Atalaya Mining Copper SA (LON:ATYM) has announced its operations update for the second quarter of 2025.
Proyecto Riotinto Operating Highlights
| Q2 | Q1 | Full Year | |||
| 2025(1) | 2024 | 2025 | 2025 Guidance | ||
| Ore mined | M tonnes | 3.5 | 3.8 | 3.7 | 15 – 16 |
| Waste mined(2) | M tonnes | 12.6 | 7.5 | 11.3 | 37 – 43 |
| Ore processed | M tonnes | 4.0 | 4.1 | 4.2 | 15.5 – 15.8 |
| Copper grade | % | 0.43 | 0.33 | 0.42 | 0.38 – 0.42 |
| Copper recovery | % | 76.75 | 85.81 | 80.98 | 78 – 82 |
| Copper production | tonnes | 13,175 | 11,583 | 14,291 | 48,000 – 52,000 |
(1) Figures for Q2 2025 are preliminary and final figures will be released with Q2 2025 Financial Results.
(2) Represents the Cerro Colorado pit only.
Alberto Lavandeira, Atalaya Mining CEO, commented:
“We are pleased to announce another quarter of consistent performance at Riotinto, which provides confidence in our full year outlook.
With the regulatory approval of the San Dionisio area, the start of drilling at San Antonio and the confirmation of high-grade copper zones at Masa Valverde, we continue to advance our strategy of delivering higher grades to our plant at Riotinto while optimising the use of our existing infrastructure.
The review of documents related to the environmental permit at Proyecto Touro continued to advance, and we remain confident that we will achieve a positive outcome for this potential new source of copper in Europe.
With our growing cash position, we are well-placed to deliver on our organic copper growth pipeline. Copper is increasingly being viewed as a strategic commodity, as highlighted by recent legislation in the U.S. and the competitive environment for copper assets.”
Q2 2025 Operating Results
Mining
Ore mined was 3.5 million tonnes in Q2 2025 (Q2 2024: 3.8 million tonnes), compared with 3.7 million tonnes in Q1 2025.
Waste mined was 12.6 million tonnes in Q2 2025 (Q2 2024: 7.5 million tonnes), compared with 11.3 million tonnes in Q1 2025. In addition, waste stripping activities continued at the San Dionisio area.
Processing
The plant processed ore of 4.0 million tonnes in Q2 2025 (Q2 2024: 4.1 million tonnes), compared with 4.2 million tonnes in Q1 2025. The next SAG mill liner change will be completed in Q3 2025.
Copper grade was 0.43% in Q2 2025 (Q2 2024: 0.33%), compared with 0.42% in Q1 2025.
Copper recovery was 76.75% in Q2 2025 (Q2 2024: 85.81%), compared with 80.98% in Q1 2025. Recoveries in Q2 2025 were impacted by the characteristics of certain ores, however, this material contributed much higher grades than the average plant feed during the Period.
Production
Copper production was 13,175 tonnes in Q2 2025 (Q2 2024: 11,583 tonnes), compared with 14,291 tonnes in Q1 2025, mainly as a result of higher copper grades but partly offset by lower recoveries.
On-site copper concentrate inventories were 10,368 tonnes at 30 June 2025 (31 March 2025: 19,031 tonnes).
Copper contained in concentrates sold was 14,024 tonnes in Q2 2025 (Q2 2024: 11,397 tonnes), compared with 14,687 tonnes in Q1 2025.
Select Financial Highlights
Realised Copper Price
The average realised copper price (excluding QPs closed during the Period) was $4.27/lb in Q2 2025 (Q2 2024: $4.54/lb), compared with $4.26/lb in Q1 2025. The average spot copper price was $4.32/lb in Q2 2025.
Provisional Revenue Adjustments
For Q2 2025, settlement adjustments (for QPs closed during the Period) and fair value adjustments (for open QPs based on copper forward curve prices as of 30 June 2025) were positive €2.2 million.
Balance Sheet
The Company’s balance sheet remains strong with consolidated cash and cash equivalents of €103.0 million as of 30 June 2025 (31 December 2024: €52.9 million).
Current and non-current borrowings were €32.9 million, resulting in a net cash position of €70.1 million as of 30 June 2025 (31 December 2024: €35.1 million).
Outlook for 2025
Atalaya is pleased with Riotinto’s performance in H1 2025, which puts the Company in a strong position to deliver on its full-year targets.
Guidance for 2025 remains unchanged, including copper production of 48,000 – 52,000 tonnes (weighted slightly towards H1 2025) and Cash Cost and AISC of $2.70 – 2.90/lb and $3.20 – 3.40/lb copper payable, respectively.
Asset Portfolio Update
Proyecto Riotinto
On 15 May 2025, San Dionisio was granted the Unified Environmental Authorisation (or in Spanish, Autorización Ambiental Unificada (“AAU”)) by the Junta de Andalucía (“JdA”), which allows for the expansion of mining activities. During Q2 2025, waste stripping activities continued at San Dionisio with total material mined of 1.0 million tonnes, and in H2 2025, mining activities are expected to accelerate. San Dionisio represents a key component of Atalaya’s strategy to increase copper production by sourcing higher-grade material from deposits throughout the Riotinto District to be blended with ore from Cerro Colorado.
With respect to the planned relocation of the A-461 road that currently runs between Cerro Colorado and San Dionisio, the project is progressing well and major works are expected during H2 2025.
At San Antonio, the polymetallic deposit located immediately east of the Cerro Colorado pit, an infill and step-out drilling programme began in June.
E-LIX Phase I Plant
Ramp-up activities continued at the E-LIX Phase I plant. During Q2 2025, further progress was made in relation to optimising and debottlenecking the circuits to increase capacity, with the novel leaching section continuing to perform well. Focus remains on leaching the zinc contained within Atalaya’s copper concentrates due to the low copper treatment charge environment, thereby producing upgraded copper concentrates and zinc precipitates.
Once fully operational, the E-LIX plant is expected to produce high-purity copper or zinc metals and intermediate products (such as metal precipitates) on site, allowing the Company to potentially achieve higher metal recoveries from complex polymetallic ores, lower transportation charges and a reduced carbon footprint.
Riotinto District – Proyecto Masa Valverde (“PMV”)
On 10 July 2025, the Company announced results from its ongoing drilling programme at PMV, where two rigs are active and are focused on infill and extensional drilling at the Masa Valverde deposit.
Notable high-grade copper zone drilling results included 25 metres at 2.93% Cu (MJ65), 46 metres at 2.11% Cu (MJ76) and 26 metres at 2.78% Cu (MJ79), including 10 metres at 4.39% Cu. The results are primarily associated with stockwork-style mineralisation, which is expected to be amenable for processing at the existing Riotinto facilities. Recent drilling supports Atalaya’s initial focus on the Masa Valverde copper zones, which are expected to be mined via the planned access ramp. Development of the access ramp is expected to begin once the purchase of certain surface rights is completed, subject to final Board approval.
PMV has been granted the two key permits required for development – the Unified Environmental Authorisation (or in Spanish, Autorización Ambiental Unificada (“AAU”)) and the exploitation permit.
Proyecto Touro
On 24 June 2024, Atalaya announced that Proyecto Touro, via its local entity Cobre San Rafael, was declared a strategic industrial project by the Council of the Xunta de Galicia (“XdG”). Under legislation of the Autonomous Community of Galicia, the status of strategic industrial project (or in Spanish, Proyecto Industrial Estratégico (“PIE”)) acts to simplify the administrative procedures associated with the development of industrial projects and intends to substantially reduce permitting timelines.
This declaration highlights the XdG’s commitment to promoting new investment that will benefit the region and also support the objectives of the European Union. Copper is considered a strategic raw material by the EU and this project has the potential to become a new source of sustainable European copper production.
The XdG is continuing its review according to the simplified procedures afforded to projects with PIE status. The public information period, which serves to inform the surrounding communities and organisations about the proposed project, concluded on 31 January 2025. Cobre San Rafael has addressed the feedback from the public information period, and most sectoral reports from the Xunta de Galicia have been finalised, with only three reports still pending. The company has also responded to requests for additional information and is awaiting the corresponding replies. Progress on the planned power transmission line continues, with agreements already secured with a significant number of landowners.
The Company continues to engage with the many stakeholders in the region and is restoring the water quality of the rivers around Touro by operating its water treatment plant. The Company has also intensified its recruitment initiatives in relation to its potential future workforce.
Plant engineering is progressing, focused on cost optimisation. Additionally, the search for contractors has started. Finally, infill and step-out drilling programmes continue, with the objective of determining the limits of mineral orebodies both at depth and laterally.
Proyecto Ossa Morena
A step-out drilling programme is underway at the flagship Alconchel-Pallares copper-gold project.
Proyecto Riotinto East
Gravimetric ground surveys have been completed in order to better define future drill targets on the East Belt extension, and soil geochemistry works are nearing completion at two targets.
Skellefte Belt and Rockliden (Sweden)
In November 2024, Atalaya announced that it had entered into two binding agreements with Mineral Prospektering i Sverige AB (“MPS”) pursuant to which Atalaya can earn an initial 75% interest in two separate land packages in Sweden. The Skellefte Belt land package (“Skellefte Belt Project”) and the Rockliden land package (“Rockliden Project”) are located in two notable districts that host many large-scale volcanogenic massive sulphide (“VMS”) deposits and mines owned by Boliden AB. Both regions are underexplored and could increase Atalaya’s exposure to critical minerals in Europe.
Following the winter drilling programmes, complete assays are still pending. At Bjurtraskgruvan, encouraging results from step-out drilling have been received, including:
· 25SBJK015:
‒ From 299.50m, 8.65m at 0.42% Cu, 1.49% Zn, 4.94g/t Ag, 0.12g/t Au (including 2.45m at 0.25% Cu, 4.78% Zn, 5.99g/t Ag, 0.19g/t Au)
· 25SBJK016:
‒ From 263.35m, 4.25m at 0.16% Cu, 7.93% Zn, 4.80g/t Ag, 0.23g/t Au (including 1.70m at 0.06% Cu, 18.51% Zn, 5.24g/t Ag, 0.38g/t Au)
‒ From 275.65m, 8.65m at 0.61% Cu, 2.66% Zn, 12.21g/t Ag, 0.47g/t Au (including 3.85 m at 0.67% Cu, 4.25% Zn, 14.65g/t Ag, 0.82 g/t Au)
· 25SBJK017:
‒ From 98.20m, 4.50m at 1.84% Cu, 0.12% Zn, 14.36g/t Ag, 0.14g/t Au (including 1.20m at 5.14% Cu, 0.30% Zn, 39.6g/t Ag, 0.40g/t Au)
‒ From 163.75m, 10.65m at 2.21% Cu, 0.29% Zn, 10.89g/t Ag, 0.18g/t Au (including 2.95m at 6.35% Cu, 0.70% Zn, 31.79g/t Ag, 0.39g/t Au)
Additionally, results from a geophysical Borehole TEM (BHEM) survey in the new Bjurtraskgruvan drill holes indicate that the “plates” are more extensive than originally thought, potentially increasing the size of the deposit. Further testing will be completed in the winter 2025-2026 drilling season.
An airborne electromagnetic survey (VTEM) is underway in order to provide detailed coverage of the Mid-Skellefte Belt, with results and preliminary interpretation expected in late 2025.
Corporate Activities Update
Indexation
Effective from 7 May 2025, Atalaya’s shares were added to the FTSE 250 Index. This milestone is expected to enhance the Company’s visibility to institutional investors.
2025 Annual General Meeting (“AGM”)
All resolutions put to the Company’s 2025 AGM were passed by the requisite majorities, including the approval of the 2024 Final Dividend of US$0.03 (€0.0275) per share, which will be paid on 23 July 2025.
Board of Directors
Following the conclusion of the Company’s 2025 AGM, Hussein Barma stepped down as an independent non-executive director and Hennie Faul was appointed as an independent non-executive director of the Company. As a result, several changes were made in relation to the composition of the Board’s various committees.
Technical Information
The technical information in this announcement that relates to Proyecto Masa Valverde and the Skellefte Belt Project has been compiled by Juan Manuel Pons Pérez, senior geologist and employee of the Company. Juan Manuel Pons Pérez has over 35 years’ experience, is a member of good standing with the College of Geologists of Andalucía and has sufficient experience that is relevant to the style of mineralisation and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person. Juan Manuel Pons Pérez consents to the inclusion in this release of the matters based on his information in the form and context in which it appears.
