investor presentation...on how hudbay calculates these measures in respect of its operating assets,...

November 2018

INVESTOR PRESENTATION

CAUTIONARY INFORMATION

2

This presentation contains forward-looking information within the meaning of applicable Canadian and United States securities legislation. All information contained in this presentation, other than statements of current and historical fact, is forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “budget”, “guidance”, “scheduled”, “estimates”, “forecasts”, “strategy”, “target”, “intends”, “objective”, “goal”, “understands”, “anticipates” and “believes” (and variations of these or similar words) and statements that certain actions, events or results “may”, “could”, “would”, “should”, “might” “occur” or “be achieved” or “will be taken” (and variations of these or similar expressions). All of the forward-looking information in this presentation is qualified by this cautionary note. Forward-looking information includes, but is not limited to, production, cost and capital and exploration expenditure guidance, anticipated production at Hudbay’s mines and processing facilities, the expected benefits of implementing the metallurgical recovery initiatives at the Constancia processing plant, the anticipated timing, cost and benefits of developing the Rosemont project and the Pampacancha deposit, the anticipated impact of any delays to the start of mining the Pampacancha deposit, the anticipated results of litigation challenging the Rosemont permitting process, anticipated exploration and development plans, including the exploration and development strategy for the Lalor gold zones, the possible refurbishment of the New Britannia mill and the possibility of optimizing the value of the company’s gold resources in Manitoba, the possibility of converting inferred and historical mineral resource estimates to higher confidence categories, the potential and Hudbay’s anticipated plans for the Ann Mason project, anticipated mine plans, anticipated metals prices and the anticipated sensitivity of the company’s financial performance to metals prices, events that may affect its operations and development projects, anticipated cash flows from operations and related liquidity requirements, the anticipated effect of external factors on revenue, such as commodity prices, estimation of mineral reserves and resources, mine life projections, reclamation costs, economic outlook, government regulation of mining operations, and business and acquisition strategies. Forward-looking information is not, and cannot be, a guarantee of future results or events. Forward-looking information is based on, among other things, opinions, assumptions, estimates and analyses that, while considered reasonable by the company at the date the forward-looking information is provided, inherently are subject to significant risks, uncertainties, contingencies and other factors that may cause actual results and events to be materially different from those expressed or implied by the forward-looking information. The material factors or assumptions that we identified and were applied by us in drawing conclusions or making forecasts or projections set out in the forward-looking information include, but are not limited to: the anticipated results of the planned technical and economic studies on the Lalor gold zone and New Britannia mill; the successful completion of the Mason transaction; the success of mining, processing, exploration and development activities; the scheduled maintenance and availability of the processing facilities; the accuracy of geological, mining and metallurgical estimates; anticipated metals prices and the costs of production; the supply and demand for metals the company produces; the supply and availability of all forms of energy and fuels at reasonable prices; no significant unanticipated operational or technical difficulties; the execution of Hudbay’s business and growth strategies, including the success of its strategic investments and initiatives; the availability of additional financing, if needed; the ability to complete project targets on time and on budget and other events that may affect the company’s ability to develop its projects; the timing and receipt of various regulatory, governmental and joint venture partner approvals; the availability of personnel for the exploration, development and operational projects and ongoing employee relations; the ability to secure required land rights to develop the Pampacancha deposit; maintaining good relations with the communities in which the company operates, including the communities surrounding the Constancia mine and Rosemont project and First Nations communities surrounding the Lalor mine; no significant unanticipated challenges with stakeholders at the company’s various projects; no significant unanticipated events or changes relating to regulatory, environmental, health and safety matters; no contests over title to the company’s properties, including as a result of rights or claimed rights of aboriginal peoples; the timing and possible outcome of pending litigation and no significant unanticipated litigation; certain tax matters, including, but not limited to current tax laws and regulations and the refund of certain value added taxes from the Canadian and Peruvian governments; and no significant and continuing adverse changes in general economic conditions or conditions in the financial markets (including commodity prices and foreign exchange rates). The risks, uncertainties, contingencies and other factors that may cause actual results to differ materially from those expressed or implied by the forward-looking information may include, but are not limited to, risks generally associated with the mining industry, such as economic factors (including future commodity prices, currency fluctuations, energy prices and general cost escalation), uncertainties related to the development and operation of the company’s projects (including risks associated with the permitting, development and economics of the Rosemont project and related legal challenges), risks related to the exploration and development program at Lalor, including the ability to establish a business case for the refurbishment of the New Britannia mill and convert inferred and historical mineral resource estimates to higher confidence categories, risks related to the maturing nature of the 777 mine and its impact on the related Flin Flon metallurgical complex, dependence on key personnel and employee and union relations, risks related to the schedule for mining the Pampacancha deposit (including the timing and cost of acquiring the required surface rights and the impact of any schedule delays), risks related to political or social unrest or change, risks in respect of aboriginal and community relations, rights and title claims, operational risks and hazards, including unanticipated environmental, industrial and geological events and developments and the inability to insure against all risks, failure of plant, equipment, processes, transportation and other infrastructure to operate as anticipated, compliance with government and environmental regulations, including permitting requirements and anti-bribery legislation, depletion of the company’s reserves, volatile financial markets that may affect the company’s ability to obtain additional financing on acceptable terms, the failure to obtain required approvals or clearances from government authorities on a timely basis, uncertainties related to the geology, continuity, grade and estimates of mineral reserves and resources, and the potential for variations in grade and recovery rates, uncertain costs of reclamation activities, the company’s ability to comply with its pension and other post-retirement obligations, the company’s ability to abide by the covenants in its debt instruments and other material contracts, tax refunds, hedging transactions, as well as the risks discussed under the heading “Risk Factors” in Hudbay’s most recent Annual Information Form. Should one or more risk, uncertainty, contingency or other factor materialize or should any factor or assumption prove incorrect, actual results could vary materially from those expressed or implied in the forward-looking information. Accordingly, you should not place undue reliance on forward-looking information. Hudbay does not assume any obligation to update or revise any forward-looking information after the date of this presentation or to explain any material difference between subsequent actual events and any forward-looking information, except as required by applicable law. This presentation has been prepared in accordance with the requirements of the securities laws in effect in Canada, which may differ materially from the requirements of United States securities laws applicable to U.S. issuers. This presentation contains certain financial measures which are not recognized under IFRS, such as net debt, cash cost and sustaining cash cost, net of by-product credits, per pound of copper produced. For further details on how Hudbay calculates these measures in respect of its operating assets, please refer to page 30 of Hudbay’s management’s discussion and analysis for the three and nine months ended September 30, 2018 available on SEDAR at www.sedar.com and EDGAR at www.sec.gov. All amounts are in U.S. dollars unless otherwise noted.

INVESTMENT HIGHLIGHTS

3

Exploration

British Columbia, Canada

Ann Mason

Nevada, USA

Constancia & Exploration

Peru

Exploration

Chile

1. Based on Hudbay’s TSX closing share price on November 2, 2018.

2. Liquidity including cash balances as of September 30, 2018.

3. Total long-term debt outstanding as at September 30, 2018.

TSX, NYSE, BVL

Symbol HBM

Market Capitalization1 C$1.7 billion

Shares Outstanding 261 million

Available Liquidity2 $0.88 billion

Debt Outstanding3 $1.0 billion DIVERSIFIED COPPER PRODUCER

Strong cash flow generation from un-hedged copper

and zinc production

Portfolio of long-life, low-cost assets in mining friendly

jurisdictions in the Americas

Relevant scale with meaningful growth profile

Proven “drill and build” value creation strategy

Broad range of management experience and technical

skill to deliver on plan

Lalor, 777 & Exploration

Manitoba, Canada

Rosemont

Arizona, USA

CONSISTENT STRATEGY SINCE 2010

4

VISION STATEMENT

Our vision is to become a top-tier operator of long-life, low cost mines in the Americas

STRATEGIC CRITERIA

Long Life

Low Cost

Mining Friendly

Jurisdictions

Copper Focus

Per Share Accretion

Meaningful Scale

Safety &

Responsibility

Exploration

Mine

Development

Financial

Strength

VALUE DRIVERS

TRACK RECORD OF SAFE, RESPONSIBLE MINING

OPERATING IN MANITOBA FOR 90+ YEARS

Founded in Flin Flon, Hudbay has discovered

and mined 28 mines in Manitoba over the

past 90 years

SOCIALLY RESPONSIBLE

Track record of constructive community

relations in Peru and elsewhere

FOCUS ON SAFETY

Zero lost time accidents at the Constancia

mine in 2017

MINIMIZING ENVIRONMENTAL FOOTPRINT

Rosemont designed to world-class standards

for water efficiency

LAYING FOUNDATION FOR GROWTH

Well-defined values that govern culture,

conduct and decision-making

Implementing organizational design to ensure

talent development and effective decision

making as we grow

5

0.0

1.0

2.0

3.0

4.0

Reserve at Bid Date Production to Date + Current Reserve

Co

pp

er

Eq

uiv

ale

nt

(Mt)

Reserves

Production

+98% Growth

103

118

129

95

86

78

54 57 59

55

39 45

53 52

35

135 133

122

108 109 106 105 105 103

85 89

71 68

76 79 80

68 67 63

73 80

14

2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036

Norsemont Bid Reserve (Norsemont 2009 Technical Report)

Actuals and 2018 Technical Report (Hudbay)

CONSTANCIA COPPER PRODUCTION PROFILE3

ADDING VALUE THROUGH EXPLORATION

6

777 (2004-2017)1

1. Source: Company disclosure. Production calculated as tonnes mined multiplied by grades mined (i.e. assumes 100% recovery). The following metals price assumptions were applied to reserves for

purposes of calculating copper equivalent: $3.00/lb Cu, $1.00/lb Zn, $1,260/oz Au and $18.00/oz Ag. Does not include impact of precious metal streams, as applicable.

2. Constancia reserve at bid date from NI 43-101 Definitive Feasibility Study Technical Report on the Constancia mine filed by Norsemont Mining, dated September 28, 2009.

3. Source: Grey bars from NI 43-101 Technical Report on the Constancia mine filed by Norsemont Mining, dated September 28, 2009; assumes first year of production starting in 2015. Yellow bars are

actual Constancia production for years 2015-2017; years 2018-2036 from NI 43-101 Technical Report on the Constancia Mine dated March 29, 2018.

LALOR (2010-2017)1

Contained Copper in Concentrate (kt)

0.0

0.3

0.5

0.8

1.0

Initial Reserve Production to Date + Current Reserve

Co

pp

er

Eq

uiv

ale

nt

(Mt)

Reserves

Production

+56% Growth

0.0

0.5

1.0

1.5

IPO Reserve Production to Date + Current Reserve

Co

pp

er

Eq

uiv

ale

nt

(Mt)

Reserves

Production

+31% Growth

CONSTANCIA (2009-2017)1

2

EXPERIENCED MINE DEVELOPER

Proven track record of successful new mine development and in-depth mining expertise in both open pit and underground mining

Hudbay built 30% of the mines constructed by its peer group in the last ten years and invested 37% of the capital spent by its peer group on mine development

7

% OF MINES CONSTRUCTED1 2007 – 2017

1. Majority ownership in a greenfield development project

2. Capital directed by company on completed mine construction. Excludes Oyu Tolgoi Phase 1 capital directed by Rio Tinto. Eagle capex excludes initial capital directed by Rio Tinto.

List of Mines: Hudbay – Lalor, Reed, Constancia; First Quantum – Kevitsa, Sentinel; Turquoise Hill – Oyu Tolgoi; Lundin – Eagle; OZ Minerals – Prominent Hill; Capstone – Minto; Nevsun – Bisha

30%

20% 10%

10%

10%

10%

10%

Hudbay

First Quantum

Turquoise Hill

Lundin

OZ Minerals

Capstone

Nevsun

DIRECTED CAPEX (US$B)2 2007 – 2017

$2.2

$2.1

$0.9

$0.4 $0.3

$0.1

GROWING FREE CASH FLOW & REDUCING DEBT

Continued to grow free cash flow through un-hedged production and stable low-cost operations

Reduced net debt position by more than $700 million since 2016

8

OPERATING AND FREE CASH FLOW1

Note: LTM = Last Twelve Months.

1. Operating cash flow is operating cash flow before change in non-cash working capital. Free cash flow calculated as operating cash flow less sustaining capital expenditures and less interest paid.

2. Net debt calculated as total long-term debt less cash and cash equivalents. Net debt is a non-IFRS financial performance measure with no standardized definition under IFRS. For further information and a detailed reconciliation, please refer to Hudbay’s management’s discussion and analysis for the three and nine months ended September 30, 2018.

($M)

NET DEBT2

($M)

1,228

1,168

1,105 1,085

1,035

950

650 623

585

536 516

Q1/16 Q2/16 Q3/16 Q4/16 Q1/17 Q2/17 Q3/17 Q4/17 Q1/18 Q2/18 Q3/18

Net Debt

286

338

383 388 397

451 481

531

582 589 557

-87

-26

64 83

143

198 229

295 321

348 333

Q1/16 LTM

Q2/16 LTM

Q3/16 LTM

2016 Q1/17 LTM

Q2/17 LTM

Q3/17 LTM

2017 Q1/18 LTM

Q2/18 LTM

Q3/18 LTM

Operating Cash Flow Free Cash Flow

LOW CASH COSTS

Hudbay is positioned in the first quartile of the cost curve

9

2018E COPPER C1 CASH COSTS1 (US $/lb)

2018E COPPER C1 + SUSTAINING CAPEX CASH COST1 (US $/lb)

1. Source: Wood Mackenzie’s 2018 by-product C1 cash cost curve and C1 + sustaining capex cash cost curve (Q2 2018 dataset dated June 2018). Wood Mackenzie’s costing methodology may be

different than the methodology reported by Hudbay or its peers in their public disclosure. For details regarding Hudbay’s actual cash costs, refer to Hudbay’s management’s discussion and analysis for

the three and six months ended June 30, 2018.

Hudbay First Quantum

Turquoise Hill

Lundin

Oz Minerals

Capstone Ero Copper

($2.00)

($1.00)

$0.00

$1.00

$2.00

$3.00

0% 25% 50% 75% 100%

Hudbay

First Quantum

Turquoise Hill Lundin

Oz Minerals Capstone

Ero Copper

($2.00)

$0.00

$2.00

$4.00

$6.00

0% 25% 50% 75% 100%

$0.00

$1.00

$2.00

$3.00

$4.00

$5.00

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

LONG MINE LIVES WITH EXPLORATION POTENTIAL

Long life assets provide exposure to multiple commodity price cycles

10

1. Contained M&I CuEq metal (exclusive of reserves) divided by 2017 CuEq production rate. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

2. Contained Inferred CuEq metal (exclusive of reserves and M&I) divided by 2017 CuEq production rate. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

3. Rosemont contained CuEq metal reserves and resources divided by annual LOM CuEq production rate as disclosed in NI 43-101 Technical Report on the Rosemont Project dated March 30, 2017.

4. Peak to trough performance and average cycle prices based on average annual nominal copper prices.

RESERVE AND RESOURCE LIFE

HISTORICAL COPPER PRICE CYCLES4

19

18

9

3

11

6

2

1

1

1

3

1

Rosemont

Constancia

Lalor

777

Reserve Life M&I Resource Life Inferred Resource Life

3

1 2

2 Years +43%

$2.72/lb Avg.

2016 - 2018

5 Years -46%

$3.16/lb Avg.

2011 - 2016

12 Years +436%

$2.05/lb Avg.

1999 - 2011

4 Years -45%

$1.02/lb Avg.

1995 - 1999

0.0

20.0

40.0

60.0

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Co

pp

er

Eq

uiv

. R

es

erv

es

pe

r H

BM

Sh

are

(C

uE

q lb

s/s

h)

Manitoba Peru Arizona Other

0.0

2.0

4.0

6.0

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017

Co

pp

er

Eq

uiv

. R

es

erv

es

(M

t)

Manitoba Peru Arizona Other

RESERVE GROWTH & PER SHARE ACCRETION

11 Source: Company disclosure.

Note: CAGR = Compound Annual Growth Rate. The following metals price assumptions were applied to reserves for purposes of calculating copper equivalent: $3.00/lb Cu, $1.00/lb Zn, $1,260/oz Au and

$18.00/oz Ag. Does not include impact of precious metal streams, as applicable.

HUDBAY 2007-2017 RESERVE GROWTH HUDBAY 2007-2017 RESERVE GROWTH PER SHARE

Focused on NAV per share and reserve per share accretion

First Quantum

Lundin OZ Minerals

Capstone

Nevsun Ero Copper

Hudbay

-100% -80% -60% -40% -20% 0% 20% 40% 60% 80% 100%

GROWTH IN MINING FRIENDLY JURISDICTIONS

Growth in jurisdictions that support responsible mining in the Americas, with strong rule of law and respect for human rights

12

2018-2023 COPPER PRODUCTION GROWTH3

2023 PRODUCTION IN INVESTMENT GRADE JURISDICTIONS2 AND 2018-2023 COPPER PRODUCTION GROWTH3

100%

PE

RC

EN

TA

GE

OF

PR

OD

UC

TIO

N I

N IN

VE

ST

ME

NT

GR

AD

E J

UR

ISD

ICT

ION

S2

1. Hudbay disclosure; actual 2017 production and 2017 CuEq reserves. The following metals price assumptions were applied to reserves for purposes of calculating copper equivalent: $3.00/lb Cu, $1.00/lb

Zn, $1,260/oz Au and $18.00/oz Ag. Does not include impact of precious metal streams, as applicable.

2. Source: 2023 production figures from Wood Mackenzie’s Q2 dataset dated June 2018. Country credit ratings assigned in accordance with Standard & Poor’s Country Credit Score, where country ratings

of BBB- or higher are considered “investment grade” countries valued at 100%; country ratings of BB+ and below are considered “non-investment grade” and valued at 0%; country values weighted on a

production basis.

3. Source: Wood Mackenzie’s Q2 dataset dated June 2018.

Canada

Peru

United States 5,383 kt CuEq

13%

43%

44%

HUDBAY 2017 RESERVE BASE1

Canada

Peru 234 kt CuEq

44%

56%

HUDBAY 2017 PRODUCTION1

220% Turquoise Hill

% OF PROJECTS BY OUTPUT

COPPER GROWTH PROJECTS

Approximately 50% of production is expected to come from China, Panama, the DRC,

Mongolia

Only 34% of production is expected to come from mining friendly jurisdictions (Chile, Peru)

Approximately 32% of new production is from greenfield projects

13 Source: Wood Mackenzie’s list of new projects and expansions (incremental production) from 2019-2035 with over 75ktpa average production (Q2 2018 dataset dated June 2018).

NEW COPPER PRODUCTION DEPENDENT ON GREENFIELD MINES IN DIFFICULT

JURISDICTIONS

Mining

Friendly

Jurisdictions

1.7 Mtpa

34%

Peru

Chile

China

Panama

DRC

Mongolia

Poland

Indonesia

Kazakhstan

0

5

10

15

20

25

2010 2015 2020 2025 2030

Base Case (Existing) Base Case (Growth)

Probable Projects Demand Mt

COPPER SUPPLY/DEMAND OUTLOOK

Probable projects are required to come on by 2019 in order to balance market; structural deficit exists beyond 2024

Near-term surplus projected by Wood Mackenzie amounts to less than 1% of annual production

in any given year and is highly sensitive to supply disruptions

An increasing proportion of demand for power is being met from renewable energy sources;

copper a critical component of the “green economy”

Increase in the demand for electric vehicles will have a significant impact on copper

fundamentals; copper demand in EVs expected to increase from 185,000 tonnes in 2017 to

1.74 million tonnes in 2027

Low susceptibility to demand disruption

14

INSUFFICIENT COPPER PROJECTS TO FILL GAP

0

200

400

600

800

1,000

1,200

1,400

1,600

1,800

2,000

2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

KtC

u

Car BEV Car HEV Car PHEV Ebus Hybrid Ebus BEV

COPPER SUPPLY/DEMAND OUTLOOK1

ELECTRIC VEHICLE COPPER DEMAND2

1. Source: Wood Mackenzie ‘s Q2 2018 dataset dated June 2018.

2. Source: International Copper Association, “The Electric Vehicle Market and Copper Demand” dated June 2017; research conducted by IDTechEx.

7.5Mt

Deficit

GROWING EXPOSURE TO COPPER

Un-hedged copper and zinc production

15

Note: The following metals price assumptions were applied to reserves for purposes of calculating copper equivalent: $3.00/lb Cu, $1.00/lb Zn, $1,260/oz Au and $18.00/oz Ag. Does not include impact of precious metal streams, as applicable.

1. CuEq production for the full year ended December 31, 2017.

2. 2017 Hudbay CuEq reserves.

2017 PRODUCTION BREAKDOWN1

2017 RESERVE BREAKDOWN2

73%

8%

7%

7% 5%

Copper Gold Silver Molybdenum Zinc

68%

19%

9%

4%

Copper Zinc Gold Silver

234 kt CuEq 5,383 kt CuEq

0

50,000

100,000

150,000

200,000

250,000

300,000

350,000

2018E 2019E 2020E 2021E 2022E 2023E 2024E 2025E 2026E 2027ECu

Eq

Co

nta

ine

d i

n C

on

ce

ntr

ate

(to

nn

es

)

Manitoba Peru Arizona

CONSOLIDATED PRODUCTION PROFILE

Production profile is based on a hypothetical scenario assuming first year of Rosemont construction occurs in 2019; Rosemont project development is conditional upon receipt of final permits and Board approval

16

GROWING COPPER EQUIVALENT PRODUCTION

HUDBAY CONSOLIDATED ANNUAL CUEQ PRODUCTION 1,2

1. Source: Copper equivalent contained in concentrate production sourced from mid-point of 2018 annual guidance, and filed technical reports for 2019 onwards. NI 43-101 Technical Report on the

Constancia Mine dated March 29, 2018; NI 43-101 Technical Report on the Lalor Mine dated March 30, 2017; NI 43-101 Technical Report on the 777 Mine dated October 15, 2012; NI 43-101 Technical

Report on the Rosemont Project dated March 30, 2017. The following metals price assumptions were applied to reserves for purposes of calculating copper equivalent: $3.00/lb Cu, $1.00/lb Zn, $1,260/oz

Au and $18.00/oz Ag.

2. The information shown here assumes a hypothetical scenario where the first year of construction for Rosemont occurs in 2019 (ie. “year -3” in the Rosemont technical report). Production numbers are

shown on an attributable basis (ie. 80% of Rosemont copper production). Development of Rosemont is conditional upon receipt of final permits and the approval of Hudbay’s Board of Directors.

+40% Increase

PROJECT PIPELINE

Hudbay has a diversified portfolio of operating mines and an extensive development pipeline to perpetuate production growth

17

Production

Shovel-ready Development

777 Lalor Constancia

Pampacancha

Constancia

Regional

Targets

Peru and

Chile

Greenfield

Targets

Lalor

Cu-Au

Ann

Mason B.C.

Earn-ins

Rosemont

Resource Definition / Feasibility / Exploration / Initial Resource

Junior Toeholds

Manitoba

Regional

Targets

0.0

0.1

0.2

0.3

0.4

0.5

0.6

Freeport McMoRan

First Quantum KAZ Minerals Lundin Hudbay Oz Minerals Capstone Taseko Turquoise Hill Imperial Metals

-80%

0%

80%

160%

240%

Turquoise Hill Hudbay Imperial Metals

First Quantum KAZ Minerals Oz Minerals Taseko Freeport McMoRan

Lundin Capstone

RELEVANT SCALE & MEANINGFUL GROWTH Hudbay is one of the top investible1 pure play2 copper producers, offering investors relevant scale and meaningful production growth

18

2018E GLOBAL COPPER PRODUCTION (Mt)

2018E-2023E COPPER PRODUCTION GROWTH (%)

Source: Production sourced from Wood Mackenzie’s Q2 2018 dataset dated June 2018.

1. Reporting issuer with over 50% free float.

2. Over 50% of revenue from copper.

3. Based on closing share prices on June 30, 2018.

1.6Mt

Market Cap3

(US$B): $5.7

Primary Jurisdiction

of Growth: USA Mongolia Canada Panama Kazakhstan Australia Canada/USA USA Chile Chile/USA

$25.0 $10.2 $5.0 $4.1 $2.1 $0.3 $0.2 $1.5 $0.2

SOUTH AMERICA BUSINESS UNIT

19

AREQUIPA

Cusco

CUSCO

Matarani

Imata

Arequipa

Cerro Verde

MOQUEGUA

TACNA 100km 0

Las Bambas

Yauri

Tintaya Antapaccay

CONSTANCIA

Lima

PERU

CONSTANCIA

MINE

TOWN

RAILROAD

ROAD

LOW-COST, LONG-LIFE COPPER MINE IN PERU

Began production at end of 2014

Developed and maintain meaningful partnerships

with the local communities

New 2018-2020 collective agreement in place

Location Chumbivilcas, Peru

Ownership 100%

Type of deposit Porphyry copper-

molybdenum deposit

Processing On-site processing plant

End products Copper and molybdenum

concentrates

LTM Daily ore milled 86k tpd

LTM Cu production1 125kt

LTM Unit operating

cost2 $9.41/t

LTM Cash cost per lb

Cu3 $1.38/lb

LTM Sustaining

capital4 $58m

LTM Sustaining cash

cost4 $1.61/lb

Current mine life 18 years

Note: LTM = Last twelve months as of September 30, 2018.

1. Production is contained metal in concentrate.

2. Combined mine, mill and G&A unit operating costs per tonne of ore

processed (after impact of capitalized stripping).

3. Net of by-products. Includes impact of silver and gold streams.

4. Sustaining capital includes capitalized stripping costs, but excludes

Pampacancha project capital.

5. Sustaining cash cost per pound copper produced, includes sustaining

capital costs and royalties.

CONSTANCIA MINE

20

0

65

7580

87

0

20

40

60

80

100

2014 2015 2016 2017 2018

Co

ns

tan

cia

Mill

Th

rou

gh

pu

t R

ate

(k

tpd

)

2011 Projected (76ktpd)




109 106 105 105 103

$1.29

$1.05 $0.94

$1.06 $1.12

$1.66 $1.44

$1.11 $1.22

$1.45

2019E 2020E 2021E 2022E 2023E

Cu Production Cash Cost Sustaining Cash Cost

5-YEAR PRODUCTION AND COST1 (2019E-2023E)

CONSTANCIA OPTIMIZATION

Annual copper production of 105k tonnes at cash costs of $1.09/lb and sustaining cash costs of $1.38/lb over 5 years (2019-2023)

Mining of high-grade Pampacancha satellite deposit intended to enhance Constancia grade starting in 2019; community negotiations ongoing

Increasing throughput to 90,000tpd

21

1. Source: NI43-101 Technical Report on the Constancia mine filed by Hudbay on SEDAR, dated March 29, 2018. Production refers to contained metal in concentrate. Cash cost and sustaining cash cost are

reported net of by-product credits, are calculated at reserve prices ($3.00/lb Cu, $11.00/lb Mo, $18.00/oz Ag, $1,260/oz Au) and include the impact of the precious metals stream and capitalized stripping. Cash

cost includes on-site and off-site costs, and sustaining cash cost includes the addition of royalties and sustaining capital, but excludes Pampacancha project capital.

2. Projected throughput of 55,000tpd in NI43-101 Definitive Feasibility Study Technical Report on the Constancia mine filed on SEDAR by Norsemont Mining, dated September 28, 2009.

3. Projected throughput of 76,000tpd in NI-43101 Technical Report on the Constancia mine filed on SEDAR by Norsemont Mining, dated February 21, 2011.

4. Projected throughput of 85,000tpd in NI43-101 Technical Report on the Constancia mine filed by Hudbay on SEDAR, dated October 15, 2012.

5. Projected throughput of 90,000tpd in NI43-101 Technical Report on the Constancia mine filed by Hudbay on SEDAR, dated March 29, 2018.

6. 2014-2016 actuals. 2018E from March 29, 2018 technical report on Constancia.

THROUGHPUT

($/lb Cu) (Kt) ($/lb Cu)

2

3

4

6

Target throughput

increased ~64%

from bid date

5

5 8 9 9

12

17

28

44 46+

52+

Constancia Las Bambas Ministro Hales Sierra Gorda Antucoya Toromocho Mt. Milligan Red Chris Boleo Caserones

Constancia’s timeline from feasibility to first production and the subsequent

ramp-up to nameplate capacity production was the fastest among recently built

projects

EXPEDITED TIMELINE FROM FIRST PRODUCTION TO FULL CAPACITY

22 Source: SNL, Wood Mackenzie, public filings and BMO Capital Markets report “In 2018, It’s All About Cobre Panama” dated January 11, 2018. Full capacity date as disclosed by the producing

company (when available) Boleo and Caserones have not achieved full capacity.

TIME FROM FIRST PRODUCTION TO FULL CAPACITY OPERATIONS (MONTHS)

23

Constancia throughput and processing plant utilization have improved since first production

was achieved at the end of 2014

Quarterly copper production remains robust even as copper head grades decline in accordance with

the mine plan

CONSTANCIA’S QUARTERLY COPPER PRODUCTION AND COPPER HEAD GRADES

CONSTANCIA’S ANNUAL THROUGHPUT AND PROCESSING PLANT UTILIZATION

57

74 79

87

76%

87% 90% 95%

0%

20%

40%

60%

80%

100%

0

20

40

60

80

100

2015 2016 2017 2018

Pro

ce

ss

ing

Uti

liza

tio

n (

%)

Mil

l T

hro

ug

hp

ut

(ktp

d)

4 26 38 38 29 35 36 34 27 30 31 34 32 27 33

0.44%

0.61%

0.70%

0.63%

0.57% 0.62% 0.62%

0.58% 0.54% 0.53%

0.49% 0.54%

0.50%

0.44% 0.48%

0.00%

0.10%

0.20%

0.30%

0.40%

0.50%

0.60%

0.70%

0.80%

0

10

20

30

40

Q1

2015

Q2

2015

Q3

2015

Q4

2015

Q1

2016

Q2

2016

Q3

2016

Q4

2016

Q1

2017

Q2

2017

Q3

2017

Q4

2017

Q1

2018

Q2

2018

Q3

2018 Co

pp

er

Head

Gra

des (

%)

Co

pp

er

Pro

du

cti

on

(kt)

CONTINUOUS IMPROVEMENT AT CONSTANCIA

Constancia is the lowest cost copper mine in South America

Continuous operational improvements at Constancia have driven costs down,

while increasing efficiencies and productivity

LOWEST COST OPEN PIT COPPER MINES IN SOUTH AMERICA (2018E)

INDUSTRY LEADING COST PERFORMANCE

24 1. 2018 forecasted operating costs include mining, processing and general and administrative expenditures on a per tonne bas is.

Source: Wood Mackenzie (Q3 2018 dataset; primary copper, open pit sulphide mines in South America ). Wood Mackenzie’s costing methodology may be different than the methodology reported by

Hudbay or its peers in their public disclosure. For details regarding Hudbay’s costs, refer to Hudbay’s management discussion and analysis for the three and nine months ended September 30, 2018.

$8.89 $9.22 $9.74

$10.28 $10.43 $11.07

$11.63 $11.98 $12.24 $13.13

$14.35 $14.63 $14.68 $14.71 $15.63

$16.14 $16.67 $17.00

$17.73

$19.01

$0.00

$2.00

$4.00

$6.00

$8.00

$10.00

$12.00

$14.00

$16.00

$18.00

$20.00

Co

nsta

ncia

Casero

nes

To

rom

och

o

Ch

ap

ad

a

Cerr

o V

erd

e

An

tap

acca

y

Cu

ajo

ne

Lo

s B

ron

ces

Alu

mb

rera

Carm

en

de A

nd

aco

llo

Can

dela

ria

Lo

s P

ela

mb

res

Ch

uq

uic

am

ata

An

tam

ina

Rad

om

iro

To

mic

Cen

tin

ela

Min

a M

inis

tro

Hale

s

Las B

am

bas

Sie

rra G

ord

a

Salo

bo

Op

era

tin

g C

osts

1 (

US

$/t

Mille

d)

PERU COMMUNITY RELATIONS

We work with all levels of government and the communities to develop stable operations

and to maximize the impact of our social investment in our area of influence and beyond

Since 2012, executed over 90 social agreements with local governments and communities

Pleased with progress on Pampacancha negotiations to date

Exploration work to be conducted on newly acquired properties near Constancia with

potential to provide higher-grade feed to the Constancia mill post-Pampacancha

Recently entered into agreement with Quehuincha in respect of Kusiorcco target

25

MINERAL PROPERTIES WITHIN TRUCKING DISTANCE OF CONSTANCIA PROCESSING FACILITY

Winnipeg

777 LALOR

777 MINE

Flin Flon

Flin Flon Mill

LALOR MINE

MA

NIT

OB

A

SA

SK

AT

CH

EW

AN

0 50km

Snow Lake

MINE

MILL

TOWN

RAILROAD

ROAD

LALOR MINE

Stall Mill

New Britannia Mill

Snow Lake

0 5km

LALOR MINE Stall Mill

MANITOBA BUSINESS UNIT

26

Discovered, mined and reclaimed numerous mines in Manitoba over the past 90 years

Reed closure activities proceeding ahead of schedule and under budget, with reclamation continuing in 2019

MANITOBA COMMUNITY RELATIONS

27

REED PORTAL POLISHING POND

DURING

PRODUCTION

2 MONTHS AFTER

LAST ORE

LONG HISTORY OF MINING IN MANITOBA

Location Snow Lake, Manitoba

Ownership 100%

Type of deposit VMS deposit

Processing Stall and Flin Flon mills

End products Refined zinc, zinc and

copper concentrates


PRODUCING LOW-COST MINE WITH ZINC AND

GOLD UPSIDE POTENTIAL

Production shaft with capacity of 6,000tpd

Strong ramp-up of ore production; expanded

4,500tpd mine plan

Trade-off studies have been completed and Hudbay

believes the refurbishment of the New Britannia mill

is the optimal processing scenario for the Lalor gold

and copper-gold zones

LALOR MINE

28

29

Potential

for up-dip

extension

Ramp from

Chisel

Lens 10

Lens 40

base metal zones

gold zones

copper & gold zones

gold zone 25

Lens 31-32

LALOR EXPLORATION

LALOR CROSS-SECTION, LOOKING SOUTHWEST

Legend

Lens 25 Possible extension of gold rich Lens 25

Lens 27

Possible Cu-Au feeder of Lens 10

267W01 193W01

296W01

296

283W02 283 273

189W01

SIGNIFICANT EXPLORATION POTENTIAL

Data compilation and modeling over the past producing areas of the New Britannia mine lead to the development of a genetic model for the emplacement of gold mineralization

Geochemical sampling and geophysical surveys conducted in high priority areas in Q4 2018 will be used to define drill targets to be tested during the winter

30

AU AND CU MINERALIZED OCCURRENCES IN THE SNOW LAKE BELT

Hudbay has a large prospective land package in the Snow Lake belt with significant gold exploration potential

Location Flin Flon, Manitoba

Ownership 100%

Type of deposit VMS deposit

Processing Flin Flon mill

End product Refined zinc, zinc and

copper concentrates


777 MINE

31

STEADY, LOW-COST PRODUCTION

Maximizing cash flow to end of mine life

Plan to keep processing assets on care and

maintenance after mine closure to maintain

regional optionality

ARIZONA BUSINESS UNIT

32

Tucson

ROSEMONT

MINE

TOWN

RAILROAD

ARIZONA, US

PIMA

ROAD

Twin Buttes Mine

Sierrita Mine

Tucson

Sonoita

Three Points

Mission Complex

Patagonia

SANTA CRUZ

0 25km

Green Val ley

ROSEMONT

Location Tucson, Arizona

Ownership 80%2

Type of deposit Copper-molybdenum

skarn deposit

Processing On-site processing plant

End products Copper and molybdenum

concentrates

Avg. LOM Strip Ratio 2.0

Avg. LOM annual Cu

production3 112kt

Avg. LOM Unit

operating cost4 $7.92/t

Avg. LOM Cash cost

per lb Cu5 $1.29/lb

Avg. LOM Annual

sustaining capital6 $61m

Avg. LOM Sustaining

cash cost7 $1.65/lb


ROSEMONT PROJECT

Note: “Tons” or “t” on this page refer to short tons, not metric tonnes, unless otherwise noted. LOM = Life of Mine. As per NI 43-101 Technical Report on the Rosemont Project dated March 30, 2017. 1. Economic analysis assumes $3.00/lb Cu, $11.00/lb Mo, and precious metal streaming price of $3.90/oz Ag, subject to 1% annual inflation adjustment after three years. Hudbay basis adjusts for

joint venture partner expected payments to earn into their minority interest and outstanding joint venture loan owed to Hudbay. 2. Hudbay’s ownership in the Rosemont project is subject to an earn-in agreement with United Copper & Moly LLC (“UCM”), a Korean consortium, pursuant to which UCM has earned a 7.95% interest

in the project and may earn up to a 20% interest. 3. Production is contained metal in concentrate. 4. Combined mine, mill and G&A unit operating costs per tonne of ore processed (after impact of capitalized stripping). 5. Net of by-products. Includes impact of precious metal stream. Metal prices per the precious metals stream agreement are as follows: $3.90/oz Ag, $450/oz Au. Other metal price assumptions are

as follows: $3.00/lb Cu, $11.00/lb Mo, $18/oz Ag. 6. Sustaining capital includes capitalized stripping costs. 7. Sustaining cash cost per pound copper produced, includes sustaining capital costs and royalties.

ECONOMICS1

PROJECT HUDBAY

NPV 8% $769m $719m

NPV 10% $496m $499m

IRR (after-tax) 15.5% 17.7%

Payback period 5.2 years 4.9 years

High-quality development project with well-established infrastructure

March 2017 43-101 demonstrates robust project economics

19 year mine life generating 15.5% after-tax project IRR and 17.7% IRR to Hudbay at $3.00/lb Cu

Years 1-10 avg. annual production of 140,000 tons (127,000 metric tonnes) Cu at a cash cost of $1.14/lb

Permitting and community engagement progressing

Positioned to move into construction soon after permitting is complete

33

34

ROSEMONT TIMELINE

2014

Note: ADWR = Arizona Department of Water Resources; ADEQ = Arizona Department of Environmental Quality; SSSR = Save the Scenic Santa Ritas; FICO = Farmers Investment Co.; FOIA = Freedom of Information Act

ADEQ Construction

Stormwater General Permit

issued (July)

Arizona Department of

Transportation

Encroachment Permit

issued (March)

ADEQ 401 Certification

issued (February)

ADEQ 401 Certification

Amendment issued (Nov.) ADEQ Class II Air Permit

renewed (April)

ONLY ONE KEY PERMIT OUTSTANDING: U.S. ARMY CORPS OF ENGINEERS 404 PERMIT

MINE PLAN OF OPERATIONS PENDING U.S. FOREST SERVICE APPROVAL

Arizona State Land

Department Utility Rights of

Way issued (Nov.)

Pima County Department of

Environmental Quality Air

Activity Permit issued (March)

U. S. Forest Service

Final Record of

Decision issued (June)

Pima County Flood

Control District Permit

renewed (June)

Hudbay Acquires the

Rosemont Project

(July)

Arizona Superior Court

determines that County's

Outdoor Lighting Code

does not apply to

Rosemont, enabling

Hudbay to continue to add

appropriate lighting

installations to preserve the

safety of site operations

(May)

Court upholds ADEQ's

issuance of Aquifer

Protection Permit

(Nov.)

ADEQ and Rosemont

successfully defend air

permit through litigation

(July)

Court agrees with ADEQ

and Rosemont in County's

attempted appeal of 401

Certification (January)

Hudbay issues an

updated technical report

with improved resource

and reserve availability

(March)

2015 2016 2017 2018

KEY MILESTONES

Granted six permits for Rosemont since Huday’s acquisition of the project, including the Final Record of Decision issued by the U.S. Forest Service

Successfully defended five lawsuits related to Rosemont permits

Issued updated Technical Report with improved resource and reserve availability; continue to de-risk project in advance of construction

22,910 metres of drilling

completed 28,384 metres of drilling

completed

0

500

1000

1500

2000

2500

Total initial capital

Stream upfront

payment

Proposed equipment financing

Joint venture earn-in

payment

Joint venture share of

remaining capital

Hudbay's share of capital

ROSEMONT INITIAL CAPITAL COST

BREAKDOWN

$ million

Site wide $42

Mining $474

Process plant $671

Site services & utilities $22

Internal infrastructure $127

External infrastructure $114

Common construction facilities $51

EPCM services $107

Owner’s cost $313

Total initial capital $1,921

ROSEMONT INITIAL CAPEX & FUNDING

3-year construction period; $144 million in year 1, $861 million in year 2, $768 million in year 3, remaining capital in ramp-up period

~5% growth and 15% contingency added per item

35

INITIAL CAPITAL COST ESTIMATE OF $1.9 BILLION

HUDBAY’S SHARE OF CAPITAL IS APPROXIMATELY $1.1 BILLION

$1,921

($M)

$230

$200

$106 $277

$1,108

OVERVIEW OF ANN MASON

Ann Mason is located approximately 85km southeast of Reno, Nevada in the prolific Yerington Copper District

Close to the former producing Yerington mine (1.7B lbs

of copper produced)

Ann Mason hosts a measured and indicated copper sulphide resource of 1.4Bt grading 0.32% Cu plus inferred sulphide resource of 0.6Bt grading 0.29% Cu

Additional inferred resources at the Blue Hill target of

72Mt grading 0.17% Cu (oxide) and 50Mt grading 0.23%

Cu (sulphide)

Significant exploration potential

Ann Mason remains open in several directions

High-grade regional skarn targets to increase grades

early in the mine life

Several un-tested IP anomalies

Potential for additional oxide material

Excellent infrastructure in place

Road access to the property with nearby rail and power

Recently secured an option to purchase 8,168 ac·ft of

water

36

BLOCK MODEL

ANN MASON – NEVADA, USA

ANN MASON RESOURCE ESTIMATE

Elko

Las

Vegas

Reno

Ann Mason

See technical report dated March 3, 2017 and filed on Sedar by Mason Resources

CATEGORY ORE Grade Contained Metal

(MT) Cu

(%)

Au

(g/t)

Ag

(g/t)

Mo

(%)

Cu

(Mt)

Au

(Moz)

Ag

(Moz)

Mo

(Mt)

M&I 1,400 0.32 0.03 0.65 0.006 4.5 1.33 29.5 0.08

Inferred 623 0.29 0.03 0.66 0.007 1.8 0.58 13.2 0.04

STRATEGIC RATIONALE OF ANN MASON

37

MEANINGFUL

SCALE ✓ Adding one of the largest undeveloped copper porphyry resources in North America for less than one third of Hudbay’s 2018 exploration budget

COPPER FOCUS ✓ Immediately increases Hudbay’s M&I resources by 4.5Mt of copper and inferred resources by

2.0Mt of copper

PER SHARE

ACCRETION ✓ Highly accretive transaction on a resource per share basis

Paying ~0.2 cents per pound of contained M&I copper equivalent

LONG LIFE AND

LOW COST ✓ Resource size and grade is similar to Constancia and Rosemont with the potential for a long

life and low cost operation

MINING FRIENDLY

JURISDICTION ✓ Nevada ranked 3rd overall on the Fraser Institute’s 2017 Investment Attractiveness Index

DEVELOPMENT

PIPELINE ✓ Adds a significant asset to Hudbay’s development pipeline to follow after Rosemont

Will be one of Hudbay’s high priority exploration projects

MANAGEMENT

CAPABILITIES ✓ Leverages management’s expertise to “drill and build” through exploration and project

development

Early-stage ownership allows us to apply our expertise in exploration, engineering,

permitting, and construction to optimize the project’s value

The acquisition of Ann Mason is an excellent fit with Hudbay’s strategic criteria

Hudbay has been a 14% shareholder of Mason since August 2017 and has followed the project

closely for the past several years

25.8 3.5 1.1 9.8 10.9 6.5 8.0 2.7 4.8 4.5 3.2 3.0 3.9 3.2 2.0 3.9 4.0 3.4 3.0 3.3

2.6

0.40%

2.63%

0.85%

0.39%

0.51% 0.58%

0.38%

0.55% 0.59%

0.32%

0.57%

0.38% 0.37%

0.26% 0.18%

0.48%

0.37% 0.45% 0.42%

0.25% 0.28%

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

0.0

5.0

10.0

15.0

20.0

25.0

30.0

35.0

40.0

Pebble Resolution La Granja NuevaUnion Quellaveco Twin Metals Los Helados West Wall Rio Blanco Ann Mason Haquira Polo Sur Vizcachitas Schaft Creek Casino Galeno Rosemont Canariaco Norte

Trapiche Harper Creek Constancia

Northern Dynasty

Rio Tinto Rio Tinto Teck Anglo American

Antofagasta NGEx Resources

Glencore Zijin Mason Resources

First Quantum

Antofagasta Los Andes Copper

Teck Western Copper and

Gold

China Minmetals

Hudbay Minerals

Candente Copper

Minas Buenaventura

Yellowhead Mining

Hudbay Minerals

Me

as

ure

d +

In

dic

ate

d C

op

pe

r G

rad

e (

%)

Me

as

ure

d +

In

dic

ate

d (

so

lid

) a

nd

In

ferr

ed

(d

ott

ed

) C

on

tain

ed

Co

pp

er

(M

t)

LARGEST UNDEVELOPED GREENFIELD COPPER DEPOSITS IN HUDBAY’S JURISDICTIONS1

SCARCITY VALUE OF ANN MASON Ann Mason is one of the largest undeveloped copper resources in Hudbay’s preferred jurisdictions

The 3rd largest “actionable” resource held within a junior company

A high priority exploration project to target near-surface, high-grade mineralization

Acquiring a high quality resource in a safe jurisdiction that is similar in scale to Constancia and

Rosemont for an enterprise value of approximately $15M compared to our 2018 exploration budget of

$50M

Ann Mason is a PEA-staged project in Nevada with potential to be developed after Rosemont

Hudbay will conduct exploration and advance technical studies without rushing into a development decision

Numerous opportunities to enhance the project’s value under Hudbay’s stewardship

38 1. Hudbay’s jurisdictions of interest are Canada, USA, Chile and Peru.

Source: S&P Global Market Intelligence, company filings and Hudbay’s latest reserve and resource update

Hudbay Major Junior

2018 OBJECTIVES

39

Continue to focus on generating free cash flow and increasing net

asset value

Advance in-house brownfield growth opportunities

Enhance Constancia production through recoveries and

throughput optimization

Advance permitting and technical work at Rosemont

Test promising exploration targets near Constancia and Lalor and

at greenfield sites in Peru, Chile and Canada

Continue to evaluate exploration and acquisition opportunities that

meet our strategic criteria

40

APPENDIX

APPENDIX CONTENTS

41

CONTENTS SLIDE#

2018 Guidance 42-43

Financial Flexibility 44

Constancia Mine Plan Summary 45

Lalor Mine Plan Summary 46

Leverage to Commodities 47

Precious Metals Stream Overview 48

CONTENTS SLIDE#

Peru Mineral Reserves 49

Peru Mineral Resources 50

Manitoba Reserves & Resources 51

Arizona Reserves & Resources 52

Additional Information 53-54

2018 GUIDANCE

42

CONTAINED METAL IN CONCENTRATE1 2018 GUIDANCE 2017 ACTUAL 2017 GUIDANCE

MANITOBA2

Copper tonnes 27,500 – 32,500 37,411 32,500 – 42,500

Zinc tonnes 105,000 – 130,000 135,156 125,000 – 150,000

Precious Metals3 ounces 120,000 – 145,000 106,918 90,000 – 110,000

Combined Unit Operating Costs4 C$/tonne ore

processed C$125 – 1355 C$118 C$88 – 108

PERU

Copper tonnes 95,000 – 115,000 121,781 100,000 – 115,000


Combined Unit Operating Costs4 $/tonne ore

processed $7.5 – 9.2 $8.83 $7.20 – 8.80

TOTAL CONSOLIDATED

Copper tonnes 122,500 – 147,500 159,192 132,500 – 157,500

Zinc tonnes 105,000 – 130,000 135,156 125,000 – 150,000


1.Metal reported in concentrate is prior to refining losses or deductions associated with smelter terms.

2. Includes 100% of Reed mine production; Hudbay owns a 70% interest in the Reed mine.

3.Precious metals production includes gold and silver production on a gold-equivalent basis. Silver converted to gold at a ratio of 70:1.

4.Reflects combined mine, mill and G&A costs per tonne of milled ore. Peru costs are presented in USD and reflect the deduction of expected capitalized stripping costs. Manitoba costs are presented in CAD

and include the cost of ore purchased from the joint venture partner at the Reed mine.

5.As updated in Hudbay’s press release dated July 31, 2018.

6.As updated in Hudbay’s press release dated May 2, 2018.

PRODUCTION AND UNIT COST

2018 GUIDANCE

43

EXPLORATION

$ MILLIONS

Peru 20

Manitoba 15

Generative and Other 15

TOTAL EXPLORATION EXPENDITURES 50

Capitalized Spending (10)

TOTAL EXPLORATION EXPENSE 40

$ MILLIONS 2018 GUIDANCE 2017 GUIDANCE

SUSTAINING CAPITAL

Manitoba 85 65

Peru2 50 120

TOTAL SUSTAINING CAPITAL 135 185

GROWTH CAPITAL

Manitoba 20 40

Peru 454 25

Arizona3 35 20

TOTAL GROWTH CAPITAL 100 85

Capitalized Exploration 10 2

TOTAL CAPITAL EXPENDITURE 245 272

CAPITAL EXPENDITURE1

1. Excludes capitalized interest.

2. Includes capitalized stripping costs.

3. Capitalized spending.

4. As disclosed in Hudbay’s press release dated May 2, 2018, the majority of Peru’s growth capital is expected to be incurred in 2019 as a result of the anticipated delay in the mining of the Pampacancha

deposit.

FINANCIAL FLEXIBILITY

44

DEBT OUTSTANDING

SEPTEMBER 30, 2018

AMOUNT

DRAWN

INTEREST

RATE MATURITY

MAINTENANCE

COVENANTS

Senior Unsecured Notes Moody’s B3 rating (stable)

S&P B+ rating (stable)

$400 7.250% January 2023 None

$600 7.625% January 2025 None

Credit Facilities Cash Drawdowns

Letters of Credit

$130

$0

$130

LIBOR

+ 2.50%1 July 2022

4.00x Total Debt/EBITDA2

2.00x Secured

Debt3/EBITDA

3.00x EBITDA/Interest4

$1.4B TNW5

1. Interest rate fluctuates based on net debt leverage ratio. Interest rate is LIBOR + 2.50% based on the financial results for the twelve months ended September 30, 2018.

2. Consolidated; gross total debt to EBITDA of less than 4.00x in 2018, 4.50x in 2019, and 4.00x thereafter.

3. Consolidated; secured debt includes credit facilities and equipment finance borrowings.

4. Consolidated; based on total interest.

5. TNW = tangible net worth.

SEPTEMBER 30, 2018 $ MILLIONS

Cash and Cash Equivalents $460

Availability under Credit Facilities $418

Total Available Liquidity $878

CONSTANCIA MINE PLAN SUMMARY

45

MINE PLAN SUMMARY – MARCH 29, 2018 TECHNICAL REPORT

2019E 2020E 2021E 2022E 2023E LOM Avg.1

Ore mined million tonnes 37.7 34.0 27.6 28.6 33.6 30.8

Waste mined million tonnes 32.5 32.0 38.1 39.5 35.4 33.7

Strip ratio waste:ore 0.9 0.9 1.4 1.4 1.1 1.1

Ore milled million tonnes 31.3 31.2 31.1 31.1 31.2 31.0

Copper grade milled % Cu 0.41% 0.39% 0.39% 0.39% 0.39% 0.32%

Copper recovery % Cu 84.6% 85.9% 86.0% 86.1% 85.7% 86.0%

Copper production2 000 tonnes 109 106 105 105 103 84

Molybdenum production2 000 tonnes 0.7 2.2 2.7 1.4 1.6 1.1

Gold production2 000 oz 39 78 84 91 57 34

Silver production2 000 oz 2,492 2,074 2,483 2,500 2,663 2,102

On-site costs3 $/t milled $8.41 $8.34 $8.11 $8.34 $7.98 $7.96

Cash cost4 $/lb Cu $1.29 $1.05 $0.94 $1.06 $1.12 $1.44

Sustaining cash cost4 $/lb Cu $1.66 $1.44 $1.11 $1.22 $1.45 $1.75

CAPITAL COSTS:

Sustaining capex $ million $80 $75 $15 $25 $52 $41

Capitalized stripping $ million $8 $15 $21 $10 $22 $16

Total sustaining capex $ million $88 $90 $36 $35 $74 $57

Pampacancha capex $ million $42 $1 $1 - - -

Source: The Constancia Mine, National Instrument 43-101 Technical Report as filed on SEDAR by Hudbay on March 29, 2018.

1. Life-of-mine (“LOM”) average calculated from 2018-2036.

2. Production refers to contained metal in concentrate.

3. On-site costs include mining, milling and G&A costs, and include the impact of capitalized stripping.

4. Cash cost and sustaining cash cost are reported net of by-product credits, are calculated at reserve prices ($3.00/lb Cu, $11.00/lb Mo, $18.00/oz Ag, $1,260/oz Au) and include the impact of the precious metals stream and capitalized stripping. Cash cost includes on-site and off-site costs, and sustaining cash cost includes the addition of royalties and sustaining capital, but excludes Pampacancha project capital.

LALOR MINE PLAN SUMMARY

46

MINE PLAN SUMMARY – MARCH 30, 2017 TECHNICAL REPORT

2018E 2019E 2020E 2021E 2022E LOM Total1

Ore milled tonnes 1,616,285 1,620,000 1,603,652 1,620,000 1,473,657 12,953,354

Milled daily throughput tonnes per day 4,500 4,500 4,500 4,500 4,100 -

Zinc grade milled % Zn 5.71% 5.62% 4.61% 4.83% 5.72% 4.63%

Copper grade milled % Cu 0.52% 0.48% 0.79% 0.92% 0.95% 0.70%

Gold grade milled g/t Au 2.13 1.86 2.79 2.86 3.16 2.67

Silver grade milled g/t Ag 24.37 21.43 28.43 26.39 26.72 26.97

Zinc production2 000 tonnes 84,723 83,495 66,596 70,810 77,440 579,446

Copper production2 000 tonnes 6,993 6,481 11,168 13,235 12,370 78,689

Gold production2 000 oz 59,202 54,079 83,265 91,994 93,174 653,662

Silver production2 000 oz 591,589 537,611 842,391 909,201 846,328 6,060,893

Mining unit cost3 C$/t mined C$72 C$77 C$77 C$77 C$77 C$78

Milling unit cost3 C$/t milled C$20 C$20 C$20 C$20 C$21 C$22

CAPITAL COSTS:

Development capital C$ million C$42 - - - -

C$42

Sustaining capital C$ million C$49 C$31 C$29 C$24 C$21 C$184

Source: The Lalor Mine, National Instrument 43-101 Technical Report as filed on SEDAR by Hudbay on March 30, 2017.

1. Life-of-mine (“LOM”) total calculated from 2018-2027.

2. Production refers to contained metal in concentrate.

3. G&A costs related to shared services incurred in Flin Flon and allocated between 777, Reed and Lalor mines are not included in unit costs.

LEVERAGE TO COMMODITIES

Highly leveraged to copper, with additional sensitivity to zinc prices

Moderate exposure to changes in C$/US$ exchange rates

47

SENSITIVITY ANALYSIS1

1. Assumes operational performance is consistent with annual guidance for 2018.

2. Operating cash flow before changes in non-cash working capital.

3. Gold price sensitivity also includes the impact of a +/- 10% change in the silver price (2018 assumption is $18/oz Ag).

2018 BASE CHANGE OF 10%

REPRESENTED BY:

IMPACT ON

OPERATING CASH FLOW2

METAL PRICES:

Copper Price $3.00/lb +/- $0.30/lb +/- $56 million

Zinc Price $1.30/lb +/- $0.13/lb +/- $32 million

Gold Price3 $1,300/oz +/- $130/oz +/- $10 million

EXCHANGE RATES:

C$/US$ 1.25 +/- 0.125 +/- $38 million

PRECIOUS METALS STREAM OVERVIEW

48

PAYMENTS FROM WHEATON PRECIOUS METALS TO HUDBAY

DELIVERY FROM HUDBAY TO WHEATON PRECIOUS METALS

UPFRONT PAYMENTS PRODUCTION PAYMENTS2

777 and Constancia

$5.90/oz Silver

$400/oz Gold

Rosemont

$3.90/oz Silver

$450/oz Gold

777 and Constancia

$885 million

Rosemont

(pending)

$230 million1

Remaining Life of Mine

Silver 100%

Gold 50%3

777

CONSTANCIA

Remaining Life of Mine

Silver 100%

Gold 50%

Life of Mine

Silver 100%

Gold 100%

ROSEMONT

1. The stream upfront deposit of $230 million for Rosemont has not yet been received and will be payable upon the satisfaction o f certain conditions precedent, including the receipt of permits and

the commencement of construction.

2. Payments for production of silver and gold from 777 are subject to 1% annual escalation starting 2015; payments for production of gold and silver from Constancia are subject to 1% annual

escalation starting in 2019; payments for production of gold and silver from Rosemont are subject to 1% annual escalation aft er three years.

3. Percentage of gold streamed at 777 dropped to 50% as of January 1, 2017, from 100%.

PERU MINERAL RESERVES

49

CATEGORY TONNES Cu (%) Mo (g/t) Ag (g/t) Au (g/t)

CONSTANCIA

Proven 455,900,000 0.30 96 2.93 0.035

Probable 72,800,000 0.23 72 3.09 0.035

Total Proven and Probable 528,700,000 0.29 93 2.95 0.035

PAMPACANCHA

Proven 32,400,000 0.59 178 4.48 0.368

Probable 7,500,000 0.62 173 5.75 0.325

Total Proven and Probable 39,900,000 0.60 177 4.72 0.360

Total Mineral Reserves 568,600,000 0.32 99 3.07 0.058

AS AT JANUARY 1, 2018

Note: Totals may not add up correctly due to rounding.

PERU MINERAL RESOURCES

50


Note: Totals may not add up correctly due to rounding.

CATEGORY TONNES Cu (%) Mo (g/t) Ag (g/t) Au (g/t)

CONSTANCIA

Measured 175,000,000 0.20 51 2.19 0.028

Indicated 180,900,000 0.20 56 2.09 0.033

Inferred 54,100,000 0.24 43 1.71 0.018

PAMPACANCHA

Measured 11,400,000 0.41 101 4.95 0.245

Indicated 6,000,000 0.35 84 5.16 0.285

Inferred 10,100,000 0.14 143 3.86 0.233

Total Measured and Indicated 373,300,000 0.21 56 2.28 0.041

Total Inferred 64,100,000 0.22 59 2.05 0.052

MANITOBA RESERVES & RESOURCES

51


1. Includes base metal zone, copper-gold zone and gold in contact with base metal zone reserves.

2. Stated at 100%, Hudbay holds a 70% joint venture interest in the Reed mine.

3. Includes gold zone and copper-gold zone resources.

Note: totals may not add up correctly due to rounding.

PROPERTY CATEGORY TONNES Cu (%) Zn (%) Au (g/t) Ag (g/t)

Lalor Reserves1 Proven 3,511,000 0.73 6.21 2.37 27.18

Probable 9,484,000 0.65 4.31 2.72 26.03

Total Lalor Mineral Reserve 12,995,000 0.67 4.83 2.62 26.33

777 Reserves Proven 2,625,000 1.78 4.20 1.70 25.97

Probable 1,251,000 1.11 4.33 1.82 25.41

Total 777 Mineral Reserve 3,876,000 1.56 4.24 1.73 25.79

Reed Reserves2 Proven 67,000 2.91 1.16 0.47 7.78

Probable 209,000 3.31 0.40 0.74 6.72

Total Reed Mineral Reserve 276,000 3.21 0.58 0.67 6.98

777 Resources Indicated 736,000 0.99 3.53 1.82 26.24

Inferred 673,000 1.01 4.26 1.72 30.95

Lalor Resources –

Base Metal Zone

Indicated 2,100,000 0.49 5.34 1.69 28.10

Inferred 545,000 0.32 8.15 1.45 22.28

Lalor Resources –

Gold Zone3

Indicated 1,750,000 0.34 0.40 5.18 30.61

Inferred 4,121,000 0.90 0.31 5.02 27.61

ARIZONA RESERVES & RESOURCES

52

AS AT MARCH 30, 2017

MINERAL RESERVES1

CATEGORY Tonnes Cu (%) Mo (%) Ag (g/t)

Proven 426,100,000 0.48 0.012 4.96

Probable 111,000,000 0.31 0.010 3.09

Total 2P Reserves 537,100,000 0.45 0.012 4.58

MINERAL RESOURCES1

CATEGORY Tonnes Cu (%) Mo (%) Ag (g/t)

Measured 161,300,000 0.38 0.009 2.72

Indicated 374,900,000 0.25 0.011 2.60

Total Measured & Indicated 536,200,000 0.29 0.011 2.64

Inferred 62,300,000 0.30 0.010 1.58

1. Based on 100% ownership of the Rosemont project; Hudbay currently owns a 92.05% interest in the project and its ownership interest is subject to an Earn-In Agreement with UCM, pursuant to which

UCM has earned a 7.95% interest in the project and may earn up to a 20% interest.

ADDITIONAL INFORMATION The reserve and resource estimates included in this presentation were prepared in accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI

43-101”) and the Canadian Institute of Mining, Metallurgy and Petroleum Standards on Mineral Resources and Reserves: Definitions and Guidelines.

The mineral resource estimates in this presentation are exclusive of mineral reserves. Mineral resources that are not mineral reserves do not have demonstrated economic viability.

The technical and scientific information in this presentation related to the Constancia mine and the Rosemont project has been approved by Cashel Meagher, P. Geo, Hudbay’s

Senior Vice President and Chief Operating Officer. The technical and scientific information related to the Manitoba sites (other than Lalor) and projects contained in this presentation

has been approved by Robert Carter, P. Eng, Hudbay’s General Manager Mining Operations, Manitoba Business Unit. The scientific and technical information related to the Lalor

mine contained in this presentation has been approved by Olivier Tavchandjian, P.Geo., our VP Exploration and Geology. Messrs. Meagher, Carter and Tavchandjian are qualified

persons pursuant to NI 43-101. For a description of the key assumptions, parameters and methods used to estimate mineral reserves and resources, as well as data verification

procedures and a general discussion of the extent to which the estimates of scientific and technical information may be affected by any known environmental, permitting, legal title,

taxation, sociopolitical, marketing or other relevant factors, please see Hudbay’s annual information form dated March 29, 2018 and the following Technical Reports for each of the

company’s material properties as filed by Hudbay on SEDAR at www.sedar.com: NI 43-101 Technical Report on the Constancia Mine dated March 29, 2018; NI 43-101 Technical

Report on the Lalor Mine dated March 30, 2017; NI 43-101 Technical Report on the 777 Mine dated October 15, 2012; NI 43-101 Technical Report on the Rosemont Project dated

March 30, 2017; and NI 43-101 Technical Report on the Reed Copper Deposit dated April 2, 2012 as filed by VMS Ventures Inc. Quality Assurance/Quality Control procedures for

the Lalor exploration program include the systematic insertion of blanks, standards and duplicates into the core sample strings. The results of the control samples are evaluated on a

regular basis with batches and are re-analysed and/or resubmitted as needed. There are no drilling, sampling, recovery or other factors that could materially affect the accuracy or

reliability of the preliminary results.

This presentation has been prepared in accordance with the requirements of the securities laws in effect in Canada, which may differ materially from the requirements of United

States securities laws applicable to U.S. issuers. Information concerning Hudbay’s mineral properties has been prepared in accordance with the requirements of Canadian securities

laws, which differ in material respects from the requirements of the Securities and Exchange Commission (the “SEC”) set forth in Industry Guide 7. Under the SEC's Industry Guide

7, mineralization may not be classified as a “reserve” unless the determination has been made that the mineralization could be economically and legally produced or extracted at the

time of the reserve determination, and the SEC does not recognize the reporting of mineral deposits which do not meet the SEC Industry Guide 7 definition of “Reserve”. In

accordance with National Instrument 43-101 – Standards of Disclosure for Mineral Projects (“NI 43-101”) of the Canadian Securities Administrators, the terms “mineral reserve”,

“proven mineral reserve”, “probable mineral reserve”, “mineral resource”, “measured mineral resource”, “indicated mineral resource” and “inferred mineral resource” are defined in

the Canadian Institute of Mining, Metallurgy and Petroleum (the “CIM”) Definition Standards for Mineral Resources and Mineral Reserves adopted by the CIM Council on May 10,

2014. While the terms “mineral resource”, “measured mineral resource”, “indicated mineral resource” and “inferred mineral resource” are recognized and required by NI 43-101, the

SEC does not recognize them. You are cautioned that, except for that portion of mineral resources classified as mineral reserves, mineral resources do not have demonstrated

economic value. Inferred mineral resources have a high degree of uncertainty as to their existence and as to whether they can be economically or legally mined. It cannot be

assumed that all or any part of an inferred mineral resource will ever be upgraded to a higher category. Therefore, you are cautioned not to assume that all or any part of an inferred

mineral resource exists, that it can be economically or legally mined, or that it will ever be upgraded to a higher category. Likewise, you are cautioned not to assume that all or any

part of measured or indicated mineral resources will ever be upgraded into mineral reserves.

53

ADDITIONAL INFORMATION

54

Table 1 below provides a summary of the Lalor drill results referenced in this presentation.

Table 1: Lalor drill results

1. True widths are estimated based on drill angle and interpreted geometry of mineralization.

2. All gold and copper values are uncut.

Table 2 below provides the coordinates, azimuth and dip of the mineralized intercepts reported in Table 1.

Table 2: Supplemental information to the Lalor drill results

Hole ID From

(m)

To

(m)

Intercept

(m)

Depth

(m)

Estimated true

width(m)1

Cu

(%)2

Au

(g/t)2

189W01 1197.0 1205.0 8.0 1154 7.1 0.1 9.3

193W01 1041.2 1046.5 5.4 1028 4.1 1.1 2.8

267W01 1120.8 1127.2 6.3 1098 4.5 2.7 11.3

273 1211.8 1215.8 4 1202 2.9 1.9 1.2

283 1242.7 1249.0 6.3 1240 4.2 7.8 5.9

283W02 1270.8 1276.3 5.5 1263 4.1 7.8 2.5

296 1227.5 1233.0 5.5 1184 4.2 5.2 5.6

296W01 1220.5 1228.3 7.8 1175 6.1 3.7 5.4

From To Azimuth at

intercept

Dip at

intercept Core Size

Hole ID Easting Northing Elevation Easting Northing Elevation

189W01 426,663 6,081,675 4,149 426,660 6,081,675 4,142 272 -63 NQ

193W01 427,051 6,081,272 4,273 427,051 6,081,270 4,268 185 -76 NQ

267W01 427,185 6,081,266 4,204 427,183 6,081,266 4,197 242 -79 NQ

273 427,163 6,081,570 4,101 427,162 6,081,570 4,098 206 -79 NQ

283 427,223 6,081,530 4,064 427,222 6,081,530 4,057 248 -83 NQ

283W02 427,263 6,081,461 4,040 427,263 6,081,460 4,035 186 -77 NQ

296 427,251 6,081,311 4,121 427,251 6,081,310 4,115 154 -76 NQ

296W01 427,243 6,081,301 4,130 427,244 6,081,299 4,123 163 -73 NQ

Carla Nawrocki, Director, Investor Relations

416.362.7362 | [email protected]

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