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LUCA'S CASH BALANCE SURGES TO US$21 MILLION THROUGH WARRANT EXERCISE AND CASH FLOW
Prnewswireยท 2025-04-28 11:00
Core Viewpoint - Luca Mining Corp. has significantly improved its financial position through the exercise of share purchase warrants and debt reduction, positioning itself for strong operational performance in 2025 [1][3]. Financial Performance - Investors exercised 38.8 million share purchase warrants, raising USD $14.0 million (CAD $19.8 million) for the company [1]. - The company has reduced its debt by USD $8.4 million since January 1, 2025, leaving a current debt balance of USD $8.5 million [1]. - Luca's total cash and cash equivalents, including silver bullion, stand at USD $20.6 million, with expectations for further growth due to strong cash flow from operations [1]. Warrants and Shares - The total outstanding common shares of the company are 253.7 million, with 16.23 million total warrants outstanding [2][3]. - The remaining warrants have exercise prices ranging from CAD $0.45 to CAD $2.80, with expiry dates extending to March 2026 [2]. Future Outlook - The company anticipates generating free cash flow between USD $30 million to USD $40 million in 2025, which is expected to yield one of the best cash flow yields among its peers [3]. - Luca Mining Corp. is well-positioned to benefit from strong commodity demand due to its diversified metal production profile and plans to eliminate debt by 2026 [3]. Strategic Initiatives - The company aims to fund high-impact capital improvements at its mines, explore broader property packages, pursue strategic M&A activities, and consider returning capital to shareholders [3]. - Luca Mining Corp. has been added to the Solactive Global Copper Miners Total Return Index, effective May 1, 2025, enhancing its visibility in the market [4]. Company Overview - Luca Mining Corp. operates two wholly owned mines in Mexico, producing gold, copper, zinc, silver, and lead, with strong cash flow and significant development potential [5][6][7].