Capstone Copper Shatters Q3 Records, Sanctions Mantoverde Expansion, and Secures Santo Domingo JV

Record-Breaking Quarter

Capstone Copper Corp. has reported a stellar third quarter for 2025, setting new benchmarks across its financial and operational metrics. The company’s revenue soared to an all-time high of $598.4 million, nearly a 43% increase year-over-year, while adjusted EBITDA more than doubled to $249.2 million. This surge was underpinned by a 16% rise in copper production to 55,280 tonnes, primarily fueled by the successful ramp-up of sulphide operations at Mantoverde and Mantos Blancos.

Notably, Capstone achieved record low C1 cash costs of $2.42 per pound of copper, a 15% improvement from the prior year, reflecting operational efficiencies and favorable by-product credits from gold and silver. These cost savings, combined with higher copper prices averaging $4.49 per pound, have significantly enhanced the company’s profitability, with net income attributable to shareholders jumping to $248.1 million from just $12.5 million in Q3 2024, boosted by a substantial impairment reversal at Santo Domingo.

Strategic Growth Initiatives

Capstone’s growth strategy gained momentum with the sanctioning of the Mantoverde Optimized project, a capital-efficient brownfield expansion that will increase sulphide concentrator throughput by nearly 40%, from 32,000 to 45,000 tonnes per day. This expansion is expected to add approximately 20,000 tonnes of copper and 6,000 ounces of gold annually, extending Mantoverde’s mine life from 19 to 25 years. Construction is slated for completion by Q3 2026, with full ramp-up anticipated in early 2027.

In a significant move to de-risk funding and enhance returns, Capstone entered a joint venture with Orion Resource Partners, selling a 25% interest in the Santo Domingo and Sierra Norte projects for up to $360 million. This partnership not only provides immediate capital but also preserves Capstone’s option to re-acquire full ownership post-commercial production. The deal includes contingent payments tied to key project milestones, underscoring confidence in the district’s long-term value.

Exploration and Operational Highlights

Exploration efforts continue to bear fruit, with Phase 1 drilling at Mantoverde revealing extensions of mineralization north of the current pit and promising intercepts along the Santa Clara Corridor. These results bolster the potential for resource growth and underpin future expansion plans, including a Phase II study evaluating a second processing line. Additionally, Capstone secured an exploration option agreement with Chile’s ENAMI for over 18,000 hectares around Sierra Norte, further consolidating its position in the Atacama region.

Operationally, while Mantoverde and Mantos Blancos delivered strong sulphide production gains, Pinto Valley faced challenges due to drought-related water constraints, impacting throughput and increasing costs. The company appointed Mark Scott as General Manager of Pinto Valley, bringing extensive operational expertise to address these issues.

Sustainability and Corporate Responsibility

Capstone’s commitment to responsible mining was recognized with Pinto Valley receiving The Copper Mark certification, its third site globally to earn this distinction. The company also published its 2024 Sustainability Report, highlighting progress on environmental and social governance milestones, reinforcing its focus on transparency and accountability.