Waterton Announces Update to Slate of Director Nominees - Seite 2

Additional Information

In its early warning report dated April 15, 2019 (the "April 15 EWR"), Waterton had disclosed that it intended to solicit proxies for a slate of five director candidates for election to the Board at the annual and special meeting of the shareholders of the Company (the “Meeting”). As announced today, Waterton is now intending to solicit proxies for four individuals for election to the Board at the Meeting.

Waterton currently owns and exercises control or direction over an aggregate of 31,608,117 Shares, representing approximately 12.1% of the issued and outstanding Shares. At the time of the April 15 EWR, Waterton also owned and exercised control or direction over 31,608,117 Shares, representing approximately 12.1% of the issued and outstanding Shares.

The Shares were acquired for investment purposes and for other reasons detailed herein and in Item 5 of the April 15 EWR and other early warning reports filed by Waterton under applicable Canadian securities laws. Waterton may, depending on market and other conditions, acquire additional Shares through market transactions, private agreements, treasury issuances, exercise of warrants, or otherwise, or may sell all or some portion of the Shares, or may continue to hold the Shares.

For further information and to obtain a copy of the early warning reports filed by Waterton, please see Hudbay's profile on the SEDAR website at www.sedar.com or contact Richard Wells, Chief Financial Officer of the Investment Adviser at 416-504-3505.

The head office address of the Investment Adviser is Commerce Court West, 199 Bay Street, Suite 5050, Toronto, Ontario, M5L 1E2, Canada. The head office address of each of Waterton Mining LP and Waterton Fund II is Ugland House, Grand Cayman, Cayman Islands, KY1-1104.

The head office address of Hudbay is 25 York Street, Suite 800, Toronto, Ontario, Canada M5J 2V5.

Legal Notices and Disclaimers

The data, information and opinions contained or referenced herein (collectively, the "Information") is for general informational purposes only for the holders of Shares (“Shareholders”) in order to provide the views of Waterton regarding certain changes we are requesting to the composition of the Board, and other matters which Waterton believes to be of concern to Shareholders described herein. The Information is not tailored to specific investment objectives, the financial situation, suitability, or particular need of any specific person(s) who may receive the Information, and should not be taken as advice in considering the merits of any investment decision. The views expressed in the Information represent the views and opinions of Waterton, whose opinions may change at any time and which are based on analyses of Waterton and its advisors. Unless otherwise indicated, the Information has been derived or obtained from public disclosure and filings with respect to and/or made by Hudbay and other issuers that we consider to be comparable to Hudbay, and from other third party reports (see "Legal Notices and Disclaimers - Disclaimer Respecting Publicly Sourced Information" in Waterton’s information circular dated April 15, 2019 (the “Waterton Circular”), a copy of which is available on SEDAR at www.sedar.com or on www.newhudbay.com).