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LUN.TO ·

Lundin Mining Announces Early Redemption of its Senior Secured 2020 Notes

Corporate Updates

NEWS RELEASE

Lundin Mining Announces Early Redemption of its Senior Secured 2020 Notes

October 20, 2017 (TSX: LUN; OMX: LUMI) Lundin Mining Corporation (“Lundin Mining” or the “Company”)

today announces that it has issued a notice to redeem all of its 7.50% Senior Secured Notes due 2020 (the

"Notes") on November 20, 2017 at the redemption price of 103.750% of the principal amount of the Notes

plus accrued and unpaid interest. There is $550 million principal amount of the Notes currently outstanding.

The early redemption of the 2020 Notes will save the Company $41.25 million per annum in interest

payments.

About Lundin Mining

Lundin Mining is a diversified Canadian base metals mining company with operations in Chile, the United

States of America, Portugal, and Sweden, primarily producing copper, nickel and zinc. In addition, Lundin

Mining holds an indirect 24 perc ent equity stake in the Freeport Cobalt Oy business, which includes a cobalt

refinery located in Kokkola, Finland.

The information in this release is subject to the disclosure requirements of Lundin Mining under the EU

Market Abuse Regulation and the Swedish Securities Market Act. This information was publicly

communicated on October 20, 2017 at 2:00 a.m. Eastern Time.

For further information, please contact:

Mark Turner, Director, Business Valuations and Investor Relations: +1-416-342-5565

Sonia Tercas, Senior Associate, Investor Relations: +1-416-342-5583

Robert Eriksson, Investor Relations Sweden: +46 8 545 015 50

Cautionary Statement in Forward-Looking Information

Certain of the statements made and information contained herein, other than statements of historical fact and

historical information , is “forward -looking information” within the meaning of applicable Canadian securities laws.

Such statements include, but are not limited to, redemption of the Senior Secured 2020 Notes. Words such as “if”,

“will be”, “may” and “schedule”, or variations o f these terms or similar terminology or statements that certain

actions, events or results “could” occur or be achieved are intended to identify such forward -looking information.

Although the Company believes that the expectations reflected in the forward -looking information contained herein

are reasonable, these statements by their nature involve risks and uncertainties, and are not guarantees of future

performance. Forward -looking information is based on a number of assumptions, and subject to a variety o f risks

and uncertainties which could cause actual events or results to differ from those reflected in the forward -looking

statements. Should one or more of these risks and uncertainties materialize, or should underlying assumptions

prove incorrect, actual results may vary materially from those described in forward -looking statements.

Accordingly, readers should not to place undue reliance on forward -looking statements. The Company disclaims any

intention or obligation to update or revise any forward ‐looking statements or to explain any material difference

between subsequent actual events and such forward ‐ looking statements, except to the extent required by

applicable law.

Corporate Office

150 King Street West, Suite 1500

P.O. Box 38

Toronto, ONM5H 1J9

Phone: +1 416 342 5560

Fax: +1 416 348 0303

UK Office

Ground Floor Hayworthe House,

2 Market Place, Haywards Heath

West Sussex, RH16 1DB

United Kingdom

Phone: +44 (0) 1444 411 900

Fax: +44 (0) 1444 456 901