06:22 AM EST, 01/31/2025 (MT Newswires) -- Lundin Mining ( LUNMF ) late on Thursday said Chile's Superintendencia del Media Ambiente fined the company $3.3 million and confirmed the closure of the Alcaparrosa mine after investigative proceedings on a sinkhole that appeared in 2022.

The decision was made based on four violations the Chilean environmental regulator investigated. Mining operations at Alcaparrosa have been suspended since 2022.

Mineral reserve estimates for the mine were removed from Lundin's reserve statement and have not been included in any future production estimates.

The Alcaparrosa mine is part of the Candelaria operation, the rest of which remains unaffected by the mine's closure. The Candelaria operation is forecast to produce 140,000-150,000 tonnes of copper in 2025.

The company has worked with SMA, including providing monitoring technology and studies to guide the process.

Lundin said it will review the notice and determine the next steps relating to charges that it allegedly breached its environmental permit at the mine.