VANCOUVER, British Columbia, Oct. 24, 2024 (GLOBE NEWSWIRE) — Atico Mining Corporation (the “Company” or “Atico”) (TSX.V: ATY | OTCQX: ATCMF) announces its operating results for the three months ended September 30, 2024 from its El Roble mine. Production for the quarter totaled 2.91 million pounds of copper and 2,055 ounces of gold in concentrates, a decrease of 23% for copper and 19% for gold, respectively, over the same period in 2023.
“The El Roble mine is undergoing a transition from the lower areas of the mine towards the new higher-grade reserves in upper areas. The mine is being prepared to shift to a majority of ore being sourced from the new reserves in 2025. The transition implies a planned reduction in production rates, resulting in fewer tonnes of ore mined and processed, as well as lower head grades during this period. We expect this phase to conclude in the fourth quarter, allowing our operations team gradual access to newly discovered high-grade reserves,” stated Fernando E. Ganoza, CEO. “As we move into the remainder of the year, our primary focus will be on achieving a steady state production rate, while ensuring we remain on track to meet our established guidance for the year.”
Third Quarter Operational Highlights
- Production of 2.91 million pounds of copper contained in concentrates; a decrease of 23% over Q3 2023.
- Production of 2,055 ounces of gold contained in concentrates; a decrease of 19% over Q3 2023.
- Average processed tonnes per day of 858, a decrease of 3% over Q3 2023.
- Copper head grade of 2.12%, a decrease of 14% over Q3 2023.
- Gold head grade of 1.51 grams per tonne; a decrease of 14% over Q3 2023.
- Copper and gold recovery of 92% and 65%; no significant change for copper and an increase of 4% for gold, respectively, over Q3 2023.
Third Quarter Operational Details
| Q3 2024 Total |
Q3 2023 Total |
% Change | ||
| Production (Contained in Concentrates) | ||||
| Copper (000s pounds) | 2,906 | 3,794 | -23% | |
| Gold (ounces) | 2,055 | 2,537 | -19% | |
| Mine | ||||
| Tonnes of ore mined | 67,730 | 77,947 | -13% | |
| Mill | ||||
| Tonnes processed | 67,354 | 74,580 | -10% | |
| Tonnes processed per day | 858 | 888 | -3% | |
| Copper grade (%) | 2.12 | 2.48 | -14% | |
| Gold grade (g/t) | 1.51 | 1.75 | -14% | |
| Recoveries | ||||
| Copper (%) | 92.3 | 93.0 | Nil | |
| Gold (%) | 62.9 | 60.5 | 4% | |
| Concentrates | ||||
| Copper and Gold Concentrates (dmt) | 7,248 | 9,341 | -22% | |
| Payable copper produced (000s lbs) | 2,729 | 3,567 | -23% | |
Note: Metal production figures are subject to adjustments based on final settlement. The reported results are preliminary in nature and are awaiting independent lab verification.
Concentrate Inventory
The number of shipments the Company can export in any given quarter depends on several variables some of which the Company does not control, hence there may be an inherent variability in tonnes shipped quarter to quarter.
| Q3 2024 Total | ||
| Amounts in dry metric tonnes | ||
| Opening inventory | 10,627 | |
| Production | 7,248 | |
| Sales | (11,944 | ) |
| Adjustments | (108 | ) |
| Number of shipments | 1.4 | |
| Closing inventory | 5,823 | |
Note: Concentrate figures are subject to adjustments based on final settlement.
El Roble Mine
The El Roble mine is a high grade, underground copper and gold mine with nominal processing plant capacity of 1,000 tonnes per day, located in the Department of Choco in Colombia. Its commercial product is a copper-gold concentrate.
Since obtaining control of the mine on November 22, 2013, Atico has upgraded the operation from a historical nominal capacity of 400 tonnes per day.
El Roble’s reserves estimate, with an effective date of March 12, 2024, includes Proven and Probable mineral reserves of 828 thousand tonnes averaging 2.49% Cu, 2.20 g/t Au and a life of mine until Q1-2027. A full NI 43-101 technical report is available on SEDAR+. For more information on the reserves estimate refer to SEDAR+ and on the Company’s website.
Mineralization is open at depth and along strike and the Company plans to further test the limits of the deposit. On the larger land package, the Company has identified a prospective stratigraphic contact between volcanic rocks and black and grey pelagic sediments and cherts that has been traced by Atico geologists for ten kilometers. This contact has been determined to be an important control on VMS mineralization on which Atico has identified numerous target areas prospective for VMS type mineralization occurrence, which is the focus of the current surface drill program at El Roble.
Qualified Person
Mr. Thomas Kelly (SME Registered Member 1696580), advisor to the Company and a qualified person under National Instrument 43-101 standards, is responsible for ensuring that the technical information contained in this news release is an accurate summary of the original reports and data provided to or developed by Atico.
About Atico Mining Corporation
Atico is a growth-oriented Company, focused on exploring, developing and mining copper and gold projects in Latin America. The Company generates significant cash flow through the operation of the El Roble mine and is developing its high-grade La Plata VMS project in Ecuador. The Company is also pursuing additional acquisition of advanced stage opportunities. For more information, please visit www.aticomining.com.
ON BEHALF OF THE BOARD
Fernando E. Ganoza
CEO
Atico Mining Corporation
Trading symbols: TSX.V: ATY | OTCQX: ATCMF
Investor Relations
Igor Dutina
Tel: +1.604.633.9022
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
No securities regulatory authority has either approved or disapproved of the contents of this news release. The securities being offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the ‘‘U.S. Securities Act’’), or any state securities laws, and may not be offered or sold in the United States, or to, or for the account or benefit of, a “U.S. person” (as defined in Regulation S of the U.S. Securities Act) unless pursuant to an exemption therefrom. This press release is for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities of the Company in any jurisdiction.
Cautionary Note Regarding Forward Looking Statements
This announcement includes certain “forward-looking statements” within the meaning of Canadian securities legislation. All statements, other than statements of historical fact, included herein, without limitation the use of net proceeds, are forward-looking statements. Forward- looking statements involve various risks and uncertainties and are based on certain factors and assumptions. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations include uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs; the need to obtain additional financing to maintain its interest in and/or explore and develop the Company’s mineral projects; uncertainty of meeting anticipated program milestones for the Company’s mineral projects; and other risks and uncertainties disclosed under the heading “Risk Factors” in the AIF of the Company dated September 4, 2024 filed with the Canadian securities regulatory authorities on the SEDAR+ website at www.sedarplus.com