Atalaya Mining plc (AIM:ATYM, TSX:AYM) is pleased to announce the completion of a pre-feasibility study (“PFS”) for a proposed copper open pit mine and concentrator at its Proyecto Touro in north west Spain.
Highlights
Strong Project Economics
- NPV post-tax at 8% discount rate of $180 million using long term copper price of US3.00/lb
- Unlevered IRR of 20.5%
- Total free cash flow of $489 million
- Annual average free cash flow of $60m from commercial production
Low cost Operations
- Estimated average C1 cash costs of US$1.73/lb of payable Cu net of silver credits
- All-in sustaining costs (“AISC”) of US$1.85/lb of payable Cu net of silver credits
Capital Costs and Infrastructure
- Pre-production capital expenditure of $165 million with an additional expansion capital estimate of $30 million in year eight
- Low LOM sustaining capital expenditure of $55 million
Project Parameters
- Contained copper, within P&P reserves only, is estimated at 392,000 tonnes and 2.1 million ounces of silver
- 2 years of development and 12 years of operation
- Average yearly production of 30,000 tonnes copper and 70,000 ounces of silver in concentrate
- Shallow open pit mining with low waste-to-ore ratio of 2.43
- Very clean high-grade copper concentrates
…the announcement continues. Read the entire announcement “Proyecto Touro Pre-feasibility Study” (454KB pdf)
