Lundin Mining Cuts 2026 Copper Guidance After Second Chile Storm…

Event summary

Lundin Mining revised 2026 copper production guidance for Caserones to 120,000–130,000 tonnes (down from 130,000–140,000) due to severe winter storms in Chile's Atacama region.
Cash cost guidance for Caserones increased to $2.15–$2.35/lb (from $2.05–$2.25/lb) following infrastructure damage from heavy snowfall and high winds.
Consolidated copper production guidance reduced to 300,000–325,000 tonnes (from 310,000–335,000) with cash cost guidance now $1.95–$2.15/lb.
Power restoration at Caserones expected by late August 2026, with gradual ramp-up of operations to follow.

The big picture

Lundin Mining's production cuts highlight the growing operational challenges faced by copper producers in Chile, where climate change is increasing weather volatility. The revisions come as global copper demand remains strong, particularly for electrification and infrastructure projects, putting pressure on miners to maintain supply stability. Lundin's ability to navigate these disruptions will be critical as it pursues its goal of becoming a top 10 global copper producer.

What we're watching

Climate Risk: How recurring extreme weather events will affect Lundin Mining's operational resilience and long-term production forecasts in Chile.
Cost Management: Whether Lundin can mitigate higher cash costs through efficiency improvements or pricing adjustments.
Strategic Flexibility: The pace at which Lundin can adapt its growth strategy, particularly its Vicuña District project, to offset Chile production shortfalls.