Lundin Mining Announces 2018 Mineral Resource and Mineral Reserve Estimates

Lundin Mining Announces 2018 Mineral Resource and Mineral Reserve Estimates

Lundin Mining Corporation ("Lundin Mining" or the "Company") today reported its Mineral Resource and Reserve estimates as at June 30, 2018.
On a consolidated and attributable basis, estimated contained metal in the Proven and Probable Mineral Reserve categories totalled 3,672 kt of copper, 3,374 kt of zinc and 108 kt of nickel.

Commenting on the June 2018 Mineral Reserve and Resource estimates, Mr. Paul Conibear, President and CEO of Lundin Mining said, "We are once again pleased that our exploration investments continue to add high returns and significant value to our asset base. Exploration success at Candelaria has identified a new surface deposit close to the mill called Espa�ola, amenable to open pit mining. Infill and step out drilling and mine planning is underway. Subject to exploitation economics and permitting, the target is to bring Espa�ola ore into the mill to further improve the Candelaria production profile in the next few years.

The Candelaria underground total Mineral Reserve estimate is now ten times the size of that at acquisition, allowing us to extend underground mine lives and to further enhance medium and long-term copper output.

Zinkgruvan exploration success is highlighted by significant expansion of the Dalby deposit Inferred Mineral Resource estimate. Eagle East and Eagle regional drilling is advancing, and we are increasing our exploration efforts at Neves-Corvo targeting potential expansion of the copper and zinc Mineral Resource base."

2018 Mineral Reserves and Resources Highlights

Total estimated Candelaria Measured and Indicated Mineral Resources have increased by approximately 29% to 952.5 Mt at 0.65% Cu (from 740.9 Mt at 0.70% Cu reported as of June 30, 2017). This increase reflects the continued success of the exploration campaigns both in the underground mines and at the newly discovered Espa�ola surface deposit, which contains an estimated Measured and Indicated Mineral Resource of 51.4 MT at 0.41% Cu.

Total estimated Candelaria Proven and Probable Mineral Reserves have increased by approximately 27% to 634.0 Mt at 0.53% Cu (from 497.5 Mt at 0.56% Cu reported as of June 30, 2017).

Total Estimated open pit Proven and Probable Mineral Reserves, excluding stockpiles, have increased by approximately 21% to 383.7 Mt at 0.49% Cu (from 315.9 Mt at 0.53% Cu reported as of June 30, 2017) reflecting additional drill information, revised pushback plans and lower cut off grades, offset by 12 months of depletion by mining.

Maiden Proven and Probable Mineral Reserves of 31.7 MT at 0.42% Cu have been estimated on the Espa�ola deposit. This deposit, which has been recently discovered is located approximately 3.3 km south west of the Candelaria primary crusher, with a relatively short downhill haul to the mill. It is amenable to open pit mining methods from a new open pit that measures approximately 900 m by 600 m and has an overall strip ratio of 2.6. It is anticipated that, subject to permitting and economic evaluation, waste stripping on Espa�ola is targeted to commence in 2022 and first ore forecast to be delivered to the plant in 2024.
Total estimated Candelaria Underground Proven and Probable Mineral Reserves now stand at 134.0 Mt at 0.85% Cu. This is a further significant increase of approximately 50% or 44.7 Mt over last year estimate reflecting continued exploration success in all the underground mines and particularly in the Candelaria North Sector.

Cut off grades for both Mineral Resource and Mineral Reserve estimates at Candelaria have been lowered from those used last year as a result of improved operational efficiencies and significantly lower contracted future energy costs. Resulting operating cost reductions have had a positive impact on both estimates. Please see the "Notes on Mineral Resource and Reserve Table" in this news release.

The total combined estimated Eagle and Eagle East Proven and Probable Mineral Reserves now stand at 4.1 Mt at 2.6% Ni and 2.3% Cu with the reduction from June 2017 due to mining depletion offset by minor infill drilling discovery. The Eagle East Probable Mineral Reserve estimate remains unchanged from that reported in April 2017 at 1.5 Mt at 3.7% Ni and 3.0% Cu.

Both total estimated copper and zinc Measured and Indicated Mineral Resources at Neves-Corvo are broadly in line to those reported as of June 2017 and stand at 62.0 Mt at 2.4% Cu and 103.5 Mt at 6.0% Zn respectively.

Copper Proven and Probable Mineral Reserve estimates at Neves-Corvo increased to 30.3 Mt at 2.3% Cu from last year's 29.1 Mt at 2.4% Cu despite mining depletion. Zinc Proven and Probable Mineral Reserve estimates have remained unchanged from last year at 30.4 Mt at 7.7% Zn with infill drilling offsetting mining depletion.

At Zinkgruvan, drilling in the new Dalby area has increased total estimated zinc Inferred Mineral Resources to 16.3 MT at 7.4% Zn and 3.3% Pb, and further exploration and infill drilling from surface and underground will continue on Dalby during the remainder of 2018 and throughout 2019. Deposit mineralization is open in several directions and conceptual feasibility work has commenced.

Zinkgruvan estimated zinc Proven and Probable Mineral Reserves have decreased to 10.3 Mt at 7.9% Zn and 2.9% Pb and estimated copper Proven and Probable Mineral Reserves to 3.2 Mt at 1.9% Cu.
The table attached to this news release summarizes the Mineral Reserve and Mineral Resource estimates for each of the Company's mines as of June 30, 2018.

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% equity stake in the Freeport Cobalt Oy business, which includes a cobalt refinery located in Kokkola, Finland.

This is information that Lundin Mining Corporation is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact persons set out below on September 6, 2018 at 5:30 p.m. Eastern Time.