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BHP Group BHP recently announced that the South Australian government initiated an assessment of its planned Smelter and Refinery expansion (SRE) at Olympic Dam.

The SRE plan will be carried out in two phases and is expected to take BHP’s copper production in South Australia from 322,000 tons in fiscal 2024 to more than 500,000 tons by early 2030’s. The figure is expected to reach 650,000 tons in the mid-2030’s.

BHP’s Efforts to Grow Copper South Australia

Following the acquisition of OZL in May 2023, BHP established the Copper South Australia province. The deal added Prominent Hill (a high-quality copper-gold mine) and Carrapateena (an iron-oxide-copper–gold underground mine) to its portfolio. Both mines are located in the highly lucrative Gawler Craton in South Australia and are close to BHP’s Olympic Dam and Oak Dam development project.

The recent development marks an important step for BHP and the South Australian government as they work together to significantly increase copper production in the state. A final investment decision on phase one of the SRE plan is currently scheduled for the first half of fiscal 2027. The SRE plan is expected to unlock around $1.5 billion of synergies, including $0.6 billion already captured via integration

The SRE plan is supported by the recent exploration success at OD Deeps where the company has identified intercepts indicating grades greater than 1% copper as well as solid prospects at Oak Dam.

BHP, in its fiscal 2024 results, declared that Oak Dam’s Inferred Mineral Resource is 1.34 billion tons at 0.66% copper grade and 0.33 grams per ton gold grade.

BHP added that at Prominent Hill, the Wira shaft mine expansion project is in progress with shaft sinking completed around 40%. The hoisting shaft system is expected to extend the mine life to at least 2036.

At Carrapateena, BHP is investing in processing plant capacity to boost throughput from the sub-level cave to 7 Mtpa. The Block Cave Expansion project, which is currently underway, is expected to extend the mine life beyond the existing sub-level cave and increase throughput at Carrapateena up to 12 Mtpa.

BHP’s Strategies to Boost Copper Portfolio

BHP’s copper output rose 9% year over year to 1,865 kt in fiscal 2024, the highest in 15 years. It was attributed to improved production at Spence and Carrapateena and the highest production in four years at Escondida.

The company’s copper production in the fiscal 2022-2024 period has outscored competitors.

BHP expects copper production for fiscal 2025 to be in the range of 1,845-2,045 kt. The midpoint of the range indicates year-over-year growth of 4%.

BHP and other miners are now focusing on increasing their exposure to future-facing commodities, such as copper and nickel, which are key components for the green energy transition. It plans to allocate around 65% of its medium-term capital to future-facing commodities.

In July 2024, BHP strengthened its copper resource position and early-stage options by agreeing to acquire a 50% interest in the promising Filo del Sol and Josemaria copper projects in Argentina.

Besides South Australia, BHP has a pipeline of copper projects under development in Chile as well. These include expanding the of Laguna Seca concentrators, improving throughput and increasing recovery at Spence and exploring potential leaching options at Escondida and Pampa Norte. BHP is also planning a new concentrator at Escondida. Final investment decisions are planned from fiscal 2026 to 2029.

BHP also has a 45% interest in the Resolution Copper Project in the United States, one of the largest undeveloped copper projects in the world. It has the potential to become a significant copper producer in North America.

BHP Stock’s Price Performance

BHP’s shares have lost 5.3% in a year compared with the industry’s 6.2% decline.

Zacks Investment Research

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BHP’s Zacks Rank & Key Picks

BHP Group currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the basic materials space are Carpenter Technology Corporation CRS, IAMGOLD Corporation IAG and Eldorado Gold Corporation EGO. CRS, IAG and EGO sport a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Carpenter Technology’s fiscal 2025 earnings is pegged at $6.06 per share. The consensus estimate for earnings has moved 17% north in the past 60 days. It has an average trailing four-quarter earnings surprise of 15.9%. CRS’ shares have gained 125% in the past year.

The consensus estimate for IAMGOLD’s 2024 earnings is pegged at 39 cents per share. The consensus estimate for earnings has moved 44% north in the past 60 days. It has an average trailing four-quarter earnings surprise of 200%. IAG’s shares have gained 103% in a year.

The Zacks Consensus Estimate for Eldorado Gold’s 2024 earnings is pegged at $1.32 per share. The consensus estimate for earnings has moved 22% north in the past 60 days. It has an average trailing four-quarter earnings surprise of 430%. EGO’s shares have gained 37% in a year.

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Zacks Investment Research

(Bloomberg) — Iron ore dropped to a two-week low after losing its hold above $100 a ton, as China’s steel market shows few signs of a revival.

Most Read from Bloomberg

Futures in Singapore fell as much as 2.7% on Tuesday, adding to Monday’s 4.2% slump — the biggest daily drop in three months. Disappointing Chinese manufacturing and property data has bolstered bears who see little chance of a meaningful recovery in demand.

There’s limited upside for steel in China and the environment for iron ore prices is “challenging,” Goldman Sachs Group Inc. said in an emailed note that took a cautious tone on prospects for commodities demand in the nation.

The steelmaking material climbed above $100 a ton last week, but slumped back to two digits on Monday after the underwhelming Chinese data. Port stockpiles of iron ore are back above 150 million tons, a relatively large volume that will keep pressure on prices.

Futures in Singapore were trading at $94.70 a ton as of 1:04 p.m. local time. That’s only about $3 above their lowest point during the August selloff, when concerns about China’s steel sector intensified. Miners including BHP Group Ltd. have said they see iron ore getting support below $100, a level that puts pressure on high-cost producers.

Most Read from Bloomberg Businessweek

BHP Group Limited

TORONTO, Sept. 03, 2024 (GLOBE NEWSWIRE) — BHP Xplor, the six-month accelerator program aimed at revolutionizing critical mineral exploration, has officially opened applications for the 2025 cohort.

Following the success of the 2023 and 2024 cohorts, BHP Xplor is excited to invite early-stage explorers to join its next chapter. Once again, the program is seeking visionary teams focused on uncovering new sources of critical minerals crucial for a sustainable future.

The BHP Xplor program is designed to accelerate participants' exploration opportunities while fostering long-term relationships with BHP. Participants will benefit from up to $500K equity-free funding, expert mentorship, and invaluable connections within BHP’s extensive network of suppliers and service providers.

Since inception BHP has entered partnerships with three of program’s alumni. The partnerships strive to be industry-leading in how they are structured to foster collaboration and the opportunity for mutual value creation between a major and junior explorer.

BHP Xplor and Exploration Vice President, Sonia Scarselli, said: “Xplor in 2024 was an unforgettable journey filled with growth, innovation, and discovery. The program applications doubled from 2023 to 2024, and we are excited to see who will come forward for our 2025 program. The increased demand for critical metals presents a unique opportunity for junior explorers, but success requires strong two-way partnerships built on trust. Xplor is a boldly different way of thinking, it’s about shared vision. We believe this approach will help us to be better as an exploration industry and expedite the discovery of critical minerals required for a greener future.”

Additionally, the 2025 cohort will join our BHP Xplor alumni community to continue sharing insights and learnings on their journey.

2024 BHP Xplor Alumni and CEO & Director of East Star Resources, Alex Walker, said: “The toolkit that we have brought to East Star from BHP Xplor has elevated us in terms of professionalism. Having someone who feels like they are absolutely in your corner has been amazing. Since Xplor, we’re expanding, we’ve built a bigger team, and we have bigger targets. We expect that this will result in a better outcome for all stakeholders.”

Selected participants will receive up to USD $500,000 in equity-free cash from BHP, along with access to a network of industry experts to support technical, business, and operational development.

For BHP, this initiative presents an opportunity to tap into a diverse pipeline of exploration projects across new geographies and new geological concepts, enhancing our global portfolio and shaping future growth.

Applications for the BHP Xplor 2025 cohort are open from September 2, 2024, to October 9, 2024.

For the latest program updates and to apply visit, visit bhp.com/Xplor.

CONTACT: Media inquiries should be directed to Josie Brophy via email at Josephine.brophy@bhp.com

We recently published a list of 10 Best Australian Stocks To Buy According to Hedge Funds. In this article, we are going to take a look at where BHP Group (NYSE:BHP) stands against the other Australian stocks.

A Look at Australia’s Economic Performance in 2024

According to a report by KPMG, the global economy has shown remarkable resilience during monetary policy tightening and ongoing geopolitical tensions. In contrast, the Australian economy was close to entering a recession in 2024, with a mere 0.1% growth in the first quarter. Over the past year, the economy grew by only 1.1%. Household consumption increased by 0.4% during Q1, slightly better than Q4 of 2023. However, labor productivity, measured as GDP per hour worked, remained stagnant as the growth in hours worked matched GDP growth. The mining sector plays a crucial role in the economy of Australia making up 14.3% of the industry’s output, while finance contributes 7.4%, and manufacturing and construction add 7.1% and 5.7%, respectively. Australia’s export market is primarily driven by its mining resources, with China being the largest destination, accounting for 32.4% of exports, followed by Japan at 13.1%.

The March 2024 survey of private capital expenditure reveals strong actual investments in the first nine months of FY24, along with positive momentum for the remainder of the financial year and into FY25. Private new capital expenditure rose by 1% in the March quarter of 2024. Business investment in non-mining industries grew by 3.3%, partially offsetting a 4.7% decline in mining capital expenditure. This quarterly growth marks a slowdown from the robust levels seen in late 2022 and early 2023. The transport, postal, and warehousing sectors experienced the strongest growth, driven by increased vehicle investments and ongoing spending on large infrastructure projects. Similarly, capital expenditure on equipment and machinery in the information media and telecommunications sector rose significantly due to continued investment in data centers. However, the weakening demand for consumer goods and services impacted the retail sector and its upstream industries.

Australian Equities vs. U.S. Stocks

Chris Leithner, joint managing director at Leithner & Co. investment company, is bullish on Australian equities and expects the market to outperform the S&P 500’s returns in coming years. According to him, over the past decade and more, the total returns of the All Ordinaries and ASX 200 indexes, have underperformed the S&P 500 Index. Some analysts, such as Roger Montgomery, attribute this underperformance to Australian companies’ overly generous dividend payments, inadequate earnings retention, and restricted capital expenditure. However, Leithner disagrees and says that a significant factor of this underperformance is the difference in earnings growth between the two markets. American stocks have benefited from substantial earnings growth, partly driven by debt-financed share buybacks, leading to higher debt-to-equity and CAPE ratios. In contrast, Australian equities have experienced a decline in CPI-adjusted earnings per share (EPS), as share buybacks have not played the same role. As a result, Australian companies are more conservatively financed and offer superior medium and long-term prospects. This analysis suggests that while American equities have generated significant rewards since the Global Financial Crisis (GFC), they also pose considerable risks at current prices. Conversely, Australian equities, despite their recent underperformance, are better positioned for future growth due to their robust financial foundation and conservative pricing.

Share buybacks have dramatically increased over the years, with S&P 500 companies repurchasing a staggering $825 billion worth of stock in the 12 months leading up to January 2024. This is part of a broader trend that has seen buybacks rise from an average of around $200 billion per year in the early 1990s to over $1 trillion per year before the COVID-19 pandemic. While buybacks can boost earnings per share (EPS) by reducing the number of shares outstanding, they also artificially inflate the growth of earnings. For instance, a company that repurchases shares can show a much higher EPS growth rate than its net profit after tax growth rate. While this inflation of earnings through buybacks is significant, research suggests that buybacks have contributed between 30-40% of the long-term EPS growth of the S&P 500, with some estimates as high as 71%. The cumulative effect of these repurchases is immense, with S&P 500 companies buying back a CPI-adjusted total of $17.7 trillion worth of shares since 1990, an amount equivalent to nearly 45% of the current U.S. GDP.

The leverage used to finance these buybacks is also noteworthy. In contrast to Australian companies, which have a relatively low debt-to-equity ratio and conduct minimal buybacks, U.S. companies have significantly increased their leverage over the past two decades, with the debt-to-equity ratio surpassing above 80% in recent years. This increased leverage, coupled with the substantial buybacks, has led to a higher cyclically adjusted price-to-earnings (CAPE) ratio for the S&P 500 compared to the All Ordinaries Index in Australia. As a result, while the S&P 500 has outperformed the All Ords in recent years, the high CAPE ratio suggests that future returns for the S&P 500 may be lower, while the Australian shares may offer better medium- to long-term prospects.

According to IG’s biannual Client Sentiment Survey, Australian traders are bullish towards the S&P/ASX 200, with 65% expecting a rise in the next six months. Despite this confidence, there is a noticeable shift towards international markets, particularly in the United States, where many traders believe the Nasdaq will outperform the ASX 200. Australian traders have nearly doubled their focus on US markets over the past six months. International markets provide exposure to a broader range of industries, especially in technology and growth stocks, and offer opportunities for risk management and enhanced returns. Australia’s market lacks diversity, by fostering innovation and supporting emerging industries the market could attract more local investment.

While the global economy demonstrates resilience, Australia’s economic performance in 2024 has been less robust. The mining sector continues to be a key driver, alongside finance and infrastructure investments, but the broader economy faces challenges, particularly in retail and upstream industries. However, the outlook for the remainder of FY24 and into FY25 remains cautiously optimistic, with private capital expenditure showing some positive momentum. With that in context, let’s take a look at the 10 best Australian stocks to buy according to hedge funds.

Why do we care about what hedge funds do? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

Is BHP Group (BHP) The Best Australian Stock To Buy According to Hedge Funds?

An aerial view of a mining operation in action, with large trucks and yellow diggers.

BHP Group (NYSE:BHP)

Number of Hedge Fund Holders: 22

Market Capitalization as of August 30: $139.76 Billion

BHP Group (NYSE:BHP) is a multinational mining, metals, and petroleum company. It is one of the world’s largest resource companies, with operations spanning various sectors, including iron ore, copper, coal, and oil.

Despite subdued iron ore prices and rising costs, BHP Group (NYSE:BHP) has maintained solid production performance. For the year ended 30 June, BHP Group (NYSE:BHP) achieved several production records, including record copper output at the Spence mine and strong iron ore production. The company’s copper production increased 9% year over year with an EBITDA margin of 51% and Iron ore production totaled 259.7 Mt. The company’s potash projects are also progressing well, with Jansen Stage 1 ahead of schedule at 52% completion and Jansen Stage 2 just beginning at 2% completion. For the year 2025, BHP Group (NYSE:BHP) expects a further 4% increase in copper production.

On August 30, BHP Group (NYSE:BHP) announced its plan to expand its smelter and refinery operations at Olympic Dam in South Australia. The South Australian Government has initiated an application and assessment process for this expansion. BHP Group (NYSE:BHP) aims to increase its copper production in South Australia from approximately 322,000 tonnes last financial year to 500,000 tonnes of refined copper cathode by the early 2030s, with potential growth to 650,000 tonnes by the mid-2030s. Additionally, BHP Group (NYSE:BHP) has announced an Inferred Mineral Resource at Oak Dam of 1.34 billion tonnes at 0.66% copper grade and 0.33 grams per tonne gold grade, within which is an area that contains 220 million tonnes at 1.96% copper grade and 0.68 grams per tonne gold.

The company’s diversified commodity portfolio provides a balanced exposure to different markets and reduces reliance on any single commodity. Copper, which contributed significantly to the company’s EBITDA, continues to show potential for more growth. According to a report by the World Bank, copper prices are forecasted to increase by 4% next year. According to Forbes, the demand for Copper is forecasted to increase by 75% by 2050. BHP Group’s (NYSE:BHP) strategic initiatives, market positioning, and growth in copper production support its long-term growth prospects.

In the second quarter, BHP Group’s (NYSE:BHP) stock was held by 22 hedge funds with stakes worth $1.25 billion. Fisher Asset Management is the largest shareholder in the company with a stake worth $1.21 billion as of June 30. Industry analysts have a consensus on the stock’s Buy rating, setting an average share price target at $61.38, which represents a 10.7% upside potential from its current level.

Overall BHP ranks 4th on our list of the best Australian stocks to buy according to hedge funds. While we acknowledge the potential of BHP as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than BHP but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

Disclosure. None. This article is originally published at Insider Monkey.

Brisbane, Queensland, Australia–(Newsfile Corp. – September 3, 2024) – Graphene Manufacturing Group Limited (TSXV: GMG) ("GMG" or the "Company") is pleased to announce this business update on its recently commissioned Modular Graphene Production Plant at Richlands, Australia.

Figure 1: Graphene Production Plant Project Team

To view an enhanced version of this graphic, please visit:https://images.newsfilecorp.com/files/8082/221932_ac9be57c04a1b96c_001full.jpg

The newly commissioned Graphene Production Plant as seen in Figure 1 has been operating and producing Graphene since its commissioning date in December 2023.

The performance of the production unit has exceeded the Company's expectations in both graphene production rate and graphene quality. The Company continues to perform minor optimisations with this new production plant which have both increased production yield and quality of the graphene.

The Company has also authorised a total of AU$250k of capital expenditure for new equipment for quality assurance and quality control purposes of the Company's graphene for its Graphene Aluminium Ion Battery and its liquid graphene products, THERMAL-XR® and G® Lubricant. The equipment being procured by the Company includes: a Raman Spectrometer and a Particle Size Analyzer amongst others. These are sophisticated analytical and characterisation laboratory equipment which will be operated by GMG scientists and technicians. To date the Company has been fortunate to work with various Universities to obtain this analysis. Once the equipment is procured, delivered, commissioned and operational the Company will largely be self-sufficient on testing of its nano materials.

GMG's Managing Director and CEO, Craig Nicol, commented: "We are very excited to see the new modular plant exceed expectations in terms of graphene production and quality. The expansion of our graphene characterisation equipment will also reduce learning loop times for optimisation projects where we no longer have to wait for University equipment access. The graphene production system uses GMG's self developed innovative plasma technology which creates the high quality graphene GMG's end products need to deliver their notable benefits."

GMG's Chairman and Director, Jack Perkowski, commented: "It is great to see the Company's production technology maturing to this point as this is GMG's fundamental core competency. Ongoing graphene production and characterisation developments will only support the Company's ability to develop and provide its useful liquid graphene products and Graphene Aluminium Ion Battery."

About GMG www.graphenemg.com

GMG is a clean-technology company which seeks to offer energy saving and energy storage solutions, enabled by graphene, including that manufactured in-house via a proprietary production process.

GMG has developed a proprietary production process to decompose natural gas (i.e. methane) into its elements, carbon (as graphene), hydrogen and some residual hydrocarbon gases. This process produces high quality, low cost, scalable, 'tuneable' and low/no contaminant graphene suitable for use in clean-technology and other applications. The Company's present focus is to de-risk and develop commercial scale-up capabilities, and secure market applications.

In the energy savings segment, GMG has focused on graphene enhanced heating, ventilation and air conditioning ("HVAC-R") coating (or energy-saving paint), lubricants and fluids. In the energy storage segment, GMG and the University of Queensland are working collaboratively with financial support from the Australian Government to progress R&D and commercialization of G+AI Batteries.

For further information please contact:

Craig Nicol, Chief Executive Officer & Managing Director of the Company at craig.nicol@graphenemg.com, +61 415 445 223
Leo Karabelas at Focus Communications Investor Relations, leo@fcir.ca, +1 647 689 6041

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accept responsibility for the adequacy or accuracy of this news release.

Cautionary Note Regarding Forward-Looking Statements

This news release includes certain statements and information that may constitute forward-looking information within the meaning of applicable Canadian securities laws. Forward-looking statements relate to future events or future performance and reflect the expectations or beliefs of management of the Company regarding future events. Generally, forward-looking statements and information can be identified by the use of forward-looking terminology such as "intends", "expects" or "anticipates", or variations of such words and phrases or statements that certain actions, events or results "may", "could", "should", "would" or will "potentially" or "likely" occur. This information and these statements, referred to herein as "forward‐looking statements", are not historical facts, are made as of the date of this news release and include without limitation: statements relating to the type of equipment being procured by the Company and the operators of such equipment; and the expected benefits of the analytical and characterisation laboratory equipment.

Such forward-looking statements are based on a number of assumptions of management, including, without limitation: assumptions relating to the type of equipment that will be procured by the Company; that the equipment will be operated by the Company's scientists and technicians; that once the equipment is procured the Company will be able to perform its own testing of nano materials; that the expansion of GMG's characterisation equipment will reduce learning loop times for optimisation projects as the Company will no longer have to wait for University equipment access; and that ongoing graphene production and characterisation developments will support the Company's ability to develop and provide its products.

Additionally, forward-looking information involves a variety of known and unknown risks, uncertainties and other factors which may cause the actual plans, intentions, activities, results, performance or achievements of GMG to be materially different from any future plans, intentions, activities, results, performance or achievements expressed or implied by such forward-looking statements. Such risks include, without limitation: that the Company will be unable to procure the expected equipment; that the Company's scientists and technicians will be unable to operate the new equipment; that even if the expected equipment is procured, that Company will not become self-sufficient in testing its own nano materials; that the expansion of the Company's graphene characterisation equipment will not reduce learning loop times for optimisation projects; that ongoing graphene production and characterisation developments will not support the Company's ability to develop and provide its products; risks relating to the extent and duration of the conflict in Eastern Europe and its impact on global markets; the volatility of global capital markets; political instability; the failure of the Company to obtain regulatory approvals, attract and retain skilled personnel; unexpected development and production challenges; unanticipated costs; and the risk factors set out under the heading "Risk Factors" in the Company's annual information form dated October 12, 2023 available for review on the Company's profile at www.sedarplus.ca.

Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that reliance on such information may not be appropriate for other purposes. The Company does not undertake to update any forward-looking statement, forward-looking information or financial out-look that are incorporated by reference herein, except in accordance with applicable securities laws. We seek safe harbor.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/221932

Goldman ended its longstanding recommendation to buy copper.

Goliath Resources Limited

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Surebet Drill Highlights:

Drill hole GD-24-260 has the highest concentration of Visible Gold drilled to date at the Surebet Discovery. This intercept suggests this structure is a principal conduit for gold-depositing fluids and is likely close to the heat engine driving this system that remains open (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/1f4beb71-875e-4345-854e-1542d0ad624b
Drill hole GD-24-260 intercepted the Bonanza Zone between 533.90 – 547.00 meters (over 13.10 meters) and remains open which includes the highest concentration of visible gold to date with a vein-hosted band of semi-massive pyrrhotite that looks similar to GD-23-197 that assayed 34.03 g.t AuEq (1.09 oz/t AuEq) over 9 meters (~true with) (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/b05dbcd0-0f76-4c71-a2c9-5058ca4b2548

New Deep Zone discovered at 1,239 meters below surface containing multiple quartz veins with chalcopyrite, galena and sphalerite demonstrating the tremendous additional untapped discovery potential of the Surebet system that remains wide open (assays pending). Drilling of the new Deep Zone is ongoing (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/f49a528e-2d46-405e-9cfe-10bb42cc8d76

The deepest downhole mineralized interval intercepted to date is from the new Deep Zone at a depth of 890 meters downhole (1.239 kilometers below the surface) and consists of a 1.75-meter interval from 890.90 – 892.65 meters with quartz veins containing significant amounts of chalcopyrite, galena and sphalerite and remains wide open.
Based on 100 % hit rate as well as all the visible gold seen in 66% holes (22 out of 33 holes) drilled to date in 2024, Goliath has expanded the program from 15,000 to up to 36,000 meters with 8 drill rigs currently operating (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/1d7cc305-ceee-489f-a966-c8e286509550

Bonanza Zone continuity of the thick high-grade gold horizon being drill tested with 21 new holes where GD-24-197 returned 34.03 g/t AuEq (1.09 oz/t AuEq) over 9 meters (~true width) and GD-24-235 returning 35.04 g/t AuEq (1.13 oz/t AuEq) over 5.25 meters (~true width).
Significant amounts of Visible Gold have been identified in multiple veins hosted in intermediate porphyritic dykes in drill holes GD-24-237 and GD-24-240. Investigation of the mineralization in the dykes is ongoing (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/58fad56f-081d-4781-a4fb-a2e940825878

The new Blue Origin discovery comprises a series of veins up to 20 cm wide containing bismuth minerals, molybdenite and chalcopyrite, hosted in a felsic intrusion located 4 kilometers to the south of the Surebet discovery. This intrusion could be spatially related to Surebet as an uplifted part of the potential feeder source below the 1.8 km2 area that remains open (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/89930104-011a-477f-8973-01104df3b54a

Based on the newly discovered Visible Gold, bismuth minerals, molybdenite and chalcopyrite in the felsic to intermediate porphyritic dykes on Surebet as well as in the intrusions surrounding Surebet (i.e. Blue Origin) that strongly resemble a Reduced Intrusion-Related Gold system (RIRG), the Company has increased its 100 % controlled land package from 66,000 ha to 91,518 ha (28 % increase) to include open ground amenable to this type of mineralization (see map below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/189ef63d-b3b2-43a1-b171-7017b3e4cd01
Currently the 100 % controlled Golddigger property encompasses 56 km of the Red Line in world class geologic terrane. This geologic contact between Triassic age Stuhini rocks and Jurassic age Hazelton rocks is used as key marker when exploring for gold-copper-silver mineralization in the Golden Triangle.
With only two months of drilling in the 2024 season Goliath Resources has already quadrupled the known depth extent of mineralization from 300 meters to over 1.2 km beneath the surface and remains wide open. This clearly demonstrates the tremendous discovery potential remaining and proves that we have barely begun to scratch the tip of the iceberg.
Deep drilling is ongoing, focussed on discovery, including tapping into the feeder source of this extensive new high-grade gold system covering an area of over 1.8 km2 and remains open.
Additional drilling will target the Jackpot surface outcrop showing from a quartz-sulphide vein with 500 meters of strike that assayed 21.5 oz AuEq or 667.40 gpt AuEq (636.00 gpt Au, 1,690.00 gpt Ag, 7.96 % Cu, 2.22 % Pb) on located 1 km southeast of Surebet and believed to be associated with the same mineralizing system as Surebet (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/9bf7888e-1c37-40e5-9d3d-8949a5062096

Treasure Island Highlights:

Extensive high-grade quartz-sulphide mineralization on the original Treasure Island discovery with channel samples that assayed up to 28.08 gpt AuEq and grab samples that assayed up to 11.08 gpt AuEq has been traced in drill holes for 450 meters of strike that remains open in all directions with 2,938 meters drilled from 4 pads (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/80e41842-f9db-4804-8be2-2f83406d074e
The mineralized intervals average 29.99 meters wide and on average include 6.79 meters of moderate, semi-massive and massive sulphide mineralization in quartz-sulphide breccia over 450 meters of strike extent that remains open (see table below).

		Treasure IslandMineralized Intervals			Including moderate,semi-massive andmassive sulphide
Hole ID	Pad ID	From	To	Interval	From	To	Interval
TI-24-01	Pad 1	376.64	415.29	38.65	376.64	386.44	9.80
TI-24-05	Pad 2	23.40	71.75	48.35	23.40	29.60	6.20
TI-24-08	Pad 3	53.00	65.70	12.70	59.30	65.70	6.40
TI-24-12	Pad 4	120.50	140.75	20.25	136.00	140.75	4.75
Average				29.99			6.79

Drill hole TI-24-01 intercepted a 9.8 meter interval of mineralization containing quartz stockwork and breccia hosting massive chalcopyrite (up to 8%) and pyrite (up to 10%) in a zone that remains open (assays pending).
The strong sulphide mineralization encountered in drill hole TI-24-01 is comparable to what was observed in a surface channel cut, which assayed up to 28.08 gpt AuEq (20.60 gpt Au, 63.60 gpt Ag and 5.04 % Cu) over 0.85 meters and confirms the continuity of the system at depth (see image below).
- An accompanying infographic is available at:https://www.globenewswire.com/NewsRoom/AttachmentNg/1968124a-c4f5-426c-b5ee-c64a072c2d8a

Pending assays, future work on Treasure Island will include a geophysical survey to identify the extent and geometry of the mineralized horizons at depth as well as additional drilling in 2025.

TORONTO, Sept. 03, 2024 (GLOBE NEWSWIRE) — Goliath Resources Limited (TSX-V: GOT) (OTCQB: GOTRF) (FSE: B4IF) (the “Company” or “Goliath”) is pleased to report the highest concentration of Visible Gold to date drilled on the Surebet discovery at its 100% controlled Golddigger Property (the “Property”), Golden Triangle, B.C. The intercept from drill hole GD-24-260 intersected the Bonanza Zone between 533.90 – 547.00 meters that remains open which includes the highest concentration of visible gold to date with a vein-hosted band of semi-massive pyrrhotite, sphalerite and minor galena and suggests this structure is a principal conduit for gold-depositing fluids and is likely close to the heat engine driving this system that remains open. In addition, the new Deep Zone discovered at 1,239 meters below surface contains multiple quartz veins with chalcopyrite, galena and sphalerite demonstrating the tremendous additional untapped discovery potential of the Surebet system that remains wide open. Assays are pending.

Dr. Quinton Hennigh, Technical and Geologic Director of strategic shareholder, Crescat Capital, commented: “This is proving to be a summer of discovery at Golddigger. The recently discovered Bonanza Zone has delivered a succession of core intercepts displaying visible gold, the most recent of which, hole GD-24-260, appears to be notably rich in gold particles. This might indicate that the Bonanza structure was a main fluid conduit at the time of gold deposition. Also very encouraging, more veins have been discovered at depth, a very promising sign. The mineralogy of these veins is nearly identical to Surebet and other shallower veins, a clear sign they are of the same origin. Recent intercepts of intrusive dykes displaying quartz veinlets, some with visible gold, provide the first conclusive evidence of an intrusive association with mineralization. This association is further confirmed by the discovery of mineralized veins at Blue Origin just a few km south of Surebet. All of this evidence points to a very large, perhaps reduced intrusion-related gold system at Golddigger.”

Visible Gold has been observed in 22 out of 33 holes (66 % of holes) drilled during the ongoing 2024 drill campaign as well as 100 % hit rate with compelling base metals mineralization observed in all drill holes. As a result of the continued success of the drilling in 2024, the program has been expanded from 15,000 to 36,000 meters with 8 drill rigs currently operating. The continuity of the thick high-grade gold horizon pertaining to the Bonanza Zone is currently being drill tested with 21 new holes in an area where GD-24-197 returned 34.03 g/t AuEq (1.09 oz/t AuEq) over 9 meters (~true width) and GD-24-235 returning 35.04 g/t AuEq (1.13 oz/t AuEq) over 5.25 meters (~true width).

Significant amounts of Visible Gold as well as bismuth mineralization, molybdenite and chalcopyrite have been identified in multiple veins hosted in intermediate porphyritic dykes in drill holes GD-24-237 and GD-24-240. Investigation of the mineralization in the dykes is ongoing. Visible Gold, bismuth mineralization, molybdenite and chalcopyrite mineralization has also been observed on surface on the new Blue Origin discovery located 4 km to the south of Surebet where a series of veins up to 20 cm wide are hosted in a felsic intrusion and display similar characteristics to the dykes observed on Surebet. This intrusion could be spatially related to Surebet as an uplifted part of the potential feeder source below the 1.8 km2 area that remains open. Based on the newly discovered Visible Gold, bismuth mineralization, molybdenite and chalcopyrite mineralization in the felsic to intermediate porphyritic dykes on Surebet as well as in the intrusions surrounding Surebet (i.e. Blue Origin) that strongly resemble a Reduced Intrusion-Related Gold system (RIRG), the Company has increased its 100 % controlled land package from 66,000 ha to 91,518 ha (28 % increase) to include open ground amenable to this type of mineralization.

Table 1: Visible gold identified in drill holes from 2024

Hole ID	Nr of Occurrences	Particle size (mm)	Country Rock	Mineral Association	Spatial Association With Mineralization
GD-24-235	8	0.27-1.30	Andesite	Qtz-Po-Sph-Py-Cpy (+ Gal)	Mineralized interval; Isolated vein
GD-24-237	6	0.23-0.63	Intermediate Intrusive	Qtz-Bi-Mo; Qtz-Po-Sph-Gal-Py	Isolated vein
GD-24-240	2	0.12-0.42	Intermediate Intrusive	Qtz-Cal-Po-Cpy	Isolated vein
GD-24-241	3	0.42-0.49	Andesite	Qtz-Po-Sph (+Gal, +Cpy)	Isolated vein
GD-24-242	6	0.28-0.62	Sandstone/Andesite	Qtz-Sph-Gal-Po (+Cpy)	Mineralized interval; Isolated vein
GD-24-243	2	0.30-0.41	Sandstone/Andesite	Qtz-Gal (+Po)	Isolated vein
GD-24-244	1	0.63	Mudstone	Qtz-Po-Sph-Cpy	Isolated vein
GD-24-245	6		Mudstone/Sandstone/Andesite	Qtz-Po-Sph (+Gal, +Cpy)	Mineralized interval; Isolated vein
GD-24-246	3		Andesite	Qtz-Sph-Py-Po	Mineralized Interval
GD-24-247	8	0.44-1.30	Mudstone/Andesite	Qtz-Sph-Gal-Po (+Cpy)	Mineralized Interval
GD-24-248	4		Mudstone/Andesite	Qtz-Sph-Gal-Po (+Cpy)	Mineralized interval; Isolated vein
GD-24-250	1	0.5	Mudstone	Qtz-Po-Sph-Gal-Py	Mineralized Interval
GD-24-252	7	0.30-0.32	Andesite	Qtz-Py-Po-Sph-Gal (+Cpy)	Mineralized interval; Isolated vein
GD-24-254	11		Andesite	Qtz-Po-Py-Sph-Gal	Isolated vein
GD-24-255	6	0.97-1.76	Andesite	Qtz-Po-Py-Sph-Gal-Cpy	Isolated vein
GD-24-256	6	0.37-1.00	Mudstone/Andesite	Qtz-Sph-Gal-Po-Cpy	Mineralized interval; Isolated vein
GD-24-258	1		Mudstone	Qtz-Po-Sph-Gal	Isolated vein
GD-24-259	1	0.22	Mudstone	Qtz-Po-Sph	Mineralized Interval
GD-24-260	16		Sandstone/Andesite	Qtz-Po-Sph (+Gal); Calc-silicate-Po	Isolated vein
GD-24-262	3		Sandstone	Qtz-Po-Sph-Gal	Isolated vein
GD-24-264	10		Andesite	Qtz-Po-Sph (+Gal)	Mineralized interval; Isolated vein
GD-24-270	1		Sandstone	Qtz-Py-Po-Sph-Gal-Cpy	Isolated vein

With only two months of drilling in the 2024 season Goliath Resources has already quadrupled the known depth extent of mineralization from 300 meters to over 1.2 km beneath the surface and remains wide open. This clearly demonstrates the tremendous discovery potential remaining and proves that we have barely begun to scratch the tip of the iceberg. Deep drilling is ongoing, focussed on discovery, including tapping into the feeder source of this extensive new high-grade gold system covering an area of over 1.6 km2 and remains open. Additional drilling will target a surface outcrop from a quartz-sulphide vein with 500 meters of strike that assayed 21.5 oz AuEq or 667.40 gpt AuEq (636.00 gpt Au, 1,690.00 gpt Ag, 7.96 % Cu, 2.22 % Pb) on the Jackpot showing located 1 km southeast of Surebet.

Treasure Island

Extensive high-grade quartz-sulphide mineralization on the original Treasure Island discovery with channel samples that assayed up to 28.08 gpt AuEq and grab samples that assayed up to 11.08 gpt AuEq has been traced in drill holes for 450 meters of strike that remains open in all directions with 2,938 meters drilled from 4 pads. The mineralized intervals average 29.99 meters wide and on average include 6.79 meters of moderate, semi-massive and massive sulphide mineralization in quartz-sulphide breccia over 450 meters of strike extent that remains open.

Drill hole TI-24-01 intercepted a 9.8 meter interval of mineralization containing quartz stockwork and breccia hosting massive chalcopyrite (up to 8%) and pyrite (up to 10%) in a zone that remains open. The strong sulphide mineralization encountered in drill hole TI-24-01 is comparable to what was observed in a surface channel cut, which assayed up to 28.08 gpt AuEq (20.60 gpt Au, 63.60 gpt Ag and 5.04 % Cu) over 0.85 meters and confirms the continuity of the system at depth.

Pending assays, future work on Treasure Island will include a geophysical survey to identify the extent and geometry of the mineralized horizons at depth as well as additional drilling in 2025.

Golddigger Property

The Golddigger Property is 100% controlled covering an area of 91,518 ha hectares and is in the world class geological setting of the Eskay Rift, within 3 kilometers of the Red Line in the Golden Triangle of British Columbia. This area and proximity have hosted some of Canada’s greatest mines that include Eskay Creek, Premier and Snip. Other significant and well known deposits in the Golden Triangle include Brucejack, Copper Canyon, Galore Creek, Granduc, KSM, Red Chris, and Schaft Creek. Goliath controls 56 kilometers of the Red Line which is a geologic contact between Triassic age Stuhini rocks and Jurassic age Hazelton rocks used as key markers when exploring for gold-copper-silver mineralization.

The Surebet discovery has exceptional continuity and excellent metallurgy with gold recoveries of 92.2% inclusive of 48.8% free gold from gravity alone, at a 327-micrometer crush (no deleterious elements and no cyanide required to recover the gold based on metallurgical work completed to date).

It is in an excellent location in close proximity to the communities of Alice Arm and Kitsault where there is a permitted mill site on private property. It is situated on tide water with direct barge access to Prince Rupert (190 kilometers via the Observatory inlet/Portland inlet). The town of Kitsault is accessible by road (190 kilometers from Terrace, 300 kilometers from Prince Rupert) and has a barge landing, dock, and infrastructure capable of housing at least 300 people, including high-tension power.

Additional infrastructure in the area includes the Dolly Varden Silver Mine Road (only 7 kilometers to the East of the Surebet discovery) with direct road access to Alice Arm barge landing (18 kilometers to the south of the Surebet discovery) and high-tension power (25 kilometers to the east of Surebet discovery). The city of Terrace (population 16,000) provides access to railway, major highways, and airport with supplies (food, fuel, lumber, etc.), while the town of Prince Rupert (population 12,000) is located on the west coast and houses an international container seaport also with direct access to railway and an airport with supplies.

About CASERM (Center To Advance The Science Of Exploration To Reclamation In Mining)

Goliath is a paying member and active supporter of CASERM, an organization that represents a collaborative venture between Colorado School of Mines and Virginia Tech aimed at transforming the way that geoscience data are used in the mineral resource industry. Research focuses on the integration of diverse geoscience data to improve decision making across the mine life cycle, beginning with the exploration for subsurface resources continuing through mine operation as well as closure and environmental remediation. As a CASERM member, the Company requested a study and written report to be performed by Colorado School of Mines analysing Surebet’s origin of mineralization that confirmed in its report, an extensive porphyry feeder source at depth for the high-grade gold mineralising fluids at Surebet.

Qualified Person

Rein Turna P. Geo is the qualified person as defined by National Instrument 43-101, for Goliath Resource Limited projects, and supervised the preparation of, and has reviewed and approved, the technical information in this release. Mr. Turna is also a director of the Company.

About Goliath Resources LimitedGoliath Resources is an explorer of precious metals projects in the prolific Golden Triangle of northwestern British Columbia. All of its projects are in world class geological settings and geopolitical safe jurisdictions amenable to mining in Canada. Goliath is a member and active supporter of CASERM which is an organization that represents a collaborative venture between Colorado School of Mines and Virginia Tech. Goliath’s key strategic cornerstone shareholders include Crescat Capital, Mr. Rob McEwen, Mr. Eric Sprott and a Global Commodity Group based in Singapore.

For more information please contact:

Goliath Resources Limited Mr. Roger Rosmus Founder and CEO Tel: +1.416.488.2887roger@goliathresources.com www.goliathresourcesltd.com

Other

The reader is cautioned that grab samples are spot samples which are typically, but not exclusively, constrained to mineralization. Grab samples are selective in nature and collected to determine the presence or absence of mineralization and are not intended to be representative of the material sampled.

Portable XRF (X-Ray Fluorescence) readings are semi-quantitative measurements and calibrations of the equipment in the field not always allow to compare results to certified reference materials but are used as guideline to augment the understanding of the mineralization observed. These measurements are not intended to be representative of the geochemical composition of the material measured. XRF readings are carried out using a handheld device and could be influenced by external factors.

Oriented HQ-diameter or NQ-diameter diamond drill core from the drill campaign is placed in core boxes by the drill crew contracted by the Company. Core boxes are transported by helicopter to the staging area, and then transported by truck to the core shack. The core is then re-orientated, meterage blocks are checked, meter marks are labelled, Recovery and RQD measurements taken, and primary bedding and secondary structural features including veins, dykes, cleavage, and shears are noted and measured. The core is then described and transcribed in MX DepositTM. Drill holes were planned using Leapfrog GeoTM and QGISTM software and data from the 2017-2022 exploration campaigns. Drill core containing quartz breccia, stockwork, veining and/or sulphide(s), or notable alteration are sampled in lengths of 0.5 to 1.5 meters. Core samples are cut lengthwise in half, one-half remains in the box and the other half is inserted in a clean plastic bag with a sample tag. Standards, blanks and duplicates were added in the sample stream at a rate of 10%.

Grab, channels, chip and talus samples were collected by foot with helicopter assistance. Prospective areas included, but were not limited to, proximity to MINFile locations, placer creek occurrences, regional soil anomalies, and potential gossans based on high-resolution satellite imagery. The rock grab and chip samples were extracted using a rock hammer, or hammer and chisel to expose fresh surfaces and to liberate a sample of anywhere between 0.5 to 5.0 kilograms. All sample sites were flagged with biodegradable flagging tape and marked with the sample number. All sample sites were recorded using hand-held GPS units (accuracy 3-10 meters) and sample ID, easting, northing, elevation, type of sample (outcrop, subcrop, float, talus, chip, grab, etc.) and a description of the rock were recorded on all-weather paper. Samples were then inserted in a clean plastic bag with a sample tag for transport and shipping to the geochemistry lab. QA/QC samples including blanks, standards, and duplicate samples were inserted regularly into the sample sequence at a rate of 10%.

All samples are transported in rice bags sealed with numbered security tags. A transport company takes them from the core shack to the ALS labs facilities in North Vancouver. ALS is either certified to ISO 9001:2008 or accredited to ISO 17025:2005 in all of its locations. At ALS samples were processed, dried, crushed, and pulverized before analysis using the ME-MS61 and Au-SCR21 methods. For the ME-MS61 method, a prepared sample is digested with perchloric, nitric, hydrofluoric, and hydrochloric acids. The residue is topped up with dilute hydrochloric acid and analyzed by inductively coupled plasma atomic emission spectrometry. Overlimits were re-analyzed using the ME-OG62 and Ag-GRA21 methods (gravimetric finish). For Au-SCR21 a large volume of sample is needed (typically 1-3kg). The sample is crushed and screened (usually to -106 micron) to separate coarse gold particles from fine material. After screening, two aliquots of the fine fraction are analysed using the traditional fire assay method. The fine fraction is expected to be reasonably homogenous and well represented by the duplicate analyses. The entire coarse fraction is assayed to determine the contribution of the coarse gold.

Widths are reported in drill core lengths and the true widths are estimated to be 80-90% and AuEq metal values are calculated using: Au 2398.13 USD/oz, Ag 28.118 USD/oz, Cu 4.10 USD/lbs, Pb 2067.5 USD/ton and Zn 2669 USD/ton on July 28th, 2024. There is potential for economic recovery of gold, silver, copper, lead, and zinc from these occurrences based on other mining and exploration projects in the same Golden Triangle Mining Camp where Goliath’s project is located such as the Homestake Ridge Gold Project (Auryn Resources Technical Report, Updated Mineral Resource Estimate and Preliminary Economic Assessment on the Homestake Ridge Gold Project, prepared by Minefill Services Inc. Bothell, Washington, dated May 29, 2020). Here, AuEq values were calculated using 3-year running averages for metal price, and included provisions for metallurgical recoveries, treatment charges, refining costs, and transportation. Recoveries for Gold were 85.5%, Silver at 74.6%, Copper at 74.6% and Lead at 45.3%. It will be assumed that Zinc can be recovered with the Copper at the same recovery rate of 74.6%. The quoted reference of metallurgical recoveries is not from Goliath’s Golddigger Project, Surebet Zone mineralization, and there is no guarantee that such recoveries will ever be achieved, unless detailed metallurgical work such as in a Feasibility Study can be eventually completed on the Golddigger Project.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), nor the OTCQB Venture Market accepts responsibility for the adequacy or accuracy of this release.

Certain statements contained in this press release constitute forward-looking information. These statements relate to future events or future performance. The use of any of the words "could", "intend", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on Goliath’s current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. In particular, this release contains forward-looking information relating to, among other things, the ability of the Company to complete financings and its ability to build value for its shareholders as it develops its mining properties. Various assumptions or factors are typically applied in drawing conclusions or making the forecasts or projections set out in forward-looking information. Those assumptions and factors are based on information currently available to Goliath. Although such statements are based on management's reasonable assumptions, there can be no assurance that the proposed transactions will occur, or that if the proposed transactions do occur, will be completed on the terms described above.

The forward-looking information contained in this release is made as of the date hereof and Goliath is not obligated to update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as required by applicable securities laws. Because of the risks, uncertainties and assumptions contained herein, investors should not place undue reliance on forward-looking information. The foregoing statements expressly qualify any forward-looking information contained herein.

This announcement does not constitute an offer, invitation, or recommendation to subscribe for or purchase any securities and neither this announcement nor anything contained in it shall form the basis of any contract or commitment. In particular, this announcement does not constitute an offer to sell, or a solicitation of an offer to buy, securities in the United States, or in any other jurisdiction in which such an offer would be illegal.The securities referred to herein have not been and will not be will not be registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act”), or any state securities laws and may not be offered or sold within the United States or to or for the account or benefit of a U.S. person (as defined in Regulation S under the U.S. Securities Act) unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES AND DOES NOT CONSTITUTE AN OFFER OF THE SECURITIES DESCRIBED HEREIN

Key Insights

Using the 2 Stage Free Cash Flow to Equity, Lundin Mining fair value estimate is CA$16.48
With CA$13.98 share price, Lundin Mining appears to be trading close to its estimated fair value
The US$17.04 analyst price target for LUN is 3.4% more than our estimate of fair value

Today we will run through one way of estimating the intrinsic value of Lundin Mining Corporation (TSE:LUN) by taking the expected future cash flows and discounting them to their present value. This will be done using the Discounted Cash Flow (DCF) model. There's really not all that much to it, even though it might appear quite complex.

We would caution that there are many ways of valuing a company and, like the DCF, each technique has advantages and disadvantages in certain scenarios. For those who are keen learners of equity analysis, the Simply Wall St analysis model here may be something of interest to you.

View our latest analysis for Lundin Mining

Is Lundin Mining Fairly Valued?

We're using the 2-stage growth model, which simply means we take in account two stages of company's growth. In the initial period the company may have a higher growth rate and the second stage is usually assumed to have a stable growth rate. In the first stage we need to estimate the cash flows to the business over the next ten years. Where possible we use analyst estimates, but when these aren't available we extrapolate the previous free cash flow (FCF) from the last estimate or reported value. We assume companies with shrinking free cash flow will slow their rate of shrinkage, and that companies with growing free cash flow will see their growth rate slow, over this period. We do this to reflect that growth tends to slow more in the early years than it does in later years.

Generally we assume that a dollar today is more valuable than a dollar in the future, and so the sum of these future cash flows is then discounted to today's value:

10-year free cash flow (FCF) estimate

	2025	2026	2027	2028	2029	2030	2031	2032	2033	2034
Levered FCF ($, Millions)	US$363.0m	-US$83.7m	US$547.5m	US$547.6m	US$551.3m	US$557.5m	US$565.5m	US$574.9m	US$585.4m	US$596.7m
Growth Rate Estimate Source	Analyst x7	Analyst x4	Analyst x2	Est @ 0.02%	Est @ 0.67%	Est @ 1.12%	Est @ 1.44%	Est @ 1.66%	Est @ 1.82%	Est @ 1.93%
Present Value ($, Millions) Discounted @ 7.1%	US$339	-US$73.1	US$446	US$417	US$392	US$370	US$351	US$333	US$317	US$301

("Est" = FCF growth rate estimated by Simply Wall St)Present Value of 10-year Cash Flow (PVCF) = US$3.2b

The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. The Gordon Growth formula is used to calculate Terminal Value at a future annual growth rate equal to the 5-year average of the 10-year government bond yield of 2.2%. We discount the terminal cash flows to today's value at a cost of equity of 7.1%.

Terminal Value (TV)= FCF2034 × (1 + g) ÷ (r – g) = US$597m× (1 + 2.2%) ÷ (7.1%– 2.2%) = US$12b

Present Value of Terminal Value (PVTV)= TV / (1 + r)10= US$12b÷ ( 1 + 7.1%)10= US$6.3b

The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is US$9.5b. In the final step we divide the equity value by the number of shares outstanding. Compared to the current share price of CA$14.0, the company appears about fair value at a 15% discount to where the stock price trades currently. Valuations are imprecise instruments though, rather like a telescope – move a few degrees and end up in a different galaxy. Do keep this in mind.

dcfThe Assumptions

The calculation above is very dependent on two assumptions. The first is the discount rate and the other is the cash flows. Part of investing is coming up with your own evaluation of a company's future performance, so try the calculation yourself and check your own assumptions. The DCF also does not consider the possible cyclicality of an industry, or a company's future capital requirements, so it does not give a full picture of a company's potential performance. Given that we are looking at Lundin Mining as potential shareholders, the cost of equity is used as the discount rate, rather than the cost of capital (or weighted average cost of capital, WACC) which accounts for debt. In this calculation we've used 7.1%, which is based on a levered beta of 1.186. Beta is a measure of a stock's volatility, compared to the market as a whole. We get our beta from the industry average beta of globally comparable companies, with an imposed limit between 0.8 and 2.0, which is a reasonable range for a stable business.

SWOT Analysis for Lundin Mining

Strength

Debt is not viewed as a risk.

Weakness

Earnings declined over the past year.

Dividend is low compared to the top 25% of dividend payers in the Metals and Mining market.

Opportunity

Annual earnings are forecast to grow faster than the Canadian market.

Current share price is below our estimate of fair value.

Significant insider buying over the past 3 months.

Threat

Dividends are not covered by earnings.

Annual revenue is forecast to grow slower than the Canadian market.

Next Steps:

Whilst important, the DCF calculation shouldn't be the only metric you look at when researching a company. The DCF model is not a perfect stock valuation tool. Instead the best use for a DCF model is to test certain assumptions and theories to see if they would lead to the company being undervalued or overvalued. If a company grows at a different rate, or if its cost of equity or risk free rate changes sharply, the output can look very different. For Lundin Mining, we've compiled three further factors you should look at:

Risks: Every company has them, and we've spotted 2 warning signs for Lundin Mining you should know about.

Future Earnings: How does LUN's growth rate compare to its peers and the wider market? Dig deeper into the analyst consensus number for the upcoming years by interacting with our free analyst growth expectation chart.

Other Solid Businesses: Low debt, high returns on equity and good past performance are fundamental to a strong business. Why not explore our interactive list of stocks with solid business fundamentals to see if there are other companies you may not have considered!

PS. Simply Wall St updates its DCF calculation for every Canadian stock every day, so if you want to find the intrinsic value of any other stock just search here.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) simplywallst.com.This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

We recently compiled a list of the 10 Best Middle East and Africa Stocks To Buy According to Analysts. In this article, we are going to take a look at where Harmony Gold Mining (NYSE:HMY) stands against the other Middle East and Africa stocks.

MENA's Economic Outlook for 2024 and the Rising Interest in Private Equity and Venture Capital Investments

According to the Middle East and North Africa Economic Update report published by the IMF in April 2024, the Middle East and North Africa (MENA) region will experience modest growth of 2.7% in 2024, up from 1.9% in 2023. Both oil importers and exporters in the region are expected to grow at similar rates in 2024. The forecasted growth difference between the Gulf Cooperation Council (GCC) economies and developing oil importers (excluding Egypt) is nearly 1%. GDP per capita is expected to rise by just 1.3% in 2024, driven almost entirely by the GCC economies. The impact of ongoing conflicts has ceased economic activity, particularly in Palestine. In Gaza, economic activity has nearly dropped by 86% in the fourth quarter of 2023 compared to the same quarter in 2022. The Palestinian economy's outlook remains highly uncertain, heavily dependent on the conflict's progression. The disruptions in maritime transportation, particularly through the Suez Canal, affected both regional and global trade.

Over the past decade, most MENA economies have seen increases in their debt-to-GDP ratios as MENA oil importers struggle to reduce their debt-to-GDP ratios due to high oil prices. Additionally, oil importers have been unable to lower their debt-to-GDP ratios through inflation, mainly due to exchange rate fluctuations and off-budget factors, known as stock-flow adjustments, highlighting the need for greater debt transparency. On the other hand, for MENA oil exporters, periods of high GDP growth are typically associated with smaller increases in nominal debt stocks, leading to a slower rise or even a decrease in the debt-to-GDP ratio.

However, interest in private equity (PE) and venture capital (VC) has been surging in the Middle East and Africa, reflecting a notable shift in investment preferences within the region. According to recent data, provided by Preqin, in collaboration with the Dubai International Financial Centre (DIFC), approximately 65% of investors in the region are either planning to maintain or increase their exposure to private equity this year. Similarly, 56% of investors are keen to do the same with their venture capital investments. This growing interest is partly due to the region's historical under-investment combined with an optimistic outlook on the regional economic and market conditions.

Despite challenges due to geopolitical tensions, venture capital remains a critical component of the investment ecosystem. The sector is expected to recover as it adapts to the current economic conditions. In the Middle East, investor sentiment towards VC and PE is generally positive. A significant portion of regional investors have reported that their PE and VC investments have met or exceeded expectations. Sectors such as fintech, technology, healthcare, and infrastructure are particularly attractive to investors.

The Middle East and North Africa region is poised for a modest economic recovery in 2024, however, geopolitical tensions and conflicts continue to pose significant challenges. As MENA economies navigate through fluctuating global conditions and regional disruptions, the interest of private equity and venture capital investors reveals the region's promising outlook for investors and economic stakeholders.

Our Methodology

For this article, we used Finviz and Yahoo Finance stock screeners plus online rankings to compile an initial list of the 40 largest companies in the Middle East and Africa by market cap. From that list, we narrowed our choices to the 10 stocks that analysts see the most upside to. The list is sorted in ascending order of analysts’ average upside potential, as of August 23. We also included the market cap of the companies as of August 23. The list is sorted in ascending order of their average upside potential as of August 23.

An open pit mine with heavy excavation machinery toiling away against the backdrop of a hidden valley.

Harmony Gold Mining (NYSE:HMY)

Upside Potential: 92.52%

Market Cap: $6.33 Billion

Harmony Gold Mining (NYSE:HMY) is one of the largest gold mining companies in South Africa by production. Almost all of its gold mine assets are located in South Africa, which contributes to 90% of its total gold output. However, the company also has gold and copper assets in Papua New Guinea, and Australia. The company focuses on assets where it believes it can acquire the highest mineral grades to maintain strong operating margins.

Harmony Gold Mining’s (NYSE:HMY) gold production has shown impressive stability over the past three years. At the start of the financial year 2024, the management had projected that its production would remain stable as compared to the previous year. However, the company significantly exceeded expectations, as the gold production increased by 12% year-over-year in the first half of FY24, reaching 832,000 ounces. This remarkable performance was driven by an 11% increase in recovered grades from its underground gold mines. The strong production momentum continued into the third quarter and the management raised its full-year production target to 1.55 million ounces, surpassing the initial expectation of 1.38 million to 1.47 million ounces. In the latest operational update released on August 26, Harmony Gold announced that it will achieve a full-year production volume of 1.56 million ounces, marking a 6% increase year-over-year, with recovered grades also up 6% to 6.11 g/t.

Gold prices reached an all-time high of $2,531.70 per ounce on August 27, driven by strong demand and favorable market conditions. J.P. Morgan Research forecasts that gold will maintain a stable price of $2,500 per ounce by the end of 2024 and rise to $2,600 per ounce in the first half of 2025. Harmony Gold is exceptionally well-positioned to capitalize on the upward trend in gold prices. This leverage, combined with stronger-than-expected production growth from its core underground assets, sets Harmony Gold apart from its competitors.

Harmony Gold Mining (NYSE:HMY) is trading 11.11 times its earnings, which is a 31% discount compared to the sector median of 16.10. The company’s earnings are expected to grow by 68.61% this year. In the second quarter, Harmony Gold Mining’s (NYSE:HMY) stock was held by 17 hedge funds with stakes worth $171.88 million. Kopernik Global Investors is the largest shareholder in the company with a stake worth $26.90 million as of June 30. Industry analysts have a consensus on the stock’s Buy rating, setting an average share price target at $10.30, which represents a 92.52% upside potential from its current level.

Overall HMY ranks 1st on our list of the best Middle East and Africa stocks to buy according to analysts. While we acknowledge the potential of HMY as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than HMY but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

Disclosure: None. This article is originally published at Insider Monkey.

We recently compiled a list of the 18 Best 52-Week Low Stocks to Buy Now According to Short Sellers. In this article, we are going to take a look at where BHP Group Limited (NYSE:BHP) stands against the other 52-week low stocks.

Buying low and selling high is a popular investment strategy that value investors inspired by Warren Buffett have perfected over the years. The legendary investor has consistently emphasized the importance of identifying stocks of undervalued companies with significant growth prospects and holding onto these investments for an extended period.

Some of the most undervalued stocks to buy are those trading near their 52-week lows, backed by solid underlying fundamentals. A lot of these companies have durable competitive advantages but have fallen due to an overreaction by pessimists to short-term headwinds. The companies should boost strong brands in their respective fields with high barriers to entry.

Value investing means paying attention to more than just the stock price but by focusing on valuation. A pullback often creates buying opportunities where quality companies become available at low price-to-earnings multiples or low price-to-sales ratios relative to their industries.

Over the past 20 years, 95% of investment firms have failed to beat the S&P 500. In contrast, Buffett has averaged an annual return of 20%, nearly double the S&P 500 over the same period.

With the S&P 500 up by about 20% for the year, most stocks are trading at premium valuations above their 52-week highs. The impressive gains have come amid unfavorable market conditions, with interest rates near all-time highs of between 5.25% and 5.50%.

On the other hand, some stocks have pulled back significantly and are currently trading close to the 52-week lows, their core business hurt by the high interest rate environment. Additionally, some of the stocks have underperformed due to deteriorating macroeconomics. Concerns that the U.S. economy could plunge into recession have always hurt some of the stock's sentiments. The U.S. Federal Reserve is expected to cut interest rates in September and these stocks might not be near their lows for long.

According to Stuart Keiser, Citi head of equity trading strategy, the high interest rate environment has left the market in a very unstable situation amid a “ tricky environment.” Likewise many investors are on edge as to whether there will be a soft or hard landing. Keiser said, in an interview on CNBC's Fast Money:

“Basically you had a 12 to 18 month period of positive economic surprise of what I would call higher for longer growth strong rate cuts getting pushed out. Markets were able to deal with that because growth was really positive. Since late June economic data surprised negative, economic data momentum negative. The market is now trading instead of higher for longer trading, a bit of growth slowdown. That’s why you are getting this schizophrenia because as growth decelerates you get into a borderline at which the risk becomes really big that you could go hard landing instead of soft landing. So our view is that the risk reward is not what it was a couple of months back”

Amid the market outlook uncertainty, focusing on stocks near the 52-week lows is a sure way of balancing the risk reward amid the premium valuation in play. While the focus has been on artificial intelligence investment plays, stocks in various sectors are trading at discounted valuations and are sure to offer significant returns.

Our Methodology

To compile the list of the best 52-week low stocks to buy now, according to short sellers, we first screened for stocks that were trading near their 52-week lows (0-10% range) using the Finviz stock screener. Next, we looked at their short interest and picked the stocks with the lowest short interest that were the most popular among elite hedge funds. The stocks are ranked in descending order of their short interest.

At Insider Monkey, we are obsessed with the stocks that hedge funds pile into. The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter's strategy selects 14 small-cap and large-cap stocks every quarter and has returned 275% since May 2014, beating its benchmark by 150 percentage points (see more details here).

An aerial view of a mining operation in action, with large trucks and yellow diggers.

BHP Group Limited (NYSE:BHP)

52 Week Range: $51.73 – $69.11

Current Share Price: $55.67

Number of Hedge Fund Holders: 22

Short interest rate: 0.33%

BHP Group Limited (NYSE:BHP) is one of the best 52-week low stocks to buy now according to short sellers for diversifying an investment portfolio into the basic materials sector. While operating as a resources company, it mines copper, silver, zinc, Molybdenum, gold, and iron ore.

The underperformance in recent months has mostly been attributed to the company facing a major setback on its $43 billion planned takeover of Anglo American. BHP Group Limited (NYSE:BHP) had hoped to complete the acquisition to optimize its long-term growth potential with its higher-margin cash-generative assets and growth projects.

Amid the setback, BHP Group Limited (NYSE:BHP) had an impressive six months of the year as its profit came in at $6.6 billion. The company also announced a 72 cents per share dividend of $3.6 billion, translating to a 56% payout.

BHP Group Limited (NYSE:BHP) exhibits a price-to-earnings (P/E) ratio of 10, indicating investors' positive outlook regarding its profit capabilities. Nevertheless, the stock also appears undervalued, going by the average P/E of 25 for the energy sector. Importantly, BHP offers a dividend yield of 5.51%, highlighting its dedication to providing returns to its investors—a practice that has been ongoing for an impressive 45 years. The stock boasts of a low short interest of 0.33%.

At the end of June, 22 hedge funds in Insider Monkey's database owned stakes in BHP Group Limited (NYSE:BHP), down by three over the preceding quarter. Fisher Asset Management remained bullish on the stock, growing its position in the company by 4% in the second quarter of the year to 21.31 million shares.

Overall BHP ranks 3rd on our list of the 52-week low stocks to buy now according to short sellers. While we acknowledge the potential of BHP as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than BHP, check out our report about the cheapest AI stock.

Disclosure: None. This article is originally published at Insider Monkey.

It hasn't been the best quarter for Freeport-McMoRan Inc. (NYSE:FCX) shareholders, since the share price has fallen 16% in that time. But that doesn't change the fact that the returns over the last half decade have been spectacular. To be precise, the stock price is 370% higher than it was five years ago, a wonderful performance by any measure. Arguably, the recent fall is to be expected after such a strong rise. But the real question is whether the business fundamentals can improve over the long term.

So let's assess the underlying fundamentals over the last 5 years and see if they've moved in lock-step with shareholder returns.

Check out our latest analysis for Freeport-McMoRan

While markets are a powerful pricing mechanism, share prices reflect investor sentiment, not just underlying business performance. One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS).

Over half a decade, Freeport-McMoRan managed to grow its earnings per share at 14% a year. This EPS growth is lower than the 36% average annual increase in the share price. So it's fair to assume the market has a higher opinion of the business than it did five years ago. And that's hardly shocking given the track record of growth.

You can see how EPS has changed over time in the image below (click on the chart to see the exact values).

earnings-per-share-growth

Before buying or selling a stock, we always recommend a close examination of historic growth trends, available here.

What About Dividends?

As well as measuring the share price return, investors should also consider the total shareholder return (TSR). The TSR is a return calculation that accounts for the value of cash dividends (assuming that any dividend received was reinvested) and the calculated value of any discounted capital raisings and spin-offs. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. In the case of Freeport-McMoRan, it has a TSR of 398% for the last 5 years. That exceeds its share price return that we previously mentioned. The dividends paid by the company have thusly boosted the total shareholder return.

A Different Perspective

Freeport-McMoRan shareholders are up 8.2% for the year (even including dividends). But that return falls short of the market. If we look back over five years, the returns are even better, coming in at 38% per year for five years. It's quite possible the business continues to execute with prowess, even as the share price gains are slowing. If you would like to research Freeport-McMoRan in more detail then you might want to take a look at whether insiders have been buying or selling shares in the company.

But note: Freeport-McMoRan may not be the best stock to buy. So take a peek at this free list of interesting companies with past earnings growth (and further growth forecast).

Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on American exchanges.

(Reuters) – BHP Group is continuing to push ahead with the expansion of its copper smelter and refinery at Olympic Dam in South Australia, as global miners ramp up their efforts around the key metal for greener energy transition.

The world's largest miner on Friday said the government of South Australia has begun an application and assessment process for the expansion, citing a notification in the South Australian Government Gazette.

BHP is strengthening its efforts in copper expansion, given the commodity's extensive role in the global shift towards greener energy and a subdued outlook for its top revenue generator, iron ore, as leading customer China's economic growth loses pace and supply rises.

"We are already growing BHP's copper production in South Australia with projects and studies underway at all of our operating sites, and we're moving at pace to potentially double our current production by the middle of the next decade," said Anna Wiley, BHP asset president copper for South Australia.

BHP is eyeing to lift its annual output from the region to 500,000 metric tons of cathode by early 2030s, from 322,000 tons produced last financial year. It expects to raise the output to up to 650,000 by the mid-2030s.

BHP will make a final investment decision on the expansion in 2027, it added.

(Reporting by Rishav Chatterjee in Bengaluru; Editing by Rashmi Aich)

(Bloomberg) — BHP Group Ltd. is moving ahead with a major expansion of the Olympic Dam copper smelter and refinery in South Australia, with permit applications now before the state government.

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The world’s biggest miner aims to increase yearly output from 322,000 tons of cathode to 500,000 tons in the early 2030s, according to a statement on Friday, with a possible further boost to 650,000 tons also under consideration. It comes as BHP prepares for increased ore production from the region.

Global miners are ramping up efforts to develop copper resources as the metal is set to play a key role in the energy transition. While BHP cautioned this week that the market is in surplus at present, it expects rising demand to trigger a prolonged worldwide deficit later this decade, potentially boosting prices.

“We are already growing BHP’s copper production in South Australia, with projects and studies underway at all of our operating sites,” said Anna Wiley, asset president for the copper business in the state. “We’re moving at pace to potentially double our current production by the middle of the next decade.”

The project will include a new furnace, according to filings with the government. BHP will make a final investment decision on the expansion in 2027.

Most Read from Bloomberg Businessweek

In the latest market close, Southern Copper (SCCO) reached $101.43, with a +0.57% movement compared to the previous day. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, lost 0.23%.

Shares of the miner have depreciated by 5.39% over the course of the past month, underperforming the Basic Materials sector's loss of 0.05% and the S&P 500's gain of 2.55%.

The investment community will be closely monitoring the performance of Southern Copper in its forthcoming earnings report. The company's earnings per share (EPS) are projected to be $1.06, reflecting a 34.18% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $2.81 billion, up 12.13% from the year-ago period.

For the full year, the Zacks Consensus Estimates project earnings of $4.29 per share and a revenue of $11.59 billion, demonstrating changes of +37.94% and +17.09%, respectively, from the preceding year.

It is also important to note the recent changes to analyst estimates for Southern Copper. Recent revisions tend to reflect the latest near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the company's business and profitability.

Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.18% downward. Right now, Southern Copper possesses a Zacks Rank of #4 (Sell).

In terms of valuation, Southern Copper is currently trading at a Forward P/E ratio of 23.5. For comparison, its industry has an average Forward P/E of 12.09, which means Southern Copper is trading at a premium to the group.

It is also worth noting that SCCO currently has a PEG ratio of 1.04. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Mining – Non Ferrous industry held an average PEG ratio of 0.69.

The Mining – Non Ferrous industry is part of the Basic Materials sector. Currently, this industry holds a Zacks Industry Rank of 86, positioning it in the top 34% of all 250+ industries.

The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

Southern Copper Corporation (SCCO) : Free Stock Analysis Report

To read this article on Zacks.com click here.

Zacks Investment Research

Written by Amy Legate-Wolfe at The Motley Fool Canada

The TSX has been on a remarkable run, reaching all-time highs. And there are a few key factors driving this surge. First and foremost is the strong performance of the energy and financial sectors. These pillars of the Canadian economy have played a significant role. With oil prices stabilizing and even climbing, energy stocks have been powering up, contributing to the TSX’s upward momentum. Meanwhile, the financial sector, buoyed by solid earnings from major banks and insurance companies, has added more fuel to the fire, helping to push the index to new heights.

So, how can investors get in on the action? Let’s look at two stocks to help your Registered Retirement Savings Plan (RRSP) climb higher.

VDY

The Vanguard FTSE Canadian High Dividend Yield Index ETF (TSX:VDY) is an excellent choice to add to an RRSP, even as the TSX reaches all-time highs. One of the key reasons is its focus on high-quality, dividend-paying stocks. These offer both income and potential for capital appreciation. In a market environment where prices are elevated, having a steady stream of dividends can provide a cushion against market volatility. VDY’s portfolio is packed with some of Canada’s most stable and reliable companies, particularly in the financial and energy sectors, which have long histories of paying and increasing dividends. This makes VDY a solid defensive play, ensuring that your RRSP continues to grow even if the market faces a correction.

Another advantage of VDY is its cost-effectiveness and diversification. The Exchange-Traded Fund (ETF) has a low management expense ratio (MER). This means more of your money stays invested rather than being eaten up by fees. Additionally, VDY gives you exposure to a broad range of top Canadian dividend payers, reducing the risk associated with investing in individual stocks. This diversification, combined with the tax-sheltered growth potential in an RRSP, makes VDY an attractive option for long-term investors. Especially those who want to build a resilient portfolio that can weather the ups and downs of the market while still benefiting from the compounding effects of reinvested dividends.

Lundin

Lundin Mining (TSX:LUN) is another compelling stock to consider adding to an RRSP, even as the TSX hovers around all-time highs. One of the standout reasons is its impressive growth trajectory. The diversified base metals miner recently saw quarterly revenue growth of 84.1% year-over-year and a remarkable 105.7% increase in quarterly earnings. These figures highlight the company’s ability to thrive in a strong market. This makes it an attractive option for long-term investors looking to benefit from both capital appreciation and income.

Another reason LUN stands out is its solid financial foundation and dividend potential. With a forward annual dividend yield of 2.8% and a history of stable payouts, LUN offers a steady income stream – one that can enhance the growth of an RRSP over time. The company’s strong cash flow generation, with $1.4 billion in operating cash flow and a manageable debt-to-equity ratio of 24.6% further reinforce its position as a resilient and reliable investment. For investors looking to build a robust retirement portfolio, LUN’s combination of growth potential and income stability makes it a top contender.

The post 2 Stocks I’ll be Adding to My RRSP – Even With the TSX at All-Time Highs appeared first on The Motley Fool Canada.

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While both BHP and Baowu’s listed unit posted relatively healthy profits on Tuesday, their downbeat comments on the outlook for steel will intensify global concerns about a worsening slump. Baoshan Iron & Steel Ltd. pointed to “sluggish” consumption, while BHP Chief Executive Officer Mike Henry highlighted China’s real estate sector and “uneven” recovery.

China dominates the global steel market, but demand for the alloy has slipped by more than 10% since 2020, likely marking an end to a long boom that supercharged profits for big iron ore shippers like BHP. Those concerns have intensified in recent months as the nation’s property crisis has dragged on. Benchmark steel prices have plunged to multiyear lows, and mills now face brutal competition for buyers both at home as well as overseas.

The steel industry is marked by “strong supply, weak demand, high costs, and low prices,” Baoshan Iron & Steel said in its earnings statement. “In the second half of the year, the steel industry will maintain a situation of oversupply, and steel companies will continue to face pressure.”

BHP produces 260 million tons of iron ore a year, most of it shipped to China, where Baowu, the world’s top steelmaker, is the miner’s biggest single customer. The unfolding crisis has already taken a heavy toll on iron ore prices, with futures for the commodity collapsing by more than a quarter this year.

“We maintain our belief that China’s steel production has plateaued above 1 billion tons and this is likely to continue across the mid-2020s,” BHP said. Against that challenging backdrop, CEO Henry is leading a pivot toward copper as demand for the energy-transition metal expands, with expectations that the market for that metal will flip to a deficit later this decade.

Better Than Most

Both BHP and the Chinese steel producer have so far escaped the worst effects of the slump, which got markedly worse in July and August as mills ratcheted back production. BHP’s underlying iron ore earnings rose 13% in its financial year through June, while Baosteel’s first-half net income was steady.

Baosteel’s first-half margins were likely to be unsustainable in the current quarter, Citigroup Inc. analysts warned in a note. The bank sees downside risks to its full-year earnings forecast.

Still, Baosteel and the iron ore majors are likely in a better shape than many of their smaller peers as their scale and low costs will help them to weather the downturn. Higher-cost miners will face pressure to halt output when prices fall below $100 a ton — a level that was breached recently — while the worst effects of China’s steel slump will be borne by smaller, private mills.

“Baosteel can keep standing out despite the Chinese steel industry’s challenging second-half profit outlook,” Bloomberg Intelligence analyst Michelle Leung wrote in a note.

Other major Chinese mills including Maanshan Iron & Steel Co. Ltd. and Hesteel Co. Ltd. are due to release first-half earnings this week.

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(Bloomberg) — The average Chinese citizen can expect to live two years longer thanks to the country’s push for cleaner skies, according to the University of Chicago.

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China has reduced air pollution by 41% in the decade through 2022 due to the success of stricter public policies, the university’s Energy Policy Institute said in a report on Wednesday. The government’s National Air Quality Action Plan was launched after harmful smog peaked in 2013, targeting fewer cars on the road, cuts to steel capacity and bans on coal-fired power plants in major urban areas.

Other measures included encouraging the adoption of renewables and the switch from coal to cleaner-burning natural gas.

China accounts for 20% of global health problems associated with air quality, and pollution levels in the country are still 5.6 times higher than the World Health Organization’s guideline, according to the report. Only tobacco use is a bigger threat to life expectancy, and meeting the WHO’s pollution target would add another 2.3 years to the nation’s average life span.

The government’s latest goal, introduced in November 2023, is to cut smog by 10% in major cities from 2020 levels by the end of next year.

Air pollution around the world is highly unequal, according to the report, which found that people in the worst affected areas breathe air that is six times more polluted than those in the least affected. As a result, their life expectancy falls by an average of 2.7 years compared to those living in the cleanest places.

On the Wire

China’s steel-industry slowdown looks set to deepen, with BHP Group Ltd., the world’s biggest miner, and China Baowu Group Ltd., the top iron ore buyer, flagging concerns as demand fades after decades of growth.

Fortescue Ltd. reported a small increase in full-year profit, but the fourth-largest iron ore miner missed analyst forecasts as it battled inflationary pressures while weathering a slowdown in demand for the steelmaking material from biggest customer China.

BHP Group Ltd. offered a cautious near-term outlook for copper, while sticking to the widely-held view that the energy transition metal is eventually headed for severe shortages and much higher prices.

This Week’s Diary

(All times Beijing unless noted.)

Wednesday, Aug. 28:

CCTD’s weekly online briefing on Chinese coal, 15:00
PetroChina earnings briefing in HK, 16:00
Qingdao Multinationals Summit, day 2
EARNINGS: Cnooc, BYD, Gotion, Ganfeng Lithium, CNGR, Chalco, Jiangxi Copper

Thursday, Aug. 29:

Baosteel online earnings briefing in HK, 14:00
Cnooc earnings briefing in HK, 16:15
Qingdao Multinationals Summit, day 3
EARNINGS: Longi, Tongwei, Windey, GCL-Poly, Hesteel, Shandong Steel, Maanshan Steel, GEM, Ningbo Shanshan, China MCC, Cosco

Friday, Aug. 30

China weekly iron ore port stockpiles
CMOC online earnings briefing, 10:00
Shanghai exchange weekly commodities inventory, ~15:00
EARNINGS: Tianqi, Jinko, JA Solar, Ming Yang, Yangtze Power, Three Gorges, Shenhua, Angang Steel, Citic Ltd.

Saturday, Aug. 31

China’s official PMIs for August, 09:30

Sunday, Sept. 1

China International Steel Congress in Shanghai, (through Sept. 2)

Listen on Zero: The Chinese Activist Who Mapped the Country's Pollution Problem

–With assistance from Rob Verdonck.

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(Bloomberg) — BHP Group Ltd. offered a cautious near-term outlook for copper, while sticking to the widely-held view that the energy transition metal is eventually headed for severe shortages and much higher prices.

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The world’s second-biggest copper supplier cut its forecast for Chinese demand this year, and warned of a modest global surplus through the end of 2025, in an overview of commodities markets released with its full-year earnings. But it predicted a “fly-up pricing regime” later this decade, driven by a prolonged worldwide deficit.

Listen to the Bloomberg Daybreak Europe podcast on Apple, Spotify or anywhere you listen.

Copper jumped as much as 1.8% on the London Metal Exchange on Tuesday, to the highest since July 18.

BHP’s commentary reflects softening expectations across metals markets as China grapples with slowing economic growth and a protracted property crisis. Copper prices surged to a record in May before retreating as the Chinese demand outlook deteriorated. Consumption there will grow 1% to 2% this year, down from 6% in 2023, BHP said.

“This is a downgrade to our prior expectations, which reflects the ongoing shift in the Chinese real estate market,” the miner said in the overview. There’s likely to be more volatility across commodity markets over the next 18 months, it said.

BHP reiterated its view that, over the longer term, global copper supply will struggle to match a looming wave of demand from renewable energy, data centers and a vast expansion in power grids. The metal has been the subject of eye-watering price forecasts because there are few major new mines in the pipeline.

“With the deficit conditions we anticipate in the final third of the 2020s, it’s possible that we enter into a ‘fly-up’ pricing regime, whereby prices disconnect from the cost curve due to systematic excess of demand over supply amid inadequate inventory levels.”

–With assistance from Mark Burton.

(Updates copper price in third paragraph.)

Most Read from Bloomberg Businessweek

BHP Group BHP reported a 2% year-over-year increase in underlying attributable profit from continuing operations at $13.7 billion for fiscal 2024 (ended June 30, 2024). The growth was attributed to higher prices and sales volumes in BHP’s iron ore and copper operations, productivity initiatives, cost discipline and favorable raw material costs. This offset the impact of lower energy coal and nickel prices and higher labor costs on profits.

BHP’s underlying earnings per share were $2.70 compared with $2.65 in fiscal 2023. Earnings per American Depositary Share (ADS) were $5.39s, higher than $5.30 in the previous fiscal year. The metric missed the Zacks Consensus Estimate of $5.52. BHP’s each ADS represents two fully-paid ordinary shares.

BHP’s FY24 Revenues Up 3%

Revenues for fiscal 2024 totaled $55.7 billion, which beat the Zacks Consensus Estimate of $54 billion. The top line was 3.4% higher than the prior fiscal year. The improvement was due to higher prices and sales volumes for iron ore and copper compared with the prior fiscal. This was offset by lower energy coal and nickel prices, and lower steelmaking coal volumes following the divestment of Blackwater and Daunia on April 2, 2024.

The Iron ore segment’s revenues rose 13% year over year to around $28 billion and revenues in the Copper segment increased 16% to $18.6 billion. Both segments benefited from higher volumes and prices. The Coal segment’s revenues plunged 30% to $7.7 billion.

BHP Delivers Solid Production Numbers for Iron & Copper

The company’s total iron ore production for fiscal 2024 was a record 260 Mt, up 1% year over year. Western Australia Iron Ore (WAIO) delivered a record iron ore production of 255 Mt (287 Mt on a 100% basis). This reflects solid supply-chain performance with increased capacity unlocked by the record production at South Flank. These gains helped offset the impacts of the continued tie-in activity for the Rail Technology Program 1.

Copper production rose 9% year over year to 1,865 kt, the highest in 15 years. Nickel production was up 2% to 81.6 kt

BHP Witnesses 4% Rise in EBITDA

Underlying earnings before interest, taxes, depreciation and amortization (EBITDA) increased 4% from the prior fiscal to $29 billion. Higher revenues and lower diesel and acid prices were offset by higher labor costs. Productivity initiatives and BHP’s efforts to control costs offset higher labor costs. The underlying EBITDA margin was 54%, flat with the prior fiscal.

For the Iron ore segment, underlying EBITDA was up 13% year on year to $18.9 billion while the Copper segment’s underlying EBITDA increased 29% to $8.6 billion. The Coal segment’s underlying EBITDA plunged 54% year over year to $2.3 billion.

Profit from operations (including exceptional items of $6.1 billion) declined 24% year over year to $17.5 billion.

In fiscal 2024, BHP’s attributable profit (for total operations) declined 39% year over year to $7.9 billion, which included an exceptional loss of $5.8 billion. The figure of $5.8 billion includes a $2.7 billion impairment of Western Australia Nickel and a $3.8 billion charge related to the Samarco dam failure, offset by a gain of $0.7 billion on disposal of the Blackwater and Daunia mines.

BHP’s Cash Flow Improves, Debt Down

Net operating cash flow for fiscal 2024 was $20.7 billion compared with $18.7 billion in fiscal 2023. The improvement was attributed to lower tax and royalty-related taxation finalization payments compared with the prior fiscal. BHP Group reported a free cash flow of $11.9 billion, a significant improvement from $5.6 billion in fiscal 2023.

The company invested $9.3 billion in line with its Capital Allocation Framework. This included $5.9 billion in organic development and $3 billion in maintenance and decarbonization. BHP’s cash and cash equivalents as of June 30, 2024, amounted to $12.5 billion compared with $12.4 billion as of June 30, 2023. Capital and exploration expenditures totaled $9.3 billion, up 31% from the prior fiscal year.

Backed by its solid cash flow, BHP continued to repay debt and as of the end of fiscal 2024, net debt was $9.1 billion compared with $11.2 billion as of fiscal 2023 end.

BHP has budgeted capital and exploration expenditures in fiscal 2024 and 2025 to be $10 billion and $11 billion, respectively.

BHP’s board has announced a dividend of 74 cents per share or a total of $3.8 billion. This translates to a payout ratio of 53%.

BHP’s Production & Unit Cost Guidance for FY25

BHP’s iron ore production guidance for fiscal 2025 is in the range of 255-265.5 Mt. WAIO's production is expected to be between 250 Mt and 260 Mt (282 Mt and 294 Mt on a 100% basis).

The company expects copper production to be within the range of 1,845-2,045 kt. Production guidance for metallurgical coal is in the band of 16.5-19 Mt while the guidance for energy coal is in the range of 13-15 Mt.

Unit cost guidance for WAIO is in the range of $18.00-$19.50 per ton. Escondida unit cost is estimated to be in the band of $1.30-$1.60 per pound. Spence unit costs are expected to be between $2.00 and $2.30 per pound. Copper South Australia’s unit cost is anticipated to be between $1.30 and $1.80 per pound. BMA unit cost is expected to be between $112 and $124 per ton.

BHP Stock’s Price Performance

BHP Group’s shares have fallen 18.4% year to date compared with the industry’s 10.1% decline.

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BHP’s Zacks Rank & Other Key Picks

BHP Group currently carries a Zacks Rank #2 (Buy). Some other top-ranked stocks from the basic materials space are Carpenter Technology Corporation CRS, IAMGOLD Corporation IAG and Eldorado Gold Corporation EGO. CRS, IAG and EGO sport a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

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Nvidia (NVDA)

Nvidia is set to beat previous results when it publishes earnings on Wednesday. For the quarter, the chipmaker is expected to report adjusted earnings per share (EPS) of $0.65 on revenue of $28.7bn (£21.7bn). That works out to a 139% jump in EPS and a 113% increase in revenue compared to the same period a year ago when Nvidia saw EPS of $0.27 and revenue of $13.5bn.

Nvidia is the world leader in AI chip design and software, controlling between 80% and 95% of the market, according to Reuters. And it’s expected to continue to hold that lead as it begins rolling out its next-generation Blackwell line of chips.

The most anticipated results of the quarter will send ripple effects throughout the tech sector as investors look for signs that the AI trade will continue to dominate market conversations into the second half of the year.

Nvidia stock is up more than 163% year to date and 60% in the last six months. Rival AMD’s (AMD) stock price is up 9% year to date and down some 14% over the last six months.

Nigel Green of deVere Group said: “The company has become the undisputed leader in artificial intelligence (AI) chips, a market segment that is poised to reshape industries across the globe. In a world increasingly dominated by AI-driven technologies, Nvidia stands head and shoulders above the competition.

"The company’s cutting-edge GPUs, particularly its Hopper architecture, are driving massive demand, and there is no clear competitor in sight that can match its performance.

“The result? A stratospheric rise in Nvidia’s stock and market cap that has far outpaced broader market gains.”

BHP (BHP.L)

Miner BHP is set to boost copper production after its mainstay iron ore business suffered from China’s economic slowdown.

The FTSE 100 (^FTSE) group said it expects Chinese steel demand to remain depressed in 2024.

Consumption of iron ore has been hammered by a slowdown in China, where fewer buildings are being constructed, dampening demand for steelmaking iron ore. Almost two-thirds of BHP’s revenues come from iron ore, with under one-third coming from copper.

BHP chief executive Mike Henry said: “In the near term, we expect volatility in global commodity markets, with China experiencing an uneven recovery among its end-use sectors. The effectiveness of recently announced pro‑growth policies will be an important contributor for the country to achieve its official 5% growth target.”

BHP’s revenue for the year ending in June rose 3% to $55.7bn, while underlying net profit grew 2% to $13.7bn.

However, its total profit attributable to shareholders fell 39% after a $2.7bn write down in the value of its Australian nickel operations, and a $3.8bn charge related to a dam collapse in Brazil.

The firm also cut its full-year dividend by 14% to $1.46 to reflect higher investment in new projects.

Shares were 1.5% higher at the time of writing.

Ryanair (RYA.IR)

Ryanair shares rose more than 6% on Tuesday after the airline's boss Michael O'Leary said fare decreases will be limited to 5%, reassuring investors who had feared steeper reductions in prices.

Last month the biggest airline in Europe warned that fares could drop by more than 10% as it missed analyst estimates for sales. Shares in the airline plunged 15% last month on the back of the news.

The risk of what O'Leary at the time called an "ugly scenario" of double-digit falls in average fares "looks like it has disappeared."

"While fares were kind of softening during April, May and June, that has levelled out," he said.

Asked if Ryanair was still seeing price resistance when it tried to raise prices on last-minute fares, O'Leary said: "It's not the same price resistance."

Brent Crude oil (BZ=F)

Brent oil prices were steady on Tuesday, stabilising after three consecutive sessions of gains that saw prices climb roughly 7%.

Crude traded at about $81 a barrel after rising 7% in the sharpest three-day rally since April last year, while West Texas Intermediate was near $77.

“These gains were fuelled by expectations of interest rate cuts in the US, which became the dominant market narrative after the Federal Reserve chairman signalled an easing off of the monetary policy brakes," said Ricardo Evangelista, senior analyst at ActivTrades.

"Jerome Powell hinted at a rate cut in September and left the door open for additional cuts before the year's end, bolstering the outlook for economic growth and, consequently, oil demand.”

“Meanwhile, in the Middle East, tensions remain high between Israel, Iran, and its proxies, raising the threat of an all-out war that could severely disrupt the global supply of crude.”

"Adding to supply concerns, the potential closure of oil fields in Libya could, if confirmed, remove more than a million barrels per day from an already tight market.”

“Against this backdrop, with pressures mounting from both the supply and demand sides, there may be room for further gains in oil prices.”

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(Bloomberg) — BHP Group Ltd. will focus on boosting returns from its burgeoning copper portfolio, the world’s biggest miner said on Tuesday, as it bets long-term gains for the crucial new-energy metal will help offset declining returns from iron ore as Chinese demand cools.

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Chief Executive Officer Mike Henry, announcing full-year profit broadly in line with market expectations, underlined the mining giant’s efforts to double down on its own projects and mines — even after appetite for the red metal motivated last month’s acquisition of Filo Corp. jointly with Lundin Mining Corp., and, earlier in the year, the failed $49 billion effort to take over smaller rival Anglo American Plc.

“The Plan A for BHP was never about acquisitions and it wasn’t about that specific opportunity,” Henry told Bloomberg Television, when asked if the company could revive its Anglo bid. “It was about everything that you see in this set of results, which is focusing — first and foremost — on ensuring that we’re getting the most out of our capital.”

In the near-term, though, BHP underlined the impact China’s uneven recovery and volatility in global commodity markets, with iron ore supply outpacing demand into next year as surplus steel floods the market.

“What we’re seeing play out in the market is really a fine balance between steel demand and iron ore supply,” Henry said.

China’s slowing economy and languishing property market are damping demand for metals, especially steelmaking staple iron ore, which accounts for almost two-thirds of BHP’s revenue. The head of China Baowu Steel Group Corp., the country’s biggest steel producer, warned this month the industry faced a situation worse than crises in 2008 and 2015.

Both iron and copper have weakened since the end of the reporting period, potentially signaling more challenging times ahead.

Headline earnings still underscored the continued resilience of the miner’s core iron ore and copper operations. Underlying attributable profit came in at $13.66 billion for the year through June, up 2% from the year earlier and just above analysts’ estimate of $13.49 billion. The company’s share price rose as much as 2.7% in Sydney following the earnings release.

The company spent $9.3 billion in capital and exploration in the period, up 31% from the year before. It aims to expand that spending to $11 billion by fiscal 2026, with two third of the amount on copper and potash.

The red metal currently generates just under 30% of BHP’s sales. Output rose 9% over the year through June, and the company is forecast a further 4% expansion this year, an improvement on peers who have seen less reliable increases.

“What was positive was just the continued focus on copper growth – the amount of options they have in their portfolio and what levers they can eventually pull,” RBC Capital Markets analyst Kaan Peker said. While concerns remained around China’s slowdown in iron ore and steel demand, there was a sense from BHP “that maybe the demand picture isn’t as negative as it seems,” he added.

Potash Play

BHP’s overall revenue rose 3%. Higher sales volumes and relatively strong prices for iron ore and copper were partially offset by lower coal prices and a crash in nickel, caused by a surge of cheap Indonesian material that ultimately prompted the miner to shutter its Nickel West business.

Potash may prove another bright spot for BHP. Its $14 billion potash mine in Canada’s Saskatchewan region is expected to produce more than 4 million tons of the crop nutrient annually from 2026. Last year, BHP approved an expansion to more than double the production.

The Melbourne-based company is looking at a potential expansion of its Western Australia iron ore business to lift output to 330 million tons annually, compared with 260 million tons in the year just completed. Henry said that was contingent on market factors, and that China’s steel demand had plateaued.

“Some sectors of the Chinese economy that drive steel demand, such as shipbuilding and the auto industries, are actually performing quite healthily,” Henry said.

BHP is the latest diversified miner to demonstrate heft can, for now, help weather the China property storm. Rio Tinto Group’s first-half profit was slightly higher than a year earlier. Vale SA — the world’s No. 2 iron ore producer — posted second-quarter earnings that were only just below analyst estimates.

BHP will pay a final dividend of 74 cents per share, compared with 80 cents a year ago.

–With assistance from James Mayger, Haidi Lun and Sybilla Gross.

(Updates with Henry comments in 3rd, 5th paragraphs; analyst comment in 10th)

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In economic circles copper is sometimes called “Doctor Copper” because it’s a good indicator of the overall health of the economy. If mining giant Southern Copper’s results are any indication, the economy just got over a cold and is feeling fine. On Tuesday, the Relative Strength (RS) Rating for Southern Copper rose to 83, up from 80 the day before.

BHP’s FY24 Revenues Up 3%

BHP Delivers Solid Production Numbers for Iron & Copper

Copper production rose 9% year over year to 1,865 kt, the highest in 15 years. Nickel production was up 2% to 81.6 kt

BHP Witnesses 4% Rise in EBITDA

Profit from operations (including exceptional items of $6.1 billion) declined 24% year over year to $17.5 billion.

BHP’s Cash Flow Improves, Debt Down

Backed by its solid cash flow, BHP continued to repay debt and as of the end of fiscal 2024, net debt was $9.1 billion compared with $11.2 billion as of fiscal 2023 end.

BHP has budgeted capital and exploration expenditures in fiscal 2024 and 2025 to be $10 billion and $11 billion, respectively.

BHP’s board has announced a dividend of 74 cents per share or a total of $3.8 billion. This translates to a payout ratio of 53%.

BHP’s Production & Unit Cost Guidance for FY25

BHP’s iron ore production guidance for fiscal 2025 is in the range of 255-265.5 Mt. WAIO's production is expected to be between 250 Mt and 260 Mt (282 Mt and 294 Mt on a 100% basis).

BHP Stock’s Price Performance

BHP Group’s shares have fallen 18.4% year to date compared with the industry’s 10.1% decline.

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BHP’s Zacks Rank & Other Key Picks

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By Melanie Burton and Sameer Manekar

MELBOURNE (Reuters) -BHP Group will focus on growing its copper business through existing and incoming projects after its failed attempt to buy Anglo American, it said as it reported a better-than-expected 2% rise in annual underlying profit.

The world's biggest listed miner is pushing hard to expand in copper, given the commodity's outsize role in the energy transition and a tougher outlook for its top revenue generator, iron ore, as China's economic growth slows and supply rises.

BHP walked away in May from its blockbuster $49 billion bid for Anglo that would have significantly boosted its copper business and is now turning to other options.

"I was very clear at the time, it wasn't Plan A for us. Plan A is everything that you see outlined in these results," BHP CEO Mike Henry told reporters. "We continue with Plan A."

BHP unveiled more details around its spending and growth plans for key copper provinces in Chile, South Australia and Argentina after it posted an underlying attributable profit for the year ended June 30 of $13.66 billion, which excludes exceptional items.

That beat a Visible Alpha consensus of $13.26 billion and was ahead of the $13.42 billion profit a year ago, though on a bottom-line level it took a $5.7 billion hit from impairments to its nickel business in Western Australia and the 2015 dam collapse at Samarco in Brazil.

BHP shares were about 2% higher in early trade, outpacing the flat Australian benchmark index.

"They have clearly laid out capex and growth expectations for copper where they are still looking at copper as a key commodity, clearly," said Andy Foster, a portfolio manager at Argo Investments. "It's just been so hard to execute large-scale acquisitions so you have to make the most of your existing assets and then look at other opportunities."

Copper accounts for about 30% of the miner's profits but that is set to increase. In South Australia it is assessing options to produce more than 500,000 metric tons of copper annually in the early 2030s, up from 322,000 tons in the last financial year.

BHP said last month it would jointly take over Filo Corp for its copper growth projects near the Argentine-Chilean border, paying C$4.5 billion ($3.25 billion) with Canada's Lundin Mining.

UK regulations bar BHP from making another offer for Anglo until November, should it still want to do so. Henry said BHP had no interest in a separate purchase of Anglo's coking coal assets.

Still, BHP said it was keeping its balance sheet flexible.

"We are comfortable to move above our net debt target temporarily to execute value accretive opportunities in the portfolio," the miner said.

Net debt stood at $9.1 billion as of June 30, roughly at the midpoint of its target range of $5 billion and $15 billion.

BHP's profit was underpinned by record iron ore output for a second year and resilient prices, which offset weak coal prices and the sale of two of its coal mines.

The miner said the outlook for iron ore in the current financial year would depend in part on how quickly and effectively Chinese policies were able to stabilise its weak property sector as well as Beijing's approach to regulating steel production.

BHP declared an interim dividend of 74 cents per share, for a full-year dividend of $1.46 per share. That was its lowest full-year dividend since the 2020 financial year but still among the top four it has declared in its history.

(Reporting by Sameer Manekar in Bengaluru and Melanie Burton in Melbourne; Editing by Arun Koyyur and Jamie Freed)

Earnings season is winding down but investors will still have plenty to watch this week as key companies across various sectors provide updates that could offer valuable insights into market trends.

In the tech sector, AI darling Nvidia is expected to offer a glimpse into the ongoing impact of the artificial intelligence (AI) hype on the semiconductor industry, potentially revealing whether enthusiasm for AI is translating into tangible growth.

Meanwhile in London, financial services firm Prudential will show investors if it has managed to turn around its performance. Shares in the company have slumped amid less than stellar performance of the Hong Kong and China economies.

CrowdStrike will also report its results in the cybersecurity arena, with investors eager to see how the company behind the recent global outage is performing.

In the sneaker fashion world, Foot Locker is seeing analysts upgrading its stock ahead of earnings but Wall Street still expects a quarterly loss.

Here's what to look out for:

Nvidia (NVDA) — Reports second-quarter results on Wednesday 28 August

All eyes will be on Nvidia (NVDA) this week, as the chip giant at the heart of the AI boom, is set to release its second-quarter results on 28 August.

Not only does Nvidia hold an 80% to 95% share of the market for high-powered AI chips, according to Reuters, but it is also the world’s third-largest company by market capitalisation at $3.04tn (£2.31tn), having briefly held the top spot back in June.

The AI darling is the single best performer in the S&P 500 (^GSPC) index and a leading member of the Philadelphia Semiconductor index — known as the SOX (SOX=F) — point out AJ Bell’s head of financial analysis Danni Hewson and Dan Coatsworth, investment analyst for the platform.

Nvidia is also part of the so-called 'Magnificent Seven', which alongside other tech heavyweights including Apple (AAPL) and Microsoft (MSFT), is a group of stocks that make up more than a third of the S&P 500’s stock market value and a fifth of the FTSE All-World (AW01.FGI) equity index’s market capitalisation.

“These seven names have gone a long way to helping equity markets go higher, so if they stumble then the effects could be felt widely,” say Hewson and Coatsworth.

Nvidia shares are up 149.87% year-to-date, though the stock sold off heavily in July and into early August. The share price has recovered some ground since then but fell 3% in Thursday’s trading session ahead of the highly anticipated earnings report next week.

“From a fundamental, earnings point of view, Nvidia has demolished consensus estimates and raised guidance for each of the past five quarters, which helps to explain its stellar share price performance,” say Hewson and Coatsworth.

Nvidia said it expects revenues of $28bn for the second-quarter, which is more than double the $13.5bn it reported for the same period last year. If Nvidia CEO Jensen Huang offers any steer on the third quarter, Hewson and Coatsworth say the current consensus forecast on revenue is $30.7bn, versus $18.1bn for Q3 last year.

Based on Huang’s guidance for gross margins, operating expenses and tax charges, Hewson and Coatsworth said this implies a net profit of $15bn for the second quarter, which is more than double the figure reported last year, but broadly flat on the previous quarter. They said this also suggests headline earnings per share (EPS) of $0.63 for Q2, up from $0.61 in the first quarter.

Looking ahead, they said that analysts will be keeping an eye out for comments from Huang on reported delays in the launch of Nvidia’s new Blackwell chips.

“Production of Blackwell was due to ramp up in the second half of this year, as Nvidia looks to maintain its technological lead by quickly improving upon the Hopper chipset,” Hewson and Coatsworth said.

Prudential (PRU.L) — Reports first-half results on Wednesday 28 August

Another company reporting on Wednesday is financial services firm Prudential, which has seen its shares fall by nearly a third over the past year, slumping to 12-year lows.

AJ Bell’s Hewson and Coatsworth said that the shares have been “dragged down by markets’ disappointment with how the economies of Hong Kong and China are failing to show markedly improved momentum after the conclusion of their lengthy lockdowns imposed because of Covid-19.”

They explained that Prudential is now a play on demand for financial services in Asia and Africa, following the spin-off of fund manager M&G (MNG.L) in 2019, a fundraising in Hong Kong in 2021 and its 2022 demerger from Jackson Financial (JXN).

“Prudential’s long-term strategy is to position itself for both population growth as well as increased prosperity and the rise of the middle class, as this is potentially the sweet spot for increased demand for financial products and services,” Hewson and Coatsworth said.

Hong Kong was Prudential’s most profitable market in 2022, followed by Singapore, Mainland China, Malaysia and Indonesia, with it highlighting India, Vietnam, Thailand, Taiwan and the Philippines as high-growth markets.

Prudential’s CEO Anil Wadhwani, who took the reins earlier last year, set out two new financial objectives, one of which was to achieve a compound growth of 15% to 20% in new business profit between 2022 and 2027.

New business profit jumped 45% to $3.1bn in 2023, but Hewson and Coatsworth note that this was flat in the first quarter of 2024 on a constant currency basis, despite the firm pointing to a headline figure of 11% growth “excluding economic impacts” on a constant currency basis.

Another metric that they said would be in focus is Prudential’s operating profit, which on an adjusted basis came in at $2.9bn in 2023, up 8% on the previous year.

Prudential paid out a dividend of 20.47 cents (16.5p) per share in 2023, with Hewson and Coatsworth saying that analysts expect a 6% increase in these distributions to the equivalent of 17.5p a share. The company announced a 2023 first interim dividend of 6.26 cents, or 5.16p, per share.

Hewson and Coatsworth said that another figure that investors will be looking at is Prudential’s annual premium equivalent, as a measure of new business written. This increased by 37% to $5.9bn in 2023 and grew by 7% on a constant currency basis in the first quarter of this year, “thanks to a tough base for comparison in Hong Kong and China and a slowdown in Vietnam".

CrowdStrike (CRWD) – Reports second quarter results on Wednesday 28 August

CrowdStrike is set to report its second-quarter financial results on Wednesday 28 August with the market keenly focused on the aftermath of the July IT outage that has significantly impacted the company’s valuation.

The cloud-based security company is expected to post quarterly earnings of $0.98 per share in its upcoming report, which represents a year-over-year change of +32.4%, according to Zachs Research. Revenues are expected to be $958.66m, up 31% from the year-ago quarter.

The cybersecurity leader has seen its market value sharply decline after its involvement in a Microsoft-related IT disruption that caused widespread chaos. The incident, attributed to “a single content update for Windows hosts”, led to severe disruptions across various sectors, including airlines, emergency services and media outlets globally, according to CrowdStrike president George Kurtz.

In the wake of the outage, businesses affected have initiated legal action against both CrowdStrike and Microsoft. Notably, Atlanta-based Delta Air Lines (DAL) has filed claims, citing losses ranging from $350m to $500m after being forced to cancel more than 6,000 flights.

As investors await CrowdStrike’s earnings call, they are particularly interested in how the ongoing legal challenges will impact the company’s financial health. However, Wedbush analysts have suggested that the financial damage may be less severe than initially anticipated.

According to legal experts cited by Wedbush, CrowdStrike’s potential liabilities from Delta’s lawsuit are likely to be in the "single-digit" millions, thanks to favourable user contracts that limit the company’s exposure to claims for revenue losses and liability.

Despite these reassurances, there are concerns that the reputational damage from the outage could lead to a loss of future business, a risk that may weigh on CrowdStrike's long-term prospects.

Citi (C) analysts said that CrowdStrike won't come out of the incident "unscathed" given higher discounts, lower negotiating leverage, and litigation costs it now faces.

Foot Locker (FL) – Reports second quarter results on Wednesday 28 August

Citi has revised its outlook on Foot Locker, increasing the price target from $27 to $33, while maintaining a Neutral rating on the stock. This change comes in anticipation of Foot Locker’s second-quarter earnings report on Wednesday before the US bell.

Citi's analysis say Foot Locker may outperform consensus expectations for both sales and earnings per share in the second quarter.

Its optimism is driven by stronger-than-expected comparable store sales and gross margins, bolstered by the robust performance of several key brands in Foot Locker’s portfolio, including Adi Terrace, New Balance, Hoka, and On.

Despite underperformance from Nike (NKE), Foot Locker’s largest brand, Citi believes the retailer will show a positive inflection in comparable sales for the second quarter, recovering from last year’s promotional pressures that negatively impacted gross margins.

The retailer is expected to report a quarterly loss of $0.09 per share, reflecting a year-over-year decline of 325%. However, revenues are projected to reach $1.88bn, marking a 0.9% increase compared to the same quarter last year, according to Zachs Research.

Foot Locker’s management is expected to reaffirm its fiscal year 2024 guidance, though third-quarter projections may come in below consensus due to anticipated weaker gross margins.

Recent analyst actions showcase a range of views on Foot Locker’s prospects. Following a disappointing first-quarter performance in 2024, Morgan Stanley downgraded the stock from Equalweight to Underweight, lowering the price target to $18 due to a more cautious outlook for 2024 (EPS, driven by expectations of a decline in both top-line growth and gross margins).

Argus also maintained a Hold rating on Foot Locker, expressing caution about near-term earnings pressure as the company navigates a strategic transformation. Conversely, Jefferies, Barclays and Telsey Advisory Group have raised their price targets to $26, $27, and $27, respectively, recognising Foot Locker’s recent performance.

Other companies reporting next week include:

Monday 26 August

No major companies reporting

Tuesday 27 August

CNOOC (600938.SS)

BHP (BHP.L)

Vinci (DG.VI)

Wednesday 28 August

Hochschild Mining (HOC.L)

Cosco Shipping (CICOF)

Air China (AIRYY)

China Construction Bank (601939.SS)

Wuliangye Yibin (000858.SZ)

Ageas (AGS.BR)

Brunello Cucinelli (8BU.F)

NetApp (NTAP)

Bath & Body Works (BBWI)

Abercrombie & Fitch (ANF)

Campbell Soup (CPB)

Kohl’s (KSS)

JM Smucker (SJM)

Thursday 29 August

South32 (S32.AX)

Qantas (QAN.AX)

Pernod Ricard (RI.PA)

Delivery Hero (DHER.HM)

Friday 30 August

Dell (DELL)

Marvell (MRVL)

Dollar General (DG)

Brown-Forman (BF-B)

Best Buy (BBY)

Birkenstock (BIRK)

You can read Yahoo Finance's full calendar here.

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VANCOUVER, BC, Aug. 26, 2024 /CNW/ – Filo Corp. (TSX: FIL) (Nasdaq First North Growth Market: FIL) (OTCQX: FLMMF) ("Filo" or the "Company") is pleased to announce that the Ontario Superior Court of Justice (Commercial List) (the "Court") has issued an interim order (the "Interim Order") regarding the Arrangement (as defined below) and authorizing Filo to proceed with various matters relating thereto, including among other things, the calling and holding of a special meeting of the Shareholders (as defined below) of Filo (the "Meeting") to consider and vote on the proposed Arrangement. View PDF

At the Meeting, holders of the common shares ("Filo Shares") of the Company (the "Shareholders"), and their duly appointed proxyholders will be asked to consider, and if thought fit, to pass, a special resolution relating to a proposed plan of arrangement whereby BHP Investments Canada Inc. ("BHP"), a wholly-owned subsidiary of BHP Group Limited and Lundin Mining Corporation (TSX:LUN) (OMX:LUMI) (together with BHP, the "Purchaser Parties") will, among other things, acquire all of the issued and outstanding shares of the Company not already owned by the Purchaser Parties and their respective affiliates by way of a court-approved plan of arrangement under the Canada Business Corporations Act (the "Arrangement") in accordance with the terms of an arrangement agreement among Filo and the Purchaser Parties (the "Arrangement Agreement").

A special committee comprised of only independent directors of Filo unanimously recommended the Arrangement to the board of directors of the Company (the "Filo Board"). The Filo Board unanimously approved the Arrangement and the Arrangement Agreement and unanimously recommends that the Shareholders vote FOR the Arrangement.

The Meeting will be held in a virtual only format, which will be conducted via live audio webcast at meetnow.global/MGK95K9 on Thursday, September 26, 2024 at 10:00 a.m. (Vancouver time).

The anticipated hearing date for the application for the final order of the Court (the "Final Order") is October 2, 2024. Subject to obtaining the required approval of the Shareholders at the Meeting, the Final Order and the satisfaction or waiver of the conditions to implementing the Arrangement as set out in the Arrangement Agreement, the Arrangement is anticipated to be completed in the first quarter of 2025.

Meeting materials including a management information circular and related meeting materials are scheduled to be mailed on or about September 3, 2024 to Shareholders of record as of the close of business on August 20, 2024, in accordance with statutory requirements and the Interim Order. A copy of the Interim Order will be included in the management information circular. Upon completion of the mailing to Shareholders, the materials for the Meeting will be filed by the Company on SEDAR+ and will be available thereat under the Company's profile at www.sedarplus.ca and on the Company's website at https://filocorp.com/investors/corporate-filings/.

About Filo Corp.

Filo is a Canadian exploration and development company focused on advancing its 100% owned Filo del Sol copper-gold-silver deposit located in San Juan Province, Argentina and adjacent Region III, Chile. The Company's shares are listed on the TSX and Nasdaq First North Growth Market under the trading symbol "FIL", and on the OTCQX under the symbol "FLMMF".

Additional Information

The Company's certified adviser on the Nasdaq First North Growth Market is Aktieinvest FK AB, +46 8 506 51703, rutger.ahlerup@aktieinvest.se.

The information contained in this news release was accurate at the time of dissemination, but may be superseded by subsequent news release(s).

The information was submitted for publication by the contact persons below on August 26, 2024 at 7:30pm EDT.

Twitter: https://twitter.com/filo_corp LinkedIn: https://www.linkedin.com/company/filocorp/ Instagram: https://www.instagram.com/filo_corp/ Facebook: https://www.facebook.com/FiloCorpOfficial

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION:

This press release may contain certain "forward-looking information" and "forward-looking statements" (collectively "forward-looking information") within the meaning of applicable securities legislation. All statements, other than statements of historical fact, included herein, including, without limitation, statements regarding the Meeting, the mailing and filing of the Meeting materials and the approval of the Arrangement by the Shareholders, may be forward-looking information. Forward-looking information is frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved.

Forward-looking information involves various risks and uncertainties. There can be no assurance that such information will prove to be accurate, and actual results and future events could differ materially from those anticipated in such information. Important factors that could cause actual results to differ materially from the Company's expectations include failure to receive the required court and regulatory approvals to effect the Arrangement; changes in laws, regulations and government practices; the potential of a third party making a superior proposal to the Arrangement; risks pertaining to the outbreak of the global pandemics; government regulation of mining operations; environmental risks; and other risks and uncertainties disclosed in the Company's periodic filings with Canadian securities regulators and in other Company reports and documents filed with applicable securities regulatory authorities from time to time, including the Company's Annual Information Form available under the Company's profile at www.sedarplus.ca and the Meeting materials that will be made available under the Company's profile at www.sedarplus.ca. The Company's forward-looking information reflects the beliefs, opinions, and projections on the date the statements are made. The Company assumes no obligation to update the forward-looking information or beliefs, opinions, projections, or other factors, should they change, except as required by law.

Filo Obtains Interim Order (CNW Group/Filo Corp.)

SOURCE Filo Corp.

Cision

View original content to download multimedia: http://www.newswire.ca/en/releases/archive/August2024/26/c8144.html

Alphamin Resources (CVE:AFM) Second Quarter 2024 ResultsKey Financial Results

Revenue: US$103.9m (up 37% from 2Q 2023).
Net income: US$18.1m (up 23% from 2Q 2023).
Profit margin: 17% (down from 19% in 2Q 2023). The decrease in margin was driven by higher expenses.
EPS: US$0.014 (up from US$0.012 in 2Q 2023).

earnings-and-revenue-history

All figures shown in the chart above are for the trailing 12 month (TTM) period

Alphamin Resources' share price is broadly unchanged from a week ago.

Risk Analysis

Before you take the next step you should know about the 1 warning sign for Alphamin Resources that we have uncovered.

VANCOUVER, BC, Aug. 24, 2024 /CNW/ – (TSX: LUN) (Nasdaq Stockholm: LUMI) Lundin Mining Corporation ("Lundin Mining" or the "Company") is pleased to announce today that an agreement has been reached with the union at Caserones and accepted by the majority of the union members through a vote. Further to the press release dated August 12, 2024 entitled "Lundin Mining Provides Update on Labour Negotiations at its Caserones Mine", a new collective bargaining agreement will be signed imminently. The Company will now focus on a safe back-to-work plan and an efficient ramp-up of operations which has been running at approximately 50% capacity during the labour action. View PDF version

About Lundin Mining

Lundin Mining is a diversified Canadian base metals mining company with operations and projects in Argentina, Brazil, Chile, Portugal, Sweden and the United States of America, primarily producing copper, zinc, gold and nickel.

The information was submitted for publication, through the agency of the contact persons set out below on August 24, 2024 at 17:00 Vancouver Time.

Cautionary Statement on Forward-Looking Information

Certain of the statements made and information contained herein are "forward-looking information" within the meaning of applicable Canadian securities laws. All statements other than statements of historical facts included in this document constitute forward-looking information, including but not limited to statements regarding the Company's plans, prospects and business strategies; the Company's approach to resolution and procedures regarding the strike and its expectations regarding the return to normal operations; the Company's guidance on the timing and amount of future production and its expectations regarding the results of operations; expected costs; permitting requirements and timelines; timing and possible outcome of pending litigation; the results of any Preliminary Economic Assessment, Pre-Feasibility Study, Feasibility Study, or Mineral Resource and Mineral Reserve estimations, life of mine estimates, and mine and mine closure plans; anticipated market prices of metals, currency exchange rates, and interest rates; the development and implementation of the Company's Responsible Mining Management System; the Company's ability to comply with contractual and permitting or other regulatory requirements; anticipated exploration and development activities at the Company's projects; expansion projects and the realization of additional value; expectations regarding, and ability to complete, the acquisition of Filo Corp. and the 50/50 joint venture with BHP; the anticipated development and other plans with respect to the acquisition and joint venture; the Company's integration of acquisitions and expansions and any anticipated benefits thereof; and expectations for other economic, business, and/or competitive factors. Words such as "believe", "expect", "anticipate", "contemplate", "target", "plan", "goal", "aim", "intend", "continue", "budget", "estimate", "may", "will", "can", "could", "should", "schedule" and similar expressions identify forward-looking information.

Forward-looking information is necessarily based upon various estimates and assumptions including, without limitation, the expectations and beliefs of management, including that the Company can access financing, appropriate equipment and sufficient labour; assumed and future price of copper, zinc, gold, nickel and other metals; anticipated costs; ability to achieve goals; the prompt and effective integration of acquisitions; that the political environment in which the Company operates will continue to support the development and operation of mining projects; and assumptions related to the factors set forth below. While these factors and assumptions are considered reasonable by Lundin Mining as at the date of this document in light of management's experience and perception of current conditions and expected developments, these statements are inherently subject to significant business, economic and competitive uncertainties and contingencies. Known and unknown factors could cause actual results to differ materially from those projected in the forward-looking information and undue reliance should not be placed on such information. Such factors include, but are not limited to: the inability to resolve labour disruptions; global financial conditions, market volatility and inflation, including pricing and availability of key supplies and services; risks inherent in mining including but not limited to risks to the environment, industrial accidents, catastrophic equipment failures, unusual or unexpected geological formations or unstable ground conditions, and natural phenomena such as earthquakes, flooding or unusually severe weather; uninsurable risks; volatility and fluctuations in metal and commodity demand and prices; significant reliance on assets in Chile; reputation risks related to negative publicity with respect to the Company or the mining industry in general; delays or the inability to obtain, retain or comply with permits; risks relating to the development of the Josemaria Project; health and safety laws and regulations; risks associated with climate change; risks relating to indebtedness; economic, political and social instability and mining regime changes in the Company's operating jurisdictions, including but not limited to those related to permitting and approvals, nationalization or expropriation without fair compensation, environmental and tailings management, labour, trade relations, and transportation; inability to attract and retain highly skilled employees; risks inherent in and/or associated with operating in foreign countries and emerging markets, including with respect to foreign exchange and capital controls; project financing risks, liquidity risks and limited financial resources; health and safety risks; compliance with environmental, unavailable or inaccessible infrastructure, infrastructure failures, and risks related to ageing infrastructure; changing taxation regimes; the inability to effectively compete in the industry; the inability to currently control Filo Corp. and the ability to satisfy the conditions and consummate the acquisition of Filo Corp. and the joint venture transaction with BHP on the proposed terms and expected schedule; risks associated with acquisitions, expansions and related integration efforts, including the ability to achieve anticipated benefits, unanticipated difficulties or expenditures relating to integration and diversion of management time on integration; risks related to mine closure activities, reclamation obligations, environmental liabilities and closed and historical sites; reliance on key personnel and reporting and oversight systems, as well as third parties and consultants in foreign jurisdictions; information technology and cybersecurity risks; risks associated with the estimation of Mineral Resources and Mineral Reserves and the geology, grade and continuity of mineral deposits including but not limited to models relating thereto; actual ore mined and/or metal recoveries varying from Mineral Resource and Mineral Reserve estimates, estimates of grade, tonnage, dilution, mine plans and metallurgical and other characteristics; ore processing efficiency; community and stakeholder opposition; regulatory investigations, enforcement, sanctions and/or related or other litigation; financial projections, including estimates of future expenditures and cash costs, and estimates of future production may not be reliable; enforcing legal rights in foreign jurisdictions; risks associated with the use of derivatives; risks relating to joint ventures and operations; environmental and regulatory risks associated with the structural stability of waste rock dumps or tailings storage facilities; exchange rate fluctuations; compliance with foreign laws; potential for the allegation of fraud and corruption involving the Company, its customers, suppliers or employees, or the allegation of improper or discriminatory employment practices, or human rights violations; risks relating to dilution; risks relating to payment of dividends; counterparty and customer concentration risks; activist shareholders and proxy solicitation matters; estimation of asset carrying values; relationships with employees and contractors, and the potential for and effects of labour disputes or other unanticipated difficulties with or shortages of labour or interruptions in production; conflicts of interest; existence of significant shareholders; challenges or defects in title; internal controls; risks relating to minor elements contained in concentrate products; the threat associated with outbreaks of viruses and infectious diseases; mining rates and rehabilitation projects; mill shut downs; and other risks and uncertainties, including but not limited to those described in the "Risks and Uncertainties" section of the Company's MD&A for the three and six months ended June 30, 2024 and the "Risks and Uncertainties" section of the Company's Annual Information Form for the year ended December 31, 2023, which are available on SEDAR+ at www.sedarplus.com under the Company's profile.

All of the forward-looking information in this document are qualified by these cautionary statements. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information, there may be other factors that cause results not to be as anticipated, estimated, forecasted or intended and readers are cautioned that the foregoing list is not exhaustive of all factors and assumptions which may have been used. 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 information. Accordingly, there can be no assurance that forward-looking information will prove to be accurate and forward-looking information is not a guarantee of future performance. Readers are advised not to place undue reliance on forward-looking information. The forward-looking information contained herein speaks only as of the date of this document. The Company disclaims any intention or obligation to update or revise forward‐looking information or to explain any material difference between such and subsequent actual events, except as required by applicable law.

Lundin Mining Announces Labour Agreement at Caserones Mine (CNW Group/Lundin Mining Corporation)

SOURCE Lundin Mining Corporation

Cision

View original content to download multimedia: http://www.newswire.ca/en/releases/archive/August2024/24/c3376.html

Alphamin Resources Corp.

GRAND BAIE, MAURITIUS, Aug. 23, 2024 (GLOBE NEWSWIRE) — Alphamin Resources Corp. (AFM:TSXV, APH:JSE AltX)( “Alphamin” or the “Company”) announced today the filing of its unaudited consolidated financial statements and accompanying Management’s Discussion and Analysis for the quarter ended 30 June 2024 on SEDAR+ at www.sedarplus.ca, an exploration update and the timing of dividends.

Exploration Update

Following completion of the Bisie mine expansion, the Company intends to commence with ongoing exploration drilling from Q4 2024. The exploration objectives are to:

Increase the Mpama North and Mpama South resource base and life of mine

Discover the next tin deposit in close proximity to the Bisie mine

Ongoing grassroots exploration in search of remote tin deposits

Initial drilling is planned at Mpama North from an underground exploration drive at level 16 which is 250m below the first mining level and extending 200m beyond the northern extremity of the orebody. Development of this drive is nearing completion with drilling to commence early Q4 2024. Exploration holes are planned in multiple directions on strike and at depth. Additional underground exploration drives are planned from level 20 beyond the southern end of the Mpama North orebody. Surface drilling is planned to commence in Q4 2024 at Mpama South and between Mpama North and Mpama South targeting extensions at depth and on strike further south. These initiatives are not only planned to increase life of mine but also to yield valuable information towards discovering additional tin deposits in close proximity. In addition, an external review of all exploration data to date is expected to guide incremental drilling initiatives from 2025.

Timing of semi-annual dividends

In line with prior periods, the Board intends to consider the declaration of semi-annual dividends being a final dividend and an interim dividend in April and early October of each year. The dates of these dividend declarations are intended to be aligned with the timing of holding of meetings of Alphamin Bisie Mining SA (ABM), the Company’s 84.14% DRC operating subsidiary, to approve ABM’s annual and interim financial statements and to consider the declaration of a dividend for distribution to shareholders of ABM.

Qualified Person

Mr. Jeremy Witley, Pr. Sci. Nat., BSc. (Hons) Mining Geology, MSc (Eng), is a qualified person (QP) as defined in National Instrument 43-101 and has reviewed and approved the scientific and technical information contained in this news release. He is Head of Mineral Resources at the MSA Group (Pty) Ltd and is an independent technical consultant to the Company.

_________________________________________________________________________________________

FOR MORE INFORMATION, PLEASE CONTACT:

Maritz Smith CEO Alphamin Resources Corp. Tel: +230 269 4166E-mail: msmith@alphaminresources.com

CAUTION REGARDING FORWARD LOOKING STATEMENTS

Information in this news release that is not a statement of historical fact constitutes forward-looking information. Forward-looking statements contained herein include, without limitation, statements relating to the timing and declaration of dividends and planned exploration activities. Forward-looking statements are based on assumptions management believes to be reasonable at the time such statements are made. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. Although Alphamin has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. Factors that may cause actual results to differ materially from expected results described in forward-looking statements include, but are not limited to: uncertainties regarding the price of tin on the international markets, the level of tin production and ability to sell product, uninterrupted supply of equipment and consumables to effectively run the operation, adverse political events and risks of security related incidents which may impact the operation or safety of its people as well as those risk factors set out in the Company’s annual Management Discussion and Analysis and other disclosure documents available under the Company’s profile at www.sedarplus.ca. Forward-looking statements contained herein are made as of the date of this news release and Alphamin disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events or results or otherwise, except as required by applicable securities laws.

Neither the TSX Venture Exchange nor its regulation services provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this news release.

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