When Lukas Lundin was ten years old, his father – resource industry legend and X-Leaguer, Adolph Lundin – sat him and his brother down and asked, "Who's going to be the mining engineer and who's going to be the petroleum engineer?" Thus were planted the seeds of his long and storied career of developing oil, uranium, gold, copper and even iodine, in Africa, the Middle East, South America, Russia and Mongolia.
By the time he was 15 years old, Lukas was attending corporate board meetings and flying around the world looking at mines. After schooling in the United States, he was immediately off to explore for gold in Sierra Leone, running a 50-man exploration crew before he was even old enough to legally drink in a bar.
XL: First off, Lukas, I'm sure all of our readers would love to hear about what it was like growing up in the Lundin family, one of the resource industry's most successful family enterprises. Growing up, you must have had a lot of exposure to the resource sector.
Lukas: Normally at the dinner table we'd talk rocks and stocks. (laughs) That was the only thing my father talked about. I was definitely exposed to it.
XL: How old were you when you first started becoming involved in the family business?
NGEx Resources (T.NGQ) reported 701 meters of 0.67% copper and 0.30 grams/tonne gold from recent drilling at their Los Helados project in Chile. Gold mineralization was found from top to bottom in all drill results and follows an earlier report of 711 meters of 0.54% copper and 0.26 g/t gold. It’s becoming clear that NGEx could be on to a major copper-gold system, and it’s still open at depth and in several directions. Management has since expanded the drill program at Los Helados, where they hold a 60% interest.
Lundin Mining (T.LUN; OMX:LUMI) and Inmet Mining (T.IMN) terminated their merger proposal since neither board felt they would get the support of both companies’ shareholders, primarily due to Equinox Minerals’ (T.EQN) offer we reported on last month.
A bidding war for LUN looks increasingly likely, with speculation mounting that Freeport McMoRan (NYSE:FCX) will be the most likely suitor. There’s also potential for the company’s assets to be sold off to different bidders. Whatever the outcome, we’re confident Lukas will get the best deal.