On July 13, 2023, Lundin Mining Corporation completed the acquisition of 51 percent of the issued and outstanding equity of SCM Minera Lumina Copper Chile, which owns the Caserones copper-molybdenum mine in Chile, from JX Metals Corporation and certain of its subsidiaries. Lundin Mining paid an aggregate of approximately US$800 million in cash consideration at closing. The remaining deferred cash consideration of US$150 million will be payable in installments over the six‑year period following the closing date. Lundin Mining also has the right to acquire up to an additional 19 percent interest in SCM Minera Lumina Copper for US$350 million over a five-year period commencing on the first anniversary of the date of closing.
During the acquisition, Lundin Mining also obtained commitments for a three-year term loan in a principal amount of US$800 million, with an additional US$400 million accordion available upon receipt of additional binding commitments and Lundin Mining acquiring an additional 19 percent interest in SCM Minera Lumina Copper Chile and satisfaction of relevant conditions precedent. The term loan closed on July 27, 2023. Lundin Mining has used the term loan to refinance the drawdown under its existing US$1.75 billion revolving credit facility used to fund the upfront cash consideration for the acquisition of 51 percent of the issued and outstanding equity of SCM Minera Lumina Copper.
Lundin Mining Corporation is represented internally by Andrew Hastings (Senior Vice President and General Counsel).
Cassels Brock & Blackwell LLP acted as external Canadian counsel to Lundin Mining Corporation.
Paul, Weiss, Rifkind, Wharton & Garrison LLP acted as US counsel to Lundin Mining Corporation in connection with the acquisition.
Bofill Mir Abogados acted as Chilean counsel to Lundin Mining Corporation.
Skadden, Arps, Slate, Meagher & Flom LLP acted as US counsel to JX Nippon Mining & Metals Corporation.
Barros & Errázuriz acted as Chilean counsel to JX Nippon Mining & Metals Corporation.
Fasken Martineau DuMoulin LLP acted as Canadian counsel to the lenders on the term loan.