Atalaya Mining: CEO Discusses Copper Production, Electricity Prices, and More

Atalaya Mining is a fast-growing AIM and TSX-listed mining and development company that produces copper concentrates and silver by-products at its wholly-owned Proyecto Rio Tinto site in southwest Spain and is currently under expansion. The company has a phased, earn-in agreement to acquire up to 80% ownership of Proyecto Touro, a brownfield copper project in northwest Spain that is currently in the permitting stage. 

Atalaya Mining in the last 12 months

According to CEO of Atalaya Mining, Alberto Lavandeira, the company is a growth stock with the potential to double production in the next 3-4 years. The company's project has high net present value and flexibility, and it does not require pre-production capex. However, Atalaya Mining has faced challenges in the past year, including high electricity prices, a crane invasion, the bombing of the Baltic pipes, and a heat wave. 

Inflationary effects on the company’s consumables

Lavandeira discussed the impact of electricity prices on the company, set by long-term agreements. Other cost components which have remained high due to inflation like lime, steel balls, tires, diesel, and explosives have remained high due to slow increase in costs. Inflation will continue, but copper prices can rise to keep the margin relatively constant. Lavandeira also talked about the changing energy landscape in Spain, which is shifting towards sustainable energy sources like wind and solar. This is good news for Atalaya Mining's copper production.

Perspective on the future of copper prices

Inflation will affect copper supply and new projects, according to Lavandeira. Copper is needed for green energy and climate change fights, and supply is limited worldwide. This means that copper prices are likely to rise.

Updates on the E-LIX Plant

Atalaya Mining has also developed a clean leaching system for copper and zinc concentrates. The system uses electricity instead of burning energy, making it environmentally friendly. It allows for the separation of grains without physically separating them, which is important for the polymetallic ores in the region.

Finally, Lavandeira discussed the company's project redesign after a negative environment impact declaration. Changes were made to the project to address concerns and engage with stakeholders.

Expectations for the future

Overall,Atalaya Mining is a company with potential for growth and a focus on sustainability. If you're a retail investor with an interest in copper production and mineral resource companies, Atalaya Mining may be worth keeping an eye on. Copper prices are expected to rise due to limited supply worldwide, and Atalaya Mining is a company with potential for growth and a focus on sustainability.

To find out more, go to the Atalaya Mining website