Proactive Investors - Run By Investors For Investors

Atalaya Mining ramp up in copper production is beginning to show

“We are gradually beginning to see the fruits of our efforts with positive cash flows from our operations,” said Atalaya chief executive Alberto Lavandeira.
worker with copper
Projected demand for new infrastructure spending is lifting copper prices.

Atalaya Mining Plc (AIM:ATYM, TSE:AYM) ramp up of its Spanish copper project continues with production almost doubling quarter on quarter.

Production tonnes of copper in concentrate was up 97% totalling 8,752 tonnes in the three months to September 30, versus 4,442 tonnes in the preceding quarter.

Recovery rates continued to improve also, rising to 83.6% from 80.46%. The company added that the trend continues, with a rate of 87% in October, and it told investors that the plant is performing very well.

The company is maintaining its production guidance of 23,500 to 27,000 metric tonnes of copper for 2016, though it noted a ‘bias towards the higher end of the scale’.

Revenue for the three months amounted to €27.2mln, with the tally for the first nine months of 2016 coming to €49.9mln. And it had copper-in-concentrate inventories worth €9.3mln, as of September 30.

The company’s realised copper sales price averaged US$2.18 per pound in the third quarter, and US$2.16 per pound for the nine months.

A significant improvement in earnings saw the group report positive EBITDA of €1.9mln for the three month period, compared with negative €1.6mln for the year to date. Meanwhile, cashflow from operating activity amounted to €5.5mln for the nine month period.

“We are gradually beginning to see the fruits of our efforts with positive cash flows from our operations,” said Atalaya chief executive Alberto Lavandeira.

“The combination of falling operating costs and improved levels of recovery and production reflect the increasing on-site efficiencies.

“The effect of the recent increase in the copper price on our share price demonstrates our leverage to copper.  With the plant working now almost at nameplate capacity we are well placed to benefit from any future improvements in the copper price."

View full ATYM profile View Profile

Atalaya Mining Timeline

Newswire
September 11 2015

Related Articles

1550161908_copper-periodic-table-3.jpg
February 15 2019
VR Resources is still picking up new ground as it continues to assess the potential of its Nevada portfolio
Copper
March 21 2019
The group’s ‘flagship’ project BKM Copper Project is located northwest of Palangkaraya, the regional capital of Central Kalimantan, part of the KSK projects which are 100%-owned by the company
1549455327_Gold-bar-plus-nugget.jpg
February 06 2019
Metminco has an attractive portfolio of exploration and development assets

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use