Nexa Resources Stock Price, News & Analysis

Nexa Resources (NYSE: NEXA) has announced the filing of its annual report on Form 20-F for the fiscal year ended December 31, 2024, with the U.S. Securities and Exchange Commission and SEDAR+ in Canada. The report is accessible through the SEC website, SEDAR+, and Nexa's Investor Relations website.

Additionally, the company has filed its updated Mining Report on Mineral Reserves and Mineral Resources estimates as of December 31, 2024, prepared in accordance with Canadian National Instrument 43-101, on SEDAR+. Shareholders can request a free hard copy of Nexa's complete audited financial statements.

Nexa Resources (NYSE: NEXA) has released its 2024 Year-End Mineral Reserves and Mineral Resources update for operations in Peru and Brazil. The company's Proven and Probable Mineral Reserves reached 110.3 million tonnes containing 4,075kt of zinc, showing an increase from 4,031kt in 2023 despite similar tonnage.

Key highlights include:

• Successful zinc reserves replacement and expansion year-over-year
• Increased reserves driven by infill drilling at El Porvenir, Aripuanã, and Vazante
• Net revision of 172kt of contained zinc, mainly from new mining method at Vazante (+74kt) and geological model adjustments at Aripuanã (+81kt)

The company's Measured and Indicated Mineral Resources decreased to 3,163kt of contained zinc from 3,259kt in 2023, while Inferred Mineral Resources increased to 7,072kt from 6,897kt. The exploration program focused on near-mine expansion, brownfield and infill drilling, and greenfield projects.

Nexa Resources (NYSE: NEXA) reported strong financial results for 2024, with Adjusted EBITDA increasing 76% to US$714 million from US$406 million in 2023. Net revenues grew 8% to US$2,766 million, while net loss decreased 36% to US$187 million. The company achieved positive consolidated cash flow for the first time since Aripuanã investments, with free cash flow of US$107 million in Q4.

Operational highlights include zinc production of 327kt (2% decrease from 2023), copper production of 36kt (7% increase), and zinc metal/oxide production of 595kt. The company maintained production within guidance across all metals, with copper exceeding the upper range. CAPEX totaled US$277 million, below the revised guidance.

Strategic developments include the completion of Morro Agudo Complex sale, Pukaqaqa greenfield project divestment, and Board approval for the first phase of Cerro Pasco Integration Project. The company ended 2024 with US$640 million in total cash and reduced its net leverage ratio to 1.7x from 3.3x in 2023.

Nexa Resources (NYSE: NEXA) has released its Q4 and full-year 2024 exploration drilling results. The company completed 229,148 meters of total drilling, including 63,779 meters of exploration drilling (8% below target) and 165,369 meters of mining infill drilling. Q4 exploration drilling reached 19,121 meters across Peru (12,910m), Brazil (4,937m), and Namibia (1,273m).

Notable results include significant mineral intercepts at multiple sites: Cerro Lindo's Orebody 8B showed 4.65m at 2.89% Zn; Aripuanã's Massaranduba target yielded 10.1m at 8.04% Zn; Vazante's Sucuri target revealed 4.7m at 15.18% Zn; and El Porvenir's Integración target demonstrated 28.7m at 3.07% Zn.

For 2025, Nexa plans 82,340 meters of drilling, with 62% allocated to Peru. Q1 2025 exploration plans include 13,360 meters across Peru and Brazil.

Nexa Resources has announced its operational results for 2024 and outlook for 2025-2027. The company achieved its consolidated mining production guidance, with zinc production at 327kt, copper exceeding expectations at 36kt, lead at 69kt, and silver reaching 12MMoz.

Metal sales totaled 591kt, meeting mid-range guidance, driven by improved performance at Cajamarquilla and Juiz de Fora smelters. The company successfully achieved its consolidated run-of-mine mining costs and C1 cash cost guidance, which was reduced by 65% in October 2024, through improved operational efficiencies and cost management.

Notable operational highlights include a 10% increase in Cerro Lindo's zinc production, Aripuanã's significant growth with zinc production up 43%, and stable performance at Cajamarquilla smelter with 327kt in metal sales. However, Morro Agudo operations ceased in April 2024 following its sale, and Três Marias faced challenges with a fire incident in December 2024 affecting electro-filters.

Nexa Resources (NYSE: NEXA) has announced a new dividend policy effective January 1, 2025. The policy targets an annual dividend distribution of up to 20% of free cash flow pre-events, with a minimum payment of US$0.08 per common share. The dividend amount will be determined based on multiple factors, including cash balance, free cash flow, earnings, leverage ratio, capital investments, future cash flow projections, market volatility, and strategic planning.

The policy applies to distributions related to fiscal year 2024 onwards and defines free cash flow pre-events as cash flow before accounting for significant, non-recurring, or extraordinary events such as debt amortization, new funding, dividend payments, and other extraordinary outflows.

Nexa Resources (NYSE: NEXA) has completed the sale of Minera Pampa de Cobre S.A.C. (MPC), which owns the Chapi copper mine, to Quilla Resources Peru S.A.C. The transaction involved the transfer of all shares, rights, titles, and interests in Chapi to Quilla, following the fulfillment of all closing conditions. This sale completion follows a previously disclosed agreement between the parties.

Nexa Resources (NYSE: NEXA) has increased its equity stake in Tinka Resources through a non-brokered private placement. Nexa acquired 9,859,155 units at C$0.10 per unit, totaling C$985,915.50 (US$700,000). Each unit includes one common share and half a warrant, with each whole warrant allowing purchase of one additional share at C$0.15 within 18 months.

Following this transaction, Nexa's ownership in Tinka increased from 18.23% to 19.86% (81,202,208 shares), plus 4,929,577 warrants representing 56.68% of outstanding warrants. Nexa's warrant exercise is restricted to maintain ownership below 19.99% unless approved by TSXV and Tinka's shareholders.

Nexa Resources (NYSE: NEXA) has completed the previously announced sale of the Pukaqaqa Project to Olympic Precious Metals The transaction involved the transfer of 100% of shares in Compañia Minera Cerro Colorado S.A.C., which holds the mineral properties of the Pukaqaqa Project located in Peru's Huancavelica region. The completion follows the fulfillment of all closing conditions, with Nexa transferring all shares, rights, titles, and interests in Pukaqaqa to Olympic.