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Capstone Copper Announces 2024 Production Results and Provides 2025 Guidance

Production Results

1 These are Non-GAAP performance measures. Refer to the section entitled “ Non-GAAP and Other Performance Measures” in the Cautionary

Notes.

2 Full year 2024 and Q4 2024 C1 Cash Costs are preliminary and unaudited. Final results will be released on February 19, 2025.

January 20, 2025

Capstone Copper Announces 2024 Production Results and

Provides 2025 Guidance

All amounts in US$ unless otherwise indicated

Vancouver, British Columbia – Capstone Copper Corp. (“Capstone” or the “Company”) (TSX:CS)

(ASX:CSC) today announced consolidated copper production for 2024 and provided operations and capital

expenditure guidance for 2025.

• Record consolidated copper production in 2024 was 184,458 tonnes at C1 cash costs1,2 of approximately

$2.75 to $2.80 per payable pound of copper.

• Consolidated copper production increased by 12% compared to 2023 driven by the ramp- up of the

Mantoverde Development Project (“MVDP”).

• During Q4 2024, Capstone produced record consolidated copper production of 53,942 tonnes at C1 cash

costs1,2 of approximately $2.55 to $2.60 per payable pound of copper.

• 2025 forecasted production volumes of 220,000 to 255,000 tonnes of copper are expected to increase

by approximately 19% to 38%, while 2025 forecasted C1 cash costs 1 of $2.20 to $2.50 per payable

pound of copper are expected to decrease by approximately 10% to 20% compared to 2024.

John MacKenzie, CEO of Capstone, commented, “The fourth quarter was an overall record for Capstone’s

consolidated copper production, with our output up 14% and unit costs down approximately 9% quarter-over-

quarter. Although total 2024 consolidated copper production of 184,458 tonnes finished slightly below our

guidance range, largely attributable to ramp-up delays at Mantos Blancos and Mantoverde, we exited the year

close to design production levels. At Mantos Blancos, we averaged above our design mill throughput rate of

20,000 tonnes per day in November and December. Meanwhile at Mantoverde, after producing first copper in

June, our ramp up showed sequential improvement over the second half of 2024, with mill throughput

averaging just over 27,000 tonnes per day and copper recoveries averaging almost 85% in December.

“This year in 2025, we will deliver meaningful copper production growth, with a commensurate decrease in

unit costs, that will drive a significant increase in cash flow generation. Meanwhile, we intend to advance our

Mantoverde Optimized brownfield expansion project after receipt of a DIA permit amendment which is

expected around the middle of the year. We also plan to continue progressing financing and partnership

discussions at our fully permitted Santo Domingo project, while in parallel advancing opportunities to

incorporate the recently acquired Sierra Norte project and Santo Domingo’s oxide material into the mine plan,

and advancing studies across the remainder of our portfolio that will define our future growth.”

2024 Consolidated Copper Production and Costs Highlights

Consolidated copper production in 2024 was 184,458 tonnes at C1 cash costs1,2 of approximately $2.75 to

$2.80 per payable pound of copper. Consolidated copper production increased by 12% compared to 2023

driven by the ramp- up of the Mantoverde Development Project (“MVDP”) which produced first copper

concentrate in late June. For Q4 2024, Capstone produced record consolidated copper production of 53,942

tonnes at C1 cash costs1,2 of approximately $2.55 to $2.60 per payable pound of copper.

NEWS RELEASE

TSX:CS ● ASX:CSC ● capstonecopper.com

1 These are Non-GAAP performance measures. Refer to the section entitled “ Non-GAAP and Other Performance Measures” in the Cautionary

Notes.

NEWS RELEASE

TSX:CS ● ASX:CSC ● capstonecopper.com

Summary of 2024 Copper Production:

Q4 2024 Copper

Production

(tonnes)

Full Year 2024 Copper

Production (tonnes)

Sulphides Business

Pinto Valley 11,626 57,271

Cozamin 6,724 24,906

Mantos Blancos 12,165 37,744

Mantoverde3 13,580 21,777

Total Sulphides 44,094 141,698

Cathode Business

Mantos Blancos 1,398 6,830

Mantoverde3 10,045 35,930

Total Cathodes 11,294 42,760

Consolidated Copper Production 53,942 184,458

Table footnotes:

3 Mantoverde production shown on a 100% basis.

Production at Pinto Valley in Q4 2024 was impacted by unplanned maintenance, resulting in lower than

expected availabilities and lower plant throughput. Copper grades averaged 0.30% in Q4 (compared to 0.34%

overall in 2024) consistent with the mine sequence.

Mantos Blancos sulphides posted record quarterly copper production of 12, 165 tonnes, driven by the

successful ramp-up of the concentrator after the installation of new equipment in the tailings handling area

during Q3 2024. Overall in Q4 2024, Mantos Blancos averaged plant throughput of approximately 19,579

tonnes of ore per day (“tpd”), including an average of 20,137 tpd through November and December (compared

to 16,027 tpd overall in 2024).

Mantoverde sulphides posted record quarterly copper production of 13,580 tonnes from the new sulphide

concentrator in Q4 2024. During the quarter, plant throughput averaged 24,800 tpd, copper grades averaged

0.80%, and copper recoveries averaged 74.4%. Plant throughput was impacted by a combination of planned

and unplanned downtime, with the planned downtime used to improve recoveries, and the unplanned

downtime mostly driven by typical ramp-up issues. Plant availability and recoveries have steadily increased

since first copper production in June, and in December, plant throughput averaged 27,105 tpd, copper grades

averaged 0.73%, and copper recoveries averaged 84.8%.

1 These are Non-GAAP performance measures. Refer to the section entitled “ Non-GAAP and Other Performance Measures” in the Cautionary

Notes.

NEWS RELEASE

TSX:CS ● ASX:CSC ● capstonecopper.com

2025 Production and Costs Guidance

2025 forecasted production volumes of 220,000 to 255,000 tonnes of copper are expected to increase by

approximately 19% to 38% , while 2025 forecasted C1 cash costs 1 of $2.20 to $2.50 per payable pound of

copper are expected to decrease by approximately 10% to 20% compared to 2024.

Capstone 2025 production and cost guidance are as follows:

Copper Production

(tonnes)

C1 Cash Costs2

(US$ per payable lb Cu

Produced)4

Sulphides Business

Pinto Valley 51,000 – 58,000 $2.55 – $2.85

Cozamin 23,000 – 26,000 $1.60 – $1.80

Mantos Blancos 43,000 – 51,000 $2.20 – $2.50

Mantoverde3 68,000 – 80,000 $1.25 – $1.55

Total Sulphides 185,000 – 215,000 $1.85 – $2.15

Cathode Business

Mantos Blancos 6,000 – 8,000 $3.40 – $3.70

Mantoverde3 29,000 – 32,000 $4.10 – $4.40

Total Cathodes 35,000 – 40,000 $3.95 – $4.25

Consolidated Copper Production 220,000 – 255,000 $2.20 – $2.50

Table footnotes:

3 Mantoverde production shown on a 100% basis.

4 Key C1 cash costs1 input assumptions include: CLP/USD: 900:1; MXN/USD: 18.5:1; Silver: $27/oz; Gold: $2,350/oz;

Molybdenum: $18/lb.

Pinto Valley: Similar copper production is forecasted when compared to 2024 as higher mill availability is

expected to offset lower copper grades of approximately 0.31% in 2025. Production is weighted towards the

second half of the year driven by higher copper grades and a planned maintenance shutdown in Q1 2025.

Cozamin: Copper production is expected to be similar compared to 2024 , with grades expected to

approximate 1.87%. Production is expected to be consistently weighted through the year.

Mantos Blancos: Copper production at Mantos Blancos is forecasted to increase in 2025 due to higher mill

throughput, with a commensurate decrease in C1 cash costs 1. Sulphide copper grades are expected to

approximate 0.88% . Production is slightly weighted towards the second half of the year driven by higher

throughput as a planned maintenance shutdown is scheduled in Q1 2025.

Mantoverde: Copper production at Mantoverde is forecasted to significantly increase in 2025 driven by the

new sulphide concentrator, with a corresponding decrease in consolidated cash costs1. Sulphide c opper

grades are expected to approximate 0.77% in 2025. Planned maintenance is scheduled during Q1 and Q3

2025. In addition, we expect to complete the ramp up from December 2024 monthly performance to full rates

within Q1 2025.

2025 Capital Expenditures Guidance

In 2025 , the Company plans to spend a total of $315 million in sustaining and expansionary capital

expenditures at its operating mines and the Santo Domingo Project. This is broken down into $255 million on

sustaining capital and $60 million on expansionary capital.

1 These are Non-GAAP performance measures. Refer to the section entitled “ Non-GAAP and Other Performance Measures” in the Cautionary

Notes.

NEWS RELEASE

TSX:CS ● ASX:CSC ● capstonecopper.com

The sustaining capital expenditure includes approximately $80 million of spending related to ESG initiatives,

largely related to upgrading tailings storage facilities at Pinto Valley and Mantos Blancos, as well as improving

tailings stewardship as the Company works towards implementing the Global Industry Standard for Tailings

Management (“GISTM”) by year end 2028. Pinto Valley sustaining capital includes approximately $50 million

related to ESG initiatives ( $10 million attributable to improving dust control and $25 million on GISTM

upgrades), while Mantos Blancos sustaining capital includes approximately $30 million ($15 million attributable

to a new tailings thickener and $10 million related to other GISTM initiatives).

Expansionary capital includes $10 million of early works spending for the Mantoverde Optimized Project, and

approximately $50 million at Santo Domingo. At Mantoverde Optimized, a DIA permit amendment is

anticipated around the middle of 2025, after which the Company will look to sanction the project, subject to

necessary approvals, and revisit expansionary capital expenditure guidance during the second half of 2025.

At Santo Domingo, the Company plans to progress partnership discussions and its financing strategy

throughout 2025. A potential project sanctioning decision is not anticipated prior to 2026.

Pinto

Valley Cozamin Mantos

Blancos Mantoverde* Santo

Domingo Total

Capital Expenditure ($ millions)

Sustaining Capital1 85 25 70 75 - 255

Expansionary Capital1 - - - 10 50 60

Total Capital Expenditures 85 25 70 85 50 315

*Mantoverde shown on a 100% basis

In addition, the Company plans to spend a total of $210 million in capitalized stripping at its three open pit

mines.

Pinto Valley Mantos Blancos Mantoverde* Total

Capitalized Stripping ($ millions) 50 85 75 210

*Mantoverde shown on a 100% basis

2025 Exploration Guidance

The Company plans to spend $25 million in brownfield and greenfield exploration activities in 2025 . The

brownfields exploration is focused on resource conversion at Pinto Valley, Mantoverde, Mantos Blancos, and

Santo Domingo. The greenfield exploration relates to expansionary work in the highly prospective northern

area of the Mantoverde land package and at Sierra Norte.

2025 Copper Cathode Hedging Strategy

During Q4 2024, the Company entered into approximately 20,000 tonnes of zero cost copper collars for 2025

in order to ensure break -even pricing on a portion of its higher cost copper cathode production. The collars

have an average floor price of LME Copper $4.15/lb, an average ceiling price of LME Copper $4.85/lb, and

are evenly distributed through 2025.

2024 Year-end Results Announcement and Conference Call

Capstone will release its 2024 f ull-year results on Wednesday, February 19, after market close. The

announcement will be followed by an investor conference call the same day at 5:00pm Eastern Time / 2:00pm

Pacific Time (Thursday, February 20, 2025, 9:00 am Australian Eastern Daylight Time).

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2024 Year-end Webcast and Conference Call Details

Conference call webcast link: https://app.webinar.net/pWrNOolZnQV

To connect by phone:

To instantly join the conference call by phone, please use the following URL https://emportal.ink/4gIoBUG to

easily register yourself and be connected into the conference call automatically.

You can also dial direct to be entered to the call by the operator:

Toronto: 1-437-900-0527

Australia: 61-280-171-385

North America toll free: 1-888-510-2154

An audio replay of the conference call will be available until February 26, 2025.

Replay Dial-in Numbers

Toronto: 1-289-819-1450

North America toll free: 1-888-660-6345

Code: 65051#

After the replay expiration, an audio file will be available on Capstone’s website at Capstone Copper - Events

and Presentations. Further information is available at www.capstonecopper.com

ABOUT CAPSTONE COPPER CORP.

Capstone Copper Corp. is an Americas -focused copper mining company headquartered in Vancouver,

Canada. We own and operate the Pinto Valley copper mine located in Arizona, USA, the Cozamin copper-

silver mine located in Zacatecas, Mexico, the Mantos Blancos copper- silver mine located in the Antofagasta

region, Chile, and 70% of the Mantoverde copper-gold mine, located in the Atacama region, Chile. In addition,

we own the fully permitted Santo Domingo copper- iron-gold project, located approximately 30 kilometres

northeast of Mantoverde in the Atacama region, Chile, as well as a portfolio of exploration properties in the

Americas.

Capstone Copper’s strategy is to unlock transformational copper production growth while executing on cost

and operational improvements through innovation, optimization and safe and responsible production

throughout our portfolio of assets. We focus on profitability and disciplined capital allocation to surface

stakeholder value. We are committed to creating a positive impact in the lives of our people and local

communities, while delivering compelling returns to investors by responsibly producing copper to meet the

world’s growing needs.

Further information is available at www.capstonecopper.com

Contact Information

Daniel Sampieri, Director, Investor Relations & Strategic Analysis

437-788-1767

[email protected]

Michael Slifirski, Director, Investor Relations, APAC Region

61-412-251-818

[email protected]

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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

This document may contain “forward-looking information” within the meaning of Canadian securities legislation

and “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform

Act of 1995 (collectively, “forward-looking statements”). These forward-looking statements are made as of the

date of this document and the Company does not intend, and does not assume any obligation, to update these

forward-looking statements, except as required under applicable securities legislation.

Forward-looking statements include, but are not limited to, statements with respect to the estimation of Mineral

Resources and Mineral Reserves, the success of the underground paste backfill and tailings filtration projects

at Cozamin, the timing and cost of the Mantoverde Development Project ("MVDP"), the timing and results of

the Optimized Mantoverde Development Project ("MV Optimized FS") and Mantoverde Phase II study, the

timing and results of PV District Growth Study (as defined below), the timing and results of Mantos Blancos

Phase II Feasibility Study, the timing and success of the Mantoverde - Santo Domingo Cobalt Feasibility Study,

the timing and results of the Santo Domingo FS Update and success of incorporating synergies previously

identified in the Mantoverde - Santo Domingo District Integration Plan, the timing and results of exploration

and potential opportunities at Sierra Norte, the realization of Mineral Reserve estimates, the timing and amount

of estimated future production, the costs of production and capital expenditures and reclamation, the timing

and costs of the Minto obligations and other obligations related to the closure of the Minto Mine, the budgets

for exploration at Cozamin, Santo Domingo, Pinto Valley, Mantos Blancos, Mantoverde, and other exploration

projects, the timing and success of the Copper Cities project, the success of our mining operations, the

continuing success of mineral exploration, the estimations for potential quantities and grade of inferred

resources and explorat ion targets, our ability to fund future exploration activities, our ability to finance the

Santo Domingo development project, environmental and geotechnical risks, unanticipated reclamation

expenses and title disputes, the success of the synergies and catalysts related to prior transactions, in

particular but not limited to, the potential synergies with Mantoverde and Santo Domingo, the anticipated future

production, costs of production, including the cost of sulphuric acid and oil and other fuel, capital expenditures

and reclamation of Company’s operations and development projects, our estimates of available liquidity, and

the risks included in our continuous disclosure filings on SEDAR+ at www.sedarplus.ca. The impact of global

events such as pandemics, geopolitical conflict, or other events, to Capstone is dependent on a number of

factors outside of our control and knowledge, including the effectiveness of the measures taken by public

health and governmental authorities to combat the spread of diseases, gl obal economic uncertainties and

outlook due to widespread diseases or geopolitical events or conflicts, supply chain delays resulting in lack of

availability of supplies, goods and equipment, and evolving restrictions relating to mining activities and to travel

in certain jurisdictions in which we operate. In certain cases, forward- looking statements can be identified by

the use of words such as “anticipates”, “approximately”, “believes”, “budget”, “estimates”, “expects”,

“forecasts”, “guidance”, “intends”, “plans”, “scheduled”, “target”, or variations of such words and phrases, or

statements that certain actions, events or results “be achieved”, “could”, “may”, “might”, “occur”, “should”, “will

be taken” or “would” or the negative of these terms or comparable terminology.

COMPLIANCE WITH NI 43-101

Unless otherwise indicated, Capstone Copper has prepared the technical information in this document

(“Technical Information”) based on information contained in the technical reports, Annual Information Form

and news releases (collectively the “Disclosure Documents”) available under Capstone Copper’s company

profile on SEDAR+ at www.sedarplus.ca. Each Disclosure Document was prepared by or under the

supervision of a qualified person (a “Qualified Person”) as defined in National Instrument 43-101 – Standards

of Disclosure for Mineral Projects of the Canadian Securities Administrators (“NI 43- 101”). Readers are

encouraged to review the full text of the Disclosure Documents which qualifies the Technical Information.

Readers are advised that Mineral Resources that are not Mineral Reserves do not have demonstrated

7

economic viability. The Disclosure Documents are each intended to be read as a whole, and sections should

not be read or relied upon out of context. The Technical Information is subject to the assumptions and

qualifications contained in the Disclosure Documents.

Disclosure Documents include the National Instrument 43- 101 technical reports titled "NI 43- 101 Technical

Report on the Cozamin Mine, Zacatecas, Mexico" effective January 1, 2023, “NI 43-101 Technical Report on

the Pinto Valley Mine, Arizona, USA” effective March 31, 2021, “Santo Domingo Project, NI 43-101 Technical

Report and Feasibility Study Update, Atacama Region, Chile” effective July 31, 2024, and "Mantos Blancos

Mine NI 43-101 Technical Report Antofagasta / Región de Antofagasta, Chile" effective November 29, 2021

and "Mantoverde Mine NI 43-101 Technical Report and Feasibility Study / Atacama Region, Chile", effective

July 1, 2024.

The disclosure of Scientific and Technical Information in this document was reviewed and approved by Peter

Amelunxen, P.Eng., Senior Vice President, Technical Services (technical information related to project

updates at Santo Domingo and Mineral Resources and Mineral Reserves at Mantoverde), Clay Craig, P.Eng.,

Director, Mining & Strategic Planning (technical information related to Mineral Reserves at Pinto Valley and

Cozamin), and Cashel Meagher, P.Geo., President and Chief Operating Officer (technical information related

to Mineral Reserves and Resources at Mantos Blancos) all Qualified Persons under NI 43-101.

NON-GAAP AND OTHER PERFORMANCE MEASURES

The Company uses certain performance measures in its analysis. These Non-GAAP performance measures

are included in this document because these statistics are key performance measures that management uses

to monitor performance, to assess how the Company is performing, and to plan and assess the overall

effectiveness and efficiency of mining operations. These performance measures do not have a standard

meaning within IFRS and, therefore, amounts presented may not be comparable to similar data presented by

other mining companies. These performance measures should not be considered in isolation as a substitute

for measures of performance in accordance with IFRS.

Some of these performance measures are presented in Highlights and discussed further in other sections of

the document. These measures provide meaningful supplemental information regarding operating results

because they exclude certain significant items th at are not considered indicative of future financial trends

either by nature or amount. As a result, these items are excluded for management assessment of operational

performance and preparation of annual budgets. These significant items may include, but are not limited to,

restructuring and asset impairment charges, individually significant gains and losses from sales of assets,

share based compensation, unrealized gains or losses, and certain items outside the control of management.

These items may not be non-recurring. However, excluding these items from GAAP or Non- GAAP results

allows for a consistent understanding of the Company's consolidated financial performance when performing

a multi-period assessment including assessing the likelihood of future results. Accordingly, these Non-GAAP

financial measures may provide insight to investors and other external users of the Company's consolidated

financial information.

C1 Cash Costs per payable pound of copper produced: C1 cash costs per payable pound of copper

produced is a measure reflective of operating costs per unit. C1 cash costs is calculated as cash production

costs of metal produced net of by-product credits and is a key performance measure that management uses

to monitor performance. Management uses this measure to assess how well the Company’s producing mines

are performing and to assess the overall efficiency and effectiveness of the mining operations and assumes

that realized by-product prices are consistent with those prevailing during the reporting period.