2025 despite operational interruptions, offset by negative free cash flowi in British Columbia with planned stripping activities. Consolidated free cash flowi would have been positive if the excess copper concentrate inventory in Peru was sold at the end of September.
- Achieved adjusted EBITDAi of $142.6 million in the third quarter of 2025, resulting in annual trailing twelvemonth adjusted EBITDAi of $932.3 million.
- Repurchased and retired an additional $13.2 million of senior unsecured notes through open market purchases at a discount to par during the third quarter, reducing total principal debt to $1.05 billion as of September 30, 2025. Subsequent to the quarter end, deleveraging efforts continued with an additional $20.0 million of open market purchases of the senior unsecured notes at a discount to par.
- As of November 11, 2025, approximately $328.1 million in total principal debt and gold prepayment liability reductions have been achieved since the beginning of 2024.
- Net debti reduced to $435.9 million as at September 30, 2025 compared to $525.7 million at December 31, 2024, a decrease of $89.8 million year-to-date.
- Net debt to adjusted EBITDA ratioi was 0.5x at the end of the third quarter of 2025, a further improvement from 0.6x at the end of fourth quarter of 2024.
Prudently Advancing Copper World Towards a Sanction Decision in 2026
- In August 2025, announced accretive $600 million Copper World joint venture transaction with Mitsubishi Corporation (“Mitsubishi”) for a 30% minority interest (“JV Transaction”).
Secures a premier long-term strategic partner in Mitsubishi, one of the largest Japanese trading o houses with a global mining presence and a significant U.S. based business.
Implies a significant premium to consensus net asset value for Copper Worldiii.
o Increases levered project IRR to Hudbay to approximately 90% based on pre-feasibility study ("PFS") o estimatesiv.
- In August 2025, agreed on terms with Wheaton Precious Metals Corp. (“Wheaton”) to amend the existing precious metals streaming agreement.
In addition to the initial $230 million stream deposit, provides an additional contingent payment of up o to $70 million on a future mill expansion, recognizing the long-term potential at Copper World. Ongoing payments for gold and silver amended from fixed pricing to 15% of spot prices to provide o upside exposure to higher precious metals prices.
- Successful completion of the final key elements of Hudbay's prudent financial strategy as part of the three prerequisites ("3-P") plan for Copper World.
Hudbay's estimated share of the remaining equity capital contributions has been reduced to o approximately $200 million based on PFS estimates and Hudbay's first capital contribution has been deferred to 2028 at the earliest.
- Feasibility study activities for Copper World are underway with expected completion of a definitive feasibility study ("DFS") in mid-2026.
Hudbay is accelerating detailed engineering, certain long lead items and other de-risking activities in o 2025 and, as announced in August 2025, has advanced $20 million in growth capital expenditures to 2025 from future years.
Reinvesting in Several Additional High-return Growth Initiatives
- Optimization efforts at Copper Mountain have continued and are focused on executing the planned accelerated stripping program and mill throughput improvement projects. A key component, the conversion of the third ball mill to a second SAG mill ("SAG2"), remains on schedule. Completion of the initial phase on July 10, 2025 enabled the mill to achieve several days of 50,000 tonnes per day in September, the highest level achieved since Hudbay acquired the operations. Construction of the final phase of the SAG2 project is expected to conclude in December 2025.
- Large exploration program in Snow Lake continues to execute the threefold strategy focused on near-mine exploration to increase near-term production and mineral reserves, testing regional satellite deposits for additional ore feed to utilize available capacity at the Stall mill, and exploring the large land package for a new anchor deposit to meaningfully extend mine life.
- Following the completion of the initial 1901 exploration drift some additional development ore was delivered for processing at Stall. The focus now turns to advancing exploration platforms in both base metal and gold mineralization and developing the haulage drift to confirm mining methods, establish critical infrastructure and de-risk the path towards full production in late 2027.
- Drilling commenced at the Talbot copper-zinc-gold deposit near Snow Lake in July with a focus on expanding the known mineralization and testing geophysical targets. Full assay results expected later this year.
- Continuing to advance Flin Flon tailings reprocessing opportunities through metallurgical test work and economic evaluations to assess the possibility of producing critical minerals and precious metals in an environmentally friendly manner.
- Continuing to enhance stakeholder engagement and advance additional metallurgical studies at the Mason copper project in Nevada.
Summary of Third Quarter Results
Hudbay's diversified asset portfolio delivered consolidated copper production of 24,205 tonnes and consolidated gold production of 53,581 ounces in the third quarter of 2025, despite temporary operational interruptions and production deferrals. Consolidated copper and gold production was lower than the second quarter of 2025 primarily due to the impact of the mandatory wildfire evacuations that persisted in northern Manitoba for a majority of the third quarter, a temporary production interruption in Peru for nine days during the third quarter due to social unrest and unplanned mill downtime and processing of low-grade stockpiles at Copper Mountain during the third quarter. Consolidated silver production of 730,394 ounces and zinc production of 548 tonnes in the third quarter of 2025 were also lower than the second quarter of 2025 for the aforementioned reasons.
Cash generated from operating activities of $113.5 million decreased compared to the second quarter of 2025 as a result of the temporary operational interruptions during the third quarter, as mentioned above, and lower sales volumes as a result of a delayed 20,000 dry metric tonne copper concentrate shipment in Peru with high grade gold content, valued at approximately $60 million, from the end of September into early October due to ocean swells at the port. This was partially offset by higher realized metal prices.
Adjusted EBITDAi was $142.6 million in the third quarter of 2025, a decrease compared to $245.2 million in the second quarter of 2025 primarily due to the temporary operational interruptions and the lower sales volumes as a result of the delayed copper concentrate shipment in Peru, as noted above.
Adjusted net earnings attributable to ownersi and adjusted net earnings per share attributable to ownersi in the third quarter of 2025 were $10.1 million and $0.03 per share, respectively, after adjusting for various non-cash items on a pre-tax basis including a $322.3 million full impairment reversal related to Hudbay's Copper World project following the announcement of the JV Transaction, $14.9 million of contingent consideration received from the previous sale of a non-core project, an $8.7 million mark-to-market revaluation loss on various instruments such as investments and share-based compensation, and a non-cash $8.8 million foreign exchange loss, among other items. This compares to adjusted net earnings attributable to ownersi and net earnings per share attributable to ownersi of $75.5 million and $0.19 per share in the second quarter of 2025. The decrease is primarily due to temporary operational interruptions in Manitoba and Peru which resulted in lower production and delayed sales volumes impacting overall gross margins and operating cash flow during the quarter.
Consolidated cash cost per pound of copper produced, net of by-product creditsi, was $0.42 in the third quarter of 2025, compared to $(0.02) in the second quarter of 2025, as Hudbay continued to demonstrate industry-leading cost performance. The increase in cash cost, net of by-product credits, was a result of lower by-product credits due to lower production in Manitoba from the impact of the wildfires during the third quarter, partially offset by strong gold production in Peru despite the nine-day operational interruption during the third quarter of 2025.
Consolidated sustaining cash cost per pound of copper produced, net of by-product creditsi, was $2.09 in the third quarter of 2025, compared to $1.65 in the second quarter of 2025, increasing primarily due to the same factors impacting consolidated cash cost noted above.
Consolidated all-in sustaining cash cost per pound of copper produced, net of by-product creditsi, was $2.78 in the third quarter of 2025, higher than the second quarter of 2025 incorporating higher corporate G&A from the revaluation of Hudbay's stock-based compensation due to relative higher share prices.
As at September 30, 2025, total liquidity was $1,036.3 million, including $611.1 million in cash and cash equivalents, and undrawn availability of $425.2 million under Hudbay's revolving credit facilities. The Company's liquidity is expected to be further enhanced upon the closing of the JV Transaction, which is expected to occur in late 2025 or early 2026. Net debti at the end of the third quarter was $435.9 million, marking an $89.8 million improvement from the fourth quarter of 2024 as a result of deleveraging activities which included the repurchase and retirement of senior unsecured notes.
Consolidated Financial Condition Sep. 30, 2025 Jun. 30, 2025 Dec. 31, 2024 (in $ millions, except net debt to adjusted EBITDA ratio)
Cash and cash equivalents and short-term investments 611.1 625.5 581.8
1,047.0 1,059.6
Total long-term debt 1,107.5
| Net debt1 | 435.9 | 434.1 | 525.7 |
| Working capital2 | (34.7) | 26.8 | 511.3 |
| Total assets | 5,628.6 | 5,487.6 |
5,916.8
Equity attributable to owners of the Company 3,080.5 2,863.3 2,553.2
0.5 0.4
Net debt to adjusted EBITDA1 0.6 1 Net debt and net debit to adjusted EBITDA are non-GAAP financial performance measures with no standardized definition under IFRS. For further information, please see the "Non-GAAP Financial Performance Measures" section of this news release.
2 Working capital is determined as total current assets less total current liabilities as defined under IFRS and disclosed on the consolidated interim financial statements. Working capital as of September 30, 2025 was impacted by an increase in the current portion of long-term debt of $511.0 million as the 2026 Notes are now maturing within one year.
Consolidated Financial Performance Three Months Ended
| Sep. 30, 2025 | Jun. 30, 2025 | Sep. 30, 2024 | ||
|---|---|---|---|---|
| Revenue | $000s | 346.8 | 536.4 | 485.8 |
| Cost of sales | $000s | 281.5 | 359.9 | 346.0 |
| Earnings before tax | $000s | 330.5 | 153.1 | 79.7 |
| Net earnings | $000s | 114.7 | 50.3 |
222.4
Net earnings attributable to owners $000s 222.4 117.7 49.7 Basic and diluted attributable earnings per $/share 0.56 0.30 0.13 share1 Adjusted earnings attributable per share1 $/share 0.03 0.19 0.13 Operating cash flow before change in non- $ millions 70.3 193.9 188.3 cash working capital Adjusted EBITDA1 $ millions 142.6 245.2 206.0 Free cash flow1 $ millions (15.2) 87.8 88.4 1 Adjusted earnings per share - attributable to owners, adjusted EBITDA and free cash flow are non-GAAP financial performance measures with no standardized definition under IFRS. For further information and a detailed reconciliation, please see discussion under the “Non-GAAP Financial Performance Measures” section of this news release.
Consolidated Production and Cost Performance Three Months Ended Sep. 30, 2025 Jun. 30, 2025 Sep. 30, 2024 Contained metal in concentrate and doré produced1
Copper tonnes 29,956 31,354
24,205
| Gold | ounces | 53,581 | 56,271 | 89,073 |
| Silver | ounces | 730,394 | 814,989 | 985,569 |
| Zinc | tonnes | 548 | 5,130 | 8,069 |
| Molybdenum | tonnes | 185 | 375 | 362 |
Payable metal sold
| Copper | tonnes | 18,280 | 30,354 | 27,760 |
| Gold2 | ounces | 38,279 | 62,466 | 73,232 |
| Silver2 | ounces | 418,418 | 894,160 | 663,413 |
| Zinc | tonnes | 3,452 | 2,871 | 8,607 |
| Molybdenum | tonnes | 427 | 343 |
Consolidated cash cost per pound of copper produced3
| Cash cost | $/lb | 0.42 | (0.02) | 0.18 |
| Sustaining cash cost | $/lb | 2.09 | 1.65 | 1.71 |
| All-in sustaining cash cost | $/lb | 2.78 | 2.03 | 1.95 |
1 Metal reported in concentrate is prior to deductions associated with smelter contract terms and includes other secondary products. 2 Includes total payable gold and silver in concentrate and in doré sold.
3 Cash cost, sustaining cash cost and all-in sustaining cash cost per pound of copper produced, net of by-product credits, are non-IFRS financial performance measures with no standardized definition under IFRS. For further information, please see the “Non-IFRS Financial Performance Measures” section of this news release.
Peru Operations Review
Peru Operations Three Months Ended
| Constancia ore mined1 | 564,579 | 6,735,316 | 3,022,931 | |
| Copper | % | 0.25 | 0.34 | 0.36 |
| Gold | g/tonne | 0.02 | 0.03 | 0.04 |
| Silver | g/tonne | 1.92 | 3.26 | 3.20 |
| Molybdenum | 0.02 | 0.02 |
tonnes
% 0.01
| Pampacancha ore mined1 | tonnes | 4,260,081 | 762,172 | 1,777,092 |
| Copper | % | 0.38 | 0.26 | 0.48 |
| Gold | g/tonne | 0.31 | 0.24 | 0.27 |
| Silver | g/tonne | 4.87 | 4.59 | 6.23 |
| Molybdenum | 0.01 | 0.01 |
% 0.01
| Total ore mined | tonnes | 4,824,660 | 7,497,488 | 4,800,023 |
| Strip ratio3 | 1.38 | 1.47 | 2.62 | |
| Ore milled | tonnes | 6,991,744 | 7,559,047 | 8,137,248 |
| Copper | % | 0.31 | 0.34 | 0.32 |
| Gold | g/tonne | 0.05 | 0.11 |
0.16
| Silver | g/tonne | 3.94 | 3.58 | 3.70 |
| Molybdenum | % | 0.01 | 0.01 | 0.01 |
| Copper recovery | % | 84.5 | 82.6 |
83.2
| Gold recovery | % | 72.1 | 56.0 | 68.1 |
| Silver recovery | % | 65.2 | 63.5 | 67.0 |
| Molybdenum recovery | % | 33.9 | 38.7 | 39.0 |
Contained metal in concentrate
Copper tonnes 18,114 21,710 21,220 Gold ounces 7,366 20,331
26,380
Silver ounces 577,446 551,979 648,209 Molybdenum tonnes 185 375 362
Payable metal sold
Copper tonnes 21,418 18,803
11,769
| Gold | ounces | 9,798 | 9,721 | 9,795 |
| Silver | ounces | 258,215 | 616,578 | 365,198 |
| Molybdenum | tonnes | 269 | 427 | 343 |
| Combined unit operating cost2,4,6 | $/tonne | 13.03 | 13.59 | 12.78 |
| Cash cost4,5 | $/lb | 1.30 | 1.45 | 1.80 |
| Sustaining cash cost4 | $/lb | 2.63 | 2.78 |
2.11
1 Reported tonnes and grade for ore mined are estimates based on mine plan assumptions and may not reconcile fully to ore milled. 2 Reflects combined mine, mill and general and administrative ("G&A") costs per tonne of ore milled. Reflects the deduction of expected capitalized stripping costs.
3 Strip ratio is calculated as waste mined divided by ore mined.
4 Combined unit costs, cash cost and sustaining cash cost per pound of copper produced, net of by-product credits, are non-IFRS financial performance measures with no standardized definition under IFRS. For further information, please see the “Non-IFRS Financial Performance Measures” section of this news release.
5 Excludes $7.3 million or $0.19 per tonne of overhead costs incurred during temporary suspension during the three months ended September 30, 2025.
6 Excludes approximately $7.3 million or $1.04 per tonne of overhead costs incurred during temporary suspension during the three months ended September 30, 2025.
The Peru operations continued to demonstrate steady operating performance despite facing temporary interruptions as a result of social unrest in the third quarter. Country wide protests that began early in the third quarter temporarily impacted the transportation routes leading to limitations of supplies and concentrate transportation. To manage through these limitations, Hudbay adjusted mine sequencing to prioritize Pampacancha mining activities and blend low-grade stockpile ore in the mill feed. The road blockades along the transportation route reopened midway through the third quarter, allowing Hudbay to reduce site concentrate inventory levels and replenish supplies.
In late September, the social unrest escalated across Peru. Along with other mines in the southern mining corridor, Hudbay’s Constancia mine was impacted by local protests and illegal blockades. The safety of all personnel is the Company’s top priority, and Hudbay suspended Constancia operations on September 22nd as a precaution to ensure the safety of personnel and allow time for Hudbay and the authorities to address the illegal protests. During the temporary downtime, Hudbay’s team at Constancia performed preventative maintenance at the mill and on certain mining equipment. Since the restart of mining activities on October 3rd and milling activities on October 5th, the Constancia operations have normalized.
The Peru operations produced 18,114 tonnes of copper, 26,380 ounces of gold, 577,446 ounces of silver and 185 tonnes of molybdenum during the third quarter of 2025. Production of copper was lower than the comparative periods primarily due to lower ore milled as a result of the temporary operational shutdown. Production of gold was higher than the second quarter of 2025 due to higher head grades from a larger portion of the Pampacancha ore feed. Production of silver was higher than the second quarter of 2025 as a result of higher grades. Production of molybdenum was lower than the second quarter of 2025 due to lower ore milled and lower recoveries.
Total ore mined in Peru in the third quarter of 2025 was lower than the second quarter of 2025 as a result of the temporary operational shutdown described above. However, Pampacancha ore mined significantly increased in the third quarter compared to the second quarter, reflecting the completion of a major stripping program in the second quarter.
Mill throughput levels averaged approximately 76,000 tonnes per day in the third quarter of 2025, lower than the second quarter of 2025 due to the lower amount of ore mined and the temporary operational shutdown. Milled copper grades decreased by 9% compared to the second quarter 2025, primarily due to lower grades from ore feed from stockpiles, partially offset by higher grades from Pampacancha. Milled gold grades significantly increased in the third quarter of 2025 compared to the comparative periods due to a higher portion of ore feed from Pampacancha where the gold grades are meaningfully higher than in the other ore sources. The mill achieved copper recoveries of 83% in the third quarter of 2025, lower than the second quarter of 2025 due to the nature of the feed from the stockpile. Recoveries of gold and silver during the third quarter of 2025 were in line with Hudbay's metallurgical models for the ore that was being processed.
Combined mine, mill and G&A unit operating costi in the third quarter of 2025 was $13.03 per tonne, 4% lower than the second quarter of 2025 as lower milling and G&A costs more than offset the impacts of higher mining costs and lower mill throughput associated with the temporary shutdown.
Cash cost per pound of copper produced, net of by-product creditsi, in the third quarter of 2025 was $1.30. Cash costs decreased by 10% compared to the second quarter of 2025 due to higher gold by-product credits and lower plant maintenance cost as a planned maintenance program was completed in the second quarter of 2025.
Sustaining cash cost per pound of copper produced, net of by-product creditsi, was $2.11 in the third quarter of 2025, a decrease of 20% compared to the second quarter of 2025 for the same reasons that impacted cash costs as well as from lower tailings management facility capital expenditures, timing on plant projects, and lower cash payments pertaining to community agreements.
With the regional social unrest impacting transportation routes during the quarter and ocean swells impacting port shipments in late September, a 20,000 dry metric tonne copper concentrate shipment, valued at approximately $60 million as a result of the high gold content, was deferred from late September to early October, thereby reducing sales volumes in the third quarter of 2025. This shipment was subsequently sold in October and total concentrate inventory levels have since normalized.
Post-quarter end, production in Peru in the month of October totaled approximately 9,200 tonnes of copper and 16,600 ounces of gold, reflecting optimal mill ore feed with strong ore contribution from Pampacancha and lower stockpiled ore being processed. Despite the impact from the temporary operational shutdown due to social unrest, Hudbay is on track to achieve its 2025 production guidance for all metals in Peru with gold production expected to exceed the top end of the 2025 guidance range. On a related note, with cash costs continuing to outperform the low end of the cash cost guidance range, Hudbay is reaffirming its full year 2025 cash cost guidance range in Peru.
Manitoba Operations Review
Manitoba Operations Three Months Ended
Lalor
| Ore mined | tonnes | 139,006 | 303,062 | 411,295 |
| Gold | g/tonne | 5.42 | 4.97 | 5.45 |
| Copper | % | 0.67 | 0.61 | 0.91 |
| Zinc | % | 1.93 | 2.46 | 2.73 |
| Silver | g/tonne | 31.57 | 29.94 | 30.45 |
New Britannia
Ore milled tonnes 162,934 191,298
92,765
| Gold | g/tonne | 6.88 | 6.48 | 6.77 |
| Copper | % | 0.76 | 0.65 | 0.93 |
| Zinc | % | 1.00 | 1.01 | 1.12 |
| Silver | g/tonne | 32.18 | 30.29 | 30.24 |
| Gold recovery1 | % | 91.8 | 89.4 | 90.0 |
| Copper recovery | % | 90.0 | 87.4 | 92.8 |
| Silver recovery1 | % | 78.0 |
78.5 79.9
Stall Concentrator
| Ore milled | tonnes | 43,940 | 144,204 | 222,621 |
| Gold | g/tonne | 3.10 | 3.19 | 4.23 |
| Copper | % | 0.56 | 0.56 | 0.89 |
| Zinc | % | 3.61 | 4.20 | 4.12 |
| Silver | g/tonne | 31.04 | 29.55 | 30.20 |
| Gold recovery | % | 72.6 | 67.9 | 70.5 |
| Copper recovery | % | 84.7 | 88.3 |
83.4
Zinc recovery % 34.6 84.8 88.1 Silver recovery % 50.3 51.9 57.8
Total contained metal in concentrate and doré2
| Gold | ounces | 22,441 | 43,235 | 62,468 |
| Copper | tonnes | 842 | 1,612 | 3,398 |
| Zinc | tonnes | 548 | 5,130 | 8,069 |
| Silver | ounces | 102,132 | 197,970 | 281,397 |
Total payable metal sold
Gold ounces 46,932 57,238
23,118
| Copper | tonnes | 769 | 2,133 | 2,931 |
| Zinc | tonnes | 3,452 | 2,871 | 8,607 |
| Silver | ounces | 112,142 | 209,594 | 244,974 |
| Combined unit operating cost3,4,5 | C$/tonne | 258 | 241 | 211 |
| Gold cash cost4,6 | $/oz | 379 | 710 | 372 |
| Gold sustaining cash cost4 | $/oz | 1,025 | 553 |
1 Gold and silver recovery includes total recovery from concentrate and doré. Doré includes sludge, slag and carbon fines.
2 Metal reported in concentrate is prior to deductions associated with smelter terms.
3 Reflects combined mine, mill and G&A costs per tonne of milled ore.
4 Combined unit cost, cash cost, sustaining cash cost per pound of copper produced, net of by-product credits, gold cash cost and sustaining cash cost per ounce of gold produced, net of by-product credits, are non-GAAP financial measures with no standardized definition under IFRS. Please see the “Non-GAAP Financial Performance Measures” section of this news release.
5 Excludes $16.0 million or C$163 per tonne of overhead costs incurred during temporary suspension during the three months ended September 30, 2025 and $3.2 million or C$14 per tonne during the three months ended June 30, 2025.
6 Excludes $16.0 million or $713 per oz of overhead costs incurred during temporary suspension during the three months ended September 30, 2025 and $3.2 million or $74 per tonne during the three months ended June 30, 2025.
Wildfire disruptions persisted in northern Manitoba for the majority of the third quarter, leading to evacuations in the Snow Lake region throughout July and August, with a full seven-week operational shutdown and several weeks of subsequent ramp-up significantly impacting Hudbay’s operations. Despite these challenges, Hudbay's Manitoba business unit demonstrated continued resilience with a comprehensive restart plan that was implemented to focus on the safety of the Company’s employees and the integrity of Hudbay’s assets. There was no structural damage to Hudbay’s onsite surface infrastructure and facilities in Snow Lake. Following the lifting of mandatory evacuations, milling activities at the New Britannia mill resumed on August 26, 2025, and milling activities at Stall restarted on September 9, 2025. At Lalor, the full mining workforce returned as of August 27, 2025 and mining operations ramped up to reach normal operating capacity in the second half of September 2025. The Company submitted a business interruption insurance claim relating to the wildfires and expects the claim to be resolved in 2026 and compensate for a portion of the wildfire downtime.
Achievements in the third quarter of 2025 included successful safeguarding of the Company’s assets and people, the orderly resumption of operations, including the exploration programs in Flin Flon and Snow Lake and achieving an average throughput of almost 2,300 tonnes per operating day at the New Britannia mill, all of which was a result of the tremendous effort and unwavering commitment demonstrated by the on-site team.
Production during the third quarter of 2025 included 22,441 ounces of gold, 842 tonnes of copper, 548 tonnes of zinc and 102,132 ounces of silver. Production of all metals in the third quarter was lower than the second quarter of 2025 as a result of the prolonged wildfire evacuation period impacting the third quarter of 2025 compared to a shorter wildfire evacuation period in the preceding quarter.
Total ore mined at Lalor in the third quarter of 2025 was lower than the comparable periods, reflecting the impacts from the wildfires. In the third quarter of 2025, gold grades increased by 9% compared to the second quarter of 2025. Copper, zinc and silver grades were in line with mine plan expectations.
There was limited access to the 1901 deposit in the third quarter due to the wildfires, resulting in reduced advance rates at the exploration and haulage drifts, but some additional development zinc ore was extracted during the third quarter of 2025. Notwithstanding the reduced advancement rate in the quarter, the 1901 project is on track for full production by the end of 2027 and activities over the next two years will focus on exploration, definition drilling, orebody access, and establishing critical infrastructure.
Consistent with Hudbay's strategy of allocating more Lalor ore feed to New Britannia to maximize gold recoveries, adjusting for days interrupted by wildfire evacuations, the New Britannia mill operated for 40.5 days during the quarter at an average throughput of approximately 2,290 tonnes per operating day. Total ore milled at New Britannia was significantly lower in the quarter due to the wildfire evacuation shutdown. Gold recovery in the third quarter of 2025 was a record 92% reflecting an increase compared to the second quarter of 2025 as a result of the higher gold grades.
The Stall mill experienced a greater throughput impact from the wildfire evacuation shutdown during the current quarter as the Lalor mine prioritized mining from gold zones over base metal zones to ensure a consistent feed to the New Britannia mill. Despite these challenges, the team at Stall focused on process optimization and enhanced gold recovery initiatives. The Stall mill achieved record gold recoveries of 73% in the third quarter of 2025, reflecting benefits from recent recovery improvement programs.
Combined mine, mill and G&A unit operating costsi in the third quarter were C$258 per tonne, higher than the second quarter of 2025 primarily due to lower total throughput partially offset by lower variable costs.
Cash cost per ounce of gold produced, net of by-product creditsi, in the third quarter of 2025 was $379, decreasing compared to the second quarter of 2025 primarily due to higher by-product credits and the recovery of secondary gold products as a result of mill tank clean-outs.
Sustaining cash cost per ounce of gold produced, net of by-product creditsi, in the third quarter of 2025 was $762, a 26% decrease compared to the second quarter of 2025, primarily due to the same factors affecting cash cost, partially offset by lower sustaining capital costs.
Subsequent to quarter-end, Hudbay experienced power outages due to severe winter storms, and the Snow Lake operations were shut down for approximately one week in October. While the Company was previously tracking within the 2025 guidance ranges despite the significant wildfire impacts, it now expects to be slightly below the low end of the gold production guidance range as a result of the power outage in October and the associated ramp-up after power was restored. With cash costs during 2025 continuing to outperform the low end of the cash cost guidance range, Hudbay is reaffirming its full year 2025 cash cost guidance range in Manitoba. Given the strong cash cost performance to-date in Manitoba, Hudbay will continue to prioritize primary gold production over by-product zinc production in 2025 and full year zinc production is now expected to be below the low end of the guidance range.
British Columbia Operations Review
British Columbia Operations1 Three Months Ended
| Sep. 30, 2025 | Jun. 30, 2025 | Sep. 30, 2024 | ||
|---|---|---|---|---|
| Ore mined2 | tonnes | 1,815,689 | 2,509,969 | 3,098,863 |
| Strip ratio3 | 8.84 | 7.50 | 6.05 | |
| Ore milled | tonnes | 2,900,008 | 3,363,176 |
3,087,443
| Copper | % | 0.22 | 0.28 | 0.24 |
| Gold | g/tonne | 0.08 | 0.09 | 0.09 |
| Silver | g/tonne | 0.97 | 0.73 |
0.78
Copper recovery % 76.6 81.0 84.1 Gold recovery % 68.2 67.3
59.2
Silver recovery % 65.5 71.8 71.2
Total contained metal in concentrate
| Copper | tonnes | 5,249 | 6,634 | 6,736 |
| Gold | ounces | 4,760 | 5,670 | 6,274 |
| Silver | ounces | 65,040 | 55,963 |
50,816 Total payable metal sold
| Copper | tonnes | 5,742 | 6,803 | 6,026 |
| Gold | ounces | 5,363 | 5,813 | 6,199 |
| Silver | ounces | 48,061 | 67,988 | 53,241 |
| Combined unit operating cost4,5 | C$/tonne | 24.51 | 15.58 |
25.02 3.21
Cash cost5 $/lb 2.39 1.81 Sustaining cash cost5 $/lb 7.43 5.18 5.06 1 Copper Mountain mine results are stated at 100%. On April 30, 2025, Hudbay completed the acquisition of the remaining 25% interest in the Copper Mountain mine and now owns 100%.
2 Reported tonnes and grade for ore mined are estimates based on mine plan assumptions and may not reconcile fully to ore milled. 3 Strip ratio is calculated as waste mined divided by ore mined.
4 Reflects combined mine, mill and general and administrative ("G&A") costs per tonne of ore milled. Reflects the deduction of expected capitalized stripping costs.
5 Combined unit operating cost, cash cost and sustaining cash cost per pound of copper produced, net of by-product credits, are non- GAAP financial performance measures with no standardized definition under IFRS. For further information, please see the “Non-GAAP Financial Performance Measures” section of this news release.
Hudbay continues its focus on advancing optimization plans at the Copper Mountain mine, including ramping up mining activities to optimize the mine ore feed to the plant and implementing site improvement initiatives that mirror Hudbay's best in-class operating practices.
The British Columbia operations produced 5,249 tonnes of copper, 4,760 ounces of gold and 50,816 ounces of silver during the third quarter of 2025. Production of copper, gold and silver decreased, compared to the prior quarter primarily as a result of lower head grades from processing stockpiled ore, as described below.
Total ore mined at Copper Mountain in the third quarter of 2025 was 1.8 million tonnes, a decrease of 28% compared to the second quarter of 2025, due to unplanned production loading fleet issues and vertical interactions with tight mining phases, which restricted efficiencies. Planned ore stockpiles were utilized as ore feed to the mill while the mine operation team continued waste stripping activities to expose additional ore mining fronts. Mining activities continue to focus on execution of the accelerated stripping program intended to bring higher grade ore into the mine plan by 2027 and on mining efficiencies, including a significant improvement with blasted muck inventories and operator recruitment to effectively utilize the available haul truck fleet. As a result, total material moved is expected to increase in the coming quarters as per the mine plan.