BASE METALS

Atalaya ready to ramp up new mill

Proyecto Riotinto mill expansion nearly commissioned

Staff reporter

This article is 5 years old. Images might not display.

The dual-listed company (AIM: ATYM/TSX:AYM) said the project had reached mechanical completion and were ready to start receiving ore, and wet commissioning. "The additional electricity supply for the expansion is expected to come on stream during Q3 2019," it said. "The company believes the start-up of the expanded plant will reach its nameplate capacity of 15Mtpa by December 2019."

New flotation and concentrate handling areas are already up to speed.

Atalaya has lost nearly 9% of its value since the start of the month and is currently capitalised at £270 million. Last week it reported lower net profit of €21 million for the first half of the year compared with €24.5 million a year for the same period last year, and lower revenues (€94.8 million versus €101.5 million) on the back of weaker copper prices.

Atalaya maintained copper production guidance for 2019 at 45,000-46,500t after producing 21,108t in the first half from a mill that handled 5.01Mt for the period.

"This expansion … will increase copper production, improve operational efficiencies, reduce maintenance requirements and lower operating cash costs for the company," said CEO Alberto Lavandeira.

Proyecto Riotinto continues to face opposition from the local Junta de Andalucia and Ecologistas en Acion requests to stop mining pending broadening of its environmental plan. So far rulings by the Tribunal Superior de Justicia de Andalucía reinforcing the validity of Atalaya's operating licence have overridden any objections.

"The company continues operating the mine normally and remains confident that the ongoing process carried out by the JdA will not impact its operations at Proyecto Riotinto," Atalaya said.

 

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Journal Intelligence team.

A growing series of reports, each focused on a key discussion point for the mining sector, brought to you by the Mining Journal Intelligence team.

editions

ESG Mining Company Index: Benchmarking the Future of Sustainable Mining

The ESG Mining Company Index report provides an in-depth evaluation of ESG performance of 61 of the world's largest mining companies. Using a robust framework, it assesses each company across 9 meticulously weighted indicators within 6 essential pillars.

editions

Mining Journal Intelligence Global Leadership Report 2024: Net Zero

Gain insights into decarbonisation trends and strategies from interviews with 20+ top mining executives and experts plus an industrywide survey.

editions

Mining Journal Intelligence Project Pipeline Handbook 2024

View our 50 top mining projects, handpicked using a unique, objective selection process from a database of 450+ global assets.

editions

Mining Journal Intelligence Investor Sentiment Report 2024

Survey revealing the plans, priorities, and preferences of 120+ mining investors and their expectations for the sector in 2024.