Atico Reports 2018 Fourth Quarter and Full Year Production Results
VANCOUVER, British Columbia, Jan. 29, 2019 (GLOBE NEWSWIRE) -- Atico Mining Corporation (the “Company” or “Atico”) (TSX.V: ATY | OTC: ATCMF) is pleased to announce operating results for the three and twelve month periods ended December 31, 2018 from its El Roble mine. Production totaled 5.81 million pounds of copper with 2,913 ounces of gold for the fourth quarter (“Q4 2018”) and 21.87 million pounds of copper with 11,344 ounces of gold in concentrates for the full year 2018.
“Atico has successfully concluded its fifth full year of operating the El Roble mine, exceeding most of the 2018 guidance while achieving the highest annual production results to date,” said Fernando E. Ganoza, CEO. “In the upcoming year, we will continue aggressive exploration at the El Roble property with an intensified focus on the prospective 6,400-hectare land package while working towards achieving stated guidance.”
Fourth Quarter and Full Year Operational Highlights
Fourth Quarter
- Production of 5.81 million pounds of copper contained in concentrates; an increase of 9% over Q4 2017.
- Production of 2,913 ounces of gold contained in concentrates; a decrease of 2% over Q4 2017.
- Average processed tonnes per day of 867; a, increase of 9% over Q4 2017.
- Copper and gold head grades of 3.66% and 2.00 grams per tonne; a decrease of 8% for copper and 11% for gold over Q4 2017.
- Copper and gold recovery of 93.5% and 59.0%; a decrease of 1% for copper and 8% for gold over Q4 2017.
2018 Year-end
- Production of 21.87 million pounds of copper contained in concentrates; an increase of 6% over 2017.
- Production of 11,344 ounces of gold contained in concentrates; an increase of 4% over 2017.
- Average processed tonnes per day of 827; an increase of 5% over 2017.
- Copper and gold head grades of 3.71% and 2.05 grams per tonne; a decrease of 4% for copper and 2% for gold over 2017.
- Copper and gold recovery of 93.6% and 60.4%; no significant change for copper and a decrease of 5% for gold over 2017.
Fourth Quarter and Full Year Operational Details
| Q1 Total | Q2 Total | Q3 Total | Q4 Total | 2018 Total | ||||||
| Production (Contained in Concentrates) | ||||||||||
| Copper (000s pounds) | 5,476 | 5,220 | 5,358 | 5,811 | 21,867 | |||||
| Gold (ounces) | 2,825 | 2,596 | 3,010 | 2,913 | 11,344 | |||||
| Mine | ||||||||||
| Tonnes of ore mined | 67,022 | 67,255 | 70,652 | 73,575 | 278,504 | |||||
| Mill | ||||||||||
| Tonnes processed | 69,499 | 67,308 | 71,760 | 76,985 | 285,551 | |||||
| Tonnes processed per day | 812 | 792 | 837 | 867 | 827 | |||||
| Copper grade (%) | 3.80 | 3.76 | 3.63 | 3.66 | 3.71 | |||||
| Gold grade (g/t) | 2.03 | 2.02 | 2.17 | 2.00 | 2.05 | |||||
| Recoveries | ||||||||||
| Copper (%) | 94.0 | 93.7 | 93.4 | 93.5 | 93.63 | |||||
| Gold (%) | 62.8 | 59.5 | 60.3 | 59.0 | 60.35 | |||||
| Concentrates | ||||||||||
| Copper and Gold Concentrates (dmt) | 11,474 | 10,717 | 10,877 | 11,827 | 44,896 | |||||
| Payable copper produced (000s lbs) | 5,202 | 4,960 | 5,105 | 5,521 | 20,788 |
Note: Metal production figures are subject to adjustments based on final settlement.
2019 Operating and Capital Guidance
| 2019 Production and Cost Guidance | ||
| Copper (000s pounds) | 20,000 to 21,000 | |
| Gold (ounces) | 10,200 to 10,700 | |
| C1 Cash Cost ($US)(1) | $1.50 to $1.55 |
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 850 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 1.47 million tonnes grading 3.40% copper and 1.88 g/t gold, at a cut-off grade of 1.93% copper equivalent. 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 | OTC: 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.
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 nine months ended September 30, 2018 as filed on SEDAR and as available on the Company's website for further details.
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 prospectus of the Company dated March 2, 2012 filed with the Canadian securities regulatory authorities on the SEDAR website at www.sedar.com
