|
Operating Highlights
|
|
Unit
|
2020Q1
|
2019Q1
|
2019Q4
|
2020 Guidance
|
|
Ore mined
|
(M tonnes)
|
3
|
2.5
|
2.3
|
15
|
|
Waste mined
|
(M tonnes)
|
5.1
|
3.8
|
6
|
22.7
|
|
Ore milled
|
(M tonnes)
|
3.4
|
2.4
|
2.9
|
14.0 – 15.0
|
|
Cu grade
|
(%)
|
0.47
|
0.46
|
0.56
|
0.45
|
|
Cu recovery
|
(%)
|
82.62
|
90.27
|
83.58
|
84 – 86
|
|
Cu production
|
(tonnes)
|
13,229
|
10,219
|
13,527
|
55,000 – 58,000
|
l
Q1
2020 copper production was 13,229 tonnes, representing a 29% increase over
Q1 2019.
l
3.4
million tonnes of ore processed with an average copper head grade of 0.47%
and a recovery rate of 82.62%.
1.
Compared
with Q1 2019, throughput increased 40% while recoveries decreased 8%.
2.
Compared
with Q4 2019, copper production was similar as a result of a 17% higher
throughput offsetting the lower grade and recoveries.
l
Lower
than planned plant recoveries were owing to a combination of treating
lower grade surface stockpiles as a result of partial flooding of the pit
floor during December 2019, several plant stoppages for scheduled
maintenance and the COVID-19 shutdown order.
l
During
February 2020 major scheduled maintenance was undertaken, during which
time the plant was not running. These upgrades led to a new production
record being achieved in March 2020 with 5,375 tonnes of copper produced
from the processing of 1.35 million tonnes of ore with a recovery of
84.6%.
1.
March 2020
figures confirmed that the 15Mtpa expansion is now successfully working at
full design just a few months after the start-up in November 2019.
l
Heavy
rains in December 2019 meant mining operations concentrated on ore from
the higher levels of the pit. The new equipment mobilised to site by the
contractor has successfully been adapted to the increased volumes as a
result of the plant expansion. On a combined basis, ore, waste and
marginal ore amounted to 2.9 million m3 in Q1 2020 versus 3.0 million m3
in Q4 2019.
l
On-site
concentrate inventories at the end of the quarter were approximately 3,036
tonnes.
l
Copper
prices decreased, with an average realised price per pound of copper
payable, including the QPs closed in the period, of US$2.58/lb compared
with US$2.65/lb in Q4 2019. The average copper spot price during the
quarter was US$2.56/lb. The realised price during the quarter, excluding
QPs, was approximately US$2.54/lb.
l
Cash
operating costs for Q1 2020 are expected to be higher than the annual cost
guidance ranges previously provided of US$1.95-2.05/lb owing to higher
processing rates at lower grade and recoveries. Further details on costs
will be provided with the Q1 Financial Statements which will be published
in May 2020.
l
As
announced on 30 March 2020, the Royal Decree issued by the Spanish
Government resulted in the Company stopping operations at Proyecto
Riotinto for four full days until clarification was provided on 3 April
2020 and operations restarted. Proyecto Riotinto continues operating with
specific requirements and recommendations to prevent the COVID-19 exposure
and the spread of the virus.
l
Atalaya’s
key priority continues to be to protect its workforce and the local
communities surrounding both Proyecto Riotinto and Proyecto Touro.
2020 Outlook
l
As
previously stated, guidance for copper production in 2020 is estimated to
be in the range of 55,000 to 58,000 tonnes.
l
The
COVID-19 pandemic may still further impact how the Company manages its
operations and is accordingly keeping its guidance under regular review.
Should the Company consider the current guidance no longer achievable,
then the Company will provide a further update.
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