===== SIDA 1 ===== 2024 Annual Filings December 31, 2024 ===== SIDA 2 ===== Management’s Discussion and Analysis For the year ended December 31, 2024 This management’s discussion and analysis (“MD&A”) has been prepared as of February 19, 2025 and should be read in conjunction with the Company’s consolidated audited financial statements for the year ended December 31, 2024 ("the Consolidated Financial Statements"). The Consolidated Financial Statements are prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS Accounting Standards”). The Company’s presentation currency is United States (“US”) dollars. Reference herein of $ or USD is to United States dollars, ARS is to Argentine pesos, BRL is to Brazilian reais, C$ is to Canadian dollars, CLP is to Chilean pesos, € refers to euros, and SEK is to Swedish kronor. "This quarter" or "The quarter" means the fourth quarter ("Q4") of 2024. "This year" or "The year" means the year ended December 31, 2024. Reference to "discontinued operations" is to Neves-Corvo and Zinkgruvan. About Lundin Mining Lundin Mining Corporation (“Lundin Mining” or the “Company”) is a diversified Canadian base metals mining company with projects or operations focused in the Americas and primarily producing copper, gold and nickel. On December 9, 2024, the Company announced that it had entered into a definitive agreement with Boliden AB ("Boliden") to sell its interest in the Neves-Corvo and Zinkgruvan mines located in Portugal and Sweden, respectively. The transaction is expected to close in mid-2025 subject to customary conditions and regulatory approvals. These assets are reported as assets held for sale and their associated liabilities as liabilities held for sale in the Company's Consolidated Financial Statements and MD&A, and the results from their operations are reported as discontinued operations. For further information refer to Note 3 of the Consolidated Financial Statements. Table of Contents Highlights ............................................................................................................................................................................... 1 Outlook .................................................................................................................................................................................. 6 Selected Fourth Quarter and Annual Financial Information ................................................................................................. 7 Selected Quarterly Financial Information .............................................................................................................................. 9 Summary of Quarterly Results ............................................................................................................................................... 10 Revenue Overview ................................................................................................................................................................. 11 Financial Results ..................................................................................................................................................................... 14 Fourth Quarter Financial Results ........................................................................................................................................... 17 Mining Operations ................................................................................................................................................................. 19 Vicuña Projects ....................................................................................................................................................................... 34 Exploration Update ................................................................................................................................................................ 34 Liquidity and Capital Resources ............................................................................................................................................. 35 Non-GAAP and Other Performance Measures ...................................................................................................................... 39 Other Information and Advisories ......................................................................................................................................... 48 Outstanding Share Data ......................................................................................................................................................... 50 ===== SIDA 3 ===== 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 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; the Company’s integration of acquisitions and expansions and any anticipated benefits thereof, including the anticipated project development and other plans and expectations with respect to the 50/50 joint arrangement with BHP; the timing and completion of the sale of the Company’s European assets; 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, gold, zinc, nickel and other metals; anticipated costs; ability to achieve goals; the prompt and effective integration of acquisitions and the realization of synergies and economies of scale in connection therewith; 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, such information is 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: dependence on international market prices and demand for the metals that the Company produces; political, economic, and regulatory uncertainty in 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; 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; risks relating to mine closure and reclamation obligations; health and safety hazards; inherent risks of mining, not all of which related risk events are insurable; risks relating to tailings and waste management facilities; risks relating to the Company’s indebtedness; challenges and conflicts that may arise in partnerships and joint operations; risks relating to development projects; risks that revenue may be significantly impacted in the event of any production stoppages or reputational damage in Chile; the impact of global financial conditions, market volatility and inflation; business interruptions caused by critical infrastructure failures; challenges of effective water management; exposure to greater foreign exchange and capital controls, as well as political, social and economic risks as a result of the Company’s operation in emerging markets; risks relating to stakeholder opposition to continued operation, further development, or new development of the Company’s projects and mines; any breach or failure information systems; risks relating to reliance on estimates of future production; risks relating to litigation and administrative proceedings which the Company may be subject to from time to time; risks relating to acquisitions or business arrangements; risks relating to competition in the industry; failure to comply with existing or new laws or changes in laws; challenges or defects in title or termination of mining or exploitation concessions; the exclusive jurisdiction of foreign courts; the outbreak of infectious diseases or viruses; risks relating to taxation changes; receipt of and ability to maintain all permits that are required for operation; minor elements contained in concentrate products; changes in the relationship with its employees and contractors; the Company’s Mineral Reserves and Mineral Resources which are estimates only; payment of dividends in the future; compliance with environmental, health and safety laws and regulations, including changes to such laws or regulations; interests of significant shareholders of the Company; asset values being subject to impairment charges; potential for conflicts of interest and public association with other Lundin Group companies or entities; activist shareholders and proxy solicitation firms; risks associated with climate change; the Company's common shares being subject to dilution; ability to attract and retain highly skilled employees; reliance on key personnel and reporting and oversight systems; reliance on key personnel and reporting and oversight systems; risks relating to the Company's internal controls; counterparty and customer concentration risk; risks associated with the use of derivatives; exchange rate fluctuations; the completion of the sale of the Company’s European assets; and other risks and uncertainties, including but not limited to those described in the "Risks and Uncertainties” section of this MD&A and the “Risks and Uncertainties” section of the Company’s Annual Information Form for the year ended December 31, 2024, which are available on SEDAR+ at www.sedarplus.ca under the Company’s profile. All of the forward-looking information in this document is 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. ===== SIDA 4 ===== Highlights For the year ended December 31, 2024, the Company generated annual revenue from continuing operations of $3.4 billion (2023 - $2.7 billion). Revenue from discontinued operations was $694.8 million (2023 - $648.6 million), and the combination of revenue from continuing operations and discontinued operations ("all operations") was an annual record for the Company of $4.1 billion (2023 - $3.4 billion). Revenue in 2024 benefited from increased realized copper and gold prices, combined with record production of 369,067 tonnes of copper, record production of 191,704 tonnes of zinc, and 158 thousand ounces ("koz") of gold, which achieved the Company's most recently disclosed annual guidance for these metals. Net loss in 2024 for all operations of $61.3 million (2023 - $315.2 million net earnings) included $153.4 million earnings from continuing operations (2023 - $276.9 million) and were impacted by non-cash impairments totaling $254.2 million ($186.1 million net of tax) relating to Eagle, Suruca (Chapada) and Alcaparrosa (Ojos complex at Candelaria). Additionally, net loss benefited from a $28.3 million ($18.7 million net of tax) non-cash partial reversal of a previous long-term ore stockpile inventory write-down at Chapada. Net loss in 2024 also included a $214.7 million net loss from discontinued operations which was impacted by a non-cash impairment of $291.2 million ($270.3 million net of tax) related to the sale of Neves-Corvo. Excluding impairments and other items, s trong annual production in 2024 resulted in adjusted earnings 1 (all operations) of $358.9 million (2023 - $336.2 million) and adjusted EBITDA1 (all operations) of $1,707.0 million (2023 - $1,363.5 million). Adjusted EBITDA1 — continuing operations in 2024 amounted to $1,461.8 million (2023 - $1,145.6 million). In 2024, f ree cash flow from operations 1 (all operations) of $873.0 million (2023 - $345.1 million) and free cash flow 1 (all operations) of $571.2 million (2023 - $13.5 million) benefited from increased revenue, positive working capital inflows and a reduction in sustaining capital expenditure1. For the quarter ended December 31, 2024, the Company generated revenue from continuing operations of $858.9 million (Q4 2023 - $893.4 million) and from discontinued operations of $165.0 million (Q4 2023 - $166.6 million). Net loss in the quarter from continuing operations was $159.6 million (Q4 2023 - net earnings of $40.4 million) and from discontinued operations was $244.8 million (Q4 2023 - net earnings of $26.3 million), and in both cases were impacted by impairments. Net loss in the quarter from continuing operations was also impacted by the non-cash partial reversal of a previous long- term ore stockpile inventory write-down at Chapada. E xcluding impairments and other items, adjusted earnings (all operations) in the quarter was $119.2 million (Q4 2023 - $79.7 million) and adjusted EBITDA (all operations) was $425.6 million (Q4 2023 - $419.7 million). Adjusted earnings (all operations) during the quarter benefitted from higher gross profit as well as a $41.5 million deferred tax recovery as a result of an annual recognition of deferred tax assets at Caserones to utilize accumulated tax losses. At December 31, 2024, the Company had net debt excluding lease liabilities1 of $1,332.3 million (December 31, 2023 - $946.2 million). 1 1 This is a non-GAAP measure - see section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. ===== SIDA 5 ===== Operational Performance Candelaria (80% owned): Candelaria produced, on a 100% basis, 162,487 tonnes of copper, approximately 93,000 ounces of gold and 2.0 million ounces of silver during the year. Copper and gold production benefited from planned higher grade ore from Phase 11 and in the second half of the year, the operation produced 98,970 tonnes of copper which was one of its best second-half performances in its 30 year history. In late 2024 production from Phase 11 shifted to lower average grades, resulting in annual copper production slightly below the most recently published guidance range. In 2025 production will continue to be sourced primarily from Phase 11 with a planned reduction in average copper grades from those realized in the second half of 2024. Annual gold production was within the most recently disclosed annual guidance range. Copper cash cost1 of $1.73/lb was within the most recently disclosed 2024 cash cost guidance range and benefitted from higher sales volumes, favourable foreign exchange, and higher by-product credits. Caserones (70% owned): Caserones produced , on a 100% basis, 124,761 tonnes of copper and 3,183 tonnes of molybdenum, both within the most recently disclosed 2024 annual production guidance ranges. Production during the year was impacted by labour action in August which reduced throughput to approximately 50% capacity over a 14-day period. Mine sequencing changes as a result of hydrogeologic conditions in Phase 5 reduced grades and impacted recoveries in the mill during the quarter. Copper cathode production was positively impacted by increased irrigation pattern on the dump leach pad. Copper cash cost1 of $2.51/lb was below the low end of the most recently disclosed cash cost guidance range and benefitted from higher by-product credits and favourable foreign exchange. Chapada (100% owned): Chapada produced 43,261 tonnes of copper and approximately 65,000 ounces of gold during the year, both metals were within the most recently disclosed 2024 production guidance ranges. An optimized mine plan led to a significant reduction in overall material movement, including waste and ore, and contributed to lower production costs. Increased processing of ore from the older low-grade stockpile and North pit resulted in lower copper production due to lower grades and recoveries. Gold production benefited from higher grades and throughput as emphasis was placed on gold in the current elevated gold price environment. Production costs during the year also benefited from a weakening of the BRL against the USD. Copper cash cost1 of $1.58/lb was within the most recently disclosed 2024 cash cost guidance range and benefited from higher by-product credits and favourable foreign exchange. Eagle (100% owned): Eagle produced 7,486 tonnes of nickel and 6,366 tonnes of copper during the year. Production was impacted by reduced mining rates following a fall of ground in the lower ramp in May, which limited access to Eagle East while ramp rehabilitation was completed. During the quarter mining re-commenced at Eagle East and normal throughput is expected to resume in Q1 2025. Both metals were within the most recently disclosed 2024 production guidance ranges. Production costs decreased in line with lower production and sales. Nickel cash cost1 of $4.20/lb was above the most recently disclosed 2024 cash cost guidance range due to mining rates not recovering as quickly as expected in the quarter. Neves-Corvo (100% owned): Neves-Corvo produced 28,228 tonnes of copper and a record 109,571 tonnes of zinc during the year. Copper production was within the most recently disclosed production guidance range and zinc production benefited from higher throughput as a result of the zinc expansion project, although was slightly below the most recently disclosed annual production guidance range. Production costs during the year decreased in line with sales volumes. Annual copper cash cost1 of $2.19/lb benefited from higher by-product credits but exceeded the most recently disclosed 2024 cash cost guidance range as a result of lower than expected sales volumes. Zinkgruvan (100% owned): Record zinc production of 82,133 tonnes and lead production of 30,888 tonnes during the year were driven by higher throughput, grades and recoveries. Annual zinc production was within the most recently disclosed 2024 production guidance range. Production costs during the year increased in line with higher zinc and lead production and sales volumes. Zinc cash cost1 of $0.41/lb was within the most recently disclosed 2024 cash cost guidance range. 2 1 This is a non-GAAP measure - see section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. ===== SIDA 6 ===== 2024 Production, Cash Cost and Capital Expenditure Summary Total 2024 production, cash costs and capital expenditures are compared to the most recent 2024 guidance as follows: Production Cash Cost ($/lb)a (Contained metal in concentrate) Actual Guidanceb Actual Guidanceb Copper (t) Candelaria (100%) 162,487 165,000 - 173,000 1.73 1.60 – 1.80 Caserones (100%) 124,761 121,000 - 125,000 2.51 2.60 – 2.80 Chapada 43,261 43,000 - 48,000 1.58 1.55 – 1.65 Eagle 6,366 6,000 - 8,000 Total from continuing operations 336,875 Neves-Corvo 28,228 27,000 - 30,000 2.19 1.95 – 2.15 Zinkgruvan 3,964 4,000 - 5,000 Total 369,067 366,000 - 389,000 Zinc (t) Neves-Corvo 109,571 111,000 - 116,000 Zinkgruvan 82,133 79,000 - 83,000 0.41 0.40 – 0.45 Total from discontinued operations 191,704 190,000 - 199,000 Gold (koz) Candelaria (100%) 93 92 - 102 Chapada 65 63 - 68 Total 158 155 - 170 Nickel (t) Eagle 7,486 7,000 - 9,000 4.20 3.70 – 3.90 Molybdenum (t) Caserones (100%) 3,183 2,800 - 3,300 2024 Capital Expenditurec ($ thousands) Actual Guidanceb Candelaria (100%) 275,720 275,000 Caserones (100%) 143,965 135,000 Chapada 107,843 110,000 Eagle 21,222 25,000 Other 350 — Total from continuing operations 549,100 Neves-Corvo 89,302 110,000 Zinkgruvan 65,658 65,000 Total Sustaining Capital 704,060 720,000 Expansionary - Josemariad 243,566 230,000 Total Capital Expenditures 947,626 950,000 a. Cash cost is a non-GAAP measure - see Section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. b. Guidance as disclosed in the Company's MD&A for the three and nine months ended September 30, 2024 with trending commentary in the MD&A for the three and nine months ended September 30, 2024. c. Sustaining capital expenditure is a supplementary financial measure and expansionary capital expenditure is a non-GAAP measure – see Section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. d. Expansionary Capital Expenditure excludes capitalized interest. 3 ===== SIDA 7 ===== Corporate Updates • On February 12, 2025, the Company reported its Mineral Resource and Mineral Reserve estimates as at December 31, 2024 (or as otherwise specified). • On January 30, 2025, t he Company announced that it received notice from the Superintendencia del Medio Ambiente ("SMA") following investigative proceedings involving the sinkhole that occurred at the Alcaparrosa mine located in the Candelaria complex in 2022. The notice levies a fine of $3.3 million and orders the continued closure of the Alcaparrosa mine, based on four violations investigated. Mining operations at Alcaparrosa have been suspended since the incident occurred in 2022 while operations at the Candelaria mine continue unaffected. As a result of the permanent mine closure, a $55.9 million impairment ($41.6 million net of tax) was recorded in December 2024. • On January 15, 2025, the Company announced the completion of the joint acquisition (the “Filo Acquisition”) with BHP Investments Canada Inc. ("BHP") of all of the issued and outstanding common shares (the "Filo Shares") of Filo Corp. ("Filo") not already owned by Lundin Mining, BHP and their respective affiliates. Concurrently, Lundin Mining and BHP have formed a 50/50 joint arrangement, Vicuña Corp. (the “Joint Arrangement” or “Vicuña”), holding the Filo del Sol project (“FDS”) and the Josemaria project, collectively the ("Vicuña Projects"). On completion, BHP paid Lundin Mining a cash consideration of $690 million for a 50% interest in the Josemaria project and Lundin Mining paid C$877.8 million in cash and 94.1 million Lundin Mining shares to Filo shareholders for its 50% interest in Filo. • On December 9, 2024, the Company announced that it signed a definitive agreement with Boliden to sell its Neves- Corvo operation in Portugal and Zinkgruvan operation in Sweden to Boliden AB. Under the terms of the agreement, Lundin Mining will receive upfront cash consideration of $1.37 billion upon closing, based on a cash-free and debt-free enterprise value of $1.3 billion as of an August 31, 2024 lock box date. In addition, Lundin Mining will receive up to $150 million in contingent cash consideration upon satisfaction of certain conditions. The transaction is not subject to shareholder approval or any financing conditions. The transaction is anticipated to close in mid-2025, subject to the completion of customary conditions and regulatory approvals. • On July 2, 2024, the Company completed the exercise of its option to acquire an additional 19% interest in the issued and outstanding equity of SCM Minera Lumina Copper Chile (“Lumina Copper”), bringing the Company's interest in Caserones from 51% to 70%. The acquisition was initially financed by a $350 million draw from the Company's revolving credit facility ("RCF"). On August 2, 2024 the draw was repaid with proceeds from a $350 million increase in the Company's existing $800 million term loan (the "Term Loan"), currently maturing on July 27, 2027, and increasing the principal amount to $1,150 million. • On May 23, 2024, the Company amended the terms of the RCF and the Term Loan to establish sustainability performance targets whereby the interest rate margin in the facilities will be adjusted based on the Company's performance relative to the targets. In July 2024, the Company published its 2023 Sustainability Report which highlights the Company's material environment, health & safety, governance and social performance during the year. • On February 12, 2024, the Company reported an employee fatality at the Neves-Corvo Mine in Portugal. Operations were voluntarily suspended and restarted on February 15, 2024. 2024 Financial Performance • Gross profit from continuing operations for the year of $942.9 million was $341.3 million higher than in the prior year comparable period of $601.5 million. The increase is primarily due to higher realized copper and gold prices, higher production, the inclusion of Caserones results for the full year (acquired on July 13, 2023), and the non-cash partial reversal of a previous long-term ore stockpile inventory write-down at Chapada. Gross profit from discontinued operations was $94.2 million (2023 - $50.8 million). • Net earnings from continuing operations for the year of $153.4 million decreased from the prior year comparable period of $276.9 million. Net earnings were impacted by non-cash impairments recognized in the fourth quarter including $104.9 million ($82.8 million net of tax) relating to the Eagle mine due to a decline in nickel prices and prolonged rehabilitation of the Eagle East ramp, $93.4 million ($61.7 million net of tax) related to the Suruca gold deposit near Chapada following the removal of reserves and $55.9 million ($41.6 million net of tax) due to the continued closure of the Alcaparrosa mine within the Candelaria mining complex . Additionally, net earnings benefited 4 ===== SIDA 8 ===== from a $28.3 million ($18.7 million net of tax) non-cash partial reversal of of a previous long-term ore stockpile inventory write-down at Chapada. Net loss from discontinued operations was $214.7 million and include a non-cash impairment of $291.2 million ($270.3 million net of tax) to align the carrying value of Neves-Corvo with expected cash consideration for this asset. The reduction in carrying value for Neves-Corvo is expected to result in a gain on sale for the disposal group as a whole, upon closing of the transaction. • Adjusted earnings 1 (all operations) for the year of $358.9 million, increased from the prior year comparable period of $336.2 million as a result of higher gross profit, partially offset by reduced foreign exchange and trading gains on debt and equity investments supporting capital funding for the Josemaria Project and higher interest expense as a result of higher debt during the year. • Cash provided by operating activities related to continuing operations for the year of $1,300.8 million represented an increase of $473.6 million from the prior year comparable period of $827.2 million. The increase was primarily due to higher gross profit and positive working capital inflows including net collections of trade receivables, timing of tax payments and $45.0 million in payments received by Caserones relating to two shipments of copper concentrate scheduled for December 2024 that were delayed to early January due to certain operational and weather-related issues. Cash provided by operating activities related to discontinued operations for the year was $218.0 million (2023 - $189.4 million). • For the year, sustaining capital expenditures from continuing operations of $549.1 million were lower than in the prior year comparable period of $571.2 million. The net reduction was primarily due to lower spending at Candelaria from reduced deferred stripping in 2024 and lower spending on the Los Diques tailing storage facility. These reductions were partially offset by increased deferred stripping and water management expenditures at Chapada, and the addition of Caserones' sustaining capital expenditures for the full year. Expansionary capital expenditures 1 of $243.6 million for the year were lower than in the prior year comparable period of $275.9 million, as a result of optimized spending on the Josemaria Project before formation of the Vicuña Joint Arrangement. Sustaining capital expenditures related to Neves- Corvo and Zinkgruvan were $89.3 million and $65.7 million, respectively, for the year. • Free cash flow 1 (all operations) for the year of $571.2 million was higher than in the prior year comparable period of $13.5 million primarily due to increased cash provided by operating activities. Free cash flow from discontinued operations for the year was $63.0 million. 2024 Financial Position and Financing • Cash and cash equivalents at continuing operations as at December 31, 2024 were $357.5 million. As indicated above, cash provided by operating activities related to continuing operations of $1,300.8 million in the year was used to fund investing activities from continuing operations of $855.4 million, which primarily includes $807.3 million investment in mineral properties, plant and equipment, $41.7 million subscription for Filo shares to provide interim financing to Filo and the final $25.0 million payment of contingent consideration for the acquisition of Chapada. Cash used in financing activities related to continuing operations of $349.8 million was comprised primarily of funds used to exercise the Company's option to acquire an additional 19% interest in Caserones for $350.0 million, which was funded by debt proceeds, $202.5 million dividends paid to shareholders and $152.0 million in distributions paid to non-controlling interests. • As at December 31, 2024, the Company had net debt1 of $1,597.8 million and net debt excluding lease liabilities of $1,332.3 million. • As at February 19, 2025, the Company had cash of approximately $407.1 million and net debt excluding lease liabilities of approximately $1,322.4 million. Net cash in Vicuña is included on a 50% basis to represent Lundin Mining's attributable share. Cash and net debt balances include assets and liabilities classified as held-for-sale. 5 1 This is a non-GAAP measure - see section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. ===== SIDA 9 ===== 2025 Outlook On January 16, 2025, the Company announced its production, cash cost, capital expenditures and exploration investment guidance for 2025. 2025 Production and Cash Cost Guidance Guidancea (contained metal) Production Cash Cost ($/lb)b Copper (t) Candelaria (100%) 140,000 – 150,000 1.80 – 2.00c Caserones (100%) 115,000 – 125,000 2.40 – 2.60 Chapada 40,000 – 45,000 1.80 – 2.00d Eagle 8,000 – 10,000 Total 303,000 – 330,000 2.05 – 2.30 Gold (koz) Candelaria (100%) 78 – 88 Chapada 57 – 62 Total 135 – 150 Nickel (t) Eagle 8,000 – 11,000 3.05 – 3.25 a. Guidance as outlined in the news release 'Lundin Mining Announces Record Production Results for 2024 and Provides 2025 Guidance' dated January 16, 2025. b. 2025 cash costs are based on various assumptions and estimates, including but not limited to: production volumes, commodity prices (Cu: $4.40/lb, Au: $2,500/oz, Mo: $17.00/lb, Ag: $30.00/oz), foreign exchange rates (USD/CLP:900, USD/BRL:5.50) and operating costs. Cash cost is a non-GAAP measure - see section 'Non-GAAP and Other Performance Measures' of this MD&A for discussion. c. 68% of Candelaria's total gold and silver production are subject to a streaming agreement. Cash costs are calculated based on receipt of approximately $433/oz gold and $4.32/oz silver. d. Chapada's cash cost is calculated on a by-product basis and does not include the effects of its copper stream agreements. Effects of the copper stream agreements are reflected in copper revenue and will impact realized price per pound. 2025 Capital Expenditure Guidanceb ($ millions) Guidancea Candelaria (100% basis) 205 Caserones (100% basis) 215 Chapada 85 Eagle 25 Total Sustaining 530 Expansionary - Candelaria (100% basis) 50 Expansionary - Vicuña Joint Arrangement (50% basis) 155 Total Capital Expenditures 735 a. Guidance as outlined in the news release 'Lundin Mining Announces Record Production Results for 2024 and Provides 2025 Guidance' dated January 16, 2025. b. Sustaining capital expenditure is a supplementary financial measure, and expansionary capital expenditure is a non-GAAP measure – see Section "Non- GAAP and Other Performance Measures" of this MD&A for discussion. 2025 Exploration Investment Guidance Total exploration expenditure guidance for 2025 is $40 million. 6 ===== SIDA 10 ===== 2024 Selected Fourth Quarter and Annual Financial Information Three months ended December 31, Year ended December 31, ($ millions continuing operations except where noted) 2024 2023 2024 2023 2022 Revenue 858.9 893.4 3,422.6 2,743.4 2,315.6 Costs of goods sold: Production costs (486.9) (533.8) (1,898.6) (1,644.0) (1,216.6) Depreciation, depletion and amortization (148.0) (181.9) (607.7) (497.9) (416.2) Inventory (write-down) reversal 26.6 — 26.6 — (62.5) Gross profit 250.6 177.8 942.9 601.5 620.3 Net earnings from continuing operations attributable to: Lundin Mining shareholders (195.3) 12.5 11.1 203.2 277.2 Non-controlling interests 35.7 28.0 142.2 73.7 36.7 Net earnings (loss) from continuing operations (159.6) 40.4 153.4 276.9 313.9 Net earnings (loss) from discontinued operations (244.8) 26.3 (214.7) 38.4 149.7 Net earnings attributable to: Lundin Mining shareholders (440.2) 38.8 (203.5) 241.6 426.9 Non-controlling interests 35.7 28.0 142.2 73.7 36.7 Net earnings (404.4) 66.8 (61.3) 315.2 463.6 Adjusted earnings1 (all operations) 119.2 79.7 358.9 336.2 482.8 Adjusted earnings1 — continuing operations 94.8 72.4 291.7 287.5 326.6 Adjusted earnings1 — discontinued operations 24.4 7.3 67.2 48.7 156.1 Adjusted EBITDA1 (all operations) 425.6 419.7 1,707.0 1,363.5 1,292.5 Adjusted EBITDA1 — continuing operations 368.2 367.6 1,461.8 1,145.6 953.6 Adjusted EBITDA1 — discontinued operations 57.4 52.1 245.2 217.9 338.9 Cash provided by operating activities (all operations) 620.3 306.1 1,518.9 1,016.6 876.9 Cash provided by operating activities related to continuing operations 547.3 249.9 1,300.8 827.2 616.0 Cash provided by operating activities related to discontinued operations 73.0 56.2 218.0 189.4 260.9 Adjusted operating cash flow1 (all operations) 313.9 362.0 1,302.6 1,024.2 992.9 Adjusted operating cash flow1 — continuing operations 251.8 305.4 1,080.0 847.3 740.1 Adjusted operating cash flow1 — discontinued operations 62.1 56.7 222.6 176.9 252.9 Free cash flow from operations1 (all operations) 466.0 116.8 873.0 345.1 381.4 Free cash flow from operations1 — continuing operations 423.6 95.7 797.1 300.0 230.7 Free cash flow from operations1 — discontinued operations 42.5 21.0 75.9 45.1 150.7 Free cash flow1 (all operations) 397.9 61.2 571.2 13.5 34.1 Free cash flow1 — continuing operations 360.0 43.6 508.2 (19.9) (75.6) Free cash flow1 — discontinued operations 37.9 17.6 63.0 33.4 109.6 Capital expenditures2 — continuing operations 191.3 205.3 807.3 857.1 691.6 Capital expenditures2 — discontinued operations 35.2 38.6 155.0 156.0 151.3 1 This is a non-GAAP measure - see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. 2 Capital expenditures are reported on a cash basis, as presented in the consolidated statement of cash flows. 7 ===== SIDA 11 ===== Three months ended December 31, Year ended December 31, 2024 2023 2024 2023 2022 Per share amounts: Basic and diluted (loss) earnings from continuing operations per share ("EPS") attributable to shareholders (0.25) 0.02 0.01 0.26 0.36 Basic and diluted (loss) earnings from discontinued operations per share ("EPS") attributable to shareholders (0.32) 0.03 (0.27) 0.05 0.20 Basic and diluted (loss) total earnings per share ("EPS") attributable to shareholders (0.57) 0.05 (0.26) 0.31 0.56 Adjusted EPS1 (all operations) 0.15 0.10 0.46 0.44 0.63 Adjusted EPS1 — continuing 0.12 0.09 0.38 0.37 0.43 Adjusted EPS1 — discontinued 0.03 0.01 0.09 0.06 0.20 Adjusted operating cash flow per share1 (all operations) 0.40 0.47 1.68 1.33 1.30 Adjusted operating cash flow per share1 — continuing 0.32 0.39 1.39 1.10 1.00 Adjusted operating cash flow per share1 — discontinued 0.08 0.08 0.29 0.23 0.30 Dividends declared (C$/share) 0.09 0.09 0.36 0.36 0.47 ($ millions) December 31, 2024 December 31, 2023 December 31, 2022 Total assets 10,406.7 10,861.2 8,172.8 Total debt and lease liabilities 2,006.2 1,485.8 197.3 Net debt excluding lease liabilities1 (1,332.3) (946.2) 16.3 1 This is a non-GAAP measure - see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. The Company's annual results have been impacted by the acquisition of the Josemaria Project in April 2022 and the acquisition of the Caserones mine in July 2023. Project development costs for the Josemaria Project were initially included in general exploration expenses but began to be capitalized from the fourth quarter of 2022, contributing to higher general exploration expenses and lower capital expenditure in 2022 as compared to 2023. The acquisition of the Caserones mine in July 2023 contributed to increases in total metal production, net earnings and capital expenditures in 2024 as compared to 2023 and 2022. Additionally, fair value adjustments of $39.9 million impacted production costs in 2023 to re-value the concentrate and in-process inventory on hand at the acquisition of the Caserones mine. Net earnings from continuing operations in 2024 were reduced by non-cash impairments including $104.9 million ($82.8 million net of tax) relating to the Eagle mine due to a decline in nickel prices and prolonged rehabilitation of the Eagle East ramp, $93.4 million ($61.7 million net of tax) related to the Suruca gold deposit near Chapada following the removal of reserves and $55.9 million ($41.6 million net of tax) due to the continued closure of the Alcaparrosa mine within the Candelaria mining complex. In 2022, net earnings from continuing operations were also reduced by a $66.8 million non-cash write-down of long-term ore stockpile inventory at Chapada. In 2024, $28.3 million of this write-down was reversed as a result of higher market expectations for long-term copper and gold prices. The $800 million Term Loan entered into in conjunction with the Caserones acquisition increased the Company's total debt in mid-2023 and then was increased by $350 million to fund the acquisition of the additional 19% interest in 2024, and has increased interest expense, reducing net earnings. From 2022, the Company has entered into derivative contracts for foreign currency, diesel, and opportunistic copper and gold derivatives, as part of its risk management strategy, with realized and unrealized gains and losses impacting net earnings. The Company has also realized foreign exchange and trading gains on debt and equity investments from mid-2022 to support capital funding for the Josemaria Project. Following the Company's announcement of a definitive agreement to sell its interest in the Neves-Corvo and Zinkgruvan mines, results from these operations are reported as discontinued operations. Net loss from discontinued operations in 2024 was impacted by $291.2 million non-cash impairment to align the carrying value of Neves-Corvo with expected cash consideration. 8 ===== SIDA 12 ===== Summary of Quarterly Results1 ($ millions, except per share data) Q4-24 Q3-24 Q2-24 Q1-24 Q4-23 Q3-23 Q2-23 Q1-23 Revenue from continuing operations 858.9 873.1 878.3 812.3 893.4 798.7 490.4 560.9 Gross profit from continuing operations 250.6 266.2 228.6 197.5 177.8 166.9 81.2 175.7 Net (loss) earnings from continuing operations (159.6) 110.6 119.4 83.0 40.4 10.4 90.9 135.1 - attributable to shareholders (195.3) 84.0 84.3 38.3 12.5 (14.4) 88.7 116.4 Net (loss) earnings from discontinued operations (244.8) 17.2 37.3 (24.4) 26.3 11.5 (29.6) 30.2 Adjusted (loss) earnings2 (all operations) 119.2 72.5 122.1 45.2 79.7 85.3 45.6 125.7 Adjusted (loss) earnings2 from continuing operations 94.8 57.2 83.4 56.4 72.4 57.8 64.9 92.4 Adjusted (loss) earnings2 from discontinued operations 24.4 15.3 38.7 (11.1) 7.3 27.5 (19.3) 33.3 Adjusted EBITDA2 (all operations) 425.6 457.7 460.9 362.9 419.7 415.1 191.8 336.9 Adjusted EBITDA2 - continuing operations 368.2 385.2 369.9 338.5 367.6 334.9 184.5 258.6 Adjusted EBITDA2 - discontinued operations 57.4 72.5 91.0 24.4 52.1 80.2 7.3 78.3 EPS - Basic and Diluted (all operations) (0.57) 0.13 0.16 0.02 0.05 — 0.08 0.19 EPS - Basic and Diluted from continuing operations (0.25) 0.11 0.11 0.05 0.02 (0.02) 0.12 0.15 EPS - Basic and Diluted from discontinued operations (0.32) 0.02 0.05 (0.03) 0.03 0.02 (0.04) 0.04 Adjusted EPS2 (all operations) 0.15 0.09 0.16 0.06 0.10 0.11 0.06 0.16 Adjusted EPS2 - continuing operations 0.12 0.07 0.11 0.07 0.09 0.07 0.08 0.12 Adjusted EPS2 - discontinued operations 0.03 0.02 0.05 (0.01) 0.01 0.04 (0.02) 0.04 Cash provided by operating activities (all operations) 620.3 139.3 491.8 267.5 306.1 303.8 194.8 211.9 Cash provided by operating activities related to continuing operations 547.3 81.4 440.1 232.2 249.9 260.4 170.0 146.9 Cash provided by operating activities related to discontinued operations 73.0 57.9 51.7 35.4 56.2 43.4 24.8 65.0 Adjusted operating cash flow per share2 (all operations) 0.40 0.39 0.48 0.41 0.47 0.41 0.14 0.30 Adjusted operating cash flow per share2 — continuing operations 0.32 0.31 0.38 0.38 0.39 0.25 0.07 0.26 Adjusted operating cash flow per share2 — discontinued operations 0.08 0.08 0.10 0.03 0.08 0.16 0.07 0.04 Capital expenditure3 from continuing operations 191.3 163.6 217.2 235.2 205.3 203.5 241.8 206.6 Capital expenditure3 from discontinued operations 35.2 41.8 41.2 36.8 38.6 39.7 38.1 39.5 1 The sum of quarterly amounts may differ from year-to-date results due to rounding. 2 This is a non-GAAP measure - see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. 3 Capital expenditures are reported on a cash basis, as presented in the consolidated statement of cash flows. 9 ===== SIDA 13 ===== On a quarterly basis the Company's revenue, gross profit and net earnings can be impacted by metal prices, sales volumes as a result of the timing of concentrate shipments, and provisional pricing adjustments on current and prior period shipments. The acquisition of the Caserones mine in July 2023 contributed to an increase in gross profit and cash flow from operations in Q3 2023 and in subsequent quarters. Additionally, fair value adjustments of $32.2 million and $7.8 million impacted production costs in Q3 2023 and Q4 2023, respectively, as in-process and concentrate inventory measured at fair value at the acquisition date was sold. An $800.0 million Term Loan was entered into in conjunction with the acquisition and was subsequently increased by $350.0 million with funds used to acquire an additional 19% of Caserones in 2024. Increased debt has increased the Company's interest expense from Q3 2023 through Q4 2024, reducing net earnings. In May 2024, a fall of ground in the lower ramp at the Eagle mine reduced mining rates while ramp rehabilitation was completed. This resulted in lower revenue as well as $9.8 million, $14.8 million, and $11.4 million of overhead costs incurred in Q2 2024, Q3 2024 and Q4 2024, respectively, reducing net earnings. As reported above, net earnings from continuing operations in Q4 2024 were reduced by non-cash impairments including $104.9 million ($82.8 million net of tax) relating to the Eagle mine due to a decline in nickel prices and prolonged rehabilitation of the Eagle East ramp, $93.4 million ($61.7 million net of tax) related to the Suruca gold deposit near Chapada following the removal of reserves and $55.9 million ($41.6 million net of tax) due to the continued closure of the Alcaparrosa mine within the Candelaria mining complex. In Q4 2024, net earnings and gross profit from continuing operations benefited from a $28.3 million non-cash partial reversal of a previous long-term ore stockpile inventory write-down at Chapada, as a result of higher market expectations for long-term copper and gold prices. In the quarters presented, the Company has entered into derivative contracts for foreign currency, diesel, copper prices and gold prices as part of its risk management strategy. Realized and unrealized gains and losses on derivative contracts and foreign exchange and trading gains on debt and equity investments are recorded in other income and expense and impact the Company's net earnings. As reported above, following the Company's announcement of a definitive agreement to sell its interest in the Neves-Corvo and Zinkgruvan mines, results from these operations are reported as discontinued operations. Net loss from discontinued operations in Q4 2024 was impacted by a $291.2 million non-cash impairment to align the carrying value of Neves-Corvo with expected cash consideration. In Q4 2024, a deferred tax recovery of $41.5 million was recorded at Caserones following a re-assessment of the estimated future utilization of accumulated tax losses. 10 ===== SIDA 14 ===== Revenue Overview Sales Volumes by Payable Metal - Continuing Operations 2024 2023 Total Q4 Q3 Q2 Q1 Total Q4 Q3 Q2 Q1 Copper (t) Candelaria (100%) 158,017 49,052 45,430 29,999 33,536 144,473 38,888 33,668 36,347 35,570 Caserones (100%)1 113,867 26,750 22,044 29,862 35,211 66,075 35,690 30,385 — — Chapada 39,615 10,200 12,380 8,293 8,742 43,761 13,080 11,445 10,164 9,072 Eagle 5,457 877 733 1,789 2,058 11,968 3,055 3,177 2,951 2,785 316,956 86,879 80,587 69,943 79,547 266,277 90,713 78,675 49,462 47,427 Gold (koz) Candelaria (100%) 89 27 26 17 19 87 23 19 23 22 Chapada 58 15 19 12 12 53 18 13 11 11 147 42 45 29 31 140 41 32 34 33 Nickel (t) Eagle 5,662 1,088 393 2,018 2,163 13,339 3,105 3,640 3,859 2,735 Molybdenum (t) Caserones (100%)1 3,056 944 581 695 836 2,019 978 1,041 — — Silver (koz) Candelaria (100%) 1,799 557 511 331 400 1,322 415 279 333 295 Chapada 96 21 24 30 21 129 37 32 29 31 Eagle 8 1 (1) 7 1 24 8 6 4 6 1,903 579 534 368 422 1,475 460 317 366 332 1 Caserones 2023 results are from July 13, 2023. Revenue Analysis Three months ended December 31, Year ended December 31, by Mine 2024 2023 Change 2024 2023 Change ($ thousands) $ % $ % $ $ % $ % $ Candelaria (100%) 449,115 52 359,023 40 90,092 1,618,936 47 1,329,599 48 289,337 Caserones (100%)1 262,971 31 317,219 36 (54,248) 1,153,625 34 601,775 22 551,850 Chapada 121,206 14 143,439 16 (22,233) 497,576 15 461,175 17 36,401 Eagle 25,583 3 73,720 8 (48,137) 152,467 4 350,895 13 (198,428) Continuing Operations 858,875 893,401 (34,526) 3,422,604 2,743,444 679,160 Neves-Corvo 97,511 59 115,823 — (18,312) 438,053 — 425,042 — 13,011 Zinkgruvan 67,455 41 50,783 — 16,672 256,748 — 223,591 — 33,157 1 Caserones 2023 results are from July 13, 2023. 11 ===== SIDA 15 ===== Three months ended December 31, Year ended December 31, by Metal 2024 2023 Change 2024 2023 Change ($ thousands, continuing operations) $ % $ % $ $ % $ % $ Copper1 688,745 80 721,998 81 (33,253) 2,807,053 82 2,121,295 77 685,758 Gold 93,582 11 74,098 8 19,484 304,538 9 235,857 9 68,681 Molybdenum1 39,579 5 28,825 3 10,754 131,021 4 77,523 3 53,498 Nickel 17,805 2 47,601 5 (29,796) 100,387 3 243,050 9 (142,663) Silver 14,122 2 10,150 1 3,972 48,839 1 30,625 1 18,214 Other 5,042 — 10,729 2 (5,687) 30,766 1 35,094 1 (4,328) 858,875 893,401 (34,526) 3,422,604 2,743,444 679,160 1 Caserones 2023 results are from July 13, 2023. Revenue from continuing operations for the year of $3,422.6 million was an increase of $679.2 million over the prior year comparable period. Revenue increases were primarily due to the inclusion of full year of Caserones copper and molybdenum revenues, as the prior year period had contribution only from July 2023, and increases in realized copper and gold prices partially offset by lower nickel sales volumes. Revenue from gold and silver for the quarter and year includes the partial recognition of an upfront purchase price on the sale of precious metals streams for Candelaria, Neves-Corvo, and Zinkgruvan as well as the cash proceeds which amount to approximately $429/oz for gold at Candelaria and $4.28/oz for silver at Candelaria and between $4.50/oz and 4.68/oz for silver at Neves-Corvo and Zinkgruvan, respectively. Chapada’s copper revenue includes the recognition of deferred revenue from copper streams acquired with the Chapada mine, as well as the cash proceeds of 30% of the market price of the copper sold under the streams, which is limited to 7.9% of Chapada's total copper production. Revenue is recorded using the metal price received for sales that settle during the reporting period. For sales that have not been settled, an estimate is used based on the expected month of settlement and the forward price of the metal at the end of the reporting period. The difference between the estimate and the final price received is recognized by adjusting revenue in the period in which the sale is settled. Settlement dates can range from one to six months after shipment. Provisionally Valued Revenue from Continuing Operations as of December 31, 2024 Metal Payable metal Valued at Copper 78,322 t $3.96 /lb Gold 35 koz $2,638 /oz Nickel 709 t $6.87 /lb Molybdenum 1,089 t $21.07 /lb 12 ===== SIDA 16 ===== Full-Year Reconciliation of Realized Prices - Continuing Operations Year ended December 31, 2024 ($ thousands) Copper Gold Nickel Molybdenum Other Total Revenue from contracts with customers1 2,922,616 361,086 97,320 136,820 82,860 3,600,702 Provisional pricing adjustments on current year concentrate sales (21,053) 10,602 (2,410) 4,121 (590) (9,330) Provisional pricing adjustments on prior year concentrate sales 22,259 1,092 6,111 (9,919) 5,245 24,788 2,923,822 372,780 101,021 131,022 87,515 3,616,160 Recognition of deferred revenue 60,599 Copper stream cash effect (18,113) Gold stream cash effect (118,697) Less: Treatment and refining charges (117,345) Total Net Sales 3,422,604 Payable Metal 316,956 t 147 koz 5,662 t 3,056 t Current period sales 2 $4.15 $2,525 $7.60 $20.92 Provisional pricing adjustments on prior year concentrate sales 0.03 7 0.49 (1.47) Realized prices 3,4 $4.18 /lb $2,532 /oz $8.09 /lb $19.45 /lb Year ended December 31, 2023 Copper Gold Nickel Molybdenum Other Total Revenue from contracts with customers1 2,266,693 277,682 296,900 82,069 75,465 2,998,807 Provisional pricing adjustments on current year concentrate sales (40,309) (560) (13,031) (4,593) (1,397) (59,889) Provisional pricing adjustments on prior year concentrate sales 17,511 1,087 (37,636) 47 (1,212) (20,203) 2,243,895 278,208 246,233 77,523 72,856 2,918,715 Recognition of deferred revenue 53,823 Copper stream cash effect (19,639) Gold stream cash effect (84,319) Less: Treatment & refining charges (125,136) Total Revenue 2,743,444 Payable Metal 266,277 t 140 koz 13,339 t 2,019 t Current period sales2 $3.79 $1,983 $9.65 $17.41 Provisional pricing adjustments on prior year concentrate sales 0.03 8 (1.28) 0.01 Realized prices3,4 $3.82 /lb $1,991 /oz $8.37 /lb $17.42 /lb 1. Revenue from contracts with customers before recognition of deferred revenue, gold and copper stream cash effects and treatment and refining charges, each of which is presented separately in the table. 2. Includes revenue from contracts with customers and provisional pricing adjustments on current year concentrate sales. 3. This is a non-GAAP measure - see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. 4. The realized price for copper inclusive of the impact of streaming agreements for 2024 is $4.15/lb (2023: $3.79/lb). The realized price for gold inclusive of the impact of streaming agreements for 2024 is $1,726/oz (2023: $1,387/oz). 13 ===== SIDA 17 ===== Annual Financial Results Production Costs Production costs from continuing operations for the year were $1,898.6 million, an increase from $1,644.0 million in the prior year comparable period. The increase in production costs was primarily as a result of the inclusion of Caserones results for a full year, as the prior year comparable period included production costs from the acquisition date, July 13, 2023. This was partially offset by lower sales volume at Eagle and Chapada and favourable foreign exchange, which reduced the production costs at Candelaria, Caserones and Chapada. Production costs from discontinued operations were $445.2 million (2023 - $442.1 million). Reversal of inventory write-down At December 31, 2024, as a result of higher market expectations for long-term copper and gold prices, the Company recognized a $28.3 million non-cash partial reversal of a previous long-term ore stockpile inventory net realizable value write-down at Chapada (December 31, 2023 - $nil). $1.7 million of the partial reversal is included in depreciation, depletion and amortization (December 31, 2023 - $nil). Depreciation, Depletion and Amortization Depreciation, depletion and amortization expense for continuing operations for the year increased compared to the prior year comparative period. The increase is primarily attributable to a full year of Caserones results compared to the prior year comparable period which had the results from acquisition in July 2023. In addition, increased deferred stripping amortization at Candelaria and Chapada contributed to higher amortization expense in the year when compared to the prior year comparative period, partially offset by lower amortization rates at Eagle due to fewer units of production. Depreciation, depletion & amortization Twelve months ended December 31, ($ thousands, continuing operations) 2024 2023 Change Candelaria 313,058 272,377 40,681 Caserones 184,054 108,489 75,565 Chapada 76,524 63,480 13,044 Eagle 33,569 52,050 (18,481) Josemaria — 38 (38) Other 539 1,439 (900) 607,744 497,873 109,871 Finance Costs Total finance costs, net, from continuing operations amounted to $141.5 million for the year and increased from $91.4 million in the prior year primarily due to higher interest expense in line with increased debt and lease liabilities. Other Income and Expense Net other expense from continuing operations for the year amounted to $24.1 million, compared to net other income of $91.8 million in the prior year. The difference is primarily related to higher unrealized losses on foreign exchange and commodity derivative contracts and reduced foreign exchange and trading gains on debt and equity investments to support capital funding for the Josemaria Project, and non-cash write-downs of capital works in progress at the Josemaria project that are no longer expected to be required. These decreases were partially offset by increased foreign exchange gains as a result of weakening of the CLP and BRL against the USD and a $11.7 million gain on the revaluation of the Caserones purchase option, prior to it being exercised during the year. Period end exchange rates having a meaningful impact on foreign exchange recorded as at December 31, 2024 were: 14 ===== SIDA 18 ===== Year ended December 31, 2024 2023 Change Brazilian Real (USD:BRL) 6.19 4.84 1.35 Chilean Peso (USD:CLP) 992 877 115 Euro (USD:€) 0.96 0.91 0.05 Swedish Kronor (USD:SEK) 11.00 9.98 1.02 Argentine Peso (USD:ARS) 1,033 808 225 Three months ended December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Brazilian Real (USD:BRL) 6.19 5.45 5.56 5.00 Chilean Peso (USD:CLP) 992 896 951 982 Euro (USD:€) 0.96 0.89 0.93 0.93 Swedish Kronor (USD:SEK) 11.00 10.10 10.65 10.69 Argentine Peso (USD:ARS) 1,033 971 912 857 The average exchange rates for each year and quarter were: Year ended December 31, 2024 2023 Change Brazilian Real (USD:BRL) 5.39 5.00 0.39 Chilean Peso (USD:CLP) 944 840 104 Euro (USD:€) 0.92 0.92 — Swedish Kronor (USD:SEK) 10.57 10.60 (0.04) Argentine Peso (USD:ARS) 916 296 620 Three months ended December 31, 2024 September 30, 2024 June 30, 2024 March 31, 2024 Brazilian Real (USD:BRL) 5.84 5.55 5.22 4.95 Chilean Peso (USD:CLP) 963 931 935 946 Euro (USD:€) 0.94 0.91 0.93 0.92 Swedish Kronor (USD:SEK) 10.78 10.42 10.68 10.39 Argentine Peso (USD:ARS) 1,002 943 887 835 Impairment Impairment of $254.2 million was recognized in earnings from continuing operations in the fourth quarter of 2024. This included $104.9 million ($82.8 million net of tax) relating to the Eagle mine due to a decline in nickel prices and prolonged rehabilitation of the Eagle East ramp, $93.4 million ($61.7 million net of tax) related to the Suruca gold deposit near Chapada following the removal of reserves and $55.9 million ($41.6 million net of tax) due to the continued closure of the Alcaparrosa mine within the Candelaria mining complex. Mine Suspension Costs Mine suspension costs of $36.1 million in 2024 represent overhead costs incurred at the Eagle mine due to a partial suspension of underground mining operations since May 2024. 15 ===== SIDA 19 ===== Discontinued Operations Following the Company's announcement of a definitive agreement to sell its interest in the Neves-Corvo and Zinkgruvan mines, results from these operations are reported as discontinued operations. Net loss from discontinued operations was $214.7 million in 2024 and include a non-cash impairment of $291.2 million ($270.3 million net of tax) to align the carrying value of Neves-Corvo with expected cash consideration for this asset. The reduction in carrying value for Neves-Corvo is expected to result in a gain on sale for the disposal group as a whole, upon closing of the transaction. Income Taxes Income tax (expense)/ recovery Year ended December 31, ($ thousands, continuing operations) 2024 2023 Change Candelaria (237,879) (135,078) (102,801) Caserones1 4,314 (19,265) 23,579 Chapada (59,059) 1,888 (60,947) Eagle 28,839 (2,899) 31,738 Josemaria 50,086 (51,266) 101,352 Other (16,274) (7,746) (8,528) (229,973) (214,366) (15,607) 1 Caserones 2023 results are from July 13, 2023. Income taxes by classification Year ended December 31, ($ thousands, continuing operations) 2024 2023 Change Current income tax (expense)/recovery (294,938) (141,432) (153,506) Deferred income tax (expense)/ recovery 64,965 (72,934) 137,899 (229,973) (214,366) (15,607) Current income tax expense in the year was higher than in the prior year comparable period primarily due to higher taxable earnings and the introduction of the mining royalty tax for Candelaria effective January 1, 2024. Compared to the prior year, the deferred income tax expense has reversed to a deferred income tax recovery due to the reversal of deferred tax liability in Josemaria as a result of tax inflation adjustments in Argentina and the decrease in deferred tax liability at Eagle due to asset impairment. This reduction in net deferred tax liability was partially offset by the effect of foreign exchange revaluation of non-monetary assets at Chapada due to the overall weakening of the BRL against the USD for the year. 16 ===== SIDA 20 ===== Fourth Quarter Financial Results Gross Profit Gross profit from continuing operations for the quarter was $250.6 million, an increase from $177.8 million in the prior year comparable quarter. The increase was primarily attributable to higher realized gold, nickel and molybdenum prices, favorable foreign exchange due to the weakening of the CLP and BRL against the USD, lower depreciation, and lower treatment and refining charges. In addition, there was a reversal of a previous non-cash inventory write-down at Chapada on the long-term ore stockpile in the amount of $28.3 million.These increases were partially offset by negative provisional pricing adjustments for the current and prior periods of $31.7 million and $46.1 million, respectively, and reduced revenue from Caserones due to two shipments of copper concentrate scheduled for December 2024 that were delayed to early January due to certain operational and weather related issues. Gross profit from discontinued operations for the quarter was $29.8 million (2023 - $11.2 million). Net Earnings Net loss from continuing operations for the quarter was $159.6 million, compared to net earnings of $40.4 million in the prior year comparable period, and was impacted by the impairments of Eagle, Suruca and Alcaparrosa, which were partially offset by a deferred tax recovery of $41.5 million at Caserones following a re-assessment of the estimated future utilization of accumulated tax losses, and $28.3 million of reversal of a non-cash inventory write-down at Chapada on the long-term stockpile. Net loss from discontinued operations for the quarter was $244.8 million, compared to net earnings of $26.3 million in the prior year comparable period, and was impacted by the impairment of Neves-Corvo. Cash Flow from Operations Cash provided by operating activities for the quarter was $547.3 million, compared to the prior year comparable quarter of $249.9 million. The increase was largely due to positive working capital inflows including collection of trade receivables at Candelaria and $45.0 million in payments received for the delayed shipments from Caserones. 17 ===== SIDA 21 ===== Fourth Quarter Reconciliation of Realized Prices - Continuing Operations Three months ended December 31, 2024 ($ thousands) Copper Gold Nickel Molybdenum Other Total Revenue from contracts with customers1 800,179 114,791 16,577 41,018 16,666 989,231 Provisional pricing adjustments on current period concentrate sales (32,830) (1,641) (270) — 3,061 (31,679) Provisional pricing adjustments on prior period concentrate sales (49,663) (1,050) 1,519 (1,439) 4,564 (46,069) 717,686 112,101 17,826 39,579 24,291 911,483 Recognition of deferred revenue 18,349 Copper stream cash effect (2,555) Gold stream cash effect (40,113) Less: Treatment and refining charges (28,289) Total Net Sales 858,875 Payable Metal 86,879 t 42 koz 1,088 t 944 t Current Period Sales2 $4.01 $2,668 $6.80 $19.71 Provisional pricing adjustments on prior period concentrate sales (0.26) (25) 0.63 (0.69) Realized prices 3,4 $3.75 /lb $2,643 /oz $7.43 /lb $19.02 /lb Three months ended December 31, 2023 Copper Gold Nickel Molybdenum Other Total Revenue from contracts with customers1 759,788 84,851 54,672 33,929 32,850 966,091 Provisional pricing adjustments on current period concentrate sales 5,848 469 (622) 6,169 5,151 17,014 Provisional pricing adjustments on prior period concentrate sales (3,088) 3,014 (6,964) (11,273) (15,760) (34,071) 762,548 88,334 47,086 28,825 22,241 949,034 Recognition of deferred revenue 13,771 Copper stream cash effect (4,987) Gold stream cash effect (23,464) Less: Treatment & refining charges (40,953) Total Revenue 893,401 Payable Metal 90,713 t 41 koz 3,105 t 978 t Current period sales2 $3.83 $2,074 $7.90 $18.60 Provisional pricing adjustments on prior period concentrate sales (0.02) 74 (1.02) (5.23) Realized prices3,4 $3.81 /lb $2,148 /oz $6.88 /lb $13.37 /lb 1. Revenue from contracts with customers before recognition of deferred revenue, gold and copper stream cash effects and treatment and refining charges, each of which is presented separately in the table. 2. Includes revenue from contracts with customers and provisional pricing adjustments on current period concentrate sales. 3. This is a non-GAAP measure - see Section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. 4. The realized price for copper inclusive of the impact of streaming agreements for 2024 is $3.74/lb (2023: $3.79/lb). The realized price for gold inclusive of the impact of streaming agreements for 2024 is $1,697/oz (2023: $1,577/oz). 18 ===== SIDA 22 ===== Mining Operations Production Overview 2024 2023 YTD Q4 Q3 Q2 Q1 Total Q4 Q3 Q2 Q1 Copper (t) Candelaria (100%) 162,487 48,772 50,018 31,170 32,527 152,012 41,618 34,275 36,952 39,167 Caserones (100%)1 124,761 31,737 29,033 29,775 34,216 65,210 35,389 29,821 — — Chapada 43,261 12,323 11,694 9,106 10,138 45,719 12,872 12,286 10,697 9,864 Eagle 6,366 1,262 1,027 1,563 2,514 13,600 3,334 3,245 3,881 3,140 Continuing Operations 336,875 94,094 91,772 71,614 79,395 276,541 93,213 79,627 51,530 52,171 Neves-Corvo 28,228 7,139 6,698 7,347 7,044 33,823 9,623 9,016 7,610 7,574 Zinkgruvan 3,964 258 1,385 747 1,574 4,434 501 1,299 917 1,717 Total 369,067 101,491 99,855 79,708 88,013 314,798 103,337 89,942 60,057 61,462 Zinc (t) Neves-Corvo 109,571 27,879 29,509 25,696 26,487 108,812 31,035 25,807 24,177 27,793 Zinkgruvan 82,133 24,067 17,101 21,764 19,201 76,349 19,684 23,967 11,938 20,760 Total 191,704 51,946 46,610 47,460 45,688 185,161 50,719 49,774 36,115 48,553 Gold (koz) Candelaria (100%) 93 28 29 17 19 90 25 20 21 24 Chapada 65 18 18 15 14 59 19 15 13 12 Total 158 46 47 32 33 149 44 35 34 36 Nickel (t) Eagle 7,486 1,617 893 1,721 3,255 16,429 3,729 4,290 4,686 3,724 Molybdenum (t) Caserones (100%)1 3,183 912 693 714 864 2,024 928 1,096 — — Lead (t) Neves-Corvo 6,395 1,553 1,851 1,387 1,604 5,600 2,030 1,447 951 1,172 Zinkgruvan 30,888 9,481 5,693 8,966 6,748 26,284 6,418 8,643 3,816 7,407 Total 37,283 11,034 7,544 10,353 8,352 31,884 8,448 10,090 4,767 8,579 Silver (koz) Candelaria (100%) 1,985 598 605 367 415 1,487 468 306 366 347 Chapada 245 69 63 55 58 258 73 67 62 56 Eagle 35 7 3 17 8 64 17 19 11 17 Continuing Operations 2,265 674 671 439 481 1,809 558 392 439 420 Neves-Corvo 1,876 494 425 433 524 1,902 573 486 407 436 Zinkgruvan 2,513 637 537 699 640 2,300 509 785 374 632 Total 6,654 1,805 1,633 1,571 1,645 6,011 1,640 1,663 1,220 1,488 19 1 Caserones 2023 results are from July 13, 2023. ===== SIDA 23 ===== Production Cost and Cash Cost Overview ($ thousand, $/lb) Three months ended December 31, Year ended December 31, ($ thousands) 2024 2023 2024 2023 Candelaria Production costs $200,970 $178,088 $726,685 $726,493 Gross cost 1.93 2.24 2.19 2.46 By-product1 (0.40) (0.46) (0.46) (0.39) Cash Cost (Cu, $/lb)2 1.53 1.78 1.73 2.07 AISC (Cu, $/lb)2 2.12 2.76 2.62 3.34 Caserones3 Production costs $200,229 $215,855 $776,192 $404,837 Gross cost 3.30 2.73 3.08 2.59 By-product1 (0.79) (0.40) (0.57) (0.60) Cash Cost (Cu, $/lb)2 2.51 2.33 2.51 1.99 AISC (Cu, $/lb)2 3.58 3.48 3.48 3.03 Chapada Production costs $64,352 $89,716 $282,633 $317,317 Gross cost 2.82 3.25 3.27 3.42 By-product1 (1.75) (1.37) (1.69) (1.15) Cash Cost (Cu, $/lb)2 1.07 1.88 1.58 2.27 AISC (Cu, $/lb)2 2.81 2.75 3.07 3.24 Eagle Production cost $21,131 $48,023 $111,919 $191,704 Gross cost 8.46 6.19 8.37 5.83 By-product1 (3.24) (3.82) (4.17) (3.67) Cash Cost (Ni, $/lb)2 5.22 2.37 4.20 2.16 AISC (Ni, $/lb)2 9.53 4.60 7.60 4.22 Neves-Corvo Production costs $73,154 $82,734 $323,163 $326,677 Gross cost 6.75 4.43 5.81 4.93 By-product1 (4.91) (2.47) (3.62) (2.56) Cash Cost (Cu, $/lb)2 1.84 1.96 2.19 2.37 AISC (Cu, $/lb)2 3.37 3.50 3.92 3.96 Zinkgruvan Production costs $29,146 $31,520 $122,064 $115,394 Gross cost 0.89 1.11 1.02 1.06 By-product1 (0.46) (0.48) (0.61) (0.63) Cash Cost (Zn, $/lb)2 0.43 0.63 0.41 0.43 AISC (Zn, $/lb)2 0.99 0.93 0.87 0.83 1 By-product is after related treatment and refining charges. 2 Cash Cost per pound sold and All-in Sustaining Cost per pound sold ("AISC") are non-GAAP measures, see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. 3 Caserones 2023 results are from July 13, 2023. 20 ===== SIDA 24 ===== Capital Expenditures1 Year ended December 31, 2024 2023 ($ thousands) Sustaining Expansionary Capitalized Interest Total Sustaining Expansionary Capitalized Interest Total Candelaria 275,720 — — 275,720 380,112 — — 380,112 Caserones2 143,965 — — 143,965 83,880 — — 83,880 Chapada 107,843 — — 107,843 72,291 — — 72,291 Eagle 21,222 — — 21,222 22,201 — — 22,201 Josemaria — 243,566 14,641 258,207 — 275,913 9,980 285,893 Other 350 — — 350 12,761 — — 12,761 Continuing Operations 549,100 243,566 14,641 807,307 571,245 275,913 9,980 857,138 Neves-Corvo 89,302 — — 89,302 102,621 — — 102,621 Zinkgruvan 65,658 — — 65,658 53,358 — — 53,358 Total 704,060 243,566 14,641 962,267 727,224 275,913 9,980 1,013,117 1 Capital expenditures are reported on a cash basis, as presented in the consolidated statement of cash flows. Sustaining capital expenditures is a supplementary financial measure and expansionary capital expenditures is a non-GAAP measure – see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. 2 Caserones 2023 results are from July 13, 2023. 21 ===== SIDA 25 ===== Candelaria (Chile) The Candelaria operations consist of an open pit and underground mines providing copper ore to two on-site processing plants located near Copiapó in the Atacama region of Chile, as well as a port facility and desalination plant located approximately 100km from the mine facilities in the town of Caldera. The Company holds an indirect 80% ownership interest in Candelaria with the remaining 20% interest indirectly held by Sumitomo Metal Mining Co., Ltd and Sumitomo Corporation. The plants have a combined processing capacity of 28 million tonnes per annum (“mtpa”), producing copper in concentrate. The primary metal is copper, with gold and silver as by-product metals. Operating Statistics 2024 2023 (100% Basis) Total Q4 Q3 Q2 Q1 Total Q4 Q3 Q2 Q1 Ore mined (kt) 36,728 12,673 10,784 8,155 5,116 25,939 7,793 5,350 6,194 6,602 Ore milled (kt) 29,186 7,600 7,183 7,094 7,309 28,903 7,609 7,168 6,924 7,202 Grade Copper (%) 0.61 0.69 0.76 0.49 0.48 0.58 0.60 0.52 0.59 0.59 Gold (g/t) 0.15 0.17 0.18 0.12 0.11 0.14 0.15 0.12 0.14 0.15 Recovery Copper (%) 91.8 93.1 92.1 89.5 91.9 91.3 90.3 91.0 91.1 92.6 Gold (%) 67.7 68.2 69.9 62.1 69.8 69.5 68.6 70.6 68.8 70.3 Production (contained metal) Copper (t) 162,487 48,772 50,018 31,170 32,527 152,012 41,618 34,275 36,952 39,167 Gold (koz) 93 28 29 17 19 90 25 20 21 24 Silver (koz) 1,985 598 605 367 415 1,487 468 306 366 347 Sales volume (payable metal) Copper (t) 158,017 49,052 45,430 29,999 33,536 144,473 38,888 33,668 36,347 35,570 Gold (koz) 89 27 26 17 19 87 23 19 23 22 Revenue ($000s) 1,618,936 449,115 473,049 366,363 330,409 1,329,599 359,023 299,745 290,426 380,405 Production costs ($000s) 726,685 200,970 189,106 175,359 161,250 726,493 178,088 175,468 184,958 187,979 Gross profit ($000s) 579,193 163,238 205,276 114,946 95,733 330,729 106,997 53,909 35,772 134,051 Cash cost ($ per pound copper)1 1.73 1.53 1.55 2.18 1.89 2.07 1.78 2.19 2.14 2.21 AISC ($ per pound copper)1 2.62 2.12 2.23 3.22 3.34 3.34 2.76 3.43 3.76 3.44 1All-in Sustaining Cost per pound sold ("AISC") and Cash cost per pound sold are non-GAAP measures, see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. Production During the quarter, ore mined increased due to mine sequencing and opportunities to obtain ore from Phase 12, in addition to higher grade ore from Phase 11. The increase in mine movement and throughput helped to offset a decline in grade from Phase 11 toward the end of the quarter. In 2025, the majority of production will continue to be sourced from Phase 11 with a planned reduction in average copper grades from those realized in 2024. Copper and gold production in the year and quarter was higher than in the prior year comparable periods primarily due to planned higher grade ore from Phase 11. Annual copper production in 2024 increased from 2023 but was slightly below the most recently disclosed production guidance range as a result of Phase 11 ore grade declining sooner than anticipated at the end of the quarter. During the year, Candelaria produced 98,970 tonnes of copper in the second-half of the year which is one of its best performances over a six month period in the history of the mine. Annual gold production was within the recently disclosed production guidance range. Production Costs and Cash Cost Production costs in the quarter were higher than in the prior year quarter due to higher copper sales volumes and a write- down of inventory items used in repair and maintenance of mineral property, plant, and equipment amounting to $14 million. These increases were partially offset by favourable foreign exchange due to a weakening of the CLP against the USD. Production costs in the year are consistent with the prior year comparable period. Cash cost per pound in the quarter and year were lower than in the prior year comparable periods. This was due to higher grades which resulted in higher sales volumes, combined with favourable foreign exchange due to a weakening of the CLP against the USD, particularly in the fourth quarter . These movements were partially offset by the write- downs of inventory 22 ===== SIDA 26 ===== items totalling $14 million and $25 million in the quarter and year, respectively. Cash cost per pound in the year also benefitted from favourable by-product credits. All-in sustaining cost per pound ("AISC") in the quarter and year were lower than in the prior year comparable periods primarily due to lower cash cost per pound, combined with lower sustaining capital expenditure . Sustaining capital expenditures were lower in the quarter and the year due to reduced deferred stripping and higher spending on the Los Diques tailings storage facility in the prior year. Annual cash cost per pound for the year was within the most recently- disclosed guidance range. In the year, approximately 60,000 oz of gold and 1,225,000 oz of silver were subject to terms of a streaming agreement from which approximately $429/oz of gold and $4.28/oz of silver were received. This represents approximately 68% of Candelaria's total gold and silver production. Gross Profit and Net Earnings Gross profit in the year increased from the prior year comparable period primarily due to higher realized copper and gold prices, higher sales volumes, and favourable foreign exchange. Gross profit in the quarter was higher than in the prior year comparable period primarily due to higher sales volumes and favourable foreign exchange. Net earnings in the quarter and year were impacted by a non-cash impairment of $55.9 million ($41.6 million net of tax) due to the closure of the Alcaparrosa mine within the Candelaria complex. Mining operations at Alcaparrosa have been suspended since the incident occurred in 2022 and Mineral Reserve estimates for the Alcaparrosa mine have been removed from the Company's reserve statement and have not been included in any future production estimates. 23 ===== SIDA 27 ===== Caserones (Chile) Caserones is an open pit copper-molybdenum mine which produces high-quality copper concentrate, copper cathode and molybdenum concentrate. Lundin Mining is the operator after acquiring a 51% interest in Minera Lumina Copper Chile on July 13, 2023, with JX Metals Corporation holding the remaining 49% interest. In July 2024, Lundin Mining increased its ownership to 70%, with JX Metals Corporation holding the remaining 30% interest. In 2024, the copper concentrator treated on average 4,130 tonnes per hour.The solvent extraction-electrowinning plant has a nominal capacity of 34.5 kilotonnes per annum ("ktpa"). Operating Statistics 2024 2023 (100% Basis) Total Q4 Q3 Q2 Q1 Total2 Q4 Q32 Ore mined (kt) 30,820 8,557 7,616 7,840 6,807 15,583 7,484 8,099 Ore milled (kt) 32,141 8,759 8,136 7,556 7,690 15,424 8,262 7,162 Ore placed on leach 10,230 3,563 1,885 2,868 1,914 5,541 3,234 2,307 Grade Copper (%) 0.40 0.36 0.38 0.42 0.44 0.42 0.41 0.44 Molybdenum (%) 0.015 0.015 0.016 0.015 0.016 0.020 0.019 0.022 Recovery Copper (%) 78.6 81.9 76.7 75.9 79.7 86.1 88.2 83.9 Molybdenum (%) 64.1 68.9 53.3 64.4 70.0 72.4 73.9 70.9 Production (contained metal) Copper in concentrate (t) 100,837 25,717 23,708 24,246 27,166 55,191 29,496 25,695 Copper cathode (t) 23,924 6,020 5,325 5,529 7,050 10,019 5,893 4,126 Total copper (t) 124,761 31,737 29,033 29,775 34,216 65,210 35,389 29,821 Molybdenum (t) 3,183 912 693 714 864 2,024 928 1,096 Sales volume (payable metal) Copper (t) 113,867 26,750 22,044 29,862 35,211 66,075 35,690 30,385 Molybdenum (t) 3,056 944 581 695 836 2,019 978 1,041 Revenue ($000s) 1,153,625 262,971 227,896 336,547 326,211 601,775 317,219 284,556 Production costs ($000s) 776,192 200,229 169,411 208,897 197,655 404,837 215,855 188,982 Gross profit ($000s) 193,379 24,234 19,169 73,149 76,827 88,449 31,182 57,267 Cash cost ($ per pound copper)1 2.51 2.51 2.96 2.60 2.14 1.99 2.33 1.60 AISC ($ per pound copper)1 3.48 3.58 3.95 3.58 3.02 3.03 3.48 2.49 1 All-in Sustaining Cost per pound sold ("AISC") and Cash cost per pound sold are non-GAAP measures, see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. 2 Caserones 2023 results are from July 13, 2023. Production In the quarter, Caserones delivered copper and molybdenum production in line with the preceding quarters, driven by increased mine movement, mill throughput and improved recoveries, which helped offset lower ore grades. A shift in the mine sequencing during the third quarter, prompted by hydrogeologic conditions in Phase 5, resulted in a greater ore contribution from the lower-grade Phase 6 area in the fourth quarter. Meanwhile, copper cathode production benefited from an improved irrigation pattern on the dump leach pad, enhancing leaching efficiency. Copper grades are expected to increase in the second half of 2025 as ore from Phase 6 and 7 is delivered. Grades in 2025 are expected to be similar to 2024. Annual copper and molybdenum production were at the top-end of the most recently disclosed production guidance ranges. Copper and molybdenum production in the quarter was lower than in the prior year comparable period primarily due to lower grades and recoveries, offset by higher throughput. Production was also negatively impacted by the labour action in August which lasted 14 days and reduced throughput during this period to approximately 50% capacity. Production Costs and Cash Cost Production costs in the quarter were lower than in the prior year comparable period due to lower sales volumes and favourable foreign exchange as a result of a weaker Chilean peso. Production costs in the quarter were also impacted by 24 ===== SIDA 28 ===== higher maintenance, contractors, and labour . During the year, there had been a build-up of concentrate inventory, approximately 20,000 tonnes of copper concentrate was held in inventory at December 31, 2024, which has been subsequently sold in the first quarter of 2025. Cash cost per pound in the quarter was higher due to lower production and sales volumes partially offset by higher by-product credits. Lower grades in the quarter impacted production resulting in higher cash cost per pound. Cash cost per pound in the year was higher than in the prior year comparable period due to higher mine and mill costs as a result of maintenance, contractors and labour. Annual cash cost per pound for the year was within the most recently disclosed guidance range. AISC per pound in the quarter and year were higher than in prior periods primarily due to higher cash costs. Gross Profit and Net Earnings Gross profit in the quarter was lower than in the prior year comparable period due to lower sales volumes combined with higher maintenance, contractor and salaries costs, which was partially offset primarily by lower depreciation and favourable foreign exchange. Gross profit was impacted by a timing difference between the production and shipment date of approximately 20,000 tonnes of copper concentrate. Two shipments of copper concentrate from Caserones scheduled for December 2024 were delayed to early January due to certain operational and weather related issues. The related revenue is expected to be recorded in the first quarter of 2025. Net earnings during the quarter were impacted by a deferred tax recovery of $41.5 million (Q4 2023 - $4.1 million) and associated with the recognition of deferred tax assets to utilize accumulated tax losses. 25 ===== SIDA 29 ===== Chapada (Brazil) The Chapada mine consists of four open pit mines and on-site processing facilities located in the northern Goiás State of Brazil, approximately 270 km northwest of the national capital of Brasilia. The processing plant has a capacity of 24.0 mtpa, producing high-quality gold-rich copper concentrate. The primary metal is copper, with gold and silver as by-product metals. Operating Statistics 2024 2023 (100% Basis) Total Q4 Q3 Q2 Q1 Total Q4 Q3 Q2 Q1 Ore mined (kt) 21,949 5,084 5,889 5,851 5,125 29,508 7,803 8,062 7,522 6,121 Ore milled (kt) 22,883 5,945 6,035 5,407 5,496 22,233 5,218 5,832 5,207 5,976 Grade Copper (%) 0.25 0.28 0.25 0.23 0.23 0.26 0.29 0.26 0.26 0.23 Gold (g/t) 0.17 0.18 0.18 0.18 0.14 0.15 0.18 0.15 0.14 0.13 Recovery Copper (%) 77.3 76.2 78.1 74.2 81.1 80.2 85.9 80.8 80.3 73.3 Gold (%) 52.2 53.4 51.5 49.3 55.3 55.0 61.1 55.3 54.1 48.0 Production (contained metal) Copper (t) 43,261 12,323 11,694 9,106 10,138 45,719 12,872 12,286 10,697 9,864 Gold (koz) 65 18 18 15 14 59 19 15 13 12 Silver (koz) 245 69 63 55 58 258 73 67 62 56 Sales volume (payable metal) Copper (t) 39,615 10,200 12,380 8,293 8,742 43,761 13,080 11,445 10,164 9,072 Gold (koz) 58 15 19 12 12 53 18 13 11 11 Revenue ($000s) 497,576 121,206 159,966 117,969 98,435 461,175 143,439 111,897 94,721 111,118 Production costs ($000s) 282,633 64,352 84,450 69,246 64,585 317,317 89,716 78,854 80,113 68,634 Gross profit (loss) ($000s) 165,045 67,262 48,658 30,355 18,770 80,378 30,126 20,230 (381) 30,403 Cash cost ($ per pound copper)1 1.58 1.07 1.37 2.05 2.01 2.27 1.88 2.28 2.69 2.37 AISC ($ per pound copper)1 3.07 2.81 2.34 3.72 3.79 3.24 2.75 3.15 3.80 3.42 1All-in Sustaining Cost per pound sold ("AISC") and Cash cost per pound sold are non-GAAP measures, see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. Production Chapada's operations performed well during the quarter with higher grade material from fresh ore from the South, North, and Central pits. This led to a reduced volume of older low-grade stockpile material being processed during the quarter compared to other quarters this year. Annual copper and gold production was within the most recently disclosed production guidance ranges. Copper production in the quarter and year was slightly lower than in the prior year comparable periods primarily due to lower grades and recoveries, partially offset by higher throughput. Reduced grades and recoveries are a result of processing ore from the older low-grade stockpile and North pit as part of an optimized mine plan that significantly reduces waste movement, and emphasizes higher throughput. Gold production in the quarter was slightly lower than in the prior year comparable period due to lower recoveries, partially offset by higher throughput. Gold production for the year was higher than in the prior year comparable period due to higher grades and throughput, partially offset by lower recoveries. Higher gold grades were generated from fresh ore from the South and Central pits replacing planned feed from the older low-grade stockpile in order to prioritize gold production in light of the recent elevated gold price environment. Production Costs and Cash Cost Production costs in the quarter and year were lower than in the prior year comparable periods primarily as a result of lower sales volumes and favourable foreign exchange, combined with lower mining costs. Cash cost per pound in the quarter and year improved significantly from the prior year comparable periods primarily due to higher by-product credits as a result of increased realized prices for gold as well as favourable foreign exchange. This decrease was combined with lower mining costs as a result of a planned reduction in waste movement, and other cost reduction initiatives as a result of the Chapada Full Potential program, which started in 2022 and focuses on various site 26 ===== SIDA 30 ===== optimization activities. Annual copper cash cost was within the most recently disclosed guidance ranges. AISC per pound in the quarter was higher than in the prior year comparable period primarily due to higher sustaining capital expenditure driven by higher deferred stripping and water management expenditures. AISC per pound in the year was lower than in the prior year comparable period due to lower cash cost per pound, partially offset by higher sustaining capital expenditure. Gross Profit and Net Earnings Gross profit in the quarter and year was higher than in the prior year comparable periods primarily due to higher realized gold prices and favourable foreign exchange. Additionally, gross profit in the quarter and year benefited from a $28.3 million non-cash partial reversal of a previous long-term ore stockpile inventory write-down, as a result of higher market expectations for long-term copper and gold prices. Gross profit in the year was also positively impacted by higher realized copper prices. Net earnings in the quarter and year were impacted by a non-cash impairment of mineral properties relating to the Suruca gold deposit in the amount of $93.4 million ($61.7 million, net of tax). 27 ===== SIDA 31 ===== Eagle (USA) The Eagle mine consists of the Eagle underground mine, located approximately 53 km northwest of Marquette, Michigan, U.S.A. and the Humboldt mill, located 61 km west of Marquette. The plant has a processing capacity of 0.7 mtpa, producing nickel and copper in concentrates. The primary metal is nickel with copper, and minor amounts of cobalt, gold, and platinum-group metals as by-product metals. Operating Statistics 2024 2023 (100% Basis) Total Q4 Q3 Q2 Q1 Total Q4 Q3 Q2 Q1 Ore mined (kt) 480 117 91 107 165 725 188 192 189 156 Ore milled (kt) 487 121 90 97 179 718 186 190 181 161 Grade Nickel (%) 1.9 1.7 1.4 2.1 2.1 2.6 2.3 2.6 2.9 2.6 Copper (%) 1.4 1.1 1.2 1.7 1.5 2.0 1.9 1.8 2.2 2.0 Recovery Nickel (%) 82.0 78.7 72.3 85.0 85.2 87.4 86.1 86.2 88.8 88.5 Copper (%) 95.1 94.1 94.3 95.9 95.3 96.8 96.5 96.4 97.0 97.2 Production (contained metal) Nickel (t) 7,486 1,617 893 1,721 3,255 16,429 3,729 4,290 4,686 3,724 Copper (t) 6,366 1,262 1,027 1,563 2,514 13,600 3,334 3,245 3,881 3,140 Sales volume (payable metal) Nickel (t) 5,662 1,088 393 2,018 2,163 13,339 3,105 3,640 3,859 2,735 Copper (t) 5,457 877 733 1,789 2,058 11,968 3,055 3,177 2,951 2,785 Revenue ($000s) 152,467 25,583 12,217 57,444 57,223 350,895 73,720 102,505 105,250 69,420 Production costs ($000s) 111,919 21,131 12,595 37,657 40,536 191,704 48,023 52,497 45,735 45,449 Gross profit (loss) ($000s) 6,979 (3,804) (6,547) 9,794 7,536 107,141 11,794 35,682 46,845 12,820 Cash cost ($ per pound nickel)1 4.20 5.22 7.24 3.23 4.04 2.16 2.37 2.07 1.88 2.43 AISC ($ per pound nickel)1 7.60 9.53 20.02 5.71 6.12 4.22 4.60 4.05 3.34 5.16 1All-in Sustaining Cost per pound sold ("AISC") and Cash cost per pound sold are non-GAAP measures, see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. Production In May 2024, a fall of ground in the lower ramp limited access to Eagle East and subsequently reduced mining rates while ramp rehabilitation was completed. During the quarter, higher throughput began and normal throughput rates are expected to resume in Q1 2025. Delivery of ore from Eagle East commenced during the quarter which led to improved grades and recoveries. Due to the rehabilitation of the lower ramp, the extraction of the majority of ore from Eagle East was deferred into 2025 and future years. Nickel and copper production in the quarter and year was lower than in the prior year comparable periods due to lower throughput and grades. Monitoring of the crown pillar continues at Eagle. Early indications of localized minor movement were recorded, as the pillar settled on the cement rock filled headings in the upper levels of the Eagle deposit. As a precautionary measure, the Company has increased the frequency of readings and the total number of monitoring devices, and reduced the extraction rate from this area of the mine. Annual nickel and copper production were within the most recently disclosed production guidance ranges. Production Costs and Cash Cost Production costs in the quarter and year were lower than in the prior year comparable periods primarily due to lower production and sales volumes leading to reduced spend in milling, transportation and lower royalty expense. Production costs in the quarter and year excluded approximately $11.4 million and $36.1 million, respectively, of overhead costs that have been recorded as Other Income and Expense as a result of the partial suspension of underground mining operations. Cash cost per pound in the quarter and the year was higher than in the prior year comparable periods due to the prioritization of ramp rehabilitation which resulted in lower sales volumes. Cash cost per pound in the year was also partially offset by higher by-product credits as a result of higher realized copper prices. AISC per pound in the quarter and year was higher than in the prior year comparable periods primarily due to higher cash cost per pound. Cash cost per pound 28 ===== SIDA 32 ===== for the year exceeded the high end of the most recently disclosed guidance range as mining rates did not recover as quickly as expected during the quarter for all metals including by-products. Gross Profit and Net Earnings Gross profit in the quarter and year-to date periods was lower than in the prior year comparable periods primarily due to lower sales volumes. Net earnings were impacted in the quarter and the year as a result of a non-cash impairment loss recorded in December 2024. Impairment indicators including a decline in nickel prices and prolonged rehabilitation of the Eagle East ramp were identified for the Eagle mine. As the recoverable amount determined for the cash generating unit ("CGU") was lower than the carrying value, a non-cash impairment loss of $104.9 million ($82.8 million net of tax) was recognized. 29 ===== SIDA 33 ===== Neves-Corvo (Portugal) Neves-Corvo is located 200 km southeast of Lisbon, Portugal, in the western part of the Iberian Pyrite Belt and consists of an underground mine and on-site processing facilities. The copper plant has a processing capacity of up to 2.8 mtpa, producing copper in concentrate, and the zinc plant has an expanded capacity of 2.5 mtpa producing zinc and lead concentrates. The primary metal is copper, with zinc, lead and silver as by-product metals. In December 2024, the Company announced the sale of Neves-Corvo with the transaction expected to close in mid-2025. Operating Statistics (Discontinued Operation) 2024 2023 (100% Basis) D Total Q4 Q3 Q2 Q1 Total Q4 Q3 Q2 Q1 Ore mined, copper (kt) 2,412 643 579 602 588 2,591 677 689 622 603 Ore mined, zinc (kt) 2,127 539 571 499 518 1,989 549 459 470 511 Ore milled, copper (kt) 2,426 643 583 601 599 2,588 682 674 628 604 Ore milled, zinc (kt) 2,127 568 540 507 512 1,989 573 441 465 510 Grade Copper (%) 1.5 1.4 1.5 1.6 1.5 1.7 1.9 1.8 1.6 1.6 Zinc (%) 6.5 6.3 7.0 6.3 6.5 6.8 6.6 7.4 6.6 6.7 Lead (%) 1.2 1.1 1.4 1.3 1.2 1.5 1.4 1.5 1.5 1.5 Recovery Copper (%) 76.9 78.3 74.9 77.2 77.3 76.5 75.6 76.1 77.0 77.7 Zinc (%) 77.3 76.0 76.9 78.2 78.4 78.0 79.9 76.1 76.8 78.7 Lead (%) 24.6 25.4 24.8 21.7 26.5 19.2 25.2 21.3 14.0 15.7 Production (contained metal) Copper (t) 28,228 7,139 6,698 7,347 7,044 33,823 9,623 9,016 7,610 7,574 Zinc (t) 109,571 27,879 29,509 25,696 26,487 108,812 31,035 25,807 24,177 27,793 Lead (t) 6,395 1,553 1,851 1,387 1,604 5,600 2,030 1,447 951 1,172 Silver (koz) 1,876 494 425 433 524 1,902 573 486 407 436 Sales volume (payable metal) Copper (t) 26,721 5,230 7,707 7,898 5,886 32,054 9,054 8,799 6,170 8,031 Zinc (t) 88,731 21,357 25,730 20,440 21,204 91,115 25,491 21,957 20,125 23,542 Lead (t) 5,700 1,323 1,811 1,242 1,324 4,970 1,830 1,220 881 1,039 Revenue ($000s) 438,053 97,511 131,237 128,675 80,630 425,042 115,823 111,202 68,614 129,403 Production costs ($000s) 323,163 73,154 95,168 83,129 71,712 326,677 82,734 82,137 76,080 85,726 Gross (loss) profit ($000s) (3,434) (2,524) 1,344 15,874 (18,128) (23,234) 642 (2,288) (35,185) 13,597 Cash cost ($ per pound copper)1 2.19 1.84 2.13 1.70 3.24 2.37 1.96 2.27 3.99 1.69 AISC ($ per pound copper)1 3.92 3.37 3.84 3.46 5.13 3.96 3.50 3.82 5.73 3.29 1All-in Sustaining Cost per pound sold ("AISC") and Cash cost per pound sold are non-GAAP measures, see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. Production Copper production in the quarter and year was lower than in the prior year comparable periods primarily due to lower grades and throughput. Annual copper production was within the most recently disclosed production guidance range. Zinc production in the quarter was lower than in the prior year comparable period mainly due to lower grades and recoveries. Zinc production for the year was an annual record for the operation primarily due to record throughput as a result of the zinc expansion project, although slightly below the most recently disclosed annual production guidance range. Production Costs and Cash Cost Production costs in the quarter and year were lower than in the prior year comparable periods primarily due to decreases in zinc and copper sales volumes partially offset by higher electricity and labour costs. Cash cost per pound in the quarter was higher than in the prior year comparable period primarily due to lower sales volume. Cash cost per pound in the year improved from the prior year comparable period primarily due to higher by- product credits driven mainly by higher realized zinc prices. Annual copper cash cost per pound slightly exceeded the most recently disclosed 2024 cash cost guidance range, primarily driven by lower sales volume. AISC per pound in the quarter and year was in line with AISC from the prior year comparable periods. 30 ===== SIDA 34 ===== Gross (Loss) Profit and Net Earnings In the quarter , the gross loss was $ 2.5 million, compared to a gross profit of $ 0.6 million from the prior year comparable period. This decrease was mainly due to lower copper and zinc sales volume and higher unit production costs primarily driven by higher electricity and labour costs. Gross loss in the year was lower than the gross loss in the prior year comparable period, primarily driven by higher realized copper and zinc prices. Net earnings in the year and quarter were impacted by a pre-tax non-cash impairment charge of $291.2 million (after-tax $270.3 million) that was recorded in December 2024 relating to the Neves-Corvo reporting segment to recognize goodwill, mining rights and mineral properties at their estimated fair value, based on the expected sales price as established by the definitive agreement. The pre-tax impairment charge includes $90.7 million allocated to the Neves-Corvo goodwill. These charges are recorded in net earnings (loss) from discontinued operations 31 ===== SIDA 35 ===== Zinkgruvan (Sweden) The Zinkgruvan mine consists of an underground mine and on-site processing facilities, located approximately 200 km southwest of Stockholm, Sweden. The plant has processing capacity of 1.6 mtpa. Products are zinc, lead and copper concentrates. The primary metal is zinc, with lead, silver and copper as by-products. In December 2024, the Company announced the sale of Zinkgruvan with the transaction expected to close in mid-2025. Operating Statistics (Discontinued Operation) 2024 2023 (100% Basis) Total Q4 Q3 Q2 Q1 Total Q4 Q3 Q2 Q1 Ore mined, zinc (kt) 1,246 332 300 308 306 1,178 313 287 268 310 Ore mined, copper (kt) 184 8 84 45 47 207 36 65 51 55 Ore milled, zinc (kt) 1,239 311 302 313 313 1,179 327 326 211 315 Ore milled, copper (kt) 207 14 76 42 75 198 28 58 34 78 Grade Zinc (%) 7.3 8.4 6.3 7.7 6.7 7.3 6.7 8.2 6.6 7.4 Lead (%) 3.1 3.7 2.4 3.7 2.7 2.9 2.5 3.5 2.4 2.9 Copper (%) 2.2 2.0 2.1 2.0 2.4 2.5 2.0 2.5 3.1 2.4 Recovery Zinc (%) 90.9 91.8 89.8 90.6 91.1 89.0 89.8 90.0 86.3 88.7 Lead (%) 80.0 83.0 78.5 78.2 79.4 77.8 77.1 75.7 76.2 82.1 Copper (%) 88.1 86.7 87.3 88.0 89.0 88.5 86.3 88.7 86.1 90.5 Production (contained metal) Zinc (t) 82,133 24,067 17,101 21,764 19,201 76,349 19,684 23,967 11,938 20,760 Lead (t) 30,888 9,481 5,693 8,966 6,748 26,284 6,418 8,643 3,816 7,407 Copper (t) 3,964 258 1,385 747 1,574 4,434 501 1,299 917 1,717 Silver (koz) 2,513 637 537 699 640 2,300 509 785 374 632 Sales volume (payable metal) Zinc (t) 68,086 18,627 15,124 18,510 15,825 65,344 17,316 22,042 9,374 16,612 Lead (t) 28,036 7,786 6,346 9,069 4,835 25,527 5,714 9,391 4,944 5,478 Copper (t) 3,809 457 1,775 821 756 4,473 845 1,758 1,001 869 Revenue ($000s) 256,748 67,455 68,633 76,587 44,073 223,591 50,783 82,290 29,520 60,998 Production costs ($000s) 122,064 29,146 30,109 32,734 30,075 115,394 31,520 37,183 17,786 28,905 Gross profit ($000s) 97,664 32,359 24,250 35,040 6,015 74,073 10,519 32,727 6,821 24,006 Cash cost ($ per pound)1 0.41 0.43 0.16 0.39 0.65 0.43 0.63 0.28 0.24 0.54 AISC ($ per pound)1 0.87 0.99 0.66 0.74 1.10 0.83 0.93 0.56 1.06 0.97 1All-in Sustaining Cost per pound sold ("AISC") and Cash cost per pound sold are non-GAAP measures, see the "Non-GAAP and Other Performance Measures" section of this MD&A for discussion. Production Zinc and lead production for the quarter was higher than in the prior year comparable period due to higher grades and recoveries. Zinc and lead production for the year was higher than in the prior year comparable period due to higher throughput, grades and recoveries. Zinc production of 82,133 tonnes was an annual record for the operation. Annual zinc production was within the most recently disclosed production guidance ranges. Throughput in 2023 was affected by the installation of a zinc sequential flotation system, which limited mill availability. Copper production for the quarter was lower than in the prior quarter comparable period due to lower throughput. Copper production for the year was lower than in the prior year comparable period and slightly below the most recently disclosed annual production guidance range primarily due to lower than planned grades. Production Costs and Cash Cost Production costs in the quarter were lower than in the prior year comparable period primarily due to lower labour and contractor costs, partially offset by higher zinc and lead sales volumes. Production costs in the year were higher than in the prior year comparable period primarily due to higher zinc and lead sales volumes. Cash cost per pound for the quarter and year was lower than in the prior year comparable periods primarily due to higher zinc sales volumes and lower treatment and refining charges. Annual cash cost was within the most recently disclosed guidance range. AISC per pound in the quarter and year was higher than in the prior year comparable periods due to higher sustaining capital expenditure. 32 ===== SIDA 36 ===== Gross Profit Gross profit for the quarter was higher than in the prior year comparable period primarily due to higher realized zinc prices, lower treatment and refining charges and lower production costs. Gross profit for the year was higher than in the prior year comparable period primarily due to higher realized zinc and copper prices, lower treatment and refining charges and higher zinc and lead sales volume. These increases were partially offset by higher depreciation and operating costs. 33 ===== SIDA 37 ===== Vicuña Projects (Argentina and Chile) Project Development During the quarter, the focus was on preparing for the completion of the Filo acquisition and formation of the 50/50 Joint Arrangement with BHP announced on July 29, 2024. The work plan associated with the transaction with BHP progressed as expected. Subsequent to year-end on January 15, 2025, the Company completed the Filo acquisition and the Joint Arrangement with BHP, resulting in the Company indirectly holding a 50% interest in Vicuña, which owns the Filo del Sol project and Josemaria project. BHP indirectly owns the remaining 50% interest in Vicuña. As part of the Joint Arrangement, the 2024 work scope was changed to include incorporation of new studies and preparation of a resource model relating to the Filo del Sol project, a joint development concept pertaining to the Josemaria and Filo del Sol ore bodies as well as processing facilities and infrastructure. An action plan was developed for the combined project, including a 2025 budget that included advancement of studies associated with the synergies between the Filo del Sol and Josemaria projects, continuation of the drilling program and advancing the Josemaria project. Josemaria activities were focused on continuing the Environmental Impact Assessment ("EIA") update and maintaining progress on the water program. The field activities continued with the water program, geotechnical studies, road maintenance, wetlands biodiversity offset and exploration drilling at Cumbre Verde. Environmental and permitting work continued on several fronts. Work progressed on preparation of the Josemaria EIA update which is forecast to be complete in Q1 2025. The incoming 500kV powerline and substation EIA was approved in November, and the Northern Access Road EIA was approved in December. The ongoing technical review of the revised tailings dam design is expected to be approved in early 2025. Government relations activities continued with both the national and provincial governments. In conjunction, discussions on provincial agreements continued to be advanced. A plan for preparation and submission of the Basis Law - Incentive Regime for Large Investments ("RIGI") application was advanced. Community relations programs continued in the fourth quarter with key developments being: a 2023 sustainability report, a Google-certified IT job training program for youth in the community, initiation of the first-ever seed-capital program for developing local suppliers, an internet connectivity project connecting community households was inaugurated, and a women entrepreneurship program was completed. During the year, the Company spent $243.6 million in capital expenditure compared to $275.9 million in 2023. Spending exceeded the annual guidance of $230.0 million due to better progress being achieved on the advancement of various Josemaria project initiatives in connection with the transaction with BHP. Exploration Update During the quarter, exploration activity focused on in-mine and near-mine targets at the Company's operations. Exploration drilling at Candelaria was focused on Candelaria South, La Portuguesa and La Espanola. At Caserones, exploration drilling was completed in the lower portion of the mineral resource in search of higher-grade copper breccia bodies that could improve the average grade of the resource and potentially expand it. The drilling program at Angelica, in search of copper sulphides, was also completed during the quarter. Drilling at Chapada concentrated on adding high grade resources to Sauva and testing near-mine geochemical anomalies. At Josemaria, the drilling campaign restarted at Cumbre Verde. Drilling continued at Eagle during the quarter with one surface hole targeting a geophysical anomaly east of Eagle East. At Neves-Corvo, the 2024 drilling program focused on extending inferred resources at Lombador North and near-mine drilling at Neves Southwest concluded at the end of the quarter. Drilling at Zinkgruvan was focused on resource expansion. All 2024 drilling campaigns were successfully completed by the end of the quarter. 34 ===== SIDA 38 ===== Liquidity and Capital Resources Consolidated Cash Flow Year ended December 31, ($ thousands, continuing operations unless otherwise noted) 2024 2023 Change Cash provided by operating activities related to continuing operations 1,300,848 827,244 473,604 Cash provided by operating activities related to discontinued operations 218,009 189,368 28,641 Cash used in investing activities related to continuing operations (855,369) (1,518,812) 663,443 Cash used in investing activities related to discontinued operations (151,537) (155,722) 4,185 Cash (used in) provided by financing activities related to continuing operations (349,774) 711,910 (1,061,684) Cash provided by financing activities related to discontinued operations 5,547 16,676 (11,129) Effect of foreign exchange on cash balances (4,238) 6,742 (10,980) Increase in cash and cash equivalents 163,486 77,406 86,080 Opening cash and cash equivalents 268,793 191,387 77,406 Less: Cash and cash equivalents included in assets held for sale (74,801) — (74,801) Closing cash and cash equivalents 357,478 268,793 88,685 Adjusted operating cash flow1 — continuing operations 1,079,968 847,276 232,692 Adjusted operating cash flow1 — discontinued operations 222,624 176,941 45,683 Free cash flow from operations1 — continuing operations 797,100 300,009 497,091 Free cash flow from operations1 — discontinued operations 75,892 45,071 30,821 Free cash flow1 — continuing operations 508,182 (19,914) 528,096 Free cash flow1 — discontinued operations 63,049 33,389 29,660 1This is a non-GAAP measure - see section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. Cash provided by operating activities related to continuing operations during the year was $473.6 million higher than in the prior year primarily due to higher sales volumes combined with favourable realized copper and gold prices, including the impacts of upward provisional pricing adjustments on prior year concentrate sales on an annual basis. The inclusion of full year operating cash flows at Caserones also contributed to increased cash flow from operating activities year over year. Additional cash was provided from $220.9 million of positive working capital changes primarily due to net collections of trade receivables at Caserones, timing of tax payments at Candelaria, and $45.0 million in payments received by Caserones relating to two shipments of copper concentrate scheduled for December 2024 that were delayed to early January due to certain operational and weather related issues. Cash used in investing activities related to continuing operations during the year was $663.4 million lower than in the prior year primarily due to the acquisition of Caserones and a $49.8 million reduction in capital expenditures. Cash used in investing activities related to continuing operations during the year also included a $41.7 million subscription for Filo shares to provide interim financing to Filo. Cash used in financing activities related to continuing operations during the year included net borrowings of $567.1 million, part of which was used to finance the exercise of the option to acquire an additional 19% interest in Caserones for $350.0 million. The Company additionally paid $202.5 million dividends to shareholders in the year, paid $152.0 million in distributions to partners holding minority interests in Candelaria and Caserones, and repurchased $24.4 million of its common shares through an automatic share purchase plan, pursuant to its Normal Course Issuer Bid (“NCIB”). Free cash flow from operations - continuing during the year was higher than in the prior year comparable period primarily as a result of incremental cash flows from a full year of Caserones operations and favourable realized copper and gold prices as discussed above. Free cash flow from operations - discontinued during the year was higher than the prior year comparable period due to higher realized zinc prices combined with lower cash costs. Free cash flow - continuing operations was higher than in the prior year comparable period as a result of the same factors discussed above for Free cash flow from operations - continuing, in addition to lower spending on the Vicuña Projects during the year. 35 ===== SIDA 39 ===== Liquidity and Financial Position ($ thousands, continuing operations except for 2023 or otherwise noted) December 31, 2024 December 31, 2023 Change Cash and cash equivalents 357,478 268,793 88,685 Total assets 10,406,712 10,861,199 (454,487) Debt1 1,756,972 1,208,600 548,372 Lease liabilities2 249,185 277,208 (28,023) Net debt3 (1,597,800) (1,223,389) (374,411) Net debt excluding lease liabilities3 (1,332,349) (946,181) (386,168) 1Debt includes both current and non-current portions related to continuing operations. 2 Lease liabilities includes both current and non-current portions. 3This is a non-GAAP measure - see section "Non-GAAP and Other Performance Measures" of this MD&A for discussion. This includes discontinued operations. The Company continues to expect to be able to fund all its contractual commitments with its operating cash flow, cash on hand and available capital resources. Net debt excluding lease liabilities3 at December 31, 2024 increased from December 31, 2023 primarily due to net proceeds from debt, partially offset by increased cash balances. During the quarter and year, 2,815,200 shares were purchased under the Company's NCIB (quarter and year ended December 31, 2023 - nil shares). Commodity prices, primarily copper, zinc, gold and nickel are key performance drivers and fluctuations in the prices of these commodities can have a dramatic effect on the results of operations. Prices can fluctuate widely and are affected by numerous factors beyond the Company’s control. The prices of metals are influenced by supply and demand, exchange rates, interest rates and interest rate expectations, inflation or deflation and expectations with respect to inflation or deflation, speculative activities, changes in global economies, and geopolitical, social and other factors. The supply of metals consists of a combination of new mine production, recycling and existing stocks held by governments, producers and consumers. The Company economically hedges certain of its operating currencies as well as metal prices and certain input commodities (refer to "Financial Instruments" section below). 36 ===== SIDA 40 ===== Contractual Obligations, Commitments and Contingencies The Company has contractual obligations and capital commitments as described in Note 27 “Commitments and Contingencies” in the Company’s Consolidated Financial Statements. From time to time, the Company may also be involved in legal proceedings that arise in the ordinary course of its business. The Company has the following contractual obligations and capital commitments as at December 31, 2024: Payments due by period1 ($ thousands) <1 year 1-5 years Thereafter Total Continuing operations Reclamation and closure provisions 20,876 87,930 587,017 695,823 Long-term debt and lease liabilities 409,811 1,571,993 130,866 2,112,670 Capital commitments 127,729 176,399 — 304,128 Defined pension obligations — — 3,546 3,546 Deferred consideration 10,000 130,000 — 140,000 568,416 1,966,322 721,429 3,256,167 Discontinued operations Reclamation and closure provisions 910 19,303 108,868 129,081 Long-term debt and lease liabilities 3,466 12,316 2,976 18,758 Capital commitments 29,821 — — 29,821 Defined pension obligations 537 2,053 781 3,372 34,734 33,672 112,625 181,032 Total 603,150 1,999,994 834,054 3,437,199 1Reported on an undiscounted basis, before inflation. Capital Resources As at December 31, 2024, the Company has a RCF of $1,750.0 million with $270.0 million outstanding (December 31, 2023 - $250.0 million). The RCF bears interest on drawn funds at rates of Term Secured Overnight Financing Rate (“Term SOFR”) plus Credit Spread Adjustment (“CSA”) of 0.10% plus an applicable margin of 1.45% to 2.50%, depending on the Company’s net leverage ratio. The RCF is unsecured, save and except for a charge over certain assets in the United States of America, and is subject to customary covenants. On April 26, 2024, the facility, which originally expired in April 2028, was amended and extended to April 2029. As at December 31, 2024, the Company's Term Loan has a principal amount of $1,150.0 million which includes the exercise of $350.0 million of the accordion option in the year. The Team Loan bears interest at an annual rate equal to Term SOFR + CSA + an applicable margin of 1.60% to 2.65%, depending on the Company’s net leverage ratio. Principal is payable at maturity. On April 26, 2024, the Term Loan, originally maturing in July 2026, was extended to July 2027. On May 23, 2024, both the RCF and the Term Loan were amended to establish sustainability performance targets whereby the interest rate margin in the facilities will be adjusted based on the Company's performance relative to the targets. As at December 31, 2024, the Company is in compliance with its debt covenants. As at December 31, 2024, certain subsidiaries of the Company had outstanding unsecured term loans totalling $245.9 million (December 31, 2023 - $48.9 million) and accruing interest at rates ranging from 5.07% to 6.32% per annum with interest payable upon maturity. The maturity dates range from January to May 2025. The development of the Vicuña Projects requires significant capital commitments from the Company, and additional funding, beyond debt, may be required to advance the projects to completion. Financial Instruments Revenue, cost of goods sold and capital expenditures are affected by certain external factors including fluctuations in metal prices and changes in exchange rates between the CLP, BRL, ARS and the $. During the year ended December 31, 2024, the Company continued to enter into derivative contracts as part of its risk management strategy to mitigate exposure to foreign currency and commodities. At December 31, 2024, derivative contracts consist of foreign currency forward and option contracts, and diesel and gold option contracts. The option contracts consist of put and call contracts in a collar structure and all contracts have maturities ranging through 2025 and 2026. 37 ===== SIDA 41 ===== The derivative contracts have not been designated as hedges for purposes of hedge accounting and are measured at fair value as assessed by pricing models based on active market prices. Changes in fair value are recognized in other income and expense in the consolidated statement of earnings. The Company’s trade receivables also contain provisional pricing sales arrangements that are valued using quoted forward market prices. The following table illustrates the sensitivity of the Company’s risk on final settlement of its provisionally priced revenues as at December 31, 2024. Metal Payable Metal Provisional price on December 31, 2024 Change Effect on Revenue ($millions) Copper 78,322 t $3.96/lb +/- 10 % +/- $68.4 Gold 35 koz $2,638/oz +/- 10 % +/- $9.2 Nickel 709 t $6.87/lb +/- 10 % +/- $1.1 Molybdenum 1,089 t $21.07/lb +/- 10 % +/- $5.1 For a detailed discussion of the Company’s financial instruments refer to Note 26 ‘Financial Instruments’ in the Company’s Consolidated Financial Statements. Foreign Currency Denominated Production Costs For the year ended December 31, 2024, Candelaria and Caserones production costs are approximately 55% and 50% CLP denominated respectively and Chapada production costs are approximately 80% BRL denominated. Production costs for Eagle, Neves-Corvo and Zinkgruvan are substantially denominated in their functional currencies. 38 ===== SIDA 42 ===== Non-GAAP and Other Performance Measures The Company uses certain performance measures in its analysis and disclosure. These performance measures have no standardized meaning within generally accepted accounting principles under IFRS and, therefore, amounts presented may not be comparable to similar data presented by other mining companies. This data is intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. The following are non-GAAP measures that the Company uses as key performance indicators. Non-GAAP financial measure or ratio Definition Most directly comparable IFRS measure Why management uses the measure and why it may be useful to investors Cash cost Includes costs directly attributable to mining operations (including mining, processing and administration), treatment, refining and transportation charges, but excludes royalty expenses, expenses associated with non- cash fair value adjustments to inventory, depreciation and amortization and capital expenditures for deferred stripping. Revenue from sales of by-products, inclusive of adjustments for the terms of streaming agreements but excluding the recognition of any deferred revenue from the allocation of upfront streaming proceeds, reduce cash cost. Production costs from continuing operations and Production costs from discontinued operations Copper, zinc and nickel cash cost per pound sold are useful measures to assess the operating performance of the Company's mines and their ability to generate cash. The inclusion of by-product credits incorporates the benefit of other metals extracted in the production of the primary metal.Cash cost per pound sold This ratio is calculated by dividing cash cost by the sales volume of the primary metal (copper, zinc, or nickel). All-in sustaining cost ("AISC") Includes cash cost (as defined above), royalties, sustaining capital expenditure (including deferred stripping and underground mine development), reclamation and other closure cost accretion and amortization and lease payments (cash basis). As this measure seeks to reflect the full cost of production from current operations, expansionary capital and certain exploration costs are excluded as these are costs typically incurred to extend mine life or materially increase the productive capacity of existing assets, or for new operations. Corporate general and administrative expenses have also been excluded as any attribution of these costs to an operating site would not necessarily be reflective of costs directly attributable to the administration of the site. Certain other cash expenditures, including tax payments, financing charges (including capitalized interest) and costs related to business combinations, asset acquisitions and asset disposals are also excluded. Production costs from continuing operations and Production costs from discontinued operations Copper, zinc and nickel AISC and AISC per pound sold are useful measures to understand the full cost of producing and selling metal at the Company's mines, and each mine's ability to generate cash while sustaining production at current levels. AlSC per pound sold This ratio is calculated by dividing AISC by the sales volume of the primary metal (copper, zinc, or nickel). Sustaining capital expenditures This supplementary financial measure is defined as cash- basis expenditures which maintain existing operations and sustain production levels. Investment in mineral properties, plant and equipment Sustaining capital expenditures provide an understanding of costs required to maintain existing production levels. Expansionary capital expenditures provide information on costs required for future growth of existing or new assets. Expansionary capital expenditures This non-GAAP measure is defined as cash-basis expenditures which increase current or future production capacity, cash flow or earnings potential and are reported excluding capitalized interest. Where an expenditure both maintains and expands current operations, classification would be based on the primary decision for which the expenditure is being made. 39 ===== SIDA 43 ===== Non-GAAP financial measure or ratio Definition Most directly comparable IFRS measure Why management uses the measure and why it is useful to investors Realized price per pound and realized price per ounce1 Defined as revenue from metal sales (copper, gold, nickel and molybdenum) adding back treatment and refining charges, cash effects of gold and copper streams, recognition of deferred revenue from the allocation of upfront streaming proceeds and sales of silver and other metals, divided by the volume of metal sold in the period. Revenue from continuing operations These measures provide an understanding of the price realized in each reporting period for metal sales. Earnings before interest, taxes, depreciation and amortization (EBITDA) and Adjusted EBITDA EBITDA represents net earnings or loss for the period before income tax expense or recovery, depreciation and amortization, and finance costs, net. Adjusted EBITDA removes the effects of items that do not reflect the Company's underlying operating performance and are not necessarily indicative of future operating results. These may include: unrealized foreign exchange, unrealized gains or losses from derivative contracts, revaluation gains or losses on marketable securities, derivative liabilities and purchase options, expenses for acquisition-related fair value adjustments to inventory, non-cash impairment charges and reversals, non-cash stockpile inventory or fixed asset write-downs or reversals, goodwill impairment, costs relating to the sinkhole near Ojos del Salado operations, costs relating to the suspension of underground operations at Eagle, gains or losses on disposals of subsidiaries, income from investments in associates, insurance proceeds and litigation and settlements. Net earnings (loss) from continuing operations and from discontinued operations EBITDA and Adjusted EBITDA are used to evaluate the Company's operational performance and its ability to generate cash from core operations. Adjusted earnings (loss) Defined as net earnings or loss attributable to shareholders of the Company excluding the effects (net of tax) of significant items that do not reflect the Company's underlying operating performance. In addition to the items listed for Adjusted EBITDA, these may also include: deferred tax recovery or expense arising from foreign exchange translation and deferred tax recovery or expense arising from changes in tax rates. Adjustments exclude amounts attributable to non-controlling interests. Net earnings (loss) attributable to Lundin Mining Corporation shareholders and Net earnings (loss) from continuing operations attributable to Lundin Mining Corporation shareholders In addition to conventional measures prepared in accordance with IFRS, adjusted earnings and adjusted earnings per share measure the underlying operating performance of the Company. Adjusted earnings (loss) per share This ratio is calculated by dividing adjusted net earnings or loss by the weighted average number of shares outstanding. Free cash flow from operations Defined as cash flow provided by operating activities, excluding general exploration and business development costs and deducting sustaining capital expenditures (as defined above). Cash provided by operating activities related to continuing operations and Cash provided by operating activities related to discontinued operations Free cash flow from operations is indicative of the Company's ability to generate cash from its operations after consideration of required sustaining capital expenditure necessary to maintain existing production levels. Free cash flow further considers expansionary capital expenditure. Free cash flow Defined as cash flow provided by operating activities, deducting sustaining capital expenditures and expansionary capital expenditures (both as defined above). 40 ===== SIDA 44 ===== Adjusted operating cash flow Defined as cash provided by operating activities, excluding changes in non-cash working capital items. Cash provided by operating activities related to continuing operations and Cash provided by operating activities related to discontinued operations These measures are indicative of the Company's ability to generate cash from its operations and remove the impact of working capital, which can experience volatility from period-to-period. Adjusted operating cash flow per share This ratio is calculated by dividing adjusted operating cash flow by the weighted average number of shares outstanding. Net debt Net debt is defined as total debt and lease liabilities excluding deferred financing fees, less cash and cash equivalents. Net debt excluding lease liabilities is defined as total debt excluding lease liabilities, deferred financing fees, less cash and cash equivalents. Debt and lease liabilities, current portion of debt and lease liabilities, cash and cash equivalents. Additionally, the above items as included in assets held for sale, and liabilities held for sale These measures are indicative of the Company's financial position. Net debt excluding lease liabilities 1See the 'Revenue Overview' section of this MD&A for reconciliations to revenue, the most directly comparable IFRS measure. 41 ===== SIDA 45 ===== Cash Cost per Pound and All-in Sustaining Cost (“AISC”) per Pound Cash Cost per Pound and All-in Sustaining Costs per pound can be reconciled to Production Costs as follows: Three months ended December 31, 2024 Operations Candelaria Caserones Chapada Eagle Total - continuing operations Neves- Corvo Zinkgruvan Total - discontinued operations($000s, unless otherwise noted) (Cu) (Cu) (Cu) (Ni) (Cu) (Zn) Sales volumes: Tonnes 49,052 26,750 10,200 1,088 5,230 18,627 Pounds (000s) 108,141 58,973 22,487 2,399 11,531 41,066 Production costs 486,877 102,300 Less: Royalties and other (27,839) (20) 459,038 102,280 Deduct: By-product credits (137,021) (75,716) Add: Treatment and refining charges 27,483 12,128 Cash cost 165,039 147,826 24,107 12,528 349,500 21,230 17,462 38,692 Cash cost per pound ($/lb) 1.53 2.51 1.07 5.22 1.84 0.43 Add: Sustaining capital expenditure 55,526 42,988 32,916 5,224 12,680 22,470 Royalties 4,692 7,663 2,689 696 793 — Reclamation and other closure accretion and depreciation 2,129 (4,457) 2,373 1,734 1,184 747 Leases and other 1,449 17,229 1,080 2,691 2,917 74 All-in sustaining cost 228,835 211,249 63,165 22,873 38,804 40,753 AISC per pound ($/lb) 2.12 3.58 2.81 9.53 3.37 0.99 Three months ended December 31, 2023 Operations Candelaria Caserones Chapada Eagle Total - continuing operations Neves- Corvo Zinkgruvan Total - discontinued operations($000s, unless otherwise noted) (Cu) (Cu) (Cu) (Ni) (Cu) (Zn) Sales volumes: Tonnes 38,888 35,690 13,080 3,105 9,054 17,316 Pounds (000s) 85,733 78,683 28,836 6,845 19,961 38,176 Production costs 533,783 114,254 Less: Royalties and other (22,221) (2,299) Inventory fair value adjustment (7,760) — 503,802 111,955 Deduct: By-product credits (136,641) (67,523) Add: Treatment and refining charges 39,139 18,799 Cash cost 152,276 183,687 54,108 16,229 406,300 39,218 24,013 63,231 Cash cost per pound ($/lb) 1.78 2.33 1.88 2.37 1.96 0.63 Add: Sustaining capital expenditure 79,316 55,031 19,858 6,548 28,070 10,546 Royalties — 8,270 2,174 5,003 1,081 — Reclamation and other closure accretion and depreciation 2,158 1,427 2,047 2,620 1,305 933 Leases and other 2,901 25,715 1,131 1,101 106 103 All-in sustaining cost 236,651 274,130 79,318 31,501 69,780 35,595 AISC per pound ($/lb) 2.76 3.48 2.75 4.60 3.50 0.93 42 ===== SIDA 46 ===== Twelve months ended December 31, 2024 Operations Candelaria Caserones1 Chapada Eagle Total - continuing operations Neves- Corvo Zinkgruvan Total - discontinued operations($000s, unless otherwise noted) (Cu) (Cu) (Cu) (Ni) (Cu) (Zn) Sales volumes: Tonnes 158,017 113,867 39,615 5,662 26,721 68,086 Pounds (000s) 348,367 251,033 87,336 12,483 58,910 150,104 Production costs 1,898,627 445,227 Less: Royalties and other (84,501) (4,785) 1,814,126 440,442 Deduct: By-product credits (504,431) (305,479) Add: Treatment and refining charges 113,565 55,407 Cash cost 603,533 629,582 137,714 52,431 1,423,260 129,128 61,242 190,370 Cash cost per pound ($/lb) 1.73 2.51 1.58 4.20 2.19 0.41 Add: Sustaining capital expenditure 275,720 143,965 107,843 21,222 89,302 65,658 Royalties 15,730 32,106 8,580 7,442 3,961 — Reclamation and other closure accretion and depreciation 8,570 (1,262) 10,153 6,767 5,220 4,033 Leases and other 9,133 69,002 3,576 6,949 3,322 309 All-in sustaining cost 912,686 873,393 267,866 94,811 230,933 131,242 AISC per pound ($/lb) 2.62 3.48 3.07 7.60 3.92 0.87 Twelve months ended December 31, 2023 Operations Candelaria Caserones1 Chapada Eagle Total - continuing operations Neves- Corvo Zinkgruvan Total - discontinued operations($000s, unless otherwise noted) (Cu) (Cu) (Cu) (Ni) (Cu) (Zn) Sales volumes: Tonnes 144,473 66,075 43,761 13,339 32,054 65,344 Pounds (000s) 318,508 145,670 96,476 29,407 70,667 144,059 Production costs 1,644,037 442,071 Less: Royalties and other (60,916) (5,321) Inventory fair value adjustment (39,945) — 1,543,176 436,750 Deduct: By-product credits (428,208) (271,707) Add: Treatment and refining charges 118,480 64,848 Cash cost 660,160 290,553 219,278 63,457 1,233,448 167,424 62,467 229,891 Cash cost per pound ($/lb) 2.07 1.99 2.27 2.16 2.37 0.43 Add: Sustaining capital expenditure 380,112 83,880 72,291 22,201 102,621 53,358 Royalties — 15,820 8,568 22,994 3,949 — Reclamation and other closure accretion and depreciation 9,258 2,560 7,836 11,331 5,387 3,744 Leases and other2 13,325 47,944 4,999 4,100 553 427 All-in sustaining cost 1,062,855 440,757 312,972 124,083 279,934 119,996 AISC per pound ($/lb) 3.34 3.03 3.24 4.22 3.96 0.83 1 Caserones 2023 results are from July 13, 2023. 43 ===== SIDA 47 ===== Adjusted EBITDA Adjusted EBITDA can be reconciled to Net Earnings (Loss) as follows: Three months ended December 31, Year ended December 31, ($thousands) 2024 2023 2024 2023 2022 Net earnings (loss) — continuing operations (159,618) 40,444 153,354 276,850 316,772 Add back: Depreciation, depletion and amortization 148,033 181,865 607,744 497,873 416,204 Finance costs, net 38,282 32,023 141,455 91,429 51,317 Income taxes expense 34,767 101,858 229,973 214,366 104,113 EBITDA — continuing operations 61,464 356,190 1,132,526 1,080,518 888,406 Unrealized foreign exchange loss (gain) (10,808) 2,693 (10,994) 1,804 16,491 Unrealized losses (gains) on derivative contracts 85,986 (2,592) 85,168 8,464 (62,971) Ojos del Salado sinkhole expenses (recoveries) (10,042) 1,687 (9,492) 16,922 63,271 Revaluation loss (gain) on marketable securities (911) (1,393) (7,383) (1,846) (5,201) Caserones inventory fair value adjustment — 7,760 — 39,945 — Partial suspension of underground operations at Eagle 11,436 — 36,073 — — Revaluation of Caserones purchase option — 2,556 (11,728) 2,556 — Write-down of assets 4,160 — 22,129 — 5,783 Goodwill and asset impairment 254,218 — 254,218 — 4,280 Inventory write-down (reversal) (26,626) — (26,626) — 62,546 Gain on disposal of subsidiary — — — (5,718) (16,828) Other (637) 732 (2,085) 2,958 (2,133) Total adjustments — EBITDA 306,776 11,443 329,280 65,085 65,238 Adjusted EBITDA — continuing operations 368,240 367,633 1,461,806 1,145,603 953,644 Including discontinued operations: Net earnings (loss) — discontinued operations (244,816) 26,309 (214,671) 38,399 146,761 Add back: Depreciation, depletion and amortization 32,831 41,191 155,344 155,723 138,546 Finance costs, net 1,813 2,868 9,793 11,270 12,868 Income taxes expense (22,173) 758 (13,711) 2,233 30,515 EBITDA — discontinued operations (232,345) 71,126 (63,245) 207,625 328,690 Unrealized foreign exchange loss (gain) (960) 76 (200) (580) 4,673 Unrealized losses (gains) on derivative contracts (466) (16,717) 18,597 13,468 — Goodwill and asset Impairment 291,178 — 291,178 — (19) Other (22) (2,388) (1,114) (2,568) 5,518 Total adjustments — EBITDA discontinued operations 289,730 (19,029) 308,461 10,320 10,172 Adjusted EBITDA — discontinued operations 57,385 52,097 245,216 217,945 338,862 Adjusted EBITDA (all operations) 425,625 419,730 1,707,022 1,363,548 1,292,506 44 ===== SIDA 48 ===== Adjusted Earnings and Adjusted EPS Adjusted Earnings and Adjusted EPS can be reconciled to Net Earnings (Loss) Attributable to Lundin Mining Shareholders as follows: Three months ended December 31, Year ended December 31, ($thousands, except share and per share amounts) 2024 2023 2024 2023 2022 Net (loss) earnings attributable to Lundin Mining shareholders — continuing operations (195,343) 12,488 11,144 203,163 277,198 Add back: Total adjustments - EBITDA 306,776 11,443 329,280 65,085 65,238 Tax effect on adjustments (57,600) (2,987) (59,519) (26,925) 2,882 Deferred tax expense due to change in tax rate — 14,500 — 40,200 — Deferred tax arising from foreign exchange translation 45,065 41,168 12,712 28,841 (20,733) Non-controlling interest on adjustments (4,077) (4,221) (1,912) (22,886) 2,026 Total adjustments 290,164 59,903 280,560 84,315 49,413 Adjusted earnings — continuing operations 94,821 72,391 291,704 287,478 326,611 Including discontinued operations: Net earnings attributable to Lundin Mining shareholders - discontinued operations1 (244,816) 26,309 (214,671) 38,399 149,652 Add back: Total adjustments - EBITDA - discontinued operations 289,730 (19,029) 308,461 10,320 10,172 Tax effect on adjustments (20,544) — (26,547) — (3,679) Total adjustments 269,186 (19,029) 281,914 10,320 6,493 Adjusted earnings — discontinued operations 24,370 7,280 67,243 48,719 156,145 Adjusted earnings (all operations) 119,191 79,671 358,947 336,197 482,756 Basic weighted average number of shares outstanding 776,720,828 773,476,216 774,825,230 772,532,260 762,518,753 Net (loss) earnings attributable to Lundin Mining shareholders - continuing operations (0.25) 0.02 0.01 0.26 0.36 Total adjustments 0.37 0.08 0.36 0.11 0.06 Adjusted EPS — continuing operations 0.12 0.09 0.38 0.37 0.43 Net (loss) earnings attributable to Lundin Mining shareholders - discontinued operations (0.32) 0.03 (0.28) 0.05 0.20 Total adjustments 0.35 (0.03) 0.36 0.01 0.01 Adjusted EPS — discontinued operations 0.03 0.01 0.09 0.06 0.20 Net (loss) earnings attributable to Lundin Mining shareholders (0.57) 0.05 (0.26) 0.31 0.56 Total adjustments 0.72 0.05 0.73 0.13 0.07 Adjusted EPS (all operations) 0.15 0.10 0.46 0.44 0.63 1 Represents Net (loss) earnings attributable to Lundin Mining Corporation shareholders less Net earnings from continuing operations attributable to Lundin Mining Corporation shareholders. 45 ===== SIDA 49 ===== Free Cash Flow from Operations and Free Cash Flow Free Cash Flow from Operations and Free Cash Flow can be reconciled to Cash provided by Operating Activities on the Company's Consolidated Statement of Cash Flows as follows: Three months ended December 31, Year ended December 31, ($thousands) 2024 2023 2024 2023 2022 Cash provided by operating activities related to continuing operations 547,267 249,875 1,300,848 827,244 615,986 Sustaining capital expenditures (136,674) (165,211) (549,100) (571,245) (520,465) General exploration and business development 12,974 11,062 45,352 44,010 135,213 Free cash flow from operations — continuing operations 423,567 95,726 797,100 300,009 230,734 General exploration and business development (12,974) (11,062) (45,352) (44,010) (135,213) Expansionary capital expenditures (50,607) (41,082) (243,566) (275,913) (171,094) Free cash flow — continuing operations 359,986 43,582 508,182 (19,914) (75,573) Cash provided by operating activities related to discontinued operations 73,014 56,206 218,009 189,368 260,903 Sustaining capital expenditures (35,150) (38,616) (154,960) (155,979) (119,366) General exploration and business development 4,614 3,438 12,843 11,682 9,140 Free cash flow from operations — discontinued operations 42,478 21,028 75,892 45,071 150,677 General exploration and business development (4,614) (3,438) (12,843) (11,682) (9,140) Expansionary capital expenditures — — — — (31,899) Free cash flow — discontinued operations 37,864 17,590 63,049 33,389 109,638 Free cash flow from operations (all operations) 466,045 116,754 872,992 345,080 381,411 Free cash flow (all operations) 397,850 61,172 571,231 13,475 34,065 46 ===== SIDA 50 ===== Adjusted Operating Cash Flow and Adjusted Operating Cash Flow per Share Adjusted Operating Cash Flow and Adjusted Operating Cash Flow per Share can be reconciled to Cash Provided by Operating Activities on the Company's Consolidated Statement of Cash Flows as follows: Three months ended December 31, Year ended December 31, ($thousands, except share and per share amounts) 2024 2023 2024 2023 2022 Cash provided by operating activities related to continuing operations 547,267 249,875 1,300,848 827,244 615,986 Changes in non-cash working capital items (295,508) 55,518 (220,880) 20,032 124,087 Adjusted operating cash flow — continuing operations 251,759 305,393 1,079,968 847,276 740,073 Cash provided by operating activities related to discontinued operations 73,014 56,206 218,009 189,368 260,903 Changes in non-cash working capital items (10,895) 447 4,615 (12,427) (8,031) Adjusted operating cash flow — discontinued operations 62,119 56,653 222,624 176,941 252,872 Adjusted operating cash flow (all operations) 313,878 362,046 1,302,592 1,024,217 992,945 Basic weighted average number of shares outstanding 776,720,828 773,476,216 774,825,230 772,532,260 762,518,753 Adjusted operating cash flow per share — continuing operations 0.32 0.39 1.39 1.10 $ 1.00 Adjusted operating cash flow per share — discontinued operations 0.08 0.08 0.29 0.23 $ 0.30 Adjusted operating cash flow per share (all operations) 0.40 0.47 1.68 1.33 $ 1.30 Net Debt and Net Debt Excluding Lease Liabilities Net debt and net debt excluding lease liabilities can be reconciled to Debt and Lease Liabilities, Current Portion of Debt and Lease Liabilities and Cash and Cash Equivalents on the Company's Consolidated Balance Sheets as follows: As at December 31, ($ thousands), continuing operations December 31, 2024 December 31, 2023 December 31, 2022 Debt and lease liabilities (1,610,925) (1,273,162) (27,179) Current portion of debt and lease liabilities (395,232) (212,646) (170,149) Less deferred financing fees (netted in above) (7,656) (6,374) (4,926) Add debt and lease liabilities related to liabilities classified as held- for-sale (16,266) — — (2,030,079) (1,492,182) (202,254) Cash and cash equivalents 357,478 268,793 191,387 Add cash and cash equivalents related to assets classified as held- for-sale 74,801 — — Net debt (1,597,800) (1,223,389) (10,867) Lease liabilities 249,185 277,208 27,166 Lease liabilities related to liabilities classified as held-for-sale 16,266 — — Net debt excluding lease liabilities (1,332,349) (946,181) 16,299 47 ===== SIDA 51 ===== Other Information and Advisories Related Party Transactions The Company enters into related party transactions that are in the normal course of business and on an arm’s length basis. Related party disclosures can be found in Note 29 of the Company’s Consolidated Financial Statements. Changes in Accounting Policies and Critical Accounting Estimates and Judgments The Company’s consolidated financial statements, including comparatives, have been prepared in compliance with IFRS. The Company’s material accounting policies, including any changes in accounting policies, are described in Note 2 ‘Basis of Presentation and Summary of Material Accounting Policies’ of the Company's Consolidated Financial Statements. Critical Accounting Estimates and Judgments The preparation of consolidated financial statements in conformity with IFRS requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed at each period end. Revisions to accounting estimates are recognized in the period in which the estimates are revised and in any future periods affected. For further information on the Company’s significant accounting estimates and judgements, refer to Note 2 of the Company’s Consolidated Financial Statements. Disclosure Controls and Procedures Disclosure controls and procedures have been designed to provide reasonable assurance that all material information related to the Company is identified and communicated on a timely basis. Management of the Company, under the supervision of the President and Chief Executive Officer and the Executive Vice President and Chief Financial Officer, is responsible for the design and operation of disclosure controls and procedures. Management has evaluated the effectiveness of the Company’s disclosure controls and procedures and has concluded that they were effective as at December 31, 2024. Internal Control over Financial Reporting (“ICFR”) Management of the Company, under the supervision of the President and Chief Executive Officer and the Executive Vice President and Chief Financial Officer, is responsible for establishing and maintaining adequate ICFR. The Company’s ICFR is designed to provide reasonable assurance regarding the reliability of financial reporting and preparation of financial statements for external purposes in accordance with IFRS. However, due to inherent limitations ICFR may not prevent or detect all misstatements and fraud. Management will continue to monitor the effectiveness of its ICFR and may make modifications from time to time as considered necessary. Management assesses the effectiveness of the Company’s ICFR using the Internal Control – Integrated Framework (2013 Framework) issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”). Management conducted an evaluation of the effectiveness of ICFR and concluded that it was effective as at December 31, 2024. There have been no changes in the Company’s ICFR during the three months ended December 31, 2024 that have materially affected, or are reasonably likely to materially affect, the Company’s financial reporting. Risks and Uncertainties The Company’s business activities are subject to a variety and wide range of inherent risks and uncertainties. Any of these risks could have an adverse effect on the Company, its business and prospects, and could cause actual outcomes and results to differ materially from those described in forward-looking statements relating to the Company. The development of the Vicuña Projects requires significant capital commitments from the Company, and additional funding, beyond debt, may be required to advance the project to completion. Such additional funding may take the form of a partnership, joint arrangement, royalty, stream or other arrangement (or a combination thereof) for the Vicuña Projects, any of which would dilute the Company’s existing interest in the Vicuña Projects. The Company may also be required or elect to pursue equity financing, which could have a dilutive effect on existing security holders if shares, options, warrants or other convertible securities are issued. 48 ===== SIDA 52 ===== The Company’s ability to obtain additional financing for the Vicuña Projects in the future will depend, in part, on prevailing capital market conditions and the Company’s financial performance. Failure to secure adequate financing on a timely basis may cause the Company to postpone, abandon, reduce or terminate its development activities in respect of the Vicuña Projects and could have a material adverse effect on the Company’s business, results of operations, financial condition and price of common shares. In addition, the Company’s exploration, acquisition, development and operational activities generally require significant investment of resources and capital. The Company allocates such resources and capital to support business objectives, and the availability of required resources and capital is subject to market conditions and the Company’s financial position. The Company has limited financial resources and there is no assurance that sufficient additional funding or financing will be available to the Company or its direct and indirect subsidiaries on acceptable terms, or at all, for further exploration or development of its properties, including the development of the Vicuña Projects, or to fulfill its obligations under any applicable agreements. The Company may incur substantial debt from time to time to finance working capital, capital expenditures, investments or acquisitions or for other purposes. If the Company does so, the risks related to the Company’s indebtedness could intensify, including, among other things: substantial interest and capital payments; increased difficulty in satisfying existing debt obligations; limitations on the ability to obtain additional financing, or imposed requirements to make non-strategic divestitures; imposed hedging requirements; explicit or implicit restrictions on the Company’s cash flows for capital investment, dividends or distributions, opportunistic acquisitions and other business needs; increased vulnerability to general adverse economic and industry conditions; interest rate risk exposure as borrowings may be at variable rates of interest; decreased flexibility in planning for and reacting to changes in the industry in which it competes; reduced competitiveness as compared to less leveraged competitors; and increased cost of additional borrowing. The terms of the revolving credit facility and Term Loan agreements require the Company to satisfy various affirmative and negative covenants and to meet certain financial ratios and tests. These covenants limit, among other things, the Company’s ability to incur further indebtedness if doing so would cause it to fail to meet certain financial covenants, create certain liens on assets or engage in certain types of transactions. A failure to comply with these covenants, including a failure to meet the financial tests or ratios, would likely result in an event of default under the revolving credit facility and Term Loan and would allow the lenders to restrict future loans or accelerate the debt, which could materially and adversely affect the Company’s business, financial condition and results of operations, its ability to meet payment obligations under its debt and the price of its common shares. The terms of the Term Loan entitle the Company to voluntarily prepay all or any portion of the outstanding loan balance, without penalty. On certain occasions, a triggering event may meet the criteria requiring mandatory prepayment. Any such prepayment made, mandatory or on the Company's accord, permanently reduces the facility available to the Company on the Term Loan. As at December 31, 2024 , the Company is in compliance with its debt covenants. The Company may issue additional securities to raise funds, to pay for acquisitions or for other reasons. The Company cannot predict the size of future issuances of securities or the effect, if any, that future issuances and sales of securities will have on the market price of common shares. Sales or issuances of substantial numbers of common shares, or the expectation that such sales could occur, may adversely affect prevailing market prices of the Company’s common shares. In connection with any issuance of common shares, investors will suffer dilution to their voting power and the Company may experience dilution in its earnings per share. The Company is exposed to various counterparty risks including, among others: financial institutions that hold the Company’s cash; companies that have payables to the Company, including concentrate customers; the Company’s insurance providers; counterparties to the Company's derivative contracts; the Company’s lenders and other banking counterparties; companies that have received deposits from the Company for the future delivery of equipment; and third parties that have agreed to indemnify the Company upon the occurrence of certain events. The Company maintains relationships with various banking partners for its operating activities in the jurisdictions in which the Company operates. The Company’s access to funds under its credit facilities or other debt arrangements is dependent on the ability of the financial institutions that are counterparties to the facilities to meet their funding commitments. Default by financial institutions could require the Company to take measures to conserve cash until the markets stabilize or until alternative credit or other funding arrangements for the Company’s business needs can be obtained. If market prices for metals fall below the Company’s full production costs and remain at such levels for any sustained period of time, the Company may experience losses and may decide to discontinue mining operations or development of a project at one or more of its properties. If the prices drop significantly, the economic prospects of the mines and projects in which the Company has an interest could be significantly reduced or rendered uneconomic, in which case the Company may need 49 ===== SIDA 53 ===== to restate its Mineral Resource and Mineral Reserve estimates. Low metal prices will affect the Company’s liquidity, and if they persist for an extended period of time, the Company may have to look for other sources of cash flow to maintain liquidity until metal prices recover. A sustained and material impact on the Company’s liquidity may also impact the Company’s ability to comply with financial covenants under its credit facilities. For additional discussion on Lundin Mining’s risks, refer to the “Risks and Uncertainties” section of the Company’s Annual Information Form (“AIF”) for the year ended December 31, 2024 and the “Cautionary Statement on Forward-Looking Information” section of this MD&A. National Instrument 43-101 Compliance The scientific and technical information in this document has been reviewed and approved in accordance with National Instrument 43-101 ("NI 43-101") by Patrick Merrin, Executive Vice President, Technical Services, a "Qualified Person" under NI 43-101. Mr. Merrin has verified the data disclosed in this document and no limitations were imposed on his verification process. Other Information Additional information regarding the Company is included in the Company’s AIF which is filed with the Canadian securities regulators. A copy of the Company’s AIF can be obtained on SEDAR+ ( www.sedarplus.com) or on the Company’s website (www.lundinmining.com). Outstanding Share Data The table below summarizes the Company’s common shares and securities convertible into common shares as at February 19, 2025. February 19, 2025 Common shares issued and outstanding 867,777,426 Stock options outstanding (weighted average exercise price of C$10.21) 3,850,789 Time vesting share units1 1,406,034 Performance vesting share units2 1,023,125 1 Time vesting share units represent the right to receive one common share (subject to adjustments) issued from treasury. 2 Performance vesting share units (“PSU”) represent the right to receive a variable number of common shares (subject to adjustments) issued from treasury contingent upon achieving applicable performance vesting conditions. The number of common shares listed above in respect of PSU assumes that 100% of PSU granted (without change) will vest and be paid out in common shares on a one for one basis. However, as noted, the final number of PSU that may be earned and redeemed may be higher or lower than the PSU initially granted. 50 ===== SIDA 54 ===== Consolidated Financial Statements of Lundin Mining Corporation December 31, 2024 ===== SIDA 55 ===== Management’s Report The accompanying consolidated financial statements of Lundin Mining Corporation ("Lundin Mining" or the “Company”) and other information contained in the management’s discussion and analysis are the responsibility of management and have been approved by the Board of Directors. The consolidated financial statements have been prepared by management in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (“IFRS Accounting Standards”) as outlined in Part 1 of the Handbook of the Chartered Professional Accountants (“CPA”) of Canada, and include some amounts that are based on management’s estimates and judgment. The Board of Directors carries out its responsibility for the consolidated financial statements principally through its Audit Committee, which is comprised solely of independent directors. The Audit Committee reviews the Company’s annual consolidated financial statements and recommends its approval to the Board of Directors. The Company’s auditors have full access to the Audit Committee, with and without management being present. These consolidated financial statements have been audited by PricewaterhouseCoopers LLP, Chartered Professional Accountants. (Signed) Jack Lundin (Signed) Teitur Poulsen President and Chief Executive Officer Executive Vice President and Chief Financial Officer Vancouver, British Columbia, Canada February 19, 2025 ===== SIDA 56 ===== PricewaterhouseCoopers LLP PwC Place, 250 Howe Street, Suite 1400, Vancouver, British Columbia, Canada V6C 3S7 T.: +1 604 806 7000, F.: +1 604 806 7806, Fax to mail: ca_vancouver_main_fax@pwc.com “PwC” refers to PricewaterhouseCoopers LLP, an Ontario limited liability partnership. Independent auditor’s report To the Shareholders of Lundin Mining Corporation Our opinion In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the financial position of Lundin Mining Corporation and its subsidiaries (together, the Company) as at December 31, 2024 and 2023, and its financial performance and its cash flows for the years then ended in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board (IFRS Accounting Standards). What we have audited The Company’s consolidated financial statements comprise:  the consolidated balance sheets as at December 31, 2024 and 2023;  the consolidated statements of (loss) earnings for the years then ended;  the consolidated statements of comprehensive (loss) income for the years then ended;  the consolidated statements of changes in equity for the years then ended;  the consolidated statements of cash flows for the years then ended; and  the notes to the consolidated financial statements, comprising material accounting policy information and other explanatory information. Basis for opinion We conducted our audit in accordance with Canadian generally accepted auditing standards. Our responsibilities under those standards are further described in the Auditor’s responsibilities for the audit of the consolidated financial statements section of our report. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion. Independence We are independent of the Company in accordance with the ethical requirements that are relevant to our audit of the consolidated financial statements in Canada. We have fulfilled our other ethical responsibilities in accordance with these requirements. ===== SIDA 57 ===== Key audit matters Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the consolidated financial statements for the year ended December 31, 2024. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. Key audit matter How our audit addressed the key audit matter Chapada cash-generating unit (CGU) goodwill impairment assessment Refer to note 2 – Basis of presentation and summary of material accounting policies and note 11 – Goodwill and asset impairment to the consolidated financial statements. The Company’s total carrying amount of goodwill as at December 31, 2024 was $134 million, which related to the Chapada CGU. The Company’s goodwill is required to be tested annually for impairment or when events or changes in circumstances indicate that the related carrying amount may not be recoverable. When the recoverable amount of the CGU is less than the carrying amount of that CGU, an impairment loss is recognized. The recoverable amount of the Chapada CGU was based on a fair value less cost of disposal method using a discounted cash flow model and market- based approach. Management applied significant judgment in estimating the recoverable amount of the Chapada CGU. Significant assumptions used by management to determine the recoverable amounts include future metal prices, production based on estimated quantities of mineral reserves and mineral resources, production and capital expenditures, foreign exchange rate, in-situ multiples and discount rate. The recoverable amount of the Chapada CGU determined by management exceeded its carrying value, and as a result, no impairment loss was recorded. Our approach to addressing the matter included the following procedures, among others:  Tested how management estimated the recoverable amount of the Chapada CGU, which included the following:  Tested the underlying data used by management in the discounted cash flow model and market-based valuation.  Evaluated the reasonableness of significant assumptions such as future metal prices, foreign exchange rate and production and capital expenditures by (i) comparing future metal prices and foreign exchange rate with external market and industry data; (ii) comparing future production and capital expenditures against current and past performance; and (iii) assessing whether these assumptions were consistent with evidence obtained in other areas of the audit.  The work of management’s experts was used in performing the procedures to evaluate the reasonableness of the estimates associated with the production based on estimated quantities of mineral reserves and mineral resources. As a basis for using this work, the competence, capabilities and objectivity of management’s experts were evaluated, the work performed was understood and the appropriateness of the work as audit evidence was evaluated. ===== SIDA 58 ===== Management’s estimates of production based on estimated quantities of mineral reserves and mineral resources are based on information compiled by qualified persons (management’s experts). We considered this a key audit matter due to the significant auditor effort, subjectivity and significant judgment in performing procedures to test significant assumptions used by management in determining the fair value of the Chapada CGU. Professionals with specialized skill and knowledge in the field of valuation assisted us in performing our procedures. The procedures performed also included evaluation of the methods and assumptions used by management’s experts, tests of the data used by management’s experts and an evaluation of their findings.  Professionals with specialized skill and knowledge in the field of valuation assisted in assessing the following: (i) appropriateness of the discounted cash flow model and market-based approach to determine the recoverable amount of the Chapada CGU; and (ii) the reasonableness of the discount rate and in-situ multiples. Other information Management is responsible for the other information. The other information comprises the Management’s Discussion and Analysis. Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon. In connection with our audit of the consolidated financial statements, our responsibility is to read the other information identified above and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit, or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard. Responsibilities of management and those charged with governance for the consolidated financial statements Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS Accounting Standards, and for such internal control as management determines is necessary to enable the preparation of consolidated financial statements that are free from material misstatement, whether due to fraud or error. In preparing the consolidated financial statements, management is responsible for assessing the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to going ===== SIDA 59 ===== concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so. Those charged with governance are responsible for overseeing the Company’s financial reporting process. Auditor’s responsibilities for the audit of theconsolidated financial statements Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with Canadian generally accepted auditing standards will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis of these consolidated financial statements. As part of an audit in accordance with Canadian generally accepted auditing standards, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:  Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.  Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control.  Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management.  Conclude on the appropriateness of management’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor’s report to the related disclosures in the consolidated financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Company to cease to continue as a going concern. ===== SIDA 60 =====  Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.  Plan and perform the group audit to obtain sufficient appropriate audit evidence regarding the financial information of the entities or business units within the Company as a basis for forming an opinion on the consolidated financial statements. We are responsible for the direction, supervision and review of the audit work performed for purposes of the group audit. We remain solely responsible for our audit opinion. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards. From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication. The engagement partner on the audit resulting in this independent auditor’s report is Mark Patterson. /s/PricewaterhouseCoopers LLP Chartered Professional Accountants Vancouver, British Columbia February 19, 2025 ===== SIDA 61 ===== LUNDIN MINING CORPORATION CONSOLIDATED BALANCE SHEETS As at (in thousands of US dollars) December 31, 2024 December 31, 2023 ASSETS Cash and cash equivalents (Note 5) $ 357,478 $ 268,793 Trade and other receivables (Note 6) 510,854 828,871 Income taxes receivable 14,520 34,542 Inventories (Note 7) 590,685 599,407 Marketable securities (Note 8) 50,105 — Current portion of derivative assets (Note 26) 964 38,114 Other current assets 22,667 21,421 Assets held for sale (Note 3) 1,389,670 — Total current assets 2,936,943 1,791,148 Restricted funds 8,665 59,979 Long-term inventory (Note 7) 871,885 797,597 Derivative assets (Note 26) 665 9,397 Other non-current assets (Note 9) 18,382 67,090 Mineral properties, plant and equipment (Note 10) 6,244,634 7,725,169 Deferred tax assets (Note 25) 191,254 170,203 Goodwill (Note 11) 134,284 240,616 7,469,769 9,070,051 Total assets $ 10,406,712 $ 10,861,199 LIABILITIES Trade and other payables (Note 12) $ 674,204 $ 805,763 Income taxes payable 128,251 62,926 Current portion of derivative liabilities (Note 26) 39,416 26,389 Current portion of debt and lease liabilities (Note 13) 395,232 212,646 Current portion of deferred revenue (Note 14) 60,604 87,867 Current portion of reclamation and other closure provisions (Note 15) 20,876 14,442 Liabilities held for sale (Note 3) 393,109 — Total current liabilities 1,711,692 1,210,033 Derivative liabilities (Note 26) 24,487 3,148 Debt and lease liabilities (Note 13) 1,610,925 1,273,162 Deferred revenue (Note 14) 447,133 535,363 Reclamation and other closure provisions (Note 15) 323,310 529,734 Deferred consideration and other long-term liabilities (Note 16) 128,783 133,199 Provision for pension obligations 768 6,752 Deferred tax liabilities (Note 25) 643,850 751,688 3,179,256 3,233,046 Total liabilities 4,890,948 4,443,079 SHAREHOLDERS' EQUITY Share capital (Note 17) 4,585,607 4,574,830 Contributed surplus 51,308 55,201 Accumulated other comprehensive loss (375,837) (296,617) Retained earnings 161,063 627,903 Equity attributable to Lundin Mining Corporation shareholders 4,422,141 4,961,317 Non-controlling interests (Note 18) 1,093,623 1,456,803 Total shareholders' equity 5,515,764 6,418,120 Total liabilities and shareholders' equity $ 10,406,712 $ 10,861,199 Commitments and contingencies (Note 27) Subsequent events (Note 4, 8, 26) The accompanying notes are an integral part of these consolidated financial statements. APPROVED BY THE BOARD OF DIRECTORS (Signed) Adam I. Lundin - Director (Signed) Dale C. Peniuk - Director - 1 - ===== SIDA 62 ===== LUNDIN MINING CORPORATION CONSOLIDATED STATEMENTS OF (LOSS) EARNINGS For the years ended December 31, 2024 and 2023 (in thousands of US dollars, except for shares and per share amounts) 2024 2023 Continuing Operations: Revenue (Note 19) $ 3,422,604 $ 2,743,444 Cost of goods sold Production costs (Note 20) (1,898,627) (1,644,037) Depreciation, depletion and amortization (607,744) (497,873) Reversal of inventory write-down (Note 7) 26,626 — Gross profit 942,859 601,534 General and administrative expenses (Note 21) (58,349) (66,723) Exploration and business development (Note 22) (45,352) (44,010) Finance income (Note 23) 16,689 10,879 Finance costs (Note 23) (158,144) (102,308) Other (expense) income (Note 24) (24,085) 91,844 Goodwill and asset impairment (Note 11) (254,218) — Mine suspension costs (36,073) — Earnings before income taxes from continuing operations 383,327 491,216 Current tax expense (Note 25) (294,938) (141,432) Deferred tax recovery (expense) (Note 25) 64,965 (72,934) Net earnings from continuing operations $ 153,354 $ 276,850 Net (loss) earnings from discontinued operations, net of taxes (Note 3) (214,671) 38,399 Net (loss) earnings $ (61,317) $ 315,249 Net earnings from continuing operations attributable to: Lundin Mining Corporation shareholders $ 11,144 $ 203,163 Non-controlling interests 142,210 73,687 Net earnings from continuing operations $ 153,354 $ 276,850 Net (loss) earnings attributable to Lundin Mining Corporation shareholders $ (203,527) $ 241,562 Non-controlling interests 142,210 73,687 Net (loss) earnings $ (61,317) $ 315,249 Basic and diluted earnings per share from continuing operations attributable to Lundin Mining Corporation shareholders: $ 0.01 $ 0.26 Basic and diluted (loss) earnings per share from discontinued operations attributable to Lundin Mining Corporation shareholders: $ (0.27) $ 0.05 Basic and diluted (loss) earnings per share attributable to Lundin Mining Corporation shareholders: $ (0.26) $ 0.31 Weighted average number of shares outstanding (Note 17) Basic 774,825,230 772,532,260 Diluted 777,569,041 773,292,895 The accompanying notes are an integral part of these consolidated financial statements. - 2 - ===== SIDA 63 ===== LUNDIN MINING CORPORATION CONSOLIDATED STATEMENTS OF COMPREHENSIVE (LOSS) INCOME For the years ended December 31, 2024 and 2023 (in thousands of US dollars) 2024 2023 Net (loss) earnings $ (61,317) $ 315,249 Other comprehensive (loss) income, net of taxes Item that will not be reclassified to net earnings: Remeasurements for post-employment benefit plans 573 2,320 Item that may be reclassified subsequently to net earnings: Effects of foreign exchange (79,684) 43,710 Other comprehensive (loss) income (79,111) 46,030 Total comprehensive (loss) income $ (140,428) $ 361,279 Comprehensive (loss) income attributable to: Lundin Mining Corporation shareholders $ (282,747) $ 287,232 Non-controlling interests 142,319 74,047 Total comprehensive (loss) income $ (140,428) $ 361,279 Total comprehensive income (loss) attributable to Lundin Mining Corporation shareholders arising from: Continuing operations $ 22,061 $ 197,723 Discontinued operations (304,808) 89,509 Comprehensive (loss) income attributable to Lundin Mining Corporation shareholders $ (282,747) $ 287,232 The accompanying notes are an integral part of these consolidated financial statements. - 3 - ===== SIDA 64 ===== LUNDIN MINING CORPORATION CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY For the years ended December 31, 2024 and 2023 (in thousands of US dollars, except for shares) Number of shares Share capital Contributed surplus Accumulated other comprehensive (loss) income Retained earnings Non- controlling interests Total Balance, December 31, 2023 773,667,789 $ 4,574,830 $ 55,201 $ (296,617) $ 627,903 $ 1,456,803 $ 6,418,120 Distributions — — — — — (152,000) (152,000) Exercise of Caserones purchase option (Note 9) — — — — (52,667) (353,499) (406,166) Exercise of share-based awards 3,250,382 31,181 (10,158) — — — 21,023 Share-based compensation — — 6,265 — — — 6,265 Dividends declared (Note 17(f)) — — — — (202,962) — (202,962) Shares purchased (Note 17(g)) (2,815,200) (16,690) — — (7,684) — (24,374) Accrued liability for automatic share purchase plan commitment (Note 17(g)) — (3,714) — — — — (3,714) Net (loss) earnings — — — — (203,527) 142,210 (61,317) Other comprehensive (loss) income — — — (79,220) — 109 (79,111) Total comprehensive (loss) income — — — (79,220) (203,527) 142,319 (140,428) Balance, December 31, 2024 774,102,971 $ 4,585,607 $ 51,308 $ (375,837) $ 161,063 $ 1,093,623 $ 5,515,764 Balance, December 31, 2022 770,746,531 $ 4,555,125 $ 55,769 $ (342,287) $ 592,425 $ 564,089 $ 5,425,121 Distributions — — — — — (55,100) (55,100) Caserones acquisition — — — — — 873,767 873,767 Exercise of share-based awards 2,921,258 19,705 (8,329) — — — 11,376 Share-based compensation — — 7,761 — — — 7,761 Dividends declared — — — — (206,084) — (206,084) Net earnings — — — — 241,562 73,687 315,249 Other comprehensive income — — — 45,670 — 360 46,030 Total comprehensive income — — — 45,670 241,562 74,047 361,279 Balance, December 31, 2023 773,667,789 $ 4,574,830 $ 55,201 $ (296,617) $ 627,903 $ 1,456,803 $ 6,418,120 The accompanying notes are an integral part of these consolidated financial statements. - 4 - ===== SIDA 65 ===== LUNDIN MINING CORPORATION CONSOLIDATED STATEMENTS OF CASH FLOWS For the years ended December 31, 2024 and 2023 (in thousands of US dollars) Cash provided by (used in) 2024 2023 Operating activities Net earnings $ 153,354 $ 276,850 Items not involving cash and other adjustments Depreciation, depletion and amortization 607,744 497,873 Share-based compensation 6,422 7,301 Unrealized foreign exchange (gain) loss (10,994) 1,804 Finance costs, net (Note 23) 141,455 91,429 Recognition of deferred revenue (Note 14) (78,083) (64,698) Deferred tax (recovery) expense (64,965) 72,934 Revaluation of Caserones purchase option (Note 24) (11,728) 5,150 Goodwill and asset impairment (Note 11) 254,218 — Revaluation of foreign currency and diesel derivatives (Note 26) 87,218 (16,624) Reversal of inventory write-down (Note 7) (26,626) — Write-down of assets (Note 24) 22,129 — Inventory write-down 19,445 49,793 Other 7,220 7,893 Reclamation payments (Note 15) (17,061) (9,823) Pension payments (2,618) (690) Changes in long-term inventory (7,162) (71,916) Changes in non-cash working capital items (Note 32) 220,880 (20,032) Cash provided by operating activities related to continuing operations 1,300,848 827,244 Cash provided by operating activities related to discontinued operations 218,009 189,368 1,518,857 1,016,612 Investing activities Investment in mineral properties, plant and equipment (807,307) (857,138) Acquisition of Caserones, net of cash acquired — (648,569) Purchase of marketable securities (Note 8) (41,686) — Cash received from disposal of subsidiary (Note 24) — 5,718 Payment of Chapada derivative liability (Note 26) (25,000) (25,000) Interest received 16,135 10,328 Other 2,489 (4,151) Cash used in investing activities related to continuing operations (855,369) (1,518,812) Cash used in investing activities related to discontinued operations (151,537) (155,722) (1,006,906) (1,674,534) Financing activities Proceeds from debt (Note 13) 1,500,551 2,490,597 Principal repayments of debt (Note 13) (944,330) (1,449,488) Principal payments of lease liabilities (66,529) (46,400) Interest paid (119,234) (57,140) Payment of Caserones deferred consideration (Note 26) (10,000) — Exercise of Caserones purchase option (Note 9) (350,000) — Dividends paid to shareholders (202,497) (206,540) Shares purchased (Note 17) (24,374) — Proceeds from common shares issued 21,023 11,376 Distributions paid to non-controlling interests (152,000) (55,100) Net proceeds from settlement of foreign currency and commodity derivatives (520) 24,062 Other (1,864) 543 Cash (used in) provided by financing activities related to continuing operations (349,774) 711,910 Cash provided by financing activities related to discontinued operations 5,547 16,676 (344,227) 728,586 Effect of foreign exchange on cash balances (4,238) 6,742 Increase in cash and cash equivalents during the year 163,486 77,406 Cash and cash equivalents, beginning of year 268,793 191,387 Less: Cash and cash equivalents included in assets held for sale, end of year (Note 3) (74,801) — Cash and cash equivalents, end of year $ 357,478 $ 268,793 Supplemental cash flow information (Note 32) The accompanying notes are an integral part of these consolidated financial statements. - 5 - ===== SIDA 66 ===== 1. NATURE OF OPERATIONS Lundin Mining Corporation ("Lundin Mining" or the "Company") is a diversified Canadian base metals mining company primarily producing copper, zinc, nickel and gold. The Company owns 80% of the Candelaria and Ojos del Salado mining complex ("Candelaria") located in Chile. On July 2, 2024, the Company completed the exercise of its option to acquire an additional 19% interest in the issued and outstanding equity of SCM Minera Lumina Copper Chile ("Lumina Copper"), bringing the Company's ownership of the Caserones copper-molybdenum mine (“Caserones”) in Chile from 51% to 70%. The Company’s wholly-owned operating assets include the Chapada mine located in Brazil, the Eagle mine located in the United States of America (“USA”), the Neves-Corvo mine located in Portugal, and the Zinkgruvan mine located in Sweden. In addition, the Company owns the large scale copper-gold Josemaria project ("Josemaria Project"), located in Argentina. In December 2024, the Company announced that it had entered into a definitive agreement to sell its 100% interest in Somincor-Sociedade Mineira de Neves-Corvo, S.A. ("Neves-Corvo Mine") and its 100% interests in each of Zinkgruvan Mining AB and North Atlantic Natural Resources AB (together "Zinkgruvan Mine") to Boliden AB ("Boliden"). As a result, the Company determined that the Neves-Corvo and Zinkgruvan reporting segments met the criteria to be considered assets held for sale. The assets of the Neves-Corvo Mine and the Zinkgruvan Mine have been classified as current assets held for sale, the liabilities of the Neves-Corvo Mine and the Zinkgruvan Mine have been classified as current liabilities associated with assets held for sale, and re-presented the operating results of these segments as a single line item of earnings (loss) from discontinued operations on the consolidated statement of (loss) earnings (Note 3). The Company’s common shares are listed on the Toronto Stock Exchange (“TSX”) in Canada and the Nasdaq Stockholm Exchange in Sweden. The Company is incorporated under the Canada Business Corporations Act. The Company is domiciled in Canada and its principal place of business is 1055 Dunsmuir Street, Suite 2800, Vancouver, British Columbia, Canada. 2. BASIS OF PRESENTATION AND SUMMARY OF MATERIAL ACCOUNTING POLICIES (i) Basis of presentation and measurement The consolidated financial statements have been prepared in accordance with International Financial Reporting Standards as issued by the International Accounting Standards Board ("IFRS Accounting Standards") and which the Canadian Accounting Standards Board has approved for incorporation into Part 1 of the CPA Canada Handbook – Accounting. The consolidated financial statements have been prepared on a historical cost basis except for certain financial instruments which have been measured at fair value. The Company's presentation currency is United States (“US”) dollars. Reference herein of $ or USD is to US dollars, C$ or CAD is to Canadian dollars, SEK is to Swedish krona, € refers to the Euro, CLP refers to the Chilean peso, BRL refers to the Brazilian real, and ARS refers to the Argentine peso. These consolidated financial statements were approved by the Board of Directors of the Company for issue on February 19, 2025. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 6 - ===== SIDA 67 ===== (ii) Material accounting policies The Company has consistently applied the accounting policies to all the years presented. The material accounting policies applied in these consolidated financial statements are set out below. (a) Basis of consolidation The financial statements consist of the consolidation of the financial statements of the Company and its subsidiaries. Subsidiaries are entities over which the Company has control, including the power to govern the financial and operating policies in order to obtain benefits from their activities. The existence and effect of potential voting rights that are currently exercisable or convertible are considered when assessing whether the Company controls another entity. Subsidiaries are fully consolidated from the date on which control is obtained by the Company and are de-consolidated from the date that control ceases. Where necessary, adjustments are made to the results of the subsidiaries and associates to bring their accounting policies in line with those used by the Company. Intra-group transactions, balances, income and expenses are eliminated on consolidation. For non wholly-owned subsidiaries, the net assets attributable to outside equity shareholders are presented as non-controlling interests in the equity section of the consolidated balance sheet. Net earnings for the period that are attributable to non-controlling interests are calculated based on the ownership of the minority shareholders in the subsidiary. (b) Translation of foreign currencies The functional currency of each entity within the Company is the currency of the primary economic environment in which it operates. The Company’s presentation currency is US dollars. Transactions denominated in currencies other than the functional currency are recorded using the exchange rates prevailing on the dates of the transactions. At each balance sheet date, monetary items denominated in foreign currencies are translated at the rates prevailing on the balance sheet date. Non-monetary items that are measured at historical cost in a foreign currency are translated using the exchange rate at the date of the transaction. Non-monetary items measured at fair value in a foreign currency are translated at the rates prevailing on the date when the fair value was determined. Foreign currency translation differences on deferred foreign tax liabilities and assets are reported in deferred tax expense/recovery in the consolidated statement of (loss) earnings. Exchange differences arising on the settlement of monetary items, and on the translation of monetary items, are recognized in the consolidated statement of (loss) earnings in the period in which they arise. Exchange differences arising on the translation of non-monetary items carried at fair value are included in the consolidated statement of (loss) earnings. For the purpose of presenting the consolidated financial statements, the assets and liabilities of the Company’s foreign operations are translated into US dollars, which is the presentation currency of the group, at the rate of exchange prevailing at the end of the reporting period. Income and expenses are translated at the average exchange rates for the period where these approximate the rates on the dates of transactions. On disposal of a foreign operation, the historical, cumulative amount of exchange differences recognized as a separate component of equity is reclassified and recognized in the consolidated statement of (loss) earnings. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 7 - ===== SIDA 68 ===== (c) Cash and cash equivalents Cash and cash equivalents comprise cash on deposit with banks and highly liquid short-term interest- bearing investments with a term to maturity at the date of purchase of 90 days or less which are subject to an insignificant risk of change in value. (d) Restricted funds Restricted funds include reclamation funds and cash on deposit that have been pledged for reclamation and closure activities which are not available for immediate disbursement. (e) Inventories Ore and concentrate stockpiles and cathode inventory are valued at the lower of production cost and net realizable value (“NRV”). Production costs include costs of materials and labour related directly to mining and processing activities, including production phase stripping costs, depreciation and amortization of mineral property, plant and equipment directly involved in the related mining and production process, amortization of any stripping costs previously capitalized and directly attributable overhead costs. Dump leach pad inventory represents ore that has been mined and placed on leach pads where a solution is applied to the surface of the heap to dissolve the copper and by-products. The resulting solution is further processed in a plant to recover the copper. The cost of dump leach inventory is derived from current mining and leaching costs and is removed at the weighted average cost per recoverable pound ("lb") of copper on the leach pads as lbs of copper are recovered. Estimates of recoverable copper on the dump leach are calculated based on the quantities of ore placed on the leach pads (measured in tonnes added to the leach pads), the grade of ore placed on the leach pads (based on assay data), and an estimated recovery percentage (based on estimated recovery assumptions from the block model). The nature of the leaching process inherently limits the ability to precisely monitor inventory levels. As a result, estimates are refined based on actual results and engineering studies over time. The final recovery of copper from the dump leach will not be known until the leaching process is concluded at the end of the mine life. Ore on the dump leach that is not expected to be recovered within the next twelve months is classified as non-current. Materials and supplies inventories are valued at the lower of average cost less allowances for obsolescence and NRV. If the carrying value of inventories exceeds NRV, a write-down is recognized. The write-down may be reversed in a subsequent period if the circumstances which caused the write-down no longer exist. (f) Mineral properties Mineral properties are carried at cost, less accumulated depletion and any accumulated impairment charges. Expenditures on mineral properties include: i. Acquisition costs which consist of payments for property rights and leases, including the estimated fair value of exploration properties acquired as part of a business combination or the acquisition of a group of assets. ii. Exploration, evaluation and project investigation costs incurred on an area of interest once a determination has been made that a property has economically recoverable Mineral Resources and Mineral Reserves (“R&R”) and there is a reasonable expectation that costs can be recovered by future exploitation or sale of the property. Exploration, evaluation and project investigation expenditures made prior to a determination that a property has economically recoverable R&R are expensed as incurred. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 8 - ===== SIDA 69 ===== iii. Deferred stripping costs which represent the costs incurred to remove overburden and other waste materials to access ore in an open pit mine. Stripping costs incurred prior to the production phase of the mine are capitalized and included as part of the carrying value of the mineral property. During the production phase, stripping costs which provide probable future economic benefits, identifiable improved access to the ore body and which can be measured reliably are capitalized to mineral properties. Capitalized stripping costs are amortized using a unit-of-production basis over the Proven and Probable Mineral Reserve to which they relate. iv. Development costs incurred in an area of interest, once management has determined the technical feasibility and commercial viability of a project, the project presents an appropriate rate of return on investment, and the Board of Directors has demonstrated commitment to advance the project. When additional development expenditures are made on a property after commencement of production, the expenditure is capitalized as mineral property when it is probable that additional economic benefit will be derived from future operations. Development costs are amortized using a unit-of-production basis over the Proven and Probable Mineral Reserve to which they relate. v. Interest and financing costs on debt or other liabilities that are directly attributed to the acquisition, construction and development of a qualifying asset. All other borrowing costs are expensed as incurred. vi. Easement costs incurred to support access to the Company's operating sites and the Josemaria Project. (g) Plant and equipment Plant and equipment are carried at cost less accumulated depreciation and any accumulated impairment charges. For production plant and equipment, depreciation is recorded on a units-of-production basis. Depreciation on all other plant and equipment is recorded on a straight-line basis over the estimated useful life of the asset or over the estimated remaining life of the mine, if shorter. Residual values and useful lives are reviewed annually. Gains and losses on disposals are calculated as proceeds received less the carrying amount and are recognized in the consolidated statement of (loss) earnings. Useful lives are as follows: Number of years Buildings 8-20 Plant and machinery 3-20 Equipment 3-8 (h) Intangible assets Separately acquired intangible assets are initially measured at cost which comprises of its purchase price and any directly attributable costs of preparing the asset for its intended use. The Company depreciates intangible assets with finite useful lives on a straight-line basis over the estimated useful life of the asset. For intangibles with an indefinite useful life, no amortization is calculated. (i) Impairment and impairment reversals At the end of each reporting period, the Company assesses whether there is an indication that an asset or group of assets within a cash generating unit (“CGU”) may be impaired. When impairment indicators exist, the Company estimates the recoverable amount of the asset or CGU and compares it against the asset or CGU’s carrying amount. The recoverable amount is the higher of the fair value less cost of disposal (“FVLCD”) and the asset or CGU’s value in use (“VIU”). If the carrying value exceeds the recoverable amount, an impairment loss is recorded in the consolidated statement of (loss) earnings during the period. If either LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 9 - ===== SIDA 70 ===== FVLCD or VIU exceeds the asset or CGU’s carrying amount, the asset or CGU is not impaired, and the Company does not estimate the other amount. In assessing VIU, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the CGU for which the estimates of future cash flows have not been adjusted. The cash flows are based on best estimates of expected future cash flows from the continued use of the asset or the CGU and its eventual disposal. FVLCD is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants, which is best evidenced if obtained from an active market or binding sale agreement. Where neither exists, the fair value is based partly on a discounted cash flow projections model. Costs of disposal, other than those that have been recognized as liabilities, are deducted in measuring FVLCD. Reversals of impairment are assessed at each reporting period where there is an indication that an impairment loss recognized previously may no longer exist or has decreased. If an impairment reversal indicator exists, the recoverable amount is calculated. If the recoverable amount exceeds the carrying amount, the carrying value of the CGU is increased to the recoverable amount net of depreciation. The increased carrying amount cannot exceed the carrying amount that would have been determined had no impairment loss been recognized for the CGU in prior years. A reversal of an impairment loss is recognized as a gain in the consolidated statement of (loss) earnings in the period it is determined. (j) Business combinations and goodwill Acquisitions of businesses are accounted for using the purchase method of accounting whereby all identifiable assets and liabilities are recorded at their fair values as at the date of acquisition. Any excess purchase price over the aggregate fair value of net assets is recorded as goodwill. Goodwill is identified and allocated to CGUs, or groups of CGUs, that are expected to benefit from the synergies of the acquisition. Goodwill is not amortized. Any excess of the aggregate fair value of net assets over the purchase price is recognized in the consolidated statement of (loss) earnings. A CGU to which goodwill has been allocated is tested for impairment at least annually or when events or changes in circumstances indicate that the related carrying amount may not be recoverable. For goodwill arising on an acquisition in a financial year, the CGU to which the goodwill has been allocated is tested for impairment before the end of that financial year. When the recoverable amount of the CGU is less than the carrying amount of that CGU, the impairment loss is allocated to reduce the carrying amount of any goodwill allocated to that CGU first, and then to the other assets of that CGU on a pro-rata basis of the carrying amount of each asset in the CGU. Any impairment loss for goodwill is recognized directly in the consolidated statement of (loss) earnings. An impairment loss for goodwill is not reversed in subsequent periods. On disposal of a subsidiary, the attributable amount of goodwill is included in the determination of the gain or loss on disposal. (k) Leases At inception of a contract, the Company assesses whether the contract is, or contains a lease. A contract is, or contains a lease, if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. The Company has elected not to recognize right-of-use assets and lease liabilities for short-term leases that have a lease term of 12 months or less, and leases of low-value assets. For these leases, the Company LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 10 - ===== SIDA 71 ===== recognizes the lease payments as an expense in the consolidated statement of (loss) earnings on a straight- line basis over the term of the lease. The Company recognizes a lease liability and a right-of-use asset at the lease commencement date. The lease liability is initially measured as the present value of future lease payments discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, each operation’s applicable incremental borrowing rate. The incremental borrowing rate is the rate which the operation would have to pay to borrow, over a similar term and with a similar security, the funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic environment. Lease payments included in the measurement of the lease liability comprise the following: - fixed payments, including in-substance fixed payments, less any lease incentives receivable; - variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date; - amounts expected to be payable by the Company under residual value guarantees; - the exercise price of a purchase option if the Company is reasonably certain to exercise that option; and - payments of penalties for terminating the lease, if the Company expects to exercise an option to terminate the lease. The lease liability is subsequently measured by: - increasing the carrying amount to reflect interest on the lease liability; - reducing the carrying amount to reflect lease payments made; and - remeasuring the carrying amount to reflect any reassessment or lease modifications. Variable lease payments that do not depend on an index or rate are not included in the measurement of the lease liability. The lease liability is remeasured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in the Company’s estimate of the amount expected to be payable under a residual value guarantee, or if the Company changes its assessment of whether it will exercise a purchase, extension or termination option. Each lease payment is allocated between the lease liability and finance cost. The finance cost is recorded as an expense in the consolidated statement of (loss) earnings over the lease period to produce a constant periodic rate of interest on the remaining balance of the liability for each period. The right-of-use asset is initially measured at cost, which comprises the following: - the amount of the initial measurement of the lease liability; - any lease payments made at or before the commencement date, less any lease incentives received; - any initial direct costs incurred by the Company; and - an estimate of costs to be incurred by the Company in dismantling and removing the underlying asset, restoring the site on which it is located or restoring the underlying asset to the condition required by the terms and conditions of the lease, unless those costs are incurred to produce inventories. The right-of-use asset is subsequently measured at cost, less any accumulated depreciation and any accumulated impairment losses, and adjusted for any remeasurement of the lease liability. It is depreciated in accordance with the Company’s accounting policy for plant and equipment, from the commencement date to the earlier of the end of its useful life or the end of the lease term. On the consolidated balance sheet, right-of-use assets and lease liabilities are reported in mineral properties, plant and equipment and debt and lease liabilities, respectively. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 11 - ===== SIDA 72 ===== (l) Non-current assets held for sale and discontinued operations Assets and businesses are classified as held for sale if their carrying amount will be recovered or settled principally through a sale transaction rather than through continuing use. The asset or business must be available for immediate sale and the sale must be highly probable within one year. Assets and businesses classified as held for sale are measured at the lower of carrying amount and fair value less costs to sell ("FVLCS"). Immediately prior to reclassification to assets held for sale, the Company is required to assess for impairment of assets of CGU's under its normal impairment policies. If the carrying value related to a specific asset or business classified as held for sale exceeds its FVLCS an impairment loss is recognized in the consolidated statement of (loss) earnings. No depreciation is charged on assets and businesses classified as held for sale. Assets and liabilities classified as held for sale are presented separately as current items in the consolidated balance sheet. A discontinued operation is a component of the Company’s business that represents a separate major line of business or geographical area of operations that has been disposed of, has been abandoned, or meets the criteria to be classified as held for sale. Discontinued operations are excluded from the results of continuing operations and are presented as a single amount as profit or loss after tax from discontinued operations in the consolidated statement of (loss) earnings. (m) Reclamation and other closure provisions The Company incurs reclamation and other closure costs related to its mining properties such as facility decommissioning and dismantling, end of mine life severance, site restoration and ongoing environmental monitoring. These costs are a normal consequence of mining and are dependent on the requirements of the Company’s legal and constructive obligations, as well as any other commitments made to stakeholders. The majority of these expenditures will be incurred at the end of the life of mine and are dependent upon a number of factors such as the life and nature of the asset, the operating license conditions and the environment in which the mine operates. The future obligations for mine closure activities are estimated by the Company using mine closure plans or other similar studies which outline the activities to be undertaken to meet regulatory and internal requirements. Since the obligations are dependent on the laws and regulations of the countries in which the mines operate, they are regularly evaluated by management and external experts. Costs included in the obligations encompass all reclamation and other closure activities expected to occur progressively over the life of the operation at the time of closure and post-closure in connection with disturbances as at the reporting date. Obligations may change as a result of amendments in laws and regulations relating to environmental protection and/or other legislation affecting resource companies. Included in the estimated obligations are a number of significant assumptions made by management in determining closure provisions. Accordingly, closure provisions are more uncertain the further into the future mine closure activities are expected to be carried out. The Company records the present value of its reclamation and other closure provisions as a liability with a corresponding increase in the carrying value of the related asset. The provision is discounted to its net present value using a country specific, current market, pre-tax discount rate. The unwinding of the discount, referred to as an accretion expense, is included in finance costs in the consolidated statement of (loss) earnings and results in an increase in the carrying amount of the liability. Reclamation obligations settled in the year are offset against the corresponding liability. Unplanned reclamation costs are reported as either part of the cost of inventory or recognized as a cost in the consolidated statement of (loss) earnings, if they relate to either production activities or a closed site. The capitalized cost of the reclamation and other closure activities is recognized in the mineral property and plant & equipment and depreciated on a unit-of-production basis over the expected mine life of the LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 12 - ===== SIDA 73 ===== operation or asset to which it relates. Depreciation costs are included in the consolidated statement of (loss) earnings as part of cost of goods sold. Changes in obligations resulting from revisions to the timing or amount of expenditures, discount rate or foreign exchange rate are recognized as an increase or decrease in the reclamation and other closure provision liability, and a corresponding change in the carrying amount of the related assets. (n) Revenue recognition Revenue from contracts with customers is recognized when a customer obtains control of the promised asset and the Company satisfies its performance obligation. Revenue is allocated to each performance obligation. The Company considers the terms of the contract in determining the transaction price. The transaction price is based upon the amount the entity expects to be entitled to in exchange for the transferring of promised goods. The Company earns revenue from contracts with customers related to its concentrate and copper cathode sales, and its copper, gold and silver streaming arrangements. The Company satisfies its performance obligations for its concentrate and copper cathode sales per specified contract terms which are generally upon shipment or delivery of an individual parcel. Revenue from concentrate and copper cathode sales is recorded based upon forward market prices of the expected final sales price date. The Company typically recognizes revenue when concentrate or copper cathodes have been placed on board a vessel for shipment or delivered to a location specified by the customer. Deferred revenue arises from up-front payments received by the Company or obligations acquired in consideration for future commitments as specified in its various streaming arrangements. The accounting for streaming arrangements is dependent on the facts and terms of each of the arrangements. Revenue from streaming arrangements is recognized when the customer obtains control of the copper, gold and/or silver metal and the Company has satisfied its performance obligations. The Company identified significant financing components related to its streaming arrangements resulting from a difference in the timing of the up-front consideration received and delivery of the promised goods. Interest expense on deferred revenue is recognized in finance costs, or in mineral properties, plant and equipment if directly attributable to the acquisition, construction and development of a qualifying asset. The interest rate is determined based on the rate implicit in each streaming agreement at the date of inception or acquisition. The initial consideration received from the streaming arrangements is considered variable, subject to changes in the total copper, gold and silver volumes to be delivered. Changes to variable consideration are reflected in revenue in the consolidated statement of (loss) earnings. (o) Share-based compensation The Company grants share-based awards in the form of share options and share units to certain employees in exchange for the provision of services. The share options and share units are equity-settled awards. The Company determines the fair value of the awards on the date of grant. This fair value is charged to the consolidated statement of (loss) earnings using a graded vesting attribution method over the vesting period of the awards, with a corresponding credit to contributed surplus. When the share options or share units are exercised, the applicable amounts of contributed surplus are transferred to share capital. At the end of the reporting period, the Company updates its estimate of the number of awards that are expected to vest and adjusts the total expense to be recognized over the vesting period. The Company also grants share- based awards to non-employee Directors in the form of deferred share units (“DSUs”) in exchange for the provision of services. DSUs are liability awards settled in cash and measured at the quoted market price at the grant date. The corresponding liability is adjusted for changes in fair value at each subsequent reporting date until the awards are settled. The fair value of the DSUs are expensed at the grant date and subsequent changes to fair value are charged to the consolidated statement of (loss) earnings. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 13 - ===== SIDA 74 ===== (p) Current and deferred income taxes Income tax expense represents the sum of current and deferred tax. Current taxes payable is based on taxable earnings for the year. Taxable earnings may differ from earnings before income tax as reported in the consolidated statement of (loss) earnings because it may exclude items of income or expense that are taxable or deductible in other years and it may further exclude items of income or expense that are never taxable or deductible. The Company’s liability for current tax is calculated using tax rates that have been enacted or substantively enacted at the balance sheet date. Income tax assets and liabilities are offset when there is a legally enforceable right to offset the assets and liabilities and when they relate to income taxes levied by the same tax authority on either the same taxable entity or different taxable entities where there is an intention to settle the balance on a net basis. Deferred tax is recognized on differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable earnings. Deferred tax liabilities are generally recognized for all taxable temporary differences and deferred tax assets are recognized to the extent that it is probable that future taxable profits will be available against which deductible temporary differences or tax loss carryforwards can be utilized. Such assets and liabilities are not recognized if the temporary difference arises from goodwill or from the initial recognition (other than in a business combination) of other assets and liabilities in a transaction that affects neither the taxable earnings nor the accounting earnings. Deferred tax liabilities are recognized for taxable temporary differences arising on investments in subsidiaries and investments in associates, except where the Company is able to control the reversal of the temporary differences and it is probable that the temporary differences will not reverse in the foreseeable future. The carrying amount of deferred tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer probable that sufficient taxable earnings will be available to allow all or part of the asset to be recovered. Deferred tax is calculated at the tax rates that are expected to apply in the period when the liability is settled or the asset realized, based on tax rates and tax laws that have been enacted or substantively enacted by the balance sheet date. Deferred tax is charged or credited to earnings, except when it relates to items charged or credited directly to equity, in which case the deferred tax is reflected in equity. (q) Earnings per share Basic earnings per share is calculated using the weighted average number of common shares outstanding during each reporting period. Diluted earnings per share is calculated assuming the proceeds from the exercise of “in-the-money” share-based arrangements are used to purchase common shares at the average market price during the period. (r) Accounting for debt and equity investments As part of the capital funding process for ongoing activities at the Josemaria Project, the Company purchases debt and equity instruments via a third-party investment broker. The instruments are held for a pre- determined period and then sold. The Company only purchases equity instruments with high trading volumes and low volatilities. The instruments are designated as held-for-trading, and as such all changes in the fair value of the underlying instruments are recognized through the consolidated statement of (loss) earnings. Upon receipt of the transferred equity instruments, or in the case of bonds the sale, by the local investment broker, the Company realizes an immediate foreign exchange impact. This foreign exchange impact is incurred directly as a result of holding debt and equity instruments with the intention of trading, and as such the foreign exchange impact is also recognized through the consolidated statement of (loss) earnings in Other income. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 14 - ===== SIDA 75 ===== (s) Financial instruments Financial instruments are recognized on the consolidated balance sheet on the trade date, the date on which the Company becomes a party to the contractual provisions of the financial instrument. The Company classifies its financial instruments in the following categories: Financial Assets at Amortized Cost Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and interest are measured at amortized cost. The Company intends to hold these receivables until cash flows are collected. Receivables are recognized initially at fair value, net of any transaction costs incurred and subsequently measured at amortized cost using the effective interest method. The Company recognizes a loss allowance for expected credit losses on a financial asset that is measured at amortized cost. Financial Assets at Fair Value through Profit or Loss (“FVTPL”) Financial assets measured at FVTPL are assets which do not qualify as financial assets at amortized cost or those not designated in hedge relationships. Provisionally priced trade receivables are measured at FVTPL as some or all of the cash flows are dependent on commodity prices. These receivables are initially measured at their transaction price. Subsequent changes to provisionally priced trade receivables are recorded in the consolidated statement of (loss) earnings as revenue from other sources. Marketable securities, equity investments, and derivative assets not designated in hedge relationships are classified as FVTPL. These financial assets are initially recognized at their fair value with changes to fair values recognized in the consolidated statement of (loss) earnings. Financial Liabilities at Amortized Cost Financial liabilities are measured at amortized cost using the effective interest method, unless they are required to be measured at FVTPL, or the Company has opted to measure them at FVTPL. Long-term debt is recognized initially at fair value, net of any transaction costs incurred, and subsequently at amortized cost using the effective interest method. Financial Liabilities at FVTPL Financial liabilities at FVTPL are liabilities which include embedded derivatives and cannot be classified as amortized cost or derivative liabilities not designated in hedge relationships. Financial liabilities at FVTPL are initially recognized at fair value with changes to fair values recognized in the consolidated statement of (loss) earnings. The Company derecognizes financial assets only when the contractual rights to cash flows from the financial assets expire, or when it transfers the financial assets and substantially all of the associated risks and rewards of ownership. Gains and losses on derecognition are generally recognized in the consolidated statement of (loss) earnings. The Company derecognizes financial liabilities only when its obligations under the financial liabilities are discharged, cancelled or expelled. The difference between the carrying amount of the financial liability derecognized and the consideration paid and payable, including any non-cash assets transferred or liabilities assumed, is recognized in the consolidated statement of (loss) earnings. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 15 - ===== SIDA 76 ===== The Company may enter into derivative instruments to mitigate exposures to commodity price and currency exchange rate fluctuations, among other exposures. Unless the derivative instruments qualify for hedge accounting, and management undertakes appropriate steps to designate them as such, they are classified as financial assets or liabilities at FVTPL and recorded at their fair value with realized and unrealized gains or losses arising from changes in the fair value recorded in the consolidated statement of (loss) earnings in the period they occur. Fair values for derivative instruments are determined using valuation techniques. The valuations use assumptions based on prevailing market conditions on the reporting date. (iii) New standards and interpretations adopted January 1, 2024 Amendments to IAS 1 - Classification of Liabilities as Current or Non-Current In January 2020, the International Accounting Standards Board ("IASB") issued Classification of Liabilities as Current or Non-Current (Amendments to IAS 1) providing a more general approach to the classification of liabilities under IAS 1 based on the contractual arrangements in place at the reporting date. Under pre-existing requirements, a liability was current if an entity expected to settle it in the normal operating cycle or unconditional right to defer settlement of the liability for at least twelve months after the reporting period did not exist. With the introduction of the two amendments to IAS 1 in 2024, for a liability to be classified as non- current, a company must have the right to defer settlement of the liability for at least twelve months after the reporting period. The right must have substance and exist at the end of the reporting period, and the classification of the liability must be unaffected by the likelihood that the company will exercise that right. The amendments apply retrospectively for annual reporting periods beginning on or after 1 January 2024, with early application permitted and have been applied with no material impact on the Company in the current reporting period. Amendments to IAS 12 - International Tax Reform - Pillar Two Model Rules In May 2023, the IASB issued amendments to IAS 12 – Income Taxes. The amendments provide an exception to the requirements regarding the recognition of deferred tax assets and liabilities related to the Pillar Two global minimum tax rules and were effective immediately. The Company has applied the exception to recognizing and disclosing information about deferred tax assets and liabilities related to Pillar Two income taxes. Additionally, the amendments to IAS 12 require disclosure of the Company's current tax expense or income related to Pillar Two income taxes and disclosure of known or reasonably estimable information regarding the Company's exposure to Pillar Two income taxes. Among the jurisdictions where the Company operates, Pillar Two legislation is enacted in Sweden, the Netherlands, Portugal and Canada. On October 3, 2024, Brazil issued a Provisional Measure introducing Qualified Domestic Minimum Top-Up Tax to be effective from 2025 onwards. The Company has performed an analysis of the country-by-country reporting (CbCR) safe harbour test, and concluded that no top-up tax was required in 2024. (iv) New standards and interpretations not yet adopted IFRS 18 - Presentation and Disclosure in Financial Statements In April 2024, the IASB issued IFRS 18 - Presentation and Disclosure in Financial Statements, which replaces IAS 1 - Presentation of Financial Statements. IFRS 18 introduces a specified structure for the income statement by requiring income and expenses to be presented into three defined categories (operating, investing, and financing) and by specifying certain defined totals and subtotals. Where company-specific measures related to the income statement are provided ("management-defined performance measures"), IFRS 18 requires disclosure of the explanations around those measures. IFRS 18 also provides additional guidance on principles of aggregation and disaggregation which apply to the primary financial statements and notes. IFRS 18 will not impact the recognition and measurement of items in the financial statements, nor will it impact which items are classified in other comprehensive income and how these items are classified. The standard is effective for reporting periods beginning on or after January 1, 2027, including for interim financial statements. Retrospective application is required and early application is permitted. The Company is currently assessing the effect of this new standard on its financial statements. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 16 - ===== SIDA 77 ===== IFRS 9 - Financial Instruments and IFRS 7 – Financial Instruments: Disclosures In May 2024, the IASB issued amendments to the classification and measurement of financial instruments. These amendments updated classification and measurement requirements in IFRS 9 Financial Instruments and related disclosure requirements in IFRS 7 Financial Instruments: disclosures. The IASB clarified the recognition and derecognition date of certain financial assets and liabilities, and amended the requirements related to settling financial liabilities using an electronic payment system. Moreover, the amendments clarify the assessment of the contractual cash flow characteristics of financial assets in determining whether they meet the solely payments of principal and interest (SPPI) criterion, including financial assets that have environmental, social and corporate governance (ESG)-linked features and other similar contingent features. The IASB added disclosure requirements for financial instruments with contingent features that do not relate directly to basic lending risks and costs, and amended disclosures relating to equity instruments designated at fair value through other comprehensive income. Additionally in December 2024, the IASB published amendments to IFRS 9 and IFRS 7 - Contracts Referencing Nature dependent Electricity. The amendments clarify the application of the ‘own-use’ requirements for in-scope contracts, amend the designation requirements for a hedged item in a cash flow hedging relationship for in-scope contracts, and add new disclosure requirements. These amendments apply retrospectively for annual reporting periods beginning on or after 1 January 2026, with early application permitted. The Company is currently evaluating the impact of these amendments on its consolidated financial statements. (v) Estimation uncertainty and judgements in applying the entity’s accounting policies The preparation of consolidated financial statements in accordance with IFRS Accounting Standards requires the use of certain critical accounting estimates and judgements. These estimates and judgements are based on management’s best knowledge of the relevant facts and circumstances taking into account previous experience, but actual results may differ materially from the amounts included in the financial statements. Areas where estimation uncertainty have the most significant effect on the amounts recognized in the consolidated financial statements include: Depreciation, depletion and amortization of mineral properties, plant and equipment - Mineral properties, plant and equipment comprise a large component of the Company’s assets and as such, the depreciation, depletion and amortization of these assets have a significant effect on the Company’s financial statements. Upon commencement of commercial production, the Company depletes mineral property over the life of the mine based on the depletion of the mine’s Proven and Probable Mineral Reserves. In the case of mining equipment or other assets, if the useful life of the asset is shorter than the life of the mine, the asset is amortized over its expected useful life. Proven and Probable Mineral Reserves are determined based on a professional evaluation using accepted international standards for the estimation of Mineral Reserves. The assessment involves geological and geophysical studies, economic data and the reliance on a number of assumptions. The estimates of the Mineral Reserves may change based on additional knowledge gained subsequent to the initial assessment. This may include additional data available from continuing exploration, results from the reconciliation of actual mining production data against the original Mineral Reserve estimates, or the impact of economic factors such as changes in the price of commodities or the cost of components of production. A change in the original estimate of Mineral Reserves would result in a change in the rate of depreciation, depletion and amortization of the related mineral assets. The effect of a change in the estimates of Mineral Reserves would have a relatively greater effect on the amortization of the current mining operations at Eagle because of the relatively short mine life of this operation. A short mine life results in a higher rate of amortization and depreciation, and mineral assets may exist at these sites that have a useful life in excess of the revised life of the related mine. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 17 - ===== SIDA 78 ===== Valuation of long-term inventory - The Company carries its long-term inventory at the lower of production cost and NRV. If the carrying value exceeds the net realizable amount, a write-down is required. The write-down may be reversed in a subsequent period if the circumstances which caused it no longer exist. The Company reviews NRV at least annually. In particular, for the NRV of long-term inventory, the Company makes significant estimates in its use of a discounted NRV model related to future production plans, forecasted commodity prices, foreign exchange rates, R&R quantities, future capital and production costs to complete, estimates of recoverable copper in leach pads, and the discount rate. These estimates are subject to various risks and uncertainties and may have an effect on the NRV estimate and the carrying value of the long-term inventory. Valuation of mineral properties - The Company carries its mineral properties at cost less accumulated depletion and any accumulated provision for impairment. The Company expenses exploration costs which are related to specific projects until technical feasibility and commercial viability of extracting a mineral resource are demonstrable. The costs of each property and related capitalized development expenditures are depleted over the economic life of the property on a unit-of-production basis. Costs are charged to the consolidated statement of (loss) earnings when a property is abandoned or when there is a recognized impairment in value. The Company undertakes a review of the carrying values of mineral properties and related expenditures whenever events or changes in circumstances indicate that their carrying values may exceed their estimated net recoverable amounts determined by reference to estimated future operating results and discounted net cash flows. An impairment loss is recognized when the carrying value of those assets is not recoverable. Where a previous impairment has been recorded, the Company analyzes any reverse impairment indicators. Impairment reversals are recognized in subsequent periods when there has been a change in the estimates used to determine the asset’s recoverable amount since the last impairment loss was recognized. In undertaking this review, management of the Company is required to make significant estimates of, amongst other things, future production and sale volumes, metal prices, foreign exchange rates, R&R quantities, future capital and production costs and reclamation costs to the end of the mine’s life. These estimates are subject to various risks and uncertainties which may ultimately have an effect on the expected recoverability of the carrying values of the mineral properties and related expenditures. Goodwill - The amount by which the purchase price of a business acquisition exceeds the fair value of identifiable assets and liabilities acquired is recorded as goodwill. Goodwill is allocated to the CGUs acquired based on the assessment of which CGU would be expected to benefit from the synergies of the acquisition. Estimates of recoverable value may be impacted by changes in future metal prices, foreign exchange rates, production based on estimated quantities of R&R, production and capital expenditures, pricing of in-situ mineral resources implied by the market value of selected comparable transactions involving the sale of similar companies and mineral properties, discount rates, and other factors that may be different from those used in determining fair value. Changes in estimates could have a material impact on the carrying value of the goodwill. Management's estimates of production based on quantities of R&R are based on information compiled by qualified persons (management's experts). Reclamation and other closure provisions - The Company incurs reclamation and other closure costs related to its mining properties. The future obligations for mine closure activities are estimated by the Company using mine closure plans or other similar studies which outline the activities to be undertaken to meet regulatory and internal requirements. Since the obligations are dependent on the laws and regulations of the countries in which the mines operate, they are regularly reviewed by management and external experts, and could change as a result of amendments to the laws and regulations. Included in the estimated obligations are a number of significant assumptions made by management in determining closure provisions. Accordingly, closure provisions are more uncertain the further into the future the mine closure activities are to be carried out. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 18 - ===== SIDA 79 ===== The Company’s policy for recording reclamation and other closure provisions is to establish provisions for future mine closure costs based on the present value of the future cash flows required to satisfy the obligations. This provision is updated as the estimate for future closure costs change. The amount of the present value of the provision is added to the cost of the related mineral property and plant & equipment and depreciated over the life of the mine. The provision is accreted to its future value over the life of mine through a charge to finance costs. Areas where accounting policy judgements have the most significant effect on the amounts recognized in the consolidated financial statements include: Income taxes - Deferred tax assets and liabilities are determined based on differences between the financial statement carrying values of assets and liabilities and their respective income tax bases (“temporary differences”) and losses carried forward. The determination of the ability of the Company to utilize tax loss carry-forwards and deductible temporary differences to offset deferred tax liabilities requires management to exercise judgment and make certain assumptions about the future performance of the Company. Management is required to assess whether it is “probable” that the Company will benefit from these prior losses and other deductible temporary differences. Changes in economic conditions, metal prices and other factors could result in revisions to the estimates of the benefits to be realized or the timing of utilization of the losses. Assessment of impairment and reverse impairment indicators - Management applies significant judgement in assessing whether indicators of impairment or reversal of impairment exist for a CGU which would necessitate impairment testing. Internal and external factors used by management to determine whether indicators exist include, but are not limited to, significant changes in the use of the asset, commodity prices, foreign exchange rates, the Company's market capitalization, capital and production forecasts, R&R quantities, and discount rates. Contingent liabilities - Contingent liabilities are possible obligations that arise from past events which will be confirmed by the occurrence or non-occurrence of future events. These contingencies are not recognized in the consolidated financial statements when the obligation is not probable or if the obligation cannot be measured reliably. The Company exercises significant judgment when determining the probability of the future outcome and with regard to any required disclosure of contingencies, and measuring the liability is a significant estimate. Joint arrangements - The Company is party to an arrangement over which it does not have control. Judgment is required in determining whether joint control over the arrangement exists and, if so, which parties have joint control, and whether the arrangement is a joint venture or a joint operation. In assessing whether the Company has joint control, management analyzes the activities of an arrangement to determine which activities most significantly affect the returns of the arrangement over its life. If joint control over the arrangement exists, an assessment of whether the arrangement is a joint venture or a joint operation is required. This assessment is based on whether the Company retains rights to the assets, and obligations for the liabilities, relating to the arrangement or the Company only has the rights to the net assets of the arrangement is more applicable. In making this determination, management reviews the legal form of the arrangement, the terms of the contractual arrangement, and other facts and circumstances. In a situation where the legal form and the terms of the contractual arrangement do not give the Company rights to the assets and obligations for the liabilities, an assessment of other facts and circumstances is required, including whether the activities of the arrangement are primarily designed for the provision of output to the parties and whether the parties are substantially the only source of cash flows contributing to the arrangement. Consideration of other facts and circumstances may result in the conclusion that a joint arrangement is a joint operation. Such conclusions require judgment and are specific to each arrangement. Other facts and circumstances, such as the right and the obligation to take a share of the output of the arrangement have led management to conclude the arrangement formed on January 15, 2025 is a joint operation (Note 4). LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 19 - ===== SIDA 80 ===== 3. ASSETS AND LIABILITIES HELD FOR SALE AND DISCONTINUED OPERATIONS On December 9, 2024, the Company announced that it had entered into a definitive agreement to sell its 100% interest in the Neves-Corvo Mine and its 100% interest in the Zinkgruvan Mine to Boliden, with the transaction expected to close in the first half of 2025 ("Definitive Agreement"). The transaction constitutes the sale of all of the Company's European operating assets allowing the Company to focus on its copper-dominant assets in South America. Under the terms of the agreement, the Company will receive at least $1.37 billion in upfront cash consideration, which increases at a rate of 5% per annum from August 31, 2024 up to closing, and is payable to the Company at closing. The Company may also receive up to $150.0 million in contingent cash consideration if certain metal price thresholds are met. These include a percentage of incremental revenue realized at the Neves-Corvo Mine in each of the three calendar years between 2025 and 2027 and at the Zinkgruvan Mine between 2025 and 2026. The upfront consideration assumes a normalized level of working capital and is subject to customary working capital adjustments. Following the date of the definitive agreement, on December 9, 2024, the Neves-Corvo Mine and Zinkgruvan Mine reporting segments met the criteria to be classified as held-for-sale and discontinued operations. The results of these operations have been restated for the current and comparative years to reclassify the earnings (loss) as earnings (loss) from discontinued operations. All assets and liabilities relating to the Neves-Corvo and Zinkgruvan reporting segments have been classified as current assets and current liabilities held for sale at December 31, 2024. The Company is required to assess for impairment of the CGU's separately immediately prior to reclassifying the assets held for sale. An impairment charge of $291.2 million ($270.3 million net of tax) was recorded in December 2024 relating to the Neves-Corvo reporting segment to recognize goodwill, mining rights and mineral properties at their estimated fair value, based on the expected sales price as established by the Definitive Agreement (level 2 measurement). The impairment charge includes $90.7 million allocated to the Neves-Corvo goodwill (Note 11). The net loss from discontinued operations from the Neves-Corvo reporting segment, which include the results of operating activities for the years ended December 31, 2024 and 2023, are as follows: 2024 2023 Revenues $ 438,053 $ 425,042 Production costs (323,163) (326,677) Depreciation, depletion and amortization (118,324) (121,599) General exploration and business development (2,810) (7,122) Finance income 2,961 231 Finance costs (7,810) (6,313) Other (expense) income (4,829) 2,927 Goodwill and asset impairment (291,178) — Loss before income taxes (307,100) (33,511) Current tax recovery (expense) 829 (3,001) Deferred tax recovery 27,667 11,691 Net loss $ (278,604) $ (24,821) LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 20 - ===== SIDA 81 ===== The net earnings from discontinued operations from the Zinkgruvan reporting segment, which include the results of operating activities for the years ended December 31, 2024 and 2023 are as follows: 2024 2023 Revenues $ 256,748 $ 223,591 Production costs (122,064) (115,394) Depreciation, depletion and amortization (37,020) (34,124) General exploration and business development (10,033) (4,560) Finance income 1,576 27 Finance costs (6,520) (5,215) Other (expense) income (3,969) 9,818 Earnings before income taxes 78,718 74,143 Current tax expense (15,450) (9,983) Deferred tax recovery (expense) 665 (940) Net earnings $ 63,933 $ 63,220 As at December 31, 2024, the assets and liabilities that are included in the held for sale categories are summarized below: Neves-Corvo Mine Zinkgruvan Mine Total Assets classified as held-for-sale Cash and cash equivalents $ 23,901 $ 50,900 $ 74,801 Trade and other receivables 90,160 22,867 113,027 Income taxes receivable 823 — 823 Inventories 39,689 16,496 56,185 Restricted funds 49,590 — 49,590 Mineral properties, plant and equipment 810,587 284,551 1,095,138 Other non-current assets — 106 106 $ 1,014,750 $ 374,920 $ 1,389,670 Liabilities classified as held-for-sale Trade and other payables $ 99,805 $ 32,357 $ 132,162 Income taxes payable — 7,796 7,796 Debt and lease liabilities 15,702 564 16,266 Deferred revenue 25,078 39,227 64,305 Reclamation and other closure provisions 89,852 44,230 134,082 Other long-term liabilities 7,740 127 7,867 Provision for pension obligations — 4,441 4,441 Deferred tax liabilities — 26,190 26,190 $ 238,177 $ 154,932 $ 393,109 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 21 - ===== SIDA 82 ===== 4. ACQUISITION OF FILO AND FORMATION OF VICUÑA On January 15, 2025, the Company, together with BHP Investments Canada Inc. ("BHP"), completed the acquisition of Filo Corp (“Filo”) through a plan of arrangement (the “Arrangement”). The Company’s share of the consideration for the Arrangement was $612.4 million (C$877.8 million) in cash and 94.1 million of the Company’s shares to Filo shareholders, along with its existing 1.7% interest in Filo (prior to completion). BHP's share of the consideration for the Arrangement was $1.4 billion (C$2.0 billion) in cash, along with its existing 7.0% interest in Filo (prior to completion). Concurrently, the Company and BHP formed a 50/50 joint arrangement, Vicuña Corp. (the “Joint Arrangement” or "Vicuña") holding the Filo del Sol project and the Josemaria project. BHP paid the Company a cash consideration of $690 million for a 50% interest in the Josemaria project. Commencing in 2025 the Company expects to account for Vicuña as a joint operation, and accordingly will include its 50% share of the respective assets, liabilities, revenue, expenses and cash flows of Vicuña in the consolidated financial statements of the Company. The Company determined that its interest in the Josemaria project did not meet the criteria to be classified as held for sale as at December 31, 2024. 5. CASH AND CASH EQUIVALENTS Cash and cash equivalents are comprised of the following: December 31, 2024 December 31, 2023 Cash $ 197,189 $ 197,537 Short-term deposits 160,289 71,256 $ 357,478 $ 268,793 6. TRADE AND OTHER RECEIVABLES Trade and other receivables are comprised of the following: December 31, 2024 December 31, 2023 Trade receivables $ 347,820 $ 643,722 Value added tax 52,959 80,088 Prepaid expenses 42,621 48,901 Other receivables 67,454 56,160 $ 510,854 $ 828,871 The Company does not have any significant balances that are past due nor any significant expected credit losses. The Company's credit risk is discussed in Note 30. The carrying amounts of trade and other receivables are mainly denominated as follows: Currency December 31, 2024 December 31, 2023 USD1 365,006 678,680 CLP 93,826,669 77,982,061 CAD 37,788 22,423 EUR1 8 22,924 SEK1 100,011 114,144 BRL 94,581 34,538 ARS 621,565 341,180 1 As at December 31, 2024, trade and other receivables denominated in the foreign currencies held at discontinued operations have been classified as assets held for sale. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 22 - ===== SIDA 83 ===== 7. INVENTORIES Inventories are comprised of the following: December 31, 2024 December 31, 2023 Materials and supplies $ 279,446 $ 313,966 Ore stockpiles and dump leach 188,812 207,602 Finished goods - concentrate stockpiles 116,567 72,515 Finished goods - copper cathode 5,860 5,324 $ 590,685 $ 599,407 Long-term inventories are comprised of the following: December 31, 2024 December 31, 2023 Ore stockpiles at Candelaria $ 480,885 $ 427,075 Ore stockpiles at Chapada 299,899 270,570 Dump leach at Caserones 91,101 99,952 $ 871,885 $ 797,597 As at December 31, 2024, as a result of higher market expectations for long-term copper and gold prices, the Company recognized a partial reversal of $28.3 million of previous net realizable value write-downs of the long-term ore stockpile at Chapada (December 31, 2023 - $nil), $ 1.7 million of the reversal is included in depreciation, depletion and amortization (December 31, 2023 - $nil). 8. MARKETABLE SECURITIES Pursuant to the terms of the Arrangement, in August 2024 the Company subscribed for 1,742,424 Filo shares at a price of C$33.00 per share. As at December 31, 2024, the Company held 2,264,924 Filo shares with a fair value of the securities held for trading purposes of $50.1 million (December 31, 2023 - $nil). Subsequent to December 31, 2024, the Company announced the completion of the Arrangement and the formation of Vicuña (Note 4). 9. OTHER NON-CURRENT ASSETS Other non-current assets are comprised of the following: December 31, 2024 December 31, 2023 Marketable securities, non-current portion $ 9,955 $ 14,268 Caserones purchase option (a) — 44,438 Other 8,427 8,384 $ 18,382 $ 67,090 a) Pursuant to the terms of the purchase agreement to acquire 51% of Lumina Copper, the Company in July 2024 exercised its right to purchase an additional 19% interest in the Caserones mine for $350.0 million ("Caserones Purchase Option"). Prior to exercise on July 2, 2024, the Caserones Purchase Option was recorded at fair value with changes in fair value recorded in Other Income and Expense. Following the exercise, the Caserones Purchase Option was derecognized with a corresponding reduction of $52.7 million to retained earnings. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 23 - ===== SIDA 84 ===== 10. MINERAL PROPERTIES, PLANT AND EQUIPMENT Mineral properties, plant and equipment are comprised of the following: Cost Mineral properties Plant and equipment Assets under construction1 Development project2 Software intangible assets Total As at December 31, 2022 $ 5,546,923 $ 3,752,177 $ 236,056 $ 876,419 $ 32,626 $ 10,444,201 Caserones acquisition — 1,243,432 94,110 — — 1,337,542 Additions 280,100 96,281 406,540 253,648 82 1,036,651 Disposals — (82,632) (843) — (323) (83,798) Transfers 117,462 260,712 (409,084) — 30,910 — Effects of foreign exchange 70,269 38,027 3,482 — 274 112,052 As at December 31, 2023 6,014,754 5,307,997 330,261 1,130,067 63,569 12,846,648 Additions 239,220 100,009 367,924 265,500 712 973,365 Impairment (Note 11) (331,231) (111,710) (1,066) — — (444,007) Write-downs — — (4,110) (18,019) — (22,129) Disposals — (91,513) — — — (91,513) Transfers 68,593 285,636 (355,823) — 1,594 — Effects of foreign exchange (134,367) (72,804) (6,299) — (527) (213,997) Reclassification to assets held for sale (Note 3) (1,720,451) (1,009,154) (79,266) — (7,220) (2,816,091) As at December 31, 2024 $ 4,136,518 $ 4,408,461 $ 251,621 $ 1,377,548 $ 58,128 $ 10,232,276 Accumulated depreciation, depletion and amortization Mineral properties Plant and equipment Assets under construction1 Development project2 Software intangible assets Total As at December 31, 2022 $ 2,835,431 $ 1,621,439 $ — $ — $ 11,645 $ 4,468,515 Depreciation 313,900 346,669 — — 5,270 665,839 Disposals — (74,790) — — — (74,790) Effects of foreign exchange 44,744 17,063 — — 108 61,915 As at December 31, 2023 3,194,075 1,910,381 — — 17,023 5,121,479 Depreciation 368,178 419,642 — — 9,313 797,133 Disposals — (85,235) — — — (85,235) Effects of foreign exchange (88,218) (36,304) — — (260) (124,782) Reclassification to assets held for sale (Note 3) (1,187,574) (530,038) — — (3,341) (1,720,953) As at December 31, 2024 $ 2,286,461 $ 1,678,446 $ — $ — $ 22,735 $ 3,987,642 Net book value Mineral properties Plant and equipment Assets under construction1 Development project2 Software intangible assets Total As at December 31, 2023 $ 2,820,679 $ 3,397,616 $ 330,261 $ 1,130,067 $ 46,546 $ 7,725,169 As at December 31, 2024 $ 1,850,057 $ 2,730,015 $ 251,621 $ 1,377,548 $ 35,393 $ 6,244,634 ¹ Represent assets under construction at the Company's operating mine sites which are currently non-depreciable. 2 Assets relate to the Josemaria Project which are currently non-depreciable. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 24 - ===== SIDA 85 ===== The Company completed the Caserones acquisition on July 13, 2023, acquiring $1,337.5 million of plant and equipment and assets under construction during the year ended December 31, 2023. During the year ended December 31, 2024, the Company capitalized $37.4 million (December 31, 2023 - $20.4 million) of finance costs to the Josemaria Project at a weighted average interest rate of 6.0% (December 31, 2023 - 6.2%). During the year ended December 31, 2024, the Company capitalized $226.2 million (December 31, 2023 - $222.4 million) of deferred stripping costs to mineral properties. The depreciation expense related to deferred stripping for the year was $187.0 million (December 31, 2023 - $109.0 million). Included in the mineral properties balance at December 31, 2024 is $436.3 million (December 31, 2023 - $277.5 million) related to deferred stripping at Candelaria and Caserones, which is currently non-depreciable. The Company leases various assets including power line infrastructure, buildings and storage facilities, rail cars, vehicles, machinery and equipment. The following table summarizes the changes in right-of-use assets within plant and equipment: Net book value As at December 31, 2022 $ 27,923 Caserones acquisition 257,655 Additions 54,809 Depreciation (51,391) Disposals (5,363) Effects of foreign exchange 364 As at December 31, 2023 283,997 Additions 70,844 Depreciation (76,449) Disposals (2,672) Effects of foreign exchange (258) Reclassification to assets held for sale (Note 3) (16,141) As at December 31, 2024 $ 259,321 11. GOODWILL AND ASSET IMPAIRMENT a) Goodwill The Company recognized goodwill on the acquisition of Chapada, Neves-Corvo, and Ojos del Salado ( “Ojos”). Goodwill is allocated to the following CGUs: Chapada Neves-Corvo Ojos¹ Total Balance at December 31, 2022 $ 134,284 $ 92,297 $ 10,713 $ 237,294 Additions — — — — Impairment charges — — — — Effects of foreign exchange — 3,322 — 3,322 Balance at December 31, 2023 134,284 95,619 10,713 240,616 Effects of foreign exchange — (4,942) — (4,942) Impairment charges (Note 3) — (90,677) (10,713) (101,390) Balance at December 31, 2024 $ 134,284 $ — $ — $ 134,284 ¹ Ojos is included in the Candelaria reporting segment. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 25 - ===== SIDA 86 ===== The Company performs an impairment assessment annually, or more frequently if there are impairment indicators, for the carrying amount of its CGUs where goodwill is allocated. The recoverable value of a CGU is determined using the FVLCD method applied by using a discounted cash flow model based on life-of-mine financial plans, and a market-based approach. Significant assumptions used by management to determine the recoverable amount include future metal prices, production based on estimated quantities of R&R, production and capital expenditures, foreign exchange rates, pricing of in-situ mineral resources implied by the market value of selected comparable transactions involving the sale of similar companies and mineral properties, and discount rates. For the 2024 assessment, future metal prices and foreign exchange rates used in the discounted cash flow models are based on market consensus estimates observed during the fourth quarter of 2024. The valuation of recoverable amount is most sensitive to changes in metal prices, exchange rates, discount rates and pricing of in-situ mineral resources. Production costs and capital expenditures included in the discounted cash flow models are based on operating plans which consider past and estimated future performance. Inputs utilized in the discounted cash flow models were based on level 3 fair value measurements (Note 26), which were not based on observable market data. The R&R were based on the Company’s last published estimate dated December 31, 2024. Incorporated in the FVLCD are fair value estimates developed by the Company for mineral resources not captured in the cash flow projections model. These estimates are valued using third-party market information, which includes pricing of in-situ mineral resources implied by the market value of selected comparable transactions involving the sale of similar companies and mineral properties. Chapada For the Chapada CGU impairment review, the Company used a FVLCD model (level 3 measurement). For the years ended December 31, 2024 and 2023, the Company determined that the recoverable amount of the Chapada CGU was higher than its carrying value, and therefore no impairment was recognized. Management applied significant judgment in estimating the recoverable amount of the Chapada CGU. Sensitivity analysis was performed on the cash flow model for Chapada. At December 31, 2024, the discount rate (+/-1%) did not have a material impact on the result of the Company’s goodwill impairment assessment. Changes in key inputs such as a 5% weaker foreign exchange rate or 5% lower copper and gold prices would result in impairment. Key assumptions for Chapada 2024 2023 Copper price $/lb 4.30 - 4.70 3.80 - 4.20 Gold price $/oz 2,150 - 2,575 1,750 - 2,000 After-tax discount rate 7.5% 7.5% BRL/$ exchange rate 5.50 5.00 Life of mine 26 years 28 years Ojos In January 2025 the Company received a notice from the Superintendencia del Medio Ambiente (“SMA”), following its investigative proceedings involving the sinkhole that occurred at the Alcaparrosa mine in 2022. The Alcaparrosa mine is included in the Ojos CGU. The notice levies a fine of $3.3 million and orders the continued closure of the Alcaparrosa mine, at which mining operations have been suspended since the incident occurred in 2022 (Note 27(d)). As a result, an impairment charge of $55.9 million ($41.6 million net of tax) was recorded in December 2024 relating to the Ojos CGU to write off goodwill and the remaining carrying values of underground development and mine infrastructure. The impairment charge includes $10.7 million allocated to the Ojos goodwill. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 26 - ===== SIDA 87 ===== b) Other Asset Impairment Eagle At every reporting period, the Company assesses whether there is an indication that an asset or group of assets may be impaired. When impairment indicators exist, the Company estimates the recoverable amount of the asset and compares it against the asset's carrying amount. During the fourth quarter of 2024, factors including a decline in nickel prices and prolonged rehabilitation of the Eagle East ramp were identified as an impairment indicator for the Eagle mine. For the Eagle mine CGU impairment review, the Company used a FVLCD model (level 3 measurement). As the recoverable amount determined for the CGU was lower than the carrying value, an impairment of $104.9 million ($82.8 million net of tax) was recorded to reduce the carrying value of underground development, plant and other infrastructure to its recoverable value. Key assumptions for Eagle Mine 2024 Nickel price $/lb 8.50-9.00 Copper price $/lb 4.30-4.70 After-tax discount rate 9.0% Life of mine 5 years Suruca In February 2025, the Company removed the Suruca gold deposit from Mineral Reserves as development is not contemplated in the current life-of-mine plan. The Suruca gold deposit is included in the Chapada segment. This was considered an indicator of impairment for the Suruca mineral property asset. An impairment of $ 93.4 million ($ 61.7 million net of tax) was recorded in earnings in December 2024 to reduce the carrying value of the mineral property asset to nil. 12. TRADE AND OTHER PAYABLES Trade and other payables are comprised of the following: December 31, 2024 December 31, 2023 Trade payables $ 297,687 $ 393,829 Unbilled goods and services 175,152 176,444 Employee benefits payable 68,801 114,514 Prepayment from customers 45,027 21,963 Royalties payable 24,548 23,773 Sinkhole provision1 16,918 29,827 Automatic share purchase plan commitment (Note 17) 3,714 — Pricing provisions on concentrate sales2 15,541 13,201 Deferred consideration, current portion3 10,000 10,000 Other 16,816 22,212 $ 674,204 $ 805,763 1 Relates to expected remediation costs and potential fines directly related to the sinkhole near the Company's Ojos del Salado operations. 2 Includes balances owing to customers and provisions arising from forward market price adjustments. 3 Relates to the current portion of the remaining deferred cash consideration arising from the Caserones acquisition, payable in installments over the next five years. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 27 - ===== SIDA 88 ===== 13. DEBT AND LEASE LIABILITIES Debt and lease liabilities are comprised of the following: December 31, 2024 December 31, 2023 Revolving credit facility (a) $ 264,659 $ 245,084 Term loan (b) 1,147,685 798,542 Candelaria and Chapada term loans (c) 245,932 48,850 Lease liabilities (d) 249,185 277,208 Commercial paper (e) 98,696 116,025 Line of credit — 99 Debt and lease liabilities 2,006,157 1,485,808 Less: current portion 395,232 212,646 Long-term portion $ 1,610,925 $ 1,273,162 The changes in debt and lease liabilities are comprised of the following: Leases Debt Total As at December 31, 2022 $ 27,166 $ 170,162 $ 197,328 Caserones acquisition 257,655 — 257,655 Additions 54,392 2,490,597 2,544,989 Payments (59,841) (1,451,804) (1,511,645) Disposals (6,221) — (6,221) Interest 12,521 — 12,521 Financing fee amortization — 846 846 Deferred financing fee — (2,950) (2,950) Effects of foreign exchange (8,464) 1,749 (6,715) As at December 31, 2023 277,208 1,208,600 1,485,808 Additions 69,881 1,500,551 1,570,432 Payments (93,461) (944,428) (1,037,889) Disposals (2,028) — (2,028) Interest 24,053 — 24,053 Financing fee amortization — 2,360 2,360 Deferred financing fee — (3,643) (3,643) Reclassified to liabilities held for sale (Note 3) (16,266) — (16,266) Effects of foreign exchange (10,202) (6,468) (16,670) As at December 31, 2024 249,185 1,756,972 2,006,157 Less: current portion 50,604 344,628 395,232 Long-term portion $ 198,581 $ 1,412,344 $ 1,610,925 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 28 - ===== SIDA 89 ===== a) The Company has a revolving credit facility of $1,750.0 million. On April 26, 2024, the credit facility, which originally matured in April 2028, was amended and extended to April 2029. The credit facility bears interest on drawn funds at rates of Term Secured Overnight Financing Rate (“Term SOFR”) plus Credit Spread Adjustment (“CSA”) of 0.10% plus an applicable margin of 1.45% to 2.50%, depending on the Company’s net leverage ratio. The revolving credit facility is unsecured, save and except for a charge over certain assets in the USA, and is subject to customary covenants. During the year ended December 31, 2024 , the Company drew down $ 340.0 million (December 31, 2023 - $1.21 billion), and repaid $ 320.0 million (December 31, 2023 - $977.0 million). As at December 31, 2024 , a principal balance of $270.0 million (December 31, 2023 - $250.0 million) was outstanding, with unamortized deferred financing fees of $5.3 million (December 31, 2023 - $4.9 million) netted against borrowings. b) In July 2023, the Company obtained a term loan of a principal amount of $800.0 million with an additional $400.0 million accordion, maturing July 2026. On April 26, 2024, the Company amended the terms to extend maturity to July 2027. The term loan bears interest at an annual rate equal to Term SOFR + CSA + an applicable margin of 1.60% to 2.65%, depending on the Company’s net leverage ratio. Principal is payable at maturity. The term loan is unsecured, save and except for a charge over certain assets in the USA, and has similar covenants to the Company’s existing $1,750.0 million revolving credit facility. In August 2024 the Company exercised the accordion option and drew down an additional $350.0 million. As at December 31, 2024, a principal balance of $1,150.0 million (December 31, 2023 - $800.0 million) was outstanding, with unamortized deferred financing fees of $2.3 million (December 31, 2023 - $1.5 million) netted against borrowings. c) Compañia Contractual Minera Candelaria S.A. ("Candelaria Mine"), a subsidiary owned 80% by the Company which owns the Candelaria mine, obtained a series of unsecured fixed term loans during the year ended December 31, 2024 totalling $215.0 million (December 31, 2023 - $nil). Candelaria Mine repaid $115.0 million of the outstanding loans during the year ended December 31, 2024 (December 31, 2023 - 50.0 million). As at December 31, 2024 , there were two term loans outstanding at Candelaria Mine totalling $ 100.0 million (December 31, 2023 - $nil). The outstanding term loan s accrue interest at rates ranging from 5.07% to 5.30% per annum with interest payable upon maturity, for which $50 million matures in February 2025 and the remaining $50 million matures in May 2025. Mineração Maracá Indústria e Comércio S.A. (“Chapada”), a subsidiary of the Company which owns the Chapada mine, obtained a series of unsecured fixed term loans during the year ended December 31, 2024 totalling $324.2 million (December 31, 2023 - $205.7 million). Chapada repaid $227.1 million of the outstanding term loans during the year ended December 31, 2024 (December 31, 2023 - $234.3 million). As at December 31, 2024, there were 41 term loans outstanding at Chapada totalling $145.9 million (December 31, 2023 - 16 term loans totalling $48.9 million). These outstanding term loans accrue interest at rates ranging from 5.66% to 6.32% per annum with interest payable upon maturity. The maturity dates range from January to May 2025. d) Lease liabilities relate to leases on power line infrastructure, buildings and storage facilities, rail cars, vehicles, machinery and equipment which have remaining lease terms of one to thirteen years and interest rates of 1.0% - 10.0% over the terms of the leases. Certain leases relating to mine development, exploration, production and transportation equipment contain variable lease expenses based on tonnage or drilling metres. Variable lease expense for the year ended December 31, 2024 was $113.7 million (December 31, 2023 - $111.7 million). The Company has short-term leases related to mining equipment and office space. Short-term lease expense for the period ended December 31, 2024 was $27.9 million (December 31, 2023 - $27.3 million). e) Neves-Corvo entered into three unsecured commercial paper programs during 2022 and 2023. Total borrowing capacity available is €115.0 million collectively, with maturities ranging from May 2025 to July 2028. The commercial papers bear interest on drawn funds at rates of EURIBOR plus an applicable margin of 0.30% to 0.50% . LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 29 - ===== SIDA 90 ===== During the year ended December 31, 2024, Neves-Corvo drew down $271.3 million (€250.0 million) from the commercial paper programs (December 31, 2023 - $275.9 million (€255.0 million)) and repaid $282.2 million (€260.0 million) (December 31, 2023 - $188.2 million (€175.0 million)). As at December 31, 2024, a principal balance of $98.7 million (€95.0 million) (December 31, 2023 - $116.0 million (€105.0 million)) was outstanding and pursuant to the terms of the Definitive Agreement have not been classified as held for sale. The schedule of undiscounted lease payment and debt obligations is as follows: Leases Debt Total Less than one year $ 68,649 $ 344,628 $ 413,277 One to five years 164,309 1,420,000 1,584,309 More than five years 133,842 — 133,842 Total undiscounted obligations as at December 31, 2024 $ 366,800 $ 1,764,628 $ 2,131,428 Related to continuing operations $ 348,042 $ 1,764,628 $ 2,112,670 Related to discontinued operations $ 18,758 $ — $ 18,758 14. DEFERRED REVENUE The following table summarizes the changes in deferred revenue: As at December 31, 2022 $ 654,106 Recognition of revenue (72,743) Variable consideration adjustment 3,018 Finance costs 36,004 Effects of foreign exchange 2,845 As at December 31, 2023 623,230 Recognition of revenue (78,267) Variable consideration adjustment (1,550) Finance costs 34,331 Reclassified to liabilities held for sale (Note 3) (64,305) Effects of foreign exchange (5,702) As at December 31, 2024 507,737 Less: current portion 60,604 Long-term portion $ 447,133 Consideration received under the Company’s gold, silver and copper streaming agreements is deemed to be variable and can be subject to cumulative adjustments when the contractual volume to be delivered changes. As a result of changes to the Company’s R&R, adjustments have been made to the deferred revenue liability for 2023 and 2024 which were recognized through revenue and finance costs. For the year ended December 31, 2024, the Company recognized finance costs at a weighted average rate of 5.5% (2023 - 5.5%) on the deferred revenue balances. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 30 - ===== SIDA 91 ===== a) Candelaria The Company entered into a stream agreement with Franco-Nevada Corporation (“FN”), whereby the Company has agreed to sell 68% of all the gold and silver contained in production from Candelaria until 720,000 Ounces ("oz") of gold and 12 million oz of silver have been delivered. Thereafter, FN will be entitled to purchase 40% of the gold and silver production from Candelaria. The Company received an up-front payment of $648 million which is being recognized as gold and silver are delivered to FN under the contract. For each ounce of gold and silver delivered, FN makes payments equal to the lesser of the prevailing market prices and approximately $429/oz of gold and $4.28/oz of silver (2023 - $425/oz of gold and $4.24/oz of silver), subject to a 1% annual inflationary adjustment. In 2024, approximately 59,000 oz of gold and 1,225,000 oz of silver ( 2023 - approximately 56,000 oz of gold and 889,000 oz of silver) were subject to the terms of the streaming agreement. As at December 31, 2024, approximately 603,000 oz of gold and 9,991,000 oz of silver have cumulatively been subject to the terms of the streaming agreement (2023 - 543,000 oz of gold and 8,765,000 oz of silver). The deferred revenue balance as at December 31, 2024 at Candelaria is $368.0 million (December 31, 2023 - $409.7 million). b) Chapada Mine The Company assumed the following streaming agreements with Sandstorm Gold Ltd. (“Sandstorm”) and Altius Minerals Corporation (“Altius”) when the Chapada mine was acquired: Sandstorm is entitled to purchase the lesser of 3.9 million pounds (“Mlbs”) or 4.2% of the payable copper produced annually from Chapada at 30% of the market price. The percentage of payable copper is subject to two reduction thresholds. Once an aggregate of 39 Mlbs has been delivered, the percentage of payable copper reduces to 3.0%. Upon delivery of 50 Mlbs of copper in aggregate, the percentage of payable copper reduces to 1.5% for the remaining life of mine. In 2024, approximately 3.6 Mlbs (2023 – 3.5 Mlbs) were delivered under this agreement. As at December 31, 2024, approximately 33.2 Mlbs (2023 - 29.6 Mlbs) have cumulatively been delivered under this agreement. Altius is entitled to purchase 3.7% of the payable copper produced from Chapada at 30% of the market price. The percentage of payable copper is subject to two reduction thresholds. In the event of a specified expansion at Chapada, the percentage of payable copper reduces to 2.65%. Also, upon delivery of 75 Mlbs of copper in aggregate, the percentage of payable copper reduces to 1.5% for the remaining life of mine. In 2024, approximately 3.3 Mlbs (2023 – 3.4 Mlbs) were delivered under this agreement . As at December 31, 2024, approximately 33.3 Mlbs (2023 - 30.0 Mlbs) have cumulatively been delivered under this agreement. The deferred revenue balance as at December 31, 2024 at Chapada is $139.7 million (December 31, 2023 - $146.2 million). c) Assets Held for Sale and Discontinued Operations The Neves-Corvo Mine and Zinkgruvan Mine each have an agreement to deliver all of the silver contained in concentrate produced to Wheaton Precious Metals Corporation (“Wheaton”). Each received an up-front payment which was deferred and is being recognized in revenue as silver is delivered under the contracts. The assets held for sale and discontinued operations receive the lesser of a fixed payment (subject to annual inflationary adjustments) and the market price per ounce of silver. During 2024, Neves-Corvo Mine received approximately $4.50/oz of silver (2023 - $4.46/oz). The agreement extends to the earlier of September 2057 and the end of mine life. An aggregate total of approximately 11.5 million oz has been delivered since the inception of the contract. During 2024, Zinkgruvan Mine received approximately $4.68/oz of silver (2023 - $4.60/oz). The agreement includes a guaranteed minimum delivery of 40.0 million oz of silver over an initial 25 year term. If at the end of the initial term the Company has not met its minimum obligation, it must pay $1.00 for each ounce of silver not delivered. An aggregate total of approximately 35.1 million oz has been delivered since the inception of the contract in 2004. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 31 - ===== SIDA 92 ===== As at December 31, 2024, Neves-Corvo Mine and Zinkgruvan Mine met the criteria to be classified as held for sale and discontinued operations (Note 3). The deferred revenue balance as at December 31, 2024 related to assets held for sale and discontinued operations is $64.3 million (December 31, 2023 - $67.4 million). 15. RECLAMATION AND OTHER CLOSURE PROVISIONS Reclamation and other closure provisions relating to the Company's mining operations are as follows: Reclamation provisions Other closure provisions Total Balance, December 31, 2022 $ 401,020 $ 44,828 $ 445,848 Acquisition of Caserones 92,440 — 92,440 Accretion 23,169 — 23,169 Changes in estimate (30,507) 5,572 (24,935) Changes in discount rate 14,584 — 14,584 Payments (8,842) (1,649) (10,491) Effects of foreign exchange 5,281 (1,720) 3,561 Balance, December 31, 2023 497,145 47,031 544,176 Accretion 25,528 — 25,528 Changes in estimate (31,362) 6,740 (24,622) Changes in discount rate (34,056) — (34,056) Payments (11,672) (6,046) (17,718) Reclassification to liabilities held for sale (Note 3) (125,490) (8,592) (134,082) Effects of foreign exchange (9,748) (5,292) (15,040) Balance, December 31, 2024 310,345 33,841 344,186 Less: current portion 16,125 4,751 20,876 Long-term portion $ 294,220 $ 29,090 $ 323,310 The Company expects these liabilities to be settled between 2025 and 2110. The reclamation provisions on continuing operations are discounted using current market pre-tax discount rates which range from 4.3% to 14.4% (2023 - 2.0% to 10.4%) Reclamation and other closure provisions related to discontinued operations are discounted between 2.3% and 2.8% (2023 - 2.0% and 2.8%) and are expected to be settled between 2025 and 2062. As at December 31, 2024, the reclamation and closure provision balance related to discontinued operations is $134.1 million. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 32 - ===== SIDA 93 ===== 16. DEFERRED CONSIDERATION AND OTHER LONG-TERM LIABILITIES Deferred consideration and other long-term liabilities are comprised of the following: December 31, 2024 December 31, 2023 Deferred consideration, non-current portion $ 102,833 $ 106,210 Other 25,950 26,989 $ 128,783 $ 133,199 Deferred consideration represents the non-current portion of the remaining cash consideration for the acquisition of 51% of Lumina Copper, completed July 13, 2023. The deferred consideration is payable in installments as follows: $50.0 million to be paid in five installments of $10.0 million on the anniversary of the transaction closing date in each of 2024, 2025, 2026, 2027, and 2028; and $100 million to be paid on the anniversary of the closing date in 2029. The Company paid the first $10.0 million installment in July 2024. 17. SHARE CAPITAL (a) Authorized and issued shares Authorized share capital consists of an unlimited number of voting common shares with no par value. As at December 31, 2024, there were 774,102,971 fully paid voting common shares issued (2023 - 773,667,789 shares). (b) Share units The Company has a Share Unit Plan (“SU Plan”) which provides for share unit awards (“SUs”) to be granted by the Board of Directors to certain employees of the Company. The maximum number of SUs that are issuable under the SU Plan is 14,000,000. A SU is a unit representing the right to receive one common share (subject to adjustments) issued from treasury. The number and terms of SUs awarded will be determined by the Board of Directors based on the closing market price on the TSX of the Company’s common shares on the date of the grant. The Company uses the fair value method of accounting for the recording of SU grants to employees and officers. i) Time-vesting SUs During 2024, the Company granted 624,250 time-vesting SUs to employees and officers that expire in 2027. These SUs vest three years from the grant date with the number of SUs being fixed, and with no vesting conditions other than service. The fair value of the time-vesting SUs are based on the market value of the shares on the date of the grant and an estimated forfeiture rate of approximately 11% (2023 - 11%). The weighted average fair value per time-vesting SU granted during 2024 was C$10.71 (2023 - C$8.23). The Company incurred share-based compensation related expenditures of $2.9 million for 2024 (2023 - $2.9 million) with a corresponding credit to contributed surplus related to time-vesting SUs. As at December 31, 2024, there was $4.3 million (2023 - $3.8 million) of unamortized stock-based compensation expense related to time-vesting SUs. ii) Performance-vesting SUs During 2024, the Company granted 417,200 performance-vesting SUs to officers that expire in 2027. These SUs vest three years from the grant date with the number of SUs being variable, which can range from zero to 834,400 contingent upon achieving predetermined performance criteria related to the Company's share price over the three-year period. The fair value of the performance-vesting SUs are based on a Monte Carlo model and an estimated forfeiture rate of approximately 11% (2023 - 11%). The weighted average fair value per performance-vesting SU granted during 2024 was C$10.71 (2023 - C$7.94). The Company incurred share-based compensation related expenditures of $2.0 million for 2024 (2023 - $1.3 million) with a LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 33 - ===== SIDA 94 ===== corresponding credit to contributed surplus related to performance-vesting SUs. As at December 31, 2024, there was $3.2 million (2023 - $2.7 million) of unamortized stock-based compensation expense related to performance-vesting SUs. During 2024, 318,679 common shares (2023 - 722,822) were issued as a result of SUs being vested. (c) Stock options The Company’s Stock Option Plan provides for stock option awards to be granted by the Board of Directors to certain employees of the Company. The term of any stock options granted under the Stock Option Plan may not exceed seven years from the date of grant. The maximum number of stock options that are issuable under the Stock Option Plan is 42,000,000. The vesting requirements are established by the Board of Directors. The Company uses the fair value method of accounting for the recording of stock options. Under this method, the Company incurred share-based compensation related expenditures of $1.4 million for 2024 (2023 - $3.6 million) with a corresponding credit to contributed surplus. During 2024, the Company granted 1,498,160 stock options to employees and officers that expire in 2031. The stock options vest over three years from the grant date. The Black-Scholes option pricing model used to determine the fair value of the stock options at the date of the grant assumed a dividend of $0.36/share, risk-free interest rate of 2.29% to 3.70% (2023 - 3.09% to 3.96%), expected life of 4.7 years (2023 - 4.4 years) and expected price volatility of 46% to 48% (2023 - 47% to 48%). Volatility is determined using the historical daily volatility over the expected life of the options. A forfeiture rate of approximately 11% was applied ( 2023 - 11%). The weighted average fair value per stock option granted during 2024 was C$2.24 (2023 - C$2.51). As at December 31, 2024, there was $0.5 million of unamortized stock-based compensation expense ( 2023 - $1.9 million) related to stock options. During 2024, 2,822,650 and 109,077 common shares were issued as a result of stock options and replacement options, respectively, being exercised (2023 - 2,044,059 and 154,377). The continuity of share-based payments outstanding is as follows: Number of SUs Number of Replacement options1 Weighted average exercise price (C$) Number of options Weighted average exercise price (C$) Outstanding, December 31, 2022 1,313,056 435,231 5.09 6,458,997 10.08 Granted 1,380,803 — — 1,918,733 8.06 Forfeited (150,096) — — (824,869) 11.53 Exercised (722,822) (154,377) 5.42 (2,044,059) 7.04 Outstanding, December 31, 2023 1,820,941 280,854 4.91 5,508,802 10.29 Granted 1,041,450 — — 1,498,160 10.71 Forfeited (97,683) (10,189) 5.86 (422,539) 12.51 Exercised (318,679) (109,077) 4.84 (2,822,650) 9.95 Outstanding, December 31, 2024 2,446,029 161,588 4.90 3,761,773 10.46 1 During 2022, the Company issued 2,513,866 replacement options upon completion of the Josemaria Resources Inc. acquisition. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 34 - ===== SIDA 95 ===== The following table summarizes options outstanding as at December 31, 2024: Outstanding Options Exercisable Options Range of exercise prices (C$) Number of Options Outstanding1 Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price (C$) Number of Options Exercisable1 Weighted Average Remaining Contractual Life (Years) Weighted Average Exercise Price (C$) 4 to 6.99 161,588 0.8 4.89 161,588 0.8 4.89 7 to 9.99 1,275,216 4.8 7.96 243,426 3.4 7.79 10 to 12.99 2,030,957 5.5 10.94 271,705 3.7 11.53 13 to 15.99 455,600 2.2 14.95 455,600 2.2 14.95 3,923,361 4.7 10.19 1,132,319 2.6 11.15 1 Includes Replacement options (d) Deferred share units During the year ended December 31, 2023, the Company adopted a Deferred Share Unit ("DSU") Plan effective January 1, 2024 under which DSUs are granted by the Board of Directors quarterly to eligible non-employee Directors. During 2024, 33,076 (2023 - nil) DSUs were granted, and 9,455 (2023, nil) DSUs were forfeited under the plan. As at December 31, 2024, there were 23,621 DSUs outstanding (2023 - nil). (e) Basic and diluted weighted average number of shares outstanding December 31, 2024 December 31, 2023 Basic weighted average number of shares outstanding 774,825,230 772,532,260 Effect of dilutive securities 2,743,811 760,635 Diluted weighted average number of shares outstanding 777,569,041 773,292,895 Antidilutive securities 705,931 137,900 The effect of dilutive securities relates to in-the-money outstanding stock options and SUs. (f) Dividends The Company declared dividends in the amount of $203.0 million (2023 - $206.1 million), or C$0.36 per share, for the year ended December 31, 2024 (2023 - C$0.36 per share). (g) Normal course issuer bid In December 2023, the Company obtained approval from the TSX for the renewal of its normal course issuer bid ("NCIB") to purchase up to 52,538,870 common shares between December 11, 2023 and December 10, 2024. Daily purchases (other than pursuant to a block purchase exemption) on the TSX under the NCIB were limited to a maximum of 564,097 common shares. In connection with the NCIB renewal, the Company entered into an automatic share purchase plan (“ASPP”) with its broker to allow for the purchase of common shares at times when the Company ordinarily would not be active in the market due to trading blackout periods, insider trading rules or otherwise. In December 2024, the Company obtained approval from the TSX for the renewal of its NCIB to purchase up to 57,597,388 common shares between December 16, 2024 and December 15, 2025. Daily purchases (other than pursuant to a block purchase exemption) on the TSX under the NCIB are limited to a maximum of 560,989 common shares. In connection with the NCIB renewal, the Company entered into an ASPP with its broker under the same terms as the ASPP entered in December 2023. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 35 - ===== SIDA 96 ===== During the year ended December 31, 2024, 2,815,200 shares were purchased under the NCIB at an average price of C$12.33 per share for total consideration of $ 24.4 million. All of the common shares purchased were cancelled. As at December 31, 2024, the Company recorded an accrual of $3.7 million in trade and other payables due to the timing of settlement of the repurchase of 429,800 shares that on the last trading day of the year which were settled during January 2025. No shares were purchased under the NCIB during the year ended December 31, 2023. 18. NON-CONTROLLING INTERESTS Set out below is summarized financial information for each subsidiary with non-controlling interest ("NCI") that is material to the group. As part of its Candelaria segment, the Company owns 80% of the Candelaria Mine and Compañia Contractual Minera Ojos del Salado S.A.’s ("Ojos") copper mining operations and supporting infrastructure in Chile (together the "Candelaria complex"). On July 2, 2024, the Company exercised its option to acquire an additional 19% interest in the issued and outstanding equity of Lumina Copper, bringing the Company's ownership in Caserones from 51% to 70% and reducing the NCI to 30%. The continuity of the Company's non-wholly owned subsidiaries with material NCI is as follows: Candelaria complex Caserones mine Total NCI in subsidiary at December 31, 2024 20% 30%1 As at December 31, 2022 $ 564,089 $ — $ 564,089 Caserones acquisition — 873,767 873,767 Share of net comprehensive income (loss) 41,753 32,294 74,047 Distributions (11,000) (44,100) (55,100) As at December 31, 2023 594,842 861,961 1,456,803 Share of net comprehensive income (loss) 71,434 70,885 142,319 Distributions (86,000) (66,000) (152,000) Acquisition of additional interest in Caserones1 — (353,499) (353,499) As at December 31, 2024 $ 580,276 $ 513,347 $ 1,093,623 1 Prior to July 2, 2024, NCI in Caserones was 49%. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 36 - ===== SIDA 97 ===== Summarized financial information for the Company's non-wholly owned subsidiaries on a 100% basis, before inter-company eliminations is as follows: Summarized Balance Sheets Candelaria complex Caserones mine1 As at Dec. 31, 2024 As at Dec. 31, 2023 As at Dec. 31, 2024 As at Dec. 31, 2023 Total current assets $ 627,020 $ 512,217 $ 600,270 $ 708,927 Total non-current assets $ 3,070,339 $ 3,140,799 $ 1,563,113 $ 1,629,052 Total current liabilities $ 452,576 $ 266,314 $ 298,374 $ 323,797 Total non-current liabilities $ 611,134 $ 646,189 $ 231,921 $ 267,263 1Caserones results from July 13, 2023 Summarized Statements of Earnings and Comprehensive Income Candelaria complex Caserones mine1 For the year ended December 31, 2024 2023 2024 2023 Total revenue $ 1,858,920 $ 1,529,583 $ 1,147,654 $ 601,775 Net earnings $ 355,225 $ 181,984 $ 171,857 $ 63,349 Net comprehensive income $ 355,334 $ 182,344 $ 171,857 $ 63,349 1Caserones results from July 13, 2023 Summarized Statement of Cash Flows Candelaria complex Caserones mine1 For the year ended December 31, 2024 2023 2024 2023 Cash provided by operating activities $ 745,217 $ 504,464 $ 438,098 $ 179,371 Cash used in investing activities (269,047) (379,946) (136,659) (129,266) Cash used in financing activities (376,952) (131,127) (313,493) (131,807) Increase (decrease) in cash and cash equivalents during the period $ 99,218 $ (6,609) $ (12,054) $ (81,702) 1Caserones results from July 13, 2023 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 37 - ===== SIDA 98 ===== 19. REVENUE The Company's analysis of revenue from contracts with customers, segmented by product, is as follows: 2024 2023 Revenue from contracts with customers: Copper $ 2,801,428 $ 2,145,132 Gold 294,364 234,318 Molybdenum 136,820 82,069 Nickel 97,167 291,169 Silver 47,236 31,184 Other 30,131 39,664 3,407,146 2,823,536 Provisional pricing adjustments on current year concentrate sales (9,330) (59,889) Provisional pricing adjustments on prior year concentrate sales 24,788 (20,203) Revenue $ 3,422,604 $ 2,743,444 The Company's geographical analysis of revenue from contracts with customers, segmented based on the destination of product, is as follows: 2024 2023 Revenue from contracts with customers: Japan $ 1,122,739 $ 661,410 China 1,066,198 809,594 Spain 557,012 498,012 Canada 213,660 402,235 Chile 169,384 131,059 Germany 129,752 88,957 Finland 100,028 102,917 Other 48,373 129,352 3,407,146 2,823,536 Provisional pricing adjustments on current year concentrate sales (9,330) (59,889) Provisional pricing adjustments on prior year concentrate sales 24,788 (20,203) Revenue $ 3,422,604 $ 2,743,444 Revenue from contracts with customers related to continuing operations for the year ended December 31, 2024 includes a increase of $4.2 million (2023 - decrease of $0.8 million) due to variable consideration adjustments. Provisional pricing adjustments on prior year concentrate sales include adjustments on pricing from sales during 2023. During the three months ended December 31, 2024, provisional pricing adjustments on current and prior period concentrate sales were $31.7 million negative and $46.1 million negative, respectively. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 38 - ===== SIDA 99 ===== 20. PRODUCTION COSTS The Company's production costs are comprised of the following: 2024 2023 Direct mine and mill cost $ 1,729,956 $ 1,491,867 Transportation 104,813 104,788 Royalties 63,858 47,382 Total production costs $ 1,898,627 $ 1,644,037 During the year ended December 31, 2024, the Company incurred $15.8 million related to union negotiation settlements within operations in Chile, which were reported in direct mine and mill costs (2023 - $6.3 million). During the year ended December 31, 2024, direct mine and mill costs include a write down totaling $32.7 million related to inventory items used in repair and maintenance of mineral properties, plant and equipment. 21. GENERAL AND ADMINISTRATIVE EXPENSES The Company's general and administrative expenses recognized in the consolidated statement of (loss) earnings are comprised of the following: 2024 2023 Salaries and benefits $ 23,899 $ 33,257 Office related expenses 14,104 12,143 Consulting 10,616 10,322 Stock-based compensation 6,552 7,761 Insurance 1,300 685 Other 1,878 2,555 Total general and administrative expenses $ 58,349 $ 66,723 22. EXPLORATION AND BUSINESS DEVELOPMENT The Company's exploration and business development costs are comprised of the following: 2024 2023 General exploration $ 38,698 $ 33,048 Project development 5,331 4,814 Corporate development 1,323 6,148 Total exploration and business development $ 45,352 $ 44,010 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 39 - ===== SIDA 100 ===== 23. FINANCE INCOME AND COSTS The Company's finance income and costs are comprised of the following: 2024 2023 Interest income $ 16,689 $ 10,879 Interest expense and bank fees (101,046) (47,150) Accretion expense on reclamation provisions (22,286) (19,736) Lease liability interest (23,301) (12,491) Deferred revenue finance costs (4,888) (19,571) Other (6,623) (3,360) Total finance costs, net $ (141,455) $ (91,429) Finance income $ 16,689 $ 10,879 Finance costs (158,144) (102,308) Total finance costs, net $ (141,455) $ (91,429) 24. OTHER INCOME AND EXPENSE The Company's other income and expense are comprised of the following: Year ended December 31, 2024 2023 Foreign exchange gain (a) $ 32,861 $ 4,796 Foreign exchange and trading gains on debt and equity investments (b) 28,292 86,784 Revaluation of Caserones purchase option (c) 11,728 (2,556) Revaluation of marketable securities 7,383 1,846 Realized (losses) gains on derivative contracts (Note 26) (2,050) 25,088 Ojos del Salado sinkhole recovery (expenses) (d) 9,492 (16,922) Unrealized losses on derivative contracts (Note 26) (85,168) (8,464) Write-down of assets (e) (22,129) — Revaluation of Chapada derivative liability (631) (2,594) Gain on disposal of subsidiary — 5,718 Other expense (3,863) (1,852) Total other (expense) income, net $ (24,085) $ 91,844 a) Foreign exchange gains during the year ended December 31, 2024 and 2023, relate to the foreign exchange revaluation of trade payables and lease liabilities held in foreign currencies. b) Foreign exchange and trading gains on debt and equity investments include the changes in fair value of debt and equity instruments supporting capital funding for the Josemaria Project. c) The Caserones purchase option is revalued at each reporting period up to the date of exercise, with changes in fair value recorded in Other Income and Expense. The purchase option was exercised on July 2, 2024 and resulting impact during the year ended December 31, 2024 remained in Other Income and Expense. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 40 - ===== SIDA 101 ===== d) Ojos del Salado sinkhole recovery during the year ended December 31, 2024 include adjustments of expenses originally accrued for as a result of updated information obtained related to the sinkhole near the Company's Ojos del Salado operations. e) Write-down of assets during the year ended December 31, 2024 include a non-cash write-down of capital works in progress at the Josemaria Project that are no longer expected to be required. 25. CURRENT AND DEFERRED INCOME TAXES 2024 2023 Current tax expense: Current tax on net taxable earnings $ 290,405 $ 139,652 Adjustments in respect of prior years 4,533 1,779 294,938 141,431 Deferred tax (recovery) expense: Origination and reversal of temporary differences (40,467) 49,778 Change in tax rate — 39,376 Utilization and recognition of previously unrecognized tax losses and temporary differences (6,863) (11,628) Temporary differences for which no deferred asset was recognized (17,635) (4,592) (64,965) 72,934 Total tax expense $ 229,973 $ 214,365 The tax on the Company's earnings before income tax differs from the amount that would arise using the weighted average rate applicable to earnings of the consolidated entities as follows: 2024 2023 Earnings excluding income taxes $ 383,327 $ 491,216 Combined basic federal and provincial rates 27.0 % 27.0 % Income taxes based on Canadian statutory income tax rates $ 103,498 $ 132,628 Effect of different tax rates in foreign jurisdictions 107,825 33,147 Tax calculated at domestic tax rates applicable to earnings in the respective countries 211,323 165,775 Tax effects of: Non-deductible and non-taxable items (a) 14,917 3,645 Change in tax rates (b) — 39,376 Changes in estimates on Chilean royalty tax rate (c) 14,970 Adjustments in respect of prior years (d) (3,384) (18,919) Tax losses and temporary differences for which no deferred income tax asset was recognized (e) (17,635) (4,591) Foreign exchange impact on temporary differences and other translation amounts (f) 12,704 29,128 Utilization and recognition of previously unrecognized temporary differences (6,863) (11,628) Tax recovery associated with government grants and other tax credits (2,749) (4,265) Net withholding tax on accrued interest and dividends received 5,498 16,652 Other 1,192 (808) Total tax expense $ 229,973 $ 214,365 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 41 - ===== SIDA 102 ===== The Company operates in tax jurisdictions that have tax rates (including mining royalty tax) ranging from 20.6% to 37.9%. a) Includes non-deductible environmental expenses incurred at Caserones of $47.6 million. b) The new mining royalty law in Chile, which includes a 1% ad-valorem tax on sales, was enacted in the third quarter of 2023 and became effective January 1, 2024 for Candelaria and will become effective in 2028 for Caserones when its tax stability agreement expires. In addition to the ad-valorem tax, both operations in Chile are expected to pay mining tax of approximately 8% - 15% on net mining income. The maximum effective tax rate for the combined mining royalty, corporate income tax and final taxes in Chile is set at 46.5%. c) Additional deferred royalty tax impact of $23.3 million in Candelaria and an offsetting $8.3 million of deferred tax recovery in Caserones were recorded due to increased mining operating margin anticipated in future production estimates. d) Adjustments in respect of prior years includes temporary difference of $5.0 million deferred tax expense in Candelaria associated with adjustments to the severance accrual (2023 - $6.4 million deferred tax recovery), offset by $8.2 million deferred tax recovery in Chapada related to the reversal of stockpile adjustments booked in the prior period (2023 - $2.8 million). e) Deferred tax expense associated with temporary differences not recognized includes $29.7 million in Candelaria (2023 - $1.6 million), $14.1 million in Canada (2023 - $1.3 million) and $2.4 million in Eagle (2023- $0) offset by deferred tax recovery of $64.8 million associated with the reversal of deferred tax assets previously not recognized in Caserones (2023 - $9.2 million). f) The effects of tax inflation adjustment and revaluation of non-monetary assets in Argentina from the local currency ARS to USD resulted in a $ 38.6 million tax recovery (2023 - $53.6 million tax expense) in Josemaria. The revaluation of non-monetary assets in Brazil from the translation of deferred tax liabilities from the local currency BRL to USD resulted in a net increase to deferred tax expense of $51.3 million in Brazil (2023 - $24.5 million decrease to deferred tax expense). Global Minimum Top-up Tax - Pillar Two The Company is within the scope of OECD Pillar Two model rules. Among the jurisdictions where the Company operates, Pillar Two legislation has been enacted in Sweden, Canada, Portugal and the Netherlands. On October 3, 2024, Brazil issued a Provisional Measure introducing Qualified Domestic Minimum Top-Up Tax to be effective from 2025 onwards. The Company applies the exception to recognizing and disclosing information about deferred tax assets and liabilities as provided by the amendments to IAS 12 in May 2023. The Company also accounts for any top up taxes as a current tax when it is incurred. The Company has performed an analysis of the country-by-country reporting (CbCR) safe harbour test, and concluded that no top-up tax was required in 2024. Deferred tax liabilities, net December 31, 2024 December 31, 2023 Deferred tax assets $ 191,254 $ 170,203 Deferred tax liabilities (643,850) (751,688) Deferred tax liabilities, net $ (452,596) $ (581,485) Net deferred tax liabilities of $430.8 million (2023 - $555.0 million) are expected to be settled after 12 months and net deferred tax liabilities of $21.8 million (2023 - $26.5 million net deferred tax assets) are expected to be settled within 12 months. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 42 - ===== SIDA 103 ===== The movement in deferred income tax assets and liabilities during the year, without taking into consideration the offsetting of balances within the same jurisdiction, is as follows: As at December 31, 2023 (Expensed)/ recovered Discontinued Operations Balance sheet/ Equity adjustment Effects of foreign exchange As at December 31, 2024 Deferred tax assets: Loss carryforwards $ 58,062 $ 96,155 — $ — $ (915) $ 153,302 Reclamation and other closure provisions 62,018 5,672 (15,263) — (3,633) 48,794 Deferred revenue 12,791 — (12,791) — — — Future tax credits 4,315 — (4,315) — — — Leases 5,936 19,988 (304) — (39) 25,581 Sinkhole provision 6,631 — — — — 6,631 Fair value gains/ losses (12,804) 22,022 7,615 — 1,549 18,382 Deferred tax liabilities: Mineral properties, plant & equipment (496,140) (10,431) 44,580 — 17,160 (444,831) Right-of-use assets (31,304) (1,547) 385 — (27) (32,493) Provisions (88,284) (5,538) 30,689 — (2,117) (65,250) Mining royalty taxes (9,589) (23,618) — — — (33,207) Long-term inventory (88,197) (34,504) 9,499 — (6,584) (119,786) Foreign currency contracts (9,162) 1,552 — — — (7,610) Pension provision (580) — — — — (580) Other 4,822 (4,786) (1,650) 290 (205) (1,529) $ (581,485) $ 64,965 $ 58,445 $ 290 $ 5,189 $ (452,596) LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 43 - ===== SIDA 104 ===== As at December 31, 2022 (Expensed)/ recovered Balance Sheet/ Equity adjustment Effects of foreign exchange As at December 31, 2023 Deferred tax assets: Loss carryforwards $ 5,624 $ 52,438 $ — $ — $ 58,062 Reclamation and other closure provisions 65,130 (3,623) — 511 62,018 Deferred revenue 12,129 152 — 510 12,791 Future tax credits 6,563 (2,432) — 184 4,315 Leases 5,265 657 — 14 5,936 Sinkhole provision 6,631 — — — 6,631 Other 4,502 1,074 629 (1,383) 4,822 Deferred tax liabilities: Mineral properties, plant and equipment (656,975) (34,712) 197,550 (2,003) (496,140) Right-of-use assets (5,208) (1,758) (24,321) (17) (31,304) Provisions (23,633) (64,651) — — (88,284) Mining royalty taxes (22,370) (13,141) 25,922 — (9,589) Long-term inventory (73,366) (4,046) (10,785) — (88,197) Fair value gains (15,095) 2,291 — — (12,804) Foreign currency contracts (14,170) 5,376 (368) (9,162) Pension provision (792) 192 — 20 (580) $ (705,765) $ (62,183) $ 188,995 $ (2,532) $ (581,485) Deferred tax assets are recognized for tax loss carry-forwards and other temporary differences to the extent that the realization of the related tax benefit through future taxable profits is probable. The Company determined that it is probable that sufficient future taxable profits will be available to allow the benefit of the deferred tax assets to be utilized. The Company did not recognize deferred tax assets of $1,058.7 million (2023 - $1,116.9 million) in respect of losses amounting to $3,924.3 million (2023 - $4,141.0 million) that can be carried forward against future taxable income. Caserones has approximately $4.2 billion in net operating losses which can be applied to future taxable income over the mine life. A deferred tax asset has been recognized to the extent that the Company expects to realize sufficient taxable profit in the foreseeable future. The deferred mining tax liability in Candelaria has been revalued based on changes in future production estimates for the mining royalty in Chile, resulting in a net additional deferred mining tax expense of $23.3 million (2023 -$39.4 million). LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 44 - ===== SIDA 105 ===== 26. FINANCIAL INSTRUMENTS Derivative instruments From time to time, the Company uses derivative contracts as part of its risk management strategy to mitigate exposure to foreign currencies and commodities. The Company maintains foreign currency forward and option contracts on EUR, CAD, BRL, CLP, and SEK foreign currencies intended to limit the foreign exchange exposure of its forecasted foreign currency denominated after-tax attributable operating and capital expenditures. Additional commodity forward swap and option contracts are maintained to limit exposure to changes in the price of diesel fuel purchases at Candelaria, and limit its exposure to changes in the price of copper and gold. The foreign exchange and commodities contracts have not been designated as hedges for purposes of hedge accounting and are measured at fair value with changes in fair value recognized in the consolidated statement of (loss) earnings. During the years ended December 31, 2024 and 2023, the Company entered into various foreign currency and commodity contracts continuing its risk mitigation strategy. These include: a) Foreign currency forward contracts During the year ended December 31, 2024, the Company entered into USD/CAD foreign currency forward contracts with a notional value of $499 million and average contract rates of CAD 1.40. These are set to expire during 2025 with the majority being settled upon the completion of the Arrangement (Note 4). During 2023, the Company entered into USD/SEK forward contracts with a notional value of SEK 845.7 million and contract rates ranging from SEK 10.76 to SEK 10.92. These contracts partially expired through 2024 with SEK 758 million expiring through 2025. During 2022, the Company also entered into EUR/USD forward contracts. b) Foreign currency option contracts During the year ended December 31, 2024, the Company entered into zero cost collar contracts in USD/BRL and USD/CLP currency pairs totaling $246 million (equivalent to BRL 1.3 billion) and $950 million (equivalent to CLP 926 billion), respectively. The collar ranges on the respective contracts are an average of BRL 5.00 to BRL 6.11 and CLP 900 to CLP 1,085 and remaining contracts are set to expire through 2025 and 2026. During 2023, the company entered into zero cost collar contracts in USD/BRL, USD/CLP, and USD/SEK currency pairs totaling $321 million (equivalent to BRL 1.7 billion), $347 million (equivalent to CLP 303 billion), and SEK 396 million, respectively. The collar ranges on the respective contracts range from BRL 5.00 to BRL 6.12, CLP 800 to CLP 1,035, and SEK 10.35 to SEK 11.15. Remaining contracts are set to expire through 2025. During 2022, the Company also entered into CAD foreign currency option contracts. c) Commodity contracts During the year ended December 31, 2024, the Company entered into copper and gold collar contracts with notional amounts of 21,500 metric tonnes of copper and 105,200 oz of gold. The average collar range for copper was set between $4.10/lb to $4.52/lb and expired in May 2024. The average collar range for gold is set between $2,500 to $3,261 per oz and are set to expire through 2025 and 2026. An additional position was taken on diesel, with collar contracts in the amount of 67.5 million litres ("L"), with average collar ranges of $0.50/L to $0.65/L. During the year, 13.5 million L expired, with the remainder expiring through 2025. During 2023, the Company entered into diesel forward swaps with a notional value of $55 million and average contract rates of $0.68/L. As at December 31, 2024, the diesel forward swaps are fully expired. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 45 - ===== SIDA 106 ===== As at December 31, 2024, all EUR forwards have expired, while SEK options and forwards are set to expire through 2025 and remain a component of continuing operations. The following tables outline the foreign currency and commodity derivative notional contract positions and their expiry dates: Expired in Expiring throughout: Foreign currency forward contracts 2024 2025 2026 USD/CAD forwards1 Average contract price — 1.40 — Position (USD millions) — 499 — USD/SEK forwards2 Average contract price 10.89 10.83 — Position (SEK millions) 322 758 — EUR/USD forwards2 Average contract price 1.02 — — Position (EUR millions) 52 — — 1 Subsequent to December 31, 2024, $463 million of the USD/CAD forwards were settled to facilitate the acquisition of Filo (Note 4) 2 EUR/USD and USD/SEK forwards expired in 2024 and expiring throughout 2025 reflect the position of continuing operations Expired in Expiring throughout: Foreign currency option contracts 2024 2025 2026 USD/BRL collars Average contract price 5.01/6.33 5.06/6.04 5.07/6.04 Position (USD millions) 213 185 114 USD/CLP collars Average contract price 882/1,040 872/1,032 904/1,060 Position (USD millions) 552 511 342 USD/CAD collars Average contract price 1.30/1.40 — — Position (CAD millions) 19 — — USD/SEK collars1 Average contract price 10.35/11.15 — — Position (SEK millions) 132 — — 1 USD/SEK collars expired in 2024 reflect only the position of continuing operations LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 46 - ===== SIDA 107 ===== Expired in Expiring throughout: Commodity hedge contracts 2024 2025 2026 Copper collars Average contract price ($/lb) 4.10/4.52 — — Position (millions lbs) 47 — — Gold collars Average contract price ($/oz) — 2,500/3,125 2,500/3,455 Position (oz) — 62,000 43,200 Diesel collars Average contract price ($/L) 0.50/0.65 0.50/0.65 — Position (millions litres) 14 54 — Diesel forward swaps Average contract price ($/L) 0.667 — — Position (USD millions) 27 — — The Company’s net unrealized and realized (loss)/gain on foreign currency and commodity derivative contracts are as follows: 2024 2023 Unrealized loss on derivative financial instruments: Foreign currency contracts $ (87,692) $ (7,568) Commodity hedge contracts 2,524 (896) (85,168) (8,464) Realized (loss)/gain on derivative financial instruments: Foreign currency contracts 2,589 23,302 Commodity hedge contracts (4,639) 1,786 (2,050) 25,088 Total unrealized and realized (loss)/gain on derivative contracts: $ (87,218) $ 16,624 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 47 - ===== SIDA 108 ===== A summary of the fair values of unsettled derivative contracts recorded on the consolidated balance sheet is as follows: December 31, 2024 December 31, 2023 Foreign currency contracts: Current asset position $ — $ 38,114 Non-current asset position — 9,397 Current liability position 39,416 1,124 Non-current liability position 24,487 3,148 Commodity contracts: Current asset position 964 — Non-current asset position 665 — Current liability position — 896 Other contracts: Chapada derivative current liability — 24,369 Fair values of financial instruments The Company’s financial assets and financial liabilities have been classified into categories that determine their basis of measurement. The following table shows the carrying values, fair values and fair value hierarchy of the Company’s financial instruments as at December 31, 2024 and December 31, 2023: December 31, 2024 December 31, 2023 Level Carrying value Fair value Carrying value Fair value Financial assets Fair value through profit or loss Restricted funds 1 $ 8,665 $ 8,665 $ 59,979 $ 59,979 Trade receivables (provisional) 2 337,081 337,081 605,644 605,644 Marketable securities 1 60,060 60,060 14,268 14,268 Foreign currency contracts 2 — — 47,511 47,511 Commodity contracts 2 1,629 1,629 — — Caserones purchase option 3 — — 44,438 44,438 $ 407,435 $ 407,435 $ 771,840 $ 771,840 Financial liabilities Amortized cost Debt 3 $ 1,756,972 $ 1,756,972 $ 1,208,600 $ 1,208,600 Caserones deferred consideration 2 112,833 112,833 116,210 116,210 Fair value through profit or loss Pricing provisions on concentrate sales 2 $ 7,149 $ 7,149 $ 1,840 $ 1,840 Chapada derivative liability 2 — — 24,369 24,369 Foreign currency contracts 2 63,903 63,903 4,272 4,272 Diesel contracts 2 — — 896 896 $ 71,052 $ 71,052 $ 31,377 $ 31,377 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 48 - ===== SIDA 109 ===== Fair values of financial instruments are determined by valuation methods depending on hierarchy levels as defined below: Level 1 – Quoted market price in active markets for identical assets or liabilities. Level 2 – Inputs other than quoted market prices included within Level 1 that are observable for the assets or liabilities, either directly (i.e. observed prices) or indirectly (i.e. derived from prices). Level 3 – Inputs for the assets or liabilities are not based on observable market data. The Company calculates fair values based on the following methods of valuation and assumptions: Marketable securities/debt and equity investments/restricted funds – The fair value of investments in shares and bonds is determined based on the quoted market price. Trade receivables/pricing provisions on concentrate sales – The fair value of trade receivables that contain provisional pricing sales arrangements are valued using quoted forward market prices. The Company recognized negative pricing adjustments of $77.7 million in revenue during the three months ended December 31, 2024 (December 31, 2023 - $17.1 million negative pricing adjustments). The Company recognized positive pricing adjustments of $15.5 million in revenue during the year ended December 31, 2024 (December 31, 2023 - $80.1 million negative pricing adjustments). Foreign currency and commodity contracts – The fair value of these derivatives are determined by the counterparties to the contracts and are assessed by Management using pricing models based on active market prices. Caserones purchase option – The fair value of the Caserones purchase option was determined using a valuation model that incorporates such factors as the mine's discounted cash flow projections, metal price volatility, expiry date, and risk-free interest rate. The Company exercised the Caserones purchase option in July 2024. Upon exercise, the asset was derecognized into equity of the Company. Chapada derivative liability – The fair value of this derivative was determined using a valuation model that incorporates such factors as metal prices, metal price volatility, expiry date, and risk-free interest rate. The Company paid the final $25.0 million tranche related to the Chapada derivative liability in August 2024. Caserones deferred consideration – The fair value of the Caserones deferred consideration has been discounted at the estimated credit adjusted risk free rate applicable to future payments. Debt – The fair values approximate carrying values as the interest rates are comparable to current market rates. The carrying values of certain financial instruments maturing in the short-term approximate their fair values. These financial instruments include cash and cash equivalents, trade and other receivables other than those provisionally priced, and trade and other payables other than those provisionally priced, which are classified as amortized cost. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 49 - ===== SIDA 110 ===== 27. COMMITMENTS AND CONTINGENCIES a) The Company has capital commitments of $333.9 million on various initiatives of which $304.1 million and $29.8 million relate to continuing and discontinued operations, respectively. Capital commitments of $157.6 million are expected to be paid during 2025 of which $127.7 million is related to continuing operations. b) The Chapada acquisition included contingent consideration of up to $125.0 million payable over five years from the acquisition date if certain gold price thresholds are met. The Company paid $25.0 million tranches in each of 2020, 2021, 2022, 2023, and 2024. The final contingent consideration payment was made in 2024. The Company has been provided with an indemnity for any tax liabilities that may arise for periods prior to the date of the Chapada acquisition. For identified tax claims existing at the date of acquisition, the Company has agreed to be liable for up to the first $21.0 million (BRL 101.5 million). While it is uncertain, no material liabilities have been accrued as the Company believes material payment is not likely due to the nature of the tax claims. c) The following summarizes total tax exposure under two contradictory assessments received from the Chilean Internal Revenue Service (“IRS”). Given that the assessments relate to the same issue, the Company’s potential exposure is expected to be limited to one of the below scenarios: i) For taxation years 2014 through 2019, the IRS issued tax assessments denying tax deductions related to interest expenses arising from an intercompany debt. The total of all assessments amounts to $265.3 million ($145.6 million in taxes plus interest and penalties of $119.7 million). If the Company loses the dispute, it may be liable for an additional $96.3 million in accrued interest as of December 2024. All tax refunds arising from the tax deductions related to the intercompany debt have been received up to December 2024. The Company maintains its position that the assessments are inconsistent with Chilean tax law and, therefore, without merit. ii) On the same intercompany debt for taxation years 2016 through 2019, the Company has also received assessments from the IRS seeking additional withholding taxes, including interest and penalties, on interest payments made. The total of all assessments amounts to $246.6 million ($114.2 million in taxes plus interest and penalties of $132.4 million). The Company may be liable for an additional $90.7 million in accrued interest as of December 2024. All tax refunds arising from the tax deductions related to the intercompany debt have been received up to December 2024. The Company maintains its position that the assessments are inconsistent with Chilean tax law and, therefore, without merit. The Company has filed claims against the tax assessments related to taxation years 2014 to 2019. No tax expense has been accrued for these assessments as the Company believes its original filing position is in compliance with tax regulations and intends to vigorously defend its position. The Company does not expect further assessments to be issued related to this tax matter as the intercompany loan was amended in 2020 with an interest rate accepted by the IRS. d) In July 2022, a sinkhole was detected near the Company's Ojos del Salado operations in Chile. In October 2022, the Company received an infraction notice from the environmental regulators covering four alleged violations of its environmental permit for the Alcaparrosa underground mine, which forms part of the Company's Ojos del Salado operations. In January 2025, the Company received a notice from the environmental regulators levying a fine of $3.3 million and ordering the continued closure of the Alcaparrosa mine. The Company will review the notification and determine the next steps relating to the charges that it allegedly breached its environmental permit at its at Minera Ojos del Salado operation. In addition, in May 2023, the Company received a civil environmental damage claim along with an injunction to close the Alcaparrosa mine, from the state defence counsel, alleging that the Company did not fulfill its environmental obligations under its environmental resolution. With respect to the environmental damage claim, the Company is contesting the allegations that it allegedly breached its obligations under its environmental resolution at its at Minera Ojos del Salado operation. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 50 - ===== SIDA 111 ===== e) The Company may be involved in legal proceedings arising in the ordinary course of business, including the actions described below. The potential amount of the liability with respect to such legal proceedings is not expected to materially affect the Company’s financial position. The Company believes the claims to be without merit and the loss, if any, cannot be determined at this time for all contingencies. The Company has accordingly not accrued any amounts related to the litigations below (unless otherwise noted). The Company intends to vigorously defend these claims. Two proposed class actions were filed against the Company and certain officers and directors. The first, in the province of Ontario, on December 7, 2017 (Markowich v. Lundin Mining Corporation et al) and a second overlapping action in the province of Québec on January 18, 2018 (Prévreau v. Lundin Mining Corporation et al). Both proposed class actions seek damages of $132.3 million (C$175.0 million) and punitive damages of $7.6 million (C$10.0 million) and assert various statutory and other claims related to, among other things, alleged misrepresentations and/or failure to make timely disclosure of material information about the Company’s business and operations and, in particular, the operations of the Candelaria Mine and a rock slide at the Candelaria Mine on October 31, 2017. The proposed Ontario class action asserts claims on behalf of a putative class comprising persons who acquired securities of the Company between October 25, 2017, and November 29, 2017, whereas the proposed Québec class action asserts claims on behalf of only such persons who are resident or domiciled in Québec. In June 2018, counsel to the plaintiffs in the Québec action agreed to a stay (i.e., indefinite cessation) of that proceeding in light of the Ontario action. On August 30, 2018, the Québec Superior Court, on consent of the parties, stayed the Québec action indefinitely. On September 2, 2020, the plaintiff in the Ontario action served motion materials for leave and certification with the Ontario Superior Court of Justice. On January 6, 2022, the Ontario Superior Court of Justice denied the leave application and declined the motion for certification. On May 24, 2023, the Ontario Court of Appeal granted the plaintiff’s appeal of this decision. In August 2023, the defendants filed an application for leave to appeal the Ontario Court of Appeal decision to the Supreme Court of Canada , which leave to appeal was granted on March 25, 2024. The Supreme Court of Canada heard the appeal on January 15, 2025. Its decision is under reserve and is expected to be released in 2025. 28. SEGMENTED INFORMATION The Company is engaged in mining, exploration and development of mineral properties at four operating sites located in Chile, Brazil, and USA, and at the Josemaria Project located in Argentina. Operating segments are reported in a manner consistent with the internal reporting provided to the executive leadership team who act as the operating decision-makers. The chief operating decision makers consider the business from a site and project-level perspective. Executive management are responsible for allocating resources and assessing performance of the operating segments. The Company has identified five reportable segments which include four operating sites, and the Josemaria Project. Discontinued operations includes results from the Neves-Corvo and Zinkgruvan segments (Note 3). LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 51 - ===== SIDA 112 ===== For the year ended December 31, 2024 Candelaria Caserones Chapada Eagle Josemaria Other Total Continuing Operations Discontinued Operations Total Chile Chile Brazil USA Argentina Revenue $ 1,618,936 $ 1,153,625 $ 497,576 $ 152,467 $ — $ — $ 3,422,604 $ 694,801 $ 4,117,405 Cost of goods sold Direct mine and mill costs (679,906) (709,383) (248,500) (90,969) — (1,198) (1,729,956) (410,093) (2,140,049) Transportation (31,049) (34,703) (25,553) (13,508) — — (104,813) (31,173) (135,986) Royalties (15,730) (32,106) (8,580) (7,442) — — (63,858) (3,961) (67,819) Depreciation, depletion and amortization (313,058) (184,054) (76,524) (33,569) — (539) (607,744) (155,344) (763,088) Reversal of inventory write-down — — 26,626 — — — 26,626 — 26,626 Gross profit (loss) 579,193 193,379 165,045 6,979 — (1,737) 942,859 94,230 1,037,089 General and administrative expenses — — — — — (58,349) (58,349) — (58,349) Exploration and business development (10,124) (14,846) (5,636) (3,208) (8,307) (3,231) (45,352) (12,843) (58,195) Finance (costs) income (26,922) (17,318) (25,673) (3,678) 21,510 (89,374) (141,455) (9,793) (151,248) Other income (expense) 14,860 37,575 3,768 (2,265) 7,319 (85,342) (24,085) (8,798) (32,883) Goodwill and asset impairment (55,918) — (93,443) (104,857) — — (254,218) (291,178) (545,396) Partial suspension of underground operations cost — — — (36,073) — — (36,073) — (36,073) Income tax (expense) recovery (237,879) (877) (62,211) 28,839 50,086 (7,931) (229,973) 13,711 (216,262) Net earnings (loss) $ 263,210 $ 197,913 $ (18,150) $ (114,263) $ 70,608 $ (245,964) $ 153,354 $ (214,671) $ (61,317) Capital expenditures $ 275,720 $ 143,965 $ 107,843 $ 21,222 $ 258,207 $ 350 $ 807,307 $ 154,960 $ 962,267 Total non-current assets1 $ 3,063,812 $ 1,374,683 $ 1,289,965 $ 107,516 $ 1,408,246 $ 6,581 $ 7,250,803 $ — $ 7,250,803 1 Non-current assets include long-term inventory, mineral properties, plant and equipment, and goodwill. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 52 - ===== SIDA 113 ===== For the year ended December 31, 2023 Candelaria Caserones Chapada Eagle Josemaria Other Total Continuing Operations Discontinued Operations Total Chile Chile Brazil USA Argentina Revenue $ 1,329,599 $ 601,775 $ 461,175 $ 350,895 $ — $ — $ 2,743,444 $ 648,633 $ 3,392,077 Cost of goods sold Direct mine and mill costs (695,734) (367,467) (278,692) (146,299) — (3,675) (1,491,867) (405,917) (1,897,784) Transportation (30,759) (21,550) (30,057) (22,411) — (11) (104,788) (32,205) (136,993) Royalties — (15,820) (8,568) (22,994) — — (47,382) (3,949) (51,331) Depreciation, depletion and amortization (272,377) (108,489) (63,480) (52,050) (38) (1,439) (497,873) (155,723) (653,596) Gross profit (loss) 330,729 88,449 80,378 107,141 (38) (5,125) 601,534 50,839 652,373 General and administrative expenses — — — — — (66,723) (66,723) — (66,723) Exploration and business development (14,589) (622) (10,460) (5,691) (2,751) (9,897) (44,010) (11,682) (55,692) Finance (costs) income (32,214) (7,901) (22,996) (4,336) 18,726 (42,708) (91,429) (11,270) (102,699) Other (expense) income (402) 6,391 6,229 (597) 84,316 (4,093) 91,844 12,745 104,589 Income tax (expense) recovery (135,078) (19,265) 1,888 (2,899) (51,266) (7,746) (214,366) (2,233) (216,599) Net earnings (loss) $ 148,446 $ 67,052 $ 55,039 $ 93,618 $ 48,987 $ (136,292) $ 276,850 $ 38,399 $ 315,249 Capital expenditures $ 380,112 $ 83,880 $ 72,291 $ 22,201 $ 285,893 $ 12,761 $ 857,138 $ 155,979 $ 1,013,117 Total non-current assets1 $ 3,134,028 $ 1,405,852 $ 1,391,417 $ 204,776 $ 1,161,771 $ 5,097 $ 7,302,941 $ 1,460,441 $ 8,763,382 1 Non-current assets include long-term inventory, mineral properties, plant and equipment, and goodwill. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 53 - ===== SIDA 114 ===== 29. RELATED PARTY TRANSACTIONS a) Key management personnel - The Company has identified its directors and senior officers as its key management personnel. Employee benefits for key management personnel are as follows: 2024 2023 Wages and salaries $ 7,281 $ 7,454 Pension benefits 94 130 Share-based compensation 2,246 2,983 Termination benefits — 5,760 $ 9,621 $ 16,327 b) Other related part ies - For the year ended December 31, 2024, the Company incurred $8.4 million (2023 – $4.9 million), and received a refund amounting to $2.1 million (2023 – $nil) for services provided by companies owned by members of key management personnel primarily relating to office rental, renovation costs, and related services. For the year ended December 31, 2024, the Company incurred $2.6 million (2023 – $2.1 million) for services provided by the Lundin Foundation, a not-for-profit organization supporting community economic development programs and related initiatives in the regions in which the Company operates. 30. MANAGEMENT OF FINANCIAL RISK The Company’s financial instruments are exposed to certain financial risks, including credit risk, liquidity risk, foreign exchange risk, commodity price risk and interest rate risk. (a) Credit risk The exposure to credit risk arises through the failure of a customer or another third party to meet its contractual obligations to the Company. The Company believes that its maximum exposure to credit risk as at December 31, 2024 is the carrying value of its trade and other receivables. Concentrate and cathodes produced at the Company’s Candelaria, Caserones, Chapada, and Eagle mines is sold to a number of strategic customers with whom the Company has established long-term relationships. Limited amounts of concentrate are occasionally sold to commodity traders, under prevailing market conditions. Payment terms vary and provisional payments are normally received when concentrate or copper cathodes have been placed on board a vessel for shipment or delivered to a location specified by the customer , in accordance with industry practice, with final settlement up to six months following the date of shipment. Sales to commodity traders are made against secure payment terms such as a letter of credit, pre-payment or payment against scanned shipping documents. Credit worthiness of customers is reviewed by the Company on an annual basis or more frequently, if warranted, and those not meeting certain credit criteria may be asked to make 100% provisional payment up-front or provide an acceptable payment instrument such as a letter of credit. The failure of any of the Company’s strategic customers could have a material adverse effect on the Company’s financial position. For the year ended December 31, 2024, the Company has four customers that individually account for more than 10% of the Company’s total sales. The Company's largest customers represent approximately 20%, 14%, 13%, and 11% of total sales (2023 - four customers representing 23%, 16%, 14%, and 13% of total sales). With respect to credit risk arising from the other financial assets of the Company, which comprise cash and cash equivalents, restricted funds, marketable securities and equity investments, and foreign currency contracts, the Company’s exposure to credit risk arises from default of the counterparty, with a maximum exposure equal to the carrying amount of these instruments. The Company limits material counterparty credit risk on these assets by dealing with financial institutions with long-term credit ratings with Standard & Poor’s of at least A, or the equivalent thereof with Moody’s, or those which have been otherwise approved. LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 54 - ===== SIDA 115 ===== (b) Liquidity risk The Company has in place a planning and forecasting process to help determine the funds required to support the Company’s normal operating requirements on an ongoing basis. The Company ensures that there is sufficient available capital to meet its short-term business requirements, taking into account its anticipated cash flows from operations and its holdings of cash and cash equivalents. The Company has a revolving credit facility in place to assist with meeting its cash flow needs as required (Note 13). The maturities of the Company’s non-current liabilities are disclosed in Note 13 and Note 27. All current liabilities are due to be settled within one year. (c) Foreign exchange risk The Company operates internationally and is exposed to foreign exchange risk arising from various currencies, primarily with respect to CLP, BRL, and ARS. The Company’s risk management strategy is to manage cash flow risk related to foreign denominated cash flows. The Company is exposed to currency risk related to changes in rates of exchange between foreign denominated balances and the functional currencies of the Company’s principal operating subsidiaries. The Company’s revenues are denominated in US dollars, while most of the Company’s operating and capital expenditures are denominated in the local currencies. The Company may, at its discretion, use forward or derivative contracts to manage its exposure to foreign currencies, the use of which is subject to appropriate approval procedures. A significant change in the currency exchange rates between the US dollar and foreign currencies could have a material effect on the Company’s net earnings and other comprehensive income. The following table illustrates the estimated impact a 10% US dollar change against the €, CLP, SEK and BRL would have on pre-tax earnings as a result of translating the Company's foreign denominated financial instruments as at December 31, 2024 before the impact of derivative contracts: Currency Change Effect on Pre-Tax Earnings Change Effect on Pre-Tax Earnings € +10% $8,033 -10% $(8,033) CLP +10% $(18,095) -10% $18,095 SEK +10% $5,241 -10% $(5,241) BRL +10% $(2,143) -10% $2,143 (d) Commodity price risk The Company is subject to price risk associated with fluctuations in the market prices for metals. A significant change in metal prices could have a material effect on the Company’s revenues. The Company may, at its discretion, use forward or derivative contracts to manage its exposure to changes in commodity prices, the use of which is subject to appropriate approval procedures. The Company is also subject to price risk on the final settlement of its provisionally priced trade receivables. The following table illustrates the sensitivity of the Company’s risk on final settlement of its provisionally priced trade receivables: Metal Payable metal Provisional price on December 31, 2024 Change Effect on Revenue ($millions) Copper 78,322 t $3.96/lb +/-10% +/-68.4 Gold 35 koz $2,638/oz +/-10% +/-9.2 Nickel 709 t $6.87/lb +/-10% +/-1.1 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 55 - ===== SIDA 116 ===== (e) Interest rate risk The Company’s exposure to interest rate risk arises from the interest rate impact on its cash and cash equivalents, restricted funds, and debt facilities. Certain of the Company's debt facilities include a variable rate component such as references to Term SOFR on various term loans and credit facilities, as well as applicable credit spreads depending on the Company's net leverage ratio. The interest rates on the Company’s revolving credit facility and non-revolving term loan reference Term SOFR. As at December 31, 2024, holding all other variables constant, a 1% change in the interest rate would result in an approximate $12.5 million change in interest expense on an annualized basis (2023 - $4.2 million). 31. MANAGEMENT OF CAPITAL RISK The Company’s objectives when managing its capital include ensuring a sufficient combination of positive operating cash flows and debt and equity financing in order to meet its ongoing capital development and exploration programs in a way that maximizes the shareholder return given the assumed risks of its operations while, at the same time, safeguarding the Company’s ability to continue as a going concern. The Company considers the following items as capital: excess cash balances, debt and lease liabilities, and share capital reserve. Through the ongoing management of its capital, the Company will modify the structure of its capital based on changing economic conditions in the jurisdictions in which it operates. In doing so, the Company may issue new shares or debt, buy back issued shares, or pay off any outstanding debt. The Company continuously monitors its capital structure to determine the appropriateness of paying dividends. Planning, including life-of-mine plans, annual budgeting and controls over major investment decisions are the primary tools used to manage the Company’s capital. Updates are made as necessary to both capital expenditure and operational budgets in order to adapt to changes in risk factors of proposed expenditure programs and market conditions within the mining industry. 32. SUPPLEMENTARY CASH FLOW INFORMATION 2024 2023 Changes in non-cash working capital items consist of: Trade and income taxes receivable, inventories, and other current assets $ 100,751 $ (2,580) Trade and income taxes payable, and other current liabilities 120,129 (17,452) $ 220,880 $ (20,032) Operating activities included the following cash payments: Income taxes paid $ 184,378 $ 110,482 LUNDIN MINING CORPORATION Notes to consolidated financial statements For the years ended December 31, 2024 and 2023 (Tabular amounts in thousands of US dollars, except for shares and per share amounts) - 56 - ===== SIDA 117 ===== Registered Office 1055 Dunsmuir Street, Suite 2800, Bentall IV, Vancouver, BC V7X 1L2 Tel: +1.604.806.3081 lundinmining.com