The S&P/TSX Composite Index rose 2.22% to 17,396.56 during the Nov. 23-Nov. 27 trading week. The S&P/TSX Global Mining Index increased by 0.27% to 94.34, and the S&P/TSX Global Base Metals Index jumped 5.85% to 125.88. Spot gold dropped US$67.30 per oz., or 3.62%, to US$1,787.70 per oz., and the S&P/TSX Global Gold Index fell by 4.85% to 308.12.
Lundin Mining rose $1.27 to $10.32 per share. A union that went on strike for more than a month at the company's Candelaria copper mine in Chile has accepted a new 35-month collective agreement, the company reported on Nov. 27. The Candelaria Mine Workers Union represents about 350 workers at the mine. The company has reached agreements this year with all five unions representing employees at the Candelaria Copper Mining Complex. Lundin said the safe ramp-up to full capacity is underway at the mine, which produced 101,060 tonnes of copper in 2019. The company plans to reintroduce its 2020 guidance for the operation in its forthcoming annual outlook update.
Shares of Hudbay Minerals climbed 73 ? to $8.50 per share. The company announced on Nov. 25 that full production had resumed at its 777 zinc-copper mine in Flin Flon, Manitoba, following a skip hoist incident in October that forced the company to temporarily halt operations. The Toronto-based company resumed limited operations in late October, while completing repairs to the damaged shaft, which cost less than the initial $5 million estimate, the company said. Hudbay temporarily reassigned equipment and staff from the 777 mine to the Lalor mine in Snow Lake in an effort to offset lost production. The miner said that while fourth-quarter production and sales volumes will be impacted, it continues to expect its Manitoba business unit to achieve its full-year production and unit cost targets for 2020. The 777 mine is near the end of its productive life, with closure slated for 2022.
Nevada Copper rose 3 ? to 12 ? per share. The company has agreed to non-binding terms with its senior lender, KfW IPEX-Bank, for a new $15 million loan, with a three-year tenor, at an interest rate of LIBOR plus 4.9%. The new KfW loan is expected to have a 12-month repayment holiday period. In addition, amortization and debt service account payments under the company's existing senior project loan facility with KfW are expected to be deferred until 2023. The company is focused on continued production ramp-up at its Pumpkin Hollow underground mine in Nevada, which started production in December 2019. The underground mine is capable of producing 50 million lb. of copper per year over a 13.5-year mine life.