RAB Special Situations (fka RAB)

[Tackler]

HBM HudBay says RAB Special holds 2%, not 40.24%

2005-09-23 10:00 ET - News Release

Mr. Tom Goodman reports

CLARIFICATION

HudBay Minerals Inc. is issuing the following clarification in connection with an early warning press release issued in Stockwatch on Sept. 22, 2005, by a securityholder of the company.

In Stockwatch on Sept. 22, 2005, RAB Special Situations (Master) Fund Ltd. announced, among other things, that it had acquired 25 million warrants of HudBay through the facilities of the Toronto Stock Exchange.

RAB Special Situations reported that following the transaction (and the sale of certain common shares of HudBay) it held 52,711,666 warrants of HudBay, which would represent approximately 40.25 per cent of the issued and outstanding common shares of HudBay on a partially diluted basis.

HudBay wishes to clarify that its warrants were previously issued on a preconsolidated basis and such warrants are subject to a 1-for-30 consolidation adjustment. Accordingly, 52,711,666 warrants of HudBay would represent approximately 2 per cent of the issued and outstanding common shares of HudBay on a partially diluted basis. HudBay currently has 84,003,662 common shares outstanding.