Hudbay Minerals (HBM) Secures $4.3M Japanese Funding for Exploration
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5d ago
0mins
Source: seekingalpha
- New Partnership: Hudbay Minerals announced a partnership with Japan Organization for Metals & Energy Security, securing at least C$6M in funding to enhance exploration in northern Manitoba, which is expected to boost the company's resource development potential in the region.
- Equity Option: Under the agreement, JOGMEC will receive an option to purchase a 10% stake in three projects, with Hudbay acting as the operator, ensuring smooth exploration activities over the next three years and further solidifying its market position.
- Continuation of Historical Cooperation: This agreement amends a deal struck in 2024 with Marubeni, which has the right to acquire a 20% stake upon funding at least C$12M in exploration, demonstrating Hudbay's ongoing appeal in the Japanese market.
- Joint Venture Prospects: Should JOGMEC and Marubeni successfully fulfill their investment obligations and choose to exercise their options, a three-party joint venture will be formed, with Hudbay holding a 70% stake, further enhancing its control in resource development.
Analyst Views on HBM
Wall Street analysts forecast HBM stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for HBM is 20.63 USD with a low forecast of 17.24 USD and a high forecast of 24.79 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
10 Analyst Rating
10 Buy
0 Hold
0 Sell
Strong Buy
Current: 25.430
Low
17.24
Averages
20.63
High
24.79
Current: 25.430
Low
17.24
Averages
20.63
High
24.79
About HBM
Hudbay Minerals Inc. is a Canada-based copper-focused critical minerals company with three operations and a pipeline of copper growth projects in tier-one mining jurisdictions of Canada, Peru and the United States. The Company's operating portfolio includes the Constancia mine in Cusco (Peru), the Snow Lake operations in Manitoba (Canada) and the Copper Mountain mine in British Columbia (Canada). The Company's growth pipeline includes the Copper World project in Arizona (United States), the Mason project in Nevada (United States), the Llaguen project in La Libertad (Peru) and several expansion and exploration opportunities near its existing operations. The Copper Mountain Mine, located south of Princeton, British Columbia, is a conventional open pit, truck and shovel operation. The Constancia mine is located in the province of Chumbivilcas in southern Peru. Its primary production is copper, complemented by gold production and by-products, such as zinc, silver, and molybdenum.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
