$LUG.TO

Lundin Gold Distributes 50.5-Million LunR Royalties Shares Through Dividend

Lundin Gold (LUG.TO) after trade Thursday said it completed the distribution of 50.5 million shares of LunR Royalties (LUNR.V) to its shareholders through a dividend in kind.The distribution was made on Thursday to shareholders of record as of June 4. The shares were acquired by Lundin Gold on May 28 as part of a silver stream agreement with LunR Royalties. Under a separate agreement signed in April, Lundin Gold committed to distributing these shares directly to its shareholders, the company said.Before the distribution, Lundin Gold owned about 41.8% of LunR's outstanding shares. Through the transaction, the company distributed its entire LunR stake to shareholders and no longer holds any shares in LunR, according to the statement."As a result, Lundin Gold is no longer subject to early warning reporting requirements in respect of LunR. Lundin Gold has no current intention to acquire additional securities of LunR," the company added.

LunR Royalties Completes Acquisition of Fruta del Norte Silver Stream, Gets Conditional Approval to Graduate to TSX

LunR Royalties (LUNR.V) has completed the acquisition of a life-of-mine silver stream on the Fruta del Norte mine in exchange for 50.5 million of its common shares issued to Lundin Gold, LunR said late on Thursday.The company has also received conditional approval to list its common shares on the Toronto Stock Exchange and graduate from the TSX Venture Exchange. Final approval of the listing is subject to certain customary requirements of the TSX.Under the agreement, LunR will purchase 100% of the payable silver production from Fruta del Norte until 12.2 million ounces have been delivered; then 50% of payable silver production until an additional 7.8 million ounces have been delivered; then 7.55 of payable silver production for the remaining life of mine.LunR will purchase silver at 10% of the spot price at the time of each delivery for ounces delivered up to the first dropdown threshold. Payments will increase to 20% of the spot price for ounces delivered up to the second dropdown threshold, and thereafter will increase to 30% of the spot price for the remaining life of mine.The stream is effective as of March 1. The first delivery of streamed silver is expected by the end of the second quarter.Lundin Gold has declared a special dividend-in-kind to distribute all of the consideration shares to eligible Lundin Gold shareholders. The consideration shares that would otherwise be distributed to ineligible shareholders will be sold. The shareholders will receive a cash payment equal to the net proceeds of the sale, less applicable taxes.The dividend will be payable on June 11 to Lundin Gold shareholders of record at the close of business on June 4. The cash payment to ineligible shareholders will be payable as soon as reasonably practicable following the sale of consideration shares.

Lundin Gold Initiated at Buy at UBS; Price Target Set at C$103.00

UBS on Thursday initiated coverage of Lundin Gold (LUG.TO) shares with a buy rating and C$103.00 price target."We initiate coverage of Lundin Gold (LUG-TSX) with a Buy rating and C$103/sh price target. Our constructive view is underpinned by high-margin production at Fruta del Norte (FDN), stable ~$1bn/yr FCF at spot, and meaningful exploration optionality that is not fully considered by the market. FDN is a world-class underground asset, characterized by high grades, consistent execution, and a long, inventory-backed mine life. Three year guidance of 475-525koz is potentially conservative, with upside from plant optimization not currently priced, AISC below $1,200/oz supporting robust margins. While still a single-asset producer, we see the market underappreciating upside from near-mine epithermal targets and a developing copper-gold porphyry corridor which could present billion dollar value. The shares have underperformed the GDX by ~40% over the past year as investors have rotated into higher-beta, more leveraged names; however, in a range-bound gold environment, we see Lundin Gold offering an attractive risk-reward as the story begins to shift from execution onto expansion," the investment bank wrote.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $85.32, Change: $+1.29, Percent Change: +1.54%

SSR, OceanaGold, Pan American Silver Have Strongest Cost Performance Among Precious Metals Companies in Q1

SSR Mining (SSR.TO), OceanaGold (OFC.TO) and Pan American Silver (PAAS.TO) showed the strongest cost performance and outperformed their peer-group averages among senior precious metals producers following the first-quarter reporting season, National Bank of Canada said Thursday.Meanwhile, Versamet Royalties (VMET.TO), Metalla Royalty (MTA.V), Wesdome Gold (WDO.TO), Endeavour Silver (EDR.TO), Orezone (ORE.TO) and Barrick Gold (ABX.TO) show the lowest re-rating upside from a first-quarter revisions perspective, National Bank said.Production growth, sustained free cash flow, capital returns, possible M&A activity and/or cost improvements remain potential catalysts for this group, the bank said.Aris Mining (ARIS.TO), Heliostar (HSTR.V), Lundin Gold (LUG.TO), Elemental Royalties (ELE.TO), Agnico Eagle (AEM.TO) and Alamos Gold (AGI.TO) screen as the most attractive catch-up re-rating opportunities, with valuations having moved furthest from estimate revisions, the bank said.

Vizsla Silver Appoints Guillermo Hernandez as Vice President of Exploration and Promotes Jesus Velador to Chief Geologist

Vizsla Silver (VZLA.TO, VZLA) appointed Guillermo Hernandez as its Vice President of Exploration following the promotion of Jesus Velador to the role of Chief Geologist, it said Thursday.U.S.-listed shares of the company were last seen down 1.6% at US$3.33 in pre-market trading. Hernandez has held senior leadership roles with Lundin Gold (LUG.TO), Luca Mining (LUCA.V) and Outcrop Silver & Gold (OCG.V), bringing 20 years of international mineral exploration expertise, it said.Shares of the company closed up 3.3% to C$4.65 on Wednesday on the Toronto Stock Exchange.

CIBC Trims Lundin Gold's Price Target to C$137 from C$141

CIBC Capital Markets on Thursday lowered Lundin Gold's (LUG.TO) price target to C$137 from C$141 with a neutral rating.Lundin's adjusted earnings of US$1.13 per share in the first quarter beat the Street estimate of US$1.10 per share and the CIBC forecast of $1.07 per share.The beat was largely driven by lower operating costs.Free cash flow was US$349 million, above CIBC's projection of US$280 million on favorable working capital changes and cash taxes.Lundin traded at C$96.23 per share at last look Friday on the Toronto Stock Exchange.Price: $95.29, Change: $+2.89, Percent Change: +3.13%

Earnings Flash (LUG.TO) Lundin Gold Anticipates Distributing LunR Shares To Its Holders As a Dividend In Kind During Q2

RBC Says Q1 Seasonally Weak for Gold Equities

RBC Capital Markets said Wednesday that the first quarter represents a seasonally weak period for operating results of gold equities.According to RBC, the market is expected to focus on forward-looking statements on the impact of higher gold and energy prices to costs, as well as emerging inflationary pressures."Although we expect no formal cost guidance revisions across our coverage, commentary on potential changes into mid-year updates could present surprise risk," RBC said.RBC said Alamos (AGI.TO), Barrick Mining (ABX.TO), Eldorado Gold (ELD.TO), G Mining (GMIN.TO), SSR Mining (SSR.TO) and Wheaton Precious Metals (WPM.TO) have outlined materially softer first quarter.RBC said companies with key upcoming deliverables into the first quarter include B2Gold (BTO.TO), Barrick, Alamos, Agnico Eagle (AEM.TO), Centerra (CG.TO), Franco Nevada (FNV.TO), Iamgold (IMG.TO), K92 (KNT.TO), Kinross (K.TO), Lundin Gold (LUG.TO), Orla Mining (OLA.TO), OR Royalties (OR.TO) and Wesdome (WDO.TO).According to RBC, gold equity valuations at spot have expanded in recent weeks, but are still reasonably attractively valued.Price: $66.72, Change: $-0.42, Percent Change: -0.63%

Lundin Gold Reports Q1 Production of 119,742 Ounces of Gold

Lundin Gold (LUG.TO) after trade Thursday reported first-quarter gold production of 119,742 ounces from its Fruta del Norte gold mine in southeast Ecuador, higher than in the prior corresponding period, while it saying it is "on track" to achieve its 2026 production guidance.Of the total quarterly gold production, 79,451 ounces were produced as concentrate and 40,291 oz as dore, a statement said. During the same quarter in 2025, the company produced 117,313 oz of gold, it added.The company said in the first quarter, the mill processed 496,798 tonnes of ore resulting in an average throughput rate of 5,520 tonnes per day at an average grade of 8.4 grams per tonne with recoveries of 89.2%."First quarter production of 119,742 ounces marks a strong start to 2026, reflecting an increase in mill throughput and stable operating performance at Fruta del Norte. During the quarter, average throughput exceeded our annual guidance rate of 5,500 tpd, reaching a new quarterly record of 5,520 tpd. With this strong operating momentum, we are on track to achieve our 2026 production guidance of 475,000 to 525,000 ounces of gold while maintaining a focus on optimizing recoveries and overall mine and plant performance," chief executive Jamie Beck said.Shares in Lundin Gold closed up $0.11to $112.78 on the Toronto Stock Exchange.