The Rosemont Mine Truth website looks at big changes at Hudbay Minerals, the parent company of Rosemont Copper, the company that wants to build a massive open-pit mine the Santa Rita Mountains:

Garofalo’s surprise resignation announced at the close of trading on Friday, Dec. 4 stunned investors and the company’s stock dropped 14 percent over the next four trading sessions on the NYSE. The stock has fallen from a peak of $18.70 in December 2010 to Thursday’s close of $3.95 during Garofalo’s tenure.

Garofalo leaves Hudbay after overseeing a period of rapid growth with the opening of two new mines in Canada and the Constancia open pit copper mine in Peru, which is by far its largest operation. He also leaves the company with $1.2 billion in debt that is putting a squeeze on its cash flow.

“With copper prices plummeting from $2.90 per pound in May 2015 to $2.06 per pound as of this writing, Hudbay Minerals is not having a very good 2015, and things could get even worse heading into 2016,” according to a Dec. 10 story in Seeking Alpha, an investment website.

This article appears in Dec 10-16, 2015.

Getting hassled by The Man Mild-mannered reporter

5 replies on “CEO of Hudbay Minerals Resigns, Parent Company of Rosemont Copper Facing Financial Woes”

  1. Good riddance. Hopefully the lying scumbag will be replaced by someone who’s willing to admit they made a huge mistake going all-in on Rosemont and BACK OFF.

  3. 5th poorest city in America, and damn proud of it.

    This is Grijalva-land. We don’t need no stinkin’ jobs, just thousands of more illegals to exploit.

  4. Garofalo’s resignation is a significant non-event. If you follow the link his successor is basically a clone and will continue on a business as usual course of action. It is a non-event because the reality of global economics mitigates against opening the Rosemont Mine any time in the near future.

    To get a handle on the depression in the mining industry read:

    http://www.nytimes.com/2015/12/09/business…®ion=top-news&WT.nav=top-news&_r=0

    Or locally, speak with any of the miners laid off in Sahuarita in recent months. Copper mining, for now, is in a tailspin cementing the bust cycle in a boom or bust industry. The world’s largest importer of copper, China, is sitting on a mountain of ore they do not expect to reduce significantly in the proximate future.

    I once bet a friend on the other side of the Rosemont dispute the mine would not open before 2015 and held my breath. Today I would amend that bet to 2018 and be comfortable with a large wager (for me, $20 or a lunch at Five Guys).

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