Capstone Copper Announces Sanctioning of Mantoverde Optimized Project
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August 8, 2025
Capstone Copper Announces Sanctioning of Mantoverde
Optimized Project
Vancouver, British Columbia – Capstone Copper Corp. (“Capstone” or the “Company”) (TSX:CS) (ASX:CSC)
is pleased to announce sanctioning of the Mantoverde Optimized (“MV Optimized” or “MV-O”) project for
construction following all required Board approvals. All amounts in this news release are in United States dollars,
unless otherwise noted.
MV Optimized is a capital-efficient brownfield expansion of Mantoverde’s sulphide concentrator, increasing
throughput from 32,000 to 45,000 ore tonnes per day (“tpd”), providing incremental copper and gold production of
approximately 20,000 tonnes and 6,000 ounces per annum, respectively, and extending the mine life from 19 to
25 years.
Cashel Meagher, Capstone’s Chief Executive Officer, commented, “Sanctioning of our MV Optimized project
represents a significant milestone on our continued path towards transformational growth. With the required
Board and regulatory approvals in-hand, we will now commence construction on our capital efficient, quick
payback, and high return expansion project at Mantoverde. MV Optimized represents the next phase of our
Mantoverde-Santo Domingo district growth strategy, which aims to expand our world-class mining district in Chile
with significant copper production and very attractive unit costs1. Our team is committed to responsible production
and ongoing engagement with stakeholders as we progress our growth plans to meet the growing global
requirements for copper.”
ADVANCING THE PATH TOWARDS TRANSFORMATIONAL GROWTH
The MV Optimized project is now formally sanctioned for development following receipt of the DIA environmental
permit in early July. MV Optimized involves an expansion of Mantoverde’s sulphide concentrator to increase
throughput from 32,000 to 45,000 ore tpd. The current process infrastructure at Mantoverde can sustain up to
45,000 ore tpd by debottlenecking minor components of the plant. To support the expanded mining and
processing rates, certain mining equipment and plant equipment additions are required.
The Company has advanced the level of detailed engineering to approximately 40% completion, de-risking the
project and increasing the degree of certainty in timelines and expansionary capital estimates . Expectations have
been updated from those outlined within the MV-O 2024 Feasibility Study to reflect date of sanctioning, key
learnings from the ramp-up of the new Mantoverde sulphide concentrator, and the increased level of detailed
engineering.
Capstone estimates that the MV Optimized sulphide concentrator expansion construction will require
approximately one year, followed by a ramp-up period in Q4 2026. The expanded sulphide throughput capacity of
approximately 45,000 ore tpd is expected to be sustained starting in early 2027. The Company expects the
construction and ramp-up of the oxide leach optimization to require an additional quarter, with higher cathode
production starting in Q2 2027.
MV OPTIMIZED EXPANSIONARY CAPITAL COST ESTIMATE
The updated total expansionary capital cost for MV Optimized has been estimated at $176 million, as shown in
the following table, reflecting a refined and optimized scope. Approximately $20 million of the capital cost increase
from the previous estimate is attributable to scope changes based on learnings from the recent ramp-up of the
Mantoverde sulphide concentrator. These scope changes include cyclone feed pump capacity upgrades in the
grinding circuit, increased pump, sump and electrical room capacity in the flotation and tailings management
areas, and minor additional environmental commitments, notably for dust suppression. The remainder of the
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increase largely reflects modest inflation identified through advanced detailed engineering since the date of the
Feasibility Study.
The total capital intensity of the MV Optimized project remains extremely competitive at approximately $9,000 per
tonne of incremental annual copper equivalent production. The estimated capital cost encompasses:
• Additional mining equipment required to support the expanded mining and processing rate;
• Additional and/or upgrades to concentrator processing plant equipment to debottleneck the plant;
• Infrastructure for improved heap and dump management, plus the conversion of the dynamic heap to a
bioleach facility to extract sulphide-based copper;
• Upgrades to the desalination plant to ensure a stable flow of the required water for MV Optimized ; and
• Includes a contingency of approximately 8%.
EXPANSIONARY CAPITAL COST ESTIMATE (by area) ($ millions)
Mine 43
Concentrator processing plant 107
Oxide leach optimization 19
Desalination plant 7
TOTAL EXPANSIONARY CAPITAL COST 176
2025 CONSOLIDATED CAPITAL EXPENDITURE GUIDANCE
With the sanctioning decision for MV-O, the Company has increased its expansionary capital guidance for 2025
by $60 million, bringing total 2025 Mantoverde expansionary capital expenditure guidance to $70 million, and total
consolidated expansionary capital guidance to $120 million. The remaining MV-O expansionary capital of $106
million is expected to be spent in 2026. For more detailed guidance see the company’s press release dated
January 20, 2025. Please see the cautionary statement and footnotes for additional information.
Capital Expenditure ($ millions) Previous New
Sustaining Capital1, 2 $255 $255
Expansionary Capital1, 2 $60 $120
Total Capital Expenditures $315 $375
1 These are Non-GAAP performance measures. Refer to the section entitled “Non-GAAP and Other Performance Measures” in the Cautionary Notes.
2 Includes capital for Mantoverde on a 100% basis.
MANTOVERDE OPERATION SUMMARY
Mantoverde (70%-owned by Capstone Copper and 30%-owned by Mitsubishi Materials Corporation) is an open-pit
copper-gold mine located in the Atacama region of Chile. Since the 1990s, Mantoverde operated as an oxide mine
producing copper cathodes from its 60, 000 tonnes per annum capacity SX -EW plant. In 2023, Capstone Copper
completed construction of the Mantoverde Development Project (“MVDP”) that enabled the mine to process its
copper sulphide reserves, in addition to existing oxide reserves. The MVDP involv ed the addition of a sulphide
concentrator and tailings storage facility, and the expansion of the existing desalination plant and other minor
infrastructure. First saleable copper concentrate at MVDP was produced in June 2024 and commercial production
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was achieved in September 2024. In Q2 2025, the plant achieved an average throughput of 33,409 tpd, exceeding
its current design capacity.
For further details, please see the press release dated October 1, 2024 announcing the results of the Mantoverde
Optimized Feasibility Study.
QUALIFIED PERSONS
Peter Amelunxen, P.Eng., Senior Vice President, Technical Services of Capstone Copper, a Qualified Person
(“QP”), as defined by NI 43-101 reviewed and approved the content of this news release that is based on the
2024 technical report.
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 kilometr es 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 prof itability 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
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 relate to future events or future performance and reflect the Company's expectations
or beliefs regarding future events. The Company's Sustainable Development Strategy goals and strategies are
based on a number of assumptions, including, but not limited to, the reliability of data sources; the biodiversity and
climate-change consequences; availability and effectiveness of technologies needed to achieve the Company's
sustainability goals and priorities; availability of land or other opportunities for conservation, rehabilitation or capacity
building on commercially reasonable terms and the Company's ability to obtain any required external approvals or
consensus for such opportunities; the availability of clean energy sources and zer o-emissions alternatives for
transportation on reasonable terms; availability of resources to achieve the goals in a timely manner, the Company's
ability to successfully implement new technology; and the performance of new technologies in accordance with the
Company's expectations.
Forward-looking statements include, but are not limited to, statements with respect to the estimation of Mineral
Resources and Mineral Reserves, the results of the Optimized Mantoverde Development Project ("MV Optimized
FS") and Mantoverde Phase II study, the timing, cost and success of the Optimized Mantoverde Development
Project, 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 results of the Santo Domingo FS Update and success of incorporating synergies previously identified in
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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 pr oduction 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 the Company's mining operations, the continuing success
of mineral exploration, the estimations for potential quantities and grade of inferred resources and exploration
targets, the Company's ability to fund future exploration activities, the Company's 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 an d oil and other fuel, capital expenditures and reclamation of Company’s
operations and development projects, the Company's estimates of available liquidity, and the risks included in the
Company's continuous disclosure filings on SEDAR+ at www.sedarplus.ca. The impact of global events such as
pandemics, geopolitical conflict, or other events, to Capstone Copper is dependent on a number of factors outside
of the Company's control and knowledge, including the effectiveness of the measures taken by public heal th and
governmental authorities to combat the spread of diseases, global 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. In this document certain forward- looking statements are identified by words including “anticipated”,
“expected”, “guidance” and “plan”. By their very nature, forward- looking statements involve known and unknown
risks, uncertainties and other factors that may cause the Company's actual results, performance or achievements
to be materially different from any future results, performance or achievements expressed or implied by the forward-
looking statements. Such factors include, amongst others, risks related to inherent hazards associated with mining
operations and closure of mining projects, future prices of copper and other metals, compliance with financial
covenants, inflation, surety bonding, the Company's ability to raise capital, Capstone Copper’s ability to acquire
properties for growth, counterparty risks associated with sales of the Company's metals, use of financial derivativ e
instruments and associated counterparty risks, foreign currency exchange rate fluctuations, market access
restrictions or tariffs, changes in U.S. laws and policies regulating international trade including but not limited to
changes to or implementation of tariffs, trade restrictions, or responsive measures of foreign and domestic
governments, changes to cost and availability of goods and raw materials, along with supply, logistics and
transportation constraints, changes in general economic conditions including market volatility due to uncertain trade
policies and tariffs, availability and quality of water and power resources, accuracy of Mineral Resource and Mineral
Reserve estimates, operating in foreign jurisdictions with risk of changes to governmental regulation, compliance
with governmental regulations and stock exchange rules, compliance with environmental laws and regulations,
reliance on approvals, licences and permits from governmental authorities and potential legal challenges to permit
applications, contractual risks including but not limited to, the Company's ability to meet the requirements under the
Cozamin Silver Stream Agreement with Wheaton Precious Metals Corp. ("Wheaton"), the Company's ability to meet
certain closing conditions under the Santo Domingo Gold Stream Agreement with Wheaton, acting as Indemnitor
for Minto Metals Corp.’s surety bond obligations, impact of climate change and changes to climatic conditions at
the Company's operations and projects, changes in regulatory requirements and policy related to climate change
and greenhouse gas ("GHG") emissions, land reclamation and mine closure obligations, introduction or increase in
carbon or other "green" taxes, aboriginal title claims and rights to consultation and accommodation, risks relating
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to widespread epidemics or pandemic outbreaks; the impact of communicable disease outbreaks on the Company's
workforce, risks related to construction activities at the Company's operations and development projects, suppliers
and other essential resources and what effect those impacts, if they occur, would have on the Company's business,
including the Company's ability to access goods and supplies, the ability to transport the Company's products and
impacts on employee productivity, the risks in connection w ith the operations, cash flow and results of Capstone
Copper relating to the unknown duration and impact of the epidemics or pandemics, impacts of inflation, geopolitical
events and the effects of global supply chain disruptions, uncertainties and risks related to the potential development
of the Santo Domingo development project, risks related to the Mantoverde Development Project ("MVDP"),
increased operating and capital costs, increased cost of reclamation, challenges to title to the Company's mineral
properties, increased taxes in jurisdictions the Company operates or is subject to tax, changes in tax regimes we
are subject to and any changes in law or interpretation of law may be difficult to react to in an efficient manner,
maintaining ongoing social l icence to operate, seismicity and its effects on the Company's operations and
communities in which we operate, dependence on key management personnel, Toronto Stock Exchange ("TSX")
and Australian Securities Exchange ("ASX") listing compliance requirements, potential conflicts of interest involving
the Company's directors and officers, corruption and bribery, limitations inherent in the Company's insurance
coverage, labour relations, increasing input costs such as those related to sulphuric acid, electricit y, fuel and
supplies, increasing inflation rates, competition in the mining industry including but not limited to competition for
skilled labour, risks associated with joint venture partners and non- controlling shareholders or associates, the
Company's ability to integrate new acquisitions and new technology into the Company's operations, cybersecurity
threats, legal proceedings, the volatility of the price of the common shares, the uncertainty of maintaining a liquid
trading market for the common shares, r isks related to dilution to existing shareholders if stock options or other
convertible securities are exercised, the history of Capstone Copper with respect to not paying dividends and
anticipation of not paying dividends in the foreseeable future and sales of common shares by existing shareholders
can reduce trading prices, and other risks of the mining industry as well as those factors detailed from time to time
in the Company’s interim and annual financial statements and MD&A of those statements and Annual Information
Form, all of which are filed and available for review under the Company’s profile on SEDAR+ at www.sedarplus.ca.
Although the Company has attempted to identify important factors that could cause the Company's actual results,
performance or achievements to differ materially from those described in the Company's forward- looking
statements, there may be other factors that cause the Company's results, performance or achievements not to be
as anticipated, estimated or intended. There can be no as surance that the Company's forward-looking statements
will prove to be accurate, as the Company's actual results, performance or achievements could differ materially
from those anticipated in such statements. Accordingly, readers should not place undue reliance on the Company's
forward-looking statements.
Non-GAAP and Other Performance Measures
“C1 cash costs”, “cash cost”, “expansion capital” and “sustaining capital” are Alternative Performance Measures.
Alternative performance measures are furnished to provide additional information. These non- GAAP performance
measures are included in this presentation because these statistics are key performance measures that
management uses to monitor performance, to assess how the Company is performing, to plan and to 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. For full information, please refer to the Company’s latest Management
Discussion and Analysis published on its Financial Reporting webpage or on SEDAR+.
Contact Information
Daniel Sampieri, Vice President, Investor Relations
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437-788-1767
Michael Slifirski, Director, Investor Relations, APAC Region
61-412-251-818
Claire Stirling, Manager, Investor Relations
416-831-8908
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