REG - Atalaya MiningCopper - Q3 2025 Operations Update

Atalaya Mining Copper SAAnnouncement

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RNS Number : 1123E  Atalaya Mining Copper, S.A.  21 October 2025

 

21 October 2025

Atalaya Mining Copper, S.A.

("Atalaya" or "the Company")

Q3 2025 Operations Update

Production supports full-year guidance and cash position grows

 

Atalaya Mining (LSE: ATYM) is pleased to announce its operations update for
the third quarter of 2025 ("Q3 2025" or the "Period").

Proyecto Riotinto Operating Highlights

                              Q3                 Q2      Full Year
                              2025((1))  2024    2025    2025 Guidance
 Ore mined          M tonnes  3.7        4.2     3.5     15 - 16
 Waste mined((2))   M tonnes  9.8        9.6     12.6    40 - 43((3))
 Ore processed      M tonnes  4.3        4.3     4.0     15.8 - 16.0
 Copper grade       %         0.38       0.33    0.43    0.39 - 0.41
 Copper recovery    %         74.45      84.35   76.75   78 - 80
 Copper production  tonnes    12,123     11,901  13,175  49,000 - 52,000

(1)   Figures for Q3 2025 are preliminary and final figures will be released
with Q3 2025 Financial Results.

(2)   Represents the Cerro Colorado pit only.

(3)   Guidance is 47 - 50 million tonnes when including the San Dionisio
pit.

Alberto Lavandeira, CEO, commented:

"Production for the third quarter was consistent with our full-year outlook
and benefitted from strong plant availability. Cost performance is trending
favourably compared to our guidance ranges, and combined with strong copper
prices, our balance sheet continues to strengthen.

We remain busy across our project pipeline in the Riotinto District, including
stripping at San Dionisio, infill drilling at San Antonio and Proyecto Masa
Valverde and engineering works for the future polymetallic circuit.

At Proyecto Touro, our team is active on many fronts, including engaging with
the Xunta de Galicia in relation to the environmental impact review,
progressing detailed engineering and also completing exploration drilling.

We are increasingly optimisitic about Atalaya's growth strategy, thanks to a
portfolio of projects that have the potential to deliver new production into a
copper market that is becoming increasingly supply constrained."

Q3 2025 Operating Results

Mining

Ore mined was 3.7 million tonnes in Q3 2025 (Q3 2024: 4.2 million tonnes),
compared with 3.5 million tonnes in Q2 2025.

Waste mined was 9.8 million tonnes in Q3 2025 (Q3 2024: 9.6 million tonnes),
compared with 12.6 million tonnes in Q2 2025. In addition, waste stripping
activities continued at the San Dionisio area.

Processing

The plant processed ore of 4.3 million tonnes in Q3 2025 (Q3 2024: 4.3 million
tonnes), compared with 4.0 million tonnes in Q2 2025, representing strong
plant performance. The SAG mill liner change was completed during the first
days of October 2025.

Copper grade was 0.38% in Q3 2025 (Q3 2024: 0.33%), compared with 0.43% in Q2
2025.

Copper recovery was 74.45% in Q3 2025 (Q3 2024: 84.35%), compared with 76.75%
in Q2 2025.

Production

Copper production was 12,123 tonnes in Q3 2025 (Q3 2024: 11,901 tonnes),
compared with 13,175 tonnes in Q2 2025.

On-site copper concentrate inventories were 8,092 tonnes at 30 September 2025
(30 June 2025: 9,820 tonnes).

Copper contained in concentrates sold was 12,952 tonnes in Q3 2025 (Q3 2024:
11,656 tonnes), compared with 14,024 tonnes in Q2 2025.

Select Financial Highlights

Realised Copper Price

The average realised copper price (excluding QPs closed during the Period) was
US$4.42/lb in Q3 2025 (Q3 2024: US$4.13/lb), compared with US$4.27/lb in Q2
2025. The average spot copper price was US$4.44/lb in Q3 2025.

Provisional Revenue Adjustments

For Q3 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 September 2025) were positive €1.6 million.

Balance Sheet

The Company's balance sheet remains strong with consolidated cash and cash
equivalents of €113.8 million as of 30 September 2025 (31 December 2024:
€52.9 million).

Current and non-current borrowings were €24.1 million, resulting in a net
cash position of €89.7 million as of 30 September 2025 (31 December 2024:
€35.1 million).

Outlook for 2025

Atalaya is in a strong position to deliver on its full-year targets, thanks to
Riotinto's performance in the year-to-date.

Copper production guidance for 2025 remains at 49,000 - 52,000 tonnes, while
Cash Cost and AISC performance continue to trend favourably in relation to
guidance of US$2.60 - 2.80/lb and US$3.10 - 3.30/lb copper payable,
respectively.

Asset Portfolio Update

Proyecto Riotinto

In 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 Q3 2025, waste stripping activities at San Dionisio accelerated, with
total material mined of 4.2 million tonnes. 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.

At San Antonio, the polymetallic deposit located immediately east of the
Cerro Colorado pit, eight drill holes were completed during the quarter as
part of the ongoing infill and step-out drilling programme.

Atalaya is also advancing the front-end engineering design of a new processing
circuit that would allow for the simultaneous treatment of polymetallic and
copper ores at Riotinto.

E-LIX Phase I Plant

In Q3 2025, the E-LIX Phase I plant demonstrated continuous operations over
extended periods, producing zinc precipitates from copper-zinc concentrates,
although at a reduced capacity.

Lain Technologies also continues to focus on optimisation and debottlenecking
initiatives. In conjunction, an independent third-party engineering firm
initiated a review to assess actual and potential plant performance, confirm
achievable throughput capacity and identify further optimisation
opportunities. Once the third-party review has been completed, Atalaya and
Lain Technologies will determine a future operating strategy for the E-LIX
Phase I plant.

Riotinto District - Proyecto Masa Valverde ("PMV")

On 10 July 2025, the Company announced results from its ongoing drilling
programme at PMV. Two rigs remain active and are focused on infill and
extensional drilling at the Masa Valverde deposit. In addition, two
geotechnical holes were recently completed.

Recent drilling results are primarily associated with stockwork-style
mineralisation, which is expected to be amenable for processing at the
existing Riotinto facilities, and support Atalaya's initial focus on the Masa
Valverde copper zones. Development of the access ramp is anticipated 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. In this context, Cobre San Rafael will apply to the second call for
strategic projects launched by the European Commission, where the main
objective is to ensure a secure and sustainable supply of critical raw
materials for European industry.

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 two reports
still pending. The Company has also responded to requests for additional
information and is awaiting a small number of corresponding replies.

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.

Engineering, cost estimation and financial modelling works are advancing as
expected.

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

Three drill holes were recently completed at the Alconchel-Pallares
copper-gold project.

Proyecto Riotinto East

Following the completion of the gravimetric survey and soil geochemistry, an
area with several coincident gravity-geochemical targets has been outlined at
Cerro Negro and Peñas Blancas. Drilling is expected to commence at Cerro
Negro during the next quarter.

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.

The VTEM airborne electromagnetic survey carried out this summer over the
Skellefte Belt project has extended high-resolution coverage throughout the
permit area. This work has identified multiple new anomalies that are
currently being systematically ranked and modelled. Following further
refinement with ground electromagnetic (FLEM) surveys where required, these
targets will be incorporated into the upcoming winter drilling programme.

Following the processing and modelling of several VTEM anomalies, which were
further refined through FLEM and detailed UAV magnetic surveys conducted over
the summer, a drill rig was mobilised and began drilling activities in the
final days of September.

Recent drilling and ground geophysical surveys (including Borehole BHEM and
FLEM) have indicated extensions of mineralisation at both the Bjurtraskgruvan
deposit (Skellefte Belt Project) and the Rockliden Project. These identified
areas will undergo drill testing during the upcoming winter months, and
planning for these activities is currently underway.

Corporate Activities Update

As announced on 17 September 2025, alternative arrangements were implemented
to assist the holders of Atalaya ordinary shares represented by physical
certificates as at 9 January 2025 to convert their shares into electronic form
represented by CREST Depositary Interests.

Contacts:

 SEC Newgate UK  Elisabeth Cowell / Tom Carnegie / Gwen Samuel  +44 20 3757 6882
 Atalaya Mining  Michael Rechsteiner                            +34 959 59 28 50

About Atalaya Mining Copper, S.A.

Atalaya is a European copper producer that owns and operates the Proyecto
Riotinto complex in southwest Spain. Atalaya's shares trade on the London
Stock Exchange's Main Market under the symbol "ATYM" and Atalaya is a FTSE 250
Index constituent.

Atalaya's operations include the Cerro Colorado open pit mine and a modern 15
Mtpa processing plant, which has the potential to become a central processing
hub for ore sourced from its wholly owned regional projects around Riotinto,
such as Proyecto Masa Valverde and Proyecto Riotinto East. In addition,
Atalaya has a phased earn-in agreement for up to 80% ownership of Cobre San
Rafael S.L., which fully owns the Proyecto Touro brownfield copper project in
the northwest of Spain, as well as a 99.9% interest in Proyecto Ossa Morena.
For further information, please visit www.atalayamining.com
(http://www.atalayamining.com)

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