VANCOUVER, British Columbia, Jan. 17, 2024 (GLOBE NEWSWIRE) -- Atico Mining
Corporation (the "Company" or "Atico") (TSX.V: ATY | OTCQX: ATCMF) is pleased to
announce operating results for the three- and twelve-month periods ended
December 31, 2023 from its El Roble mine. Production totaled 4.37 million pounds
of copper with 2,578 ounces of gold for the fourth quarter ("Q4 2023") and
13.24 million pounds of copper with 10,149 ounces of gold in concentrates for
the full year 2023.
"Operationally the Company had a challenging first half of the year. The team
turned things around in the third quarter and continued to improve all metrics
to finish the year delivering just under our production guidance. At the same
time, we saw very prospective drill results from our El Roble mine vicinity
drill program which could point towards an extension of the current life of
mine," said Fernando E. Ganoza, CEO. "In the upcoming year, we continue to have
significant milestones ahead of us yet to achieve. In the first half of the new
year, our main focus will be on the El Roble mine resource update, completion of
the La Plata Feasibility Study and delivering on all requirements to receive the
environmental permit for the La Plata project."
Fourth Quarter and Full Year Operational Highlights
Fourth Quarter
* Production of 4.37 million pounds of copper contained in concentrates; an
increase of 48% over Q4 2022.
* Production of 2,578 ounces of gold contained in concentrates; a decrease of
15% over Q4 2022.
* Average processed tonnes per day of 853; an increase of 4% over Q4 2022.
* Copper and gold head grades of 2.89% and 1.75 grams per tonne; an increase
of 28% for copper and a decrease of 24% for gold over Q4 2022.
* Copper and gold recovery of 94.0% and 62.7%; an increase of 4% for copper
and 9% for gold over Q4 2022.
2023 Year-end
* Production of 13.24 million pounds of copper contained in concentrates; a
decrease of 12% over 2022.
* Production of 10,149 ounces of gold contained in concentrates; a decrease of
9% over 2022.
* Average processed tonnes per day of 822; a decrease of 1% over 2022.
* Copper and gold head grades of 2.34% and 1.89 grams per tonne; a decrease of
22% for copper and 18% for gold over 2022.
* Copper and gold recovery of 92.1% and 60.6%; no significant change for
copper and gold over 2022.
Fourth Quarter and Full Year Operational Details
--------------------------------+--------+--------+--------+--------+----------
|Q1 Total|Q2 Total|Q3 Total|Q4 Total|2023 Total
--------------------------------+--------+--------+--------+--------+----------
Production (Contained in| | | | |
Concentrates) | | | | |
--------------------------------+--------+--------+--------+--------+----------
Copper (000s pounds) | 2,310| 2,803| 3,762| 4,367| 13,242
--------------------------------+--------+--------+--------+--------+----------
Gold (ounces) | 2,553| 2,313| 2,705| 2,578| 10,149
--------------------------------+--------+--------+--------+--------+----------
Mine | | | | |
--------------------------------+--------+--------+--------+--------+----------
Tonnes of ore mined | 60,568| 72,340| 77,947| 78,132| 288,987
--------------------------------+--------+--------+--------+--------+----------
Mill | | | | |
--------------------------------+--------+--------+--------+--------+----------
Tonnes processed | 62,793| 68,471| 74,580| 73,030| 278,874
--------------------------------+--------+--------+--------+--------+----------
Tonnes processed per day | 748| 800| 888| 853| 822
--------------------------------+--------+--------+--------+--------+----------
Copper grade (%) | 1.87| 2.05| 2.46| 2.89| 2.34
--------------------------------+--------+--------+--------+--------+----------
Gold grade (g/t) | 2.23| 1.80| 1.83| 1.75| 1.89
--------------------------------+--------+--------+--------+--------+----------
Recoveries | | | | |
--------------------------------+--------+--------+--------+--------+----------
Copper (%) | 89.1| 90.6| 93.0| 94.0| 92.1
--------------------------------+--------+--------+--------+--------+----------
Gold (%) | 57.0| 58.4| 62.0| 62.7| 60.6
--------------------------------+--------+--------+--------+--------+----------
Concentrates | | | | |
--------------------------------+--------+--------+--------+--------+----------
Copper and gold concentrates| | | | |
(dmt) | 5,815| 6,789| 9,336| 10,725| 32,665
--------------------------------+--------+--------+--------+--------+----------
| | | | |
--------------------------------+--------+--------+--------+--------+----------
Payable copper produced (000s| | | | |
lbs) | 2,169| 2,639| 3,537| 4,106| 12,451
--------------------------------+--------+--------+--------+--------+----------
Note: Metal production figures are subject to adjustments based on final
settlement.
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.
-------------------------------+---------
| Q4 2023
-------------------------------+---------
Amounts in dry metric tonnes |
-------------------------------+---------
Opening inventory | 7,939
-------------------------------+---------
Production | 10,725
|
Sales | -10,433
|
Number of shipments | 1
|
Adjustments | -4
-------------------------------+---------
Closing inventory | 8,227
-------------------------------+---------
Note: Concentrate figures are subject to adjustments based on final surveys and
final settlement of sales.
2024 Operating and Cost Guidance
+---------------------------+------------------+
| | |
+---------------------------+------------------+
| Copper (000s pounds) | 13,600 to 15,200 |
+---------------------------+------------------+
| Gold (ounces) | 10,200 to 11,400 |
+---------------------------+------------------+
| C1 Cash Cost ($US)(()(1)) | $1.97 to $2.18 |
+---------------------------+------------------+
Note: Please see "Non-GAAP Financial Measures" at the end of this release. C1
cash cost per pound of payable copper produced net of by-product credits and
selling costs.
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 has Proven and Probable reserves of 1.00 million tonnes grading 3.02%
copper and 1.76 g/t gold, at a cut-off grade of 1.3% copper equivalent with an
effective date of September 30, 2020. 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 operates the El Roble
mine and is pursuing additional acquisition 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; the world-wide economic and social impact of COVID-19 is managed and
the duration and extent of the coronavirus pandemic is minimized or not long-
term; disruptions related to the COVID-19 pandemic or other health and safety
issues, or the responses of governments, communities, the Company and others to
such pandemic or other issues; and other risks and uncertainties disclosed under
the heading "Risk Factors" in the prospectus of the Company dated March 2, 2012
filed with the Canadian securities regulatory authorities on the SEDAR website
at www.sedar.com (http://www.sedar.com)
Non-GAAP Financial Measures
The items marked with a "(1)" are alternative performance measures and readers
should refer to Non-GAAP Financial Measures in the Company's Management's
Discussion and Analysis for the six months ended June 30, 2023, as filed on
SEDAR and as available on the Company's website for further details.
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