WINNIPEG, MANITOBA--(CCNMatthews - Nov. 8, 2005) -
Announces annual investment in ongoing remediation of up to $1.0 million
HudBay Minerals Inc. (TSX:HBM) ("HudBay") announced today that its
wholly owned subsidiary Hudson Bay Mining and Smelting Co., Limited
(HBMS) has completed an evaluation of the closure and reclamation plans
for its Manitoba and Saskatchewan operations and substantially completed
a review of other potential environmental costs to a feasibility level
of accuracy. The closure plans have been updated and completed to the
feasibility level of accuracy by a major Canadian environmental
engineering firm.
Based on the results of the evaluations to date, HudBay is satisfied
that current financial statement provisions for closure and
environmental reclamation obligations in Manitoba, Saskatchewan and
elsewhere, are adequate and appropriate. The HudBay financial statement
provision for closure and environmental reclamation has not been audited
by external auditors and may also be modified based on comments yet to
be received from the governments of Manitoba and Saskatchewan.
Accordingly changes to the provision may be necessary.
"I am pleased our closure and reclamation provisions have been
confirmed," said Peter R. Jones, President and CEO of HudBay. "Through
HBMS' ISO 14001 Environmental Management System, HudBay is committed to
outstanding environmental performance and our intention to spend up to
$1.0 million annually for ongoing remediation will enhance this
objective."
The updated closure plans have been submitted to the Governments of
Manitoba and Saskatchewan, and as previously disclosed, are supported by
financial assurance consisting of letters of credit and asset pledges
for the Flin Flon Metallurgical Complex, at closure. The 2005 combined
value of the financial assurance provided to the Governments of Manitoba
and Saskatchewan is more than $75.0 million.
About HudBay Minerals Inc.
HudBay Minerals Inc. is an integrated mining and metal producing
company that operates mines and concentrators in northern Manitoba and
Saskatchewan and a metal processing complex in Flin Flon, Manitoba. The
company also operates a zinc oxide production facility in Brampton,
Ontario and owns the former producing Balmat zinc mine in New York
State.
Certain information regarding HudBay set forth in this document,
including management's assessment of HudBay's future plans and
operations contains forward looking statements that involve substantial
known and unknown risks and uncertainties. These forward looking
statements are subject to numerous risks and uncertainties, some of
which are beyond HudBay's and management's control, including but not
limited to, the impact of general economic conditions, industry
conditions, changes in government regulation, fluctuation of commodity
prices, risks related to the integration of new acquisitions,
fluctuation of foreign exchange rates, imperfection of reserve
estimates, environmental risks, industry competition, availability of
qualified personnel and management, timely and cost effective access to
sufficient capital from internal and external sources. HudBay's actual
results, performance or achievement could differ materially from those
expressed in or implied by, these forward looking statements and
accordingly, no assurance can be given that any of the events
anticipated to occur or transpire from the forward looking statements
will provide any benefits to HudBay.
FOR FURTHER INFORMATION PLEASE CONTACT:
HudBay Minerals Inc.
Tom Goodman
Vice President, Human Resources and Technical Services
(204) 687-2380
(204) 942-8177 (FAX)
tom.goodman@hbms.ca
www.hudbayminerals.com