REG - Atalaya MiningCopper - Q3 and YTD 2025 Financial Results
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RNS Number : 3186H Atalaya Mining Copper, S.A. 13 November 2025
13 November 2025
Atalaya Mining Copper, S.A.
("Atalaya" or the "Company")
Q3 and YTD 2025 Financial Results
On track to achieve full-year guidance following another positive quarter
Atalaya Mining (LSE: ATYM) is pleased to announce its unaudited third quarter
and nine-month financial results for the period ended 30 September 2025 ("Q3
2025" and "YTD 2025" respectively) together with its interim financial
statements.
Highlights
· Copper production of 12.1 kt in Q3 2025 and 39.6 kt in YTD 2025
· Cash Costs of US$2.55/lb in Q3 2025 and US$2.33/lb in YTD 2025,
demonstrating strong performance throughout 2025
· AISC of US$2.98/lb in Q3 2025 and US$2.84/lb in YTD 2025
· EBITDA of €30.7 million in Q3 2025 and €138.3 million in YTD
2025, despite the inclusion of a €4.4 million provision for a potential land
tax re-assessment
· Net cash position of €89.7 million, which provides support for
Atalaya's continued investments in its copper growth pipeline
· Strong performance to date positions Atalaya to achieve its
FY2025 guidance
Q3 and YTD 2025 Financial Results Summary
Period ended 30 September Unit Q3 2025 Q3 2024 YTD 2025 YTD 2024
Revenues from operations €k 106,753 86,799 361,503 248,945
Operating costs €k (76,036) (69,801) (223,194) (195,269)
EBITDA €k 30,717 16,998 138,309 53,676
Profit for the period €k 10,848 1,491 70,912 17,638
Basic earnings per share € cents/share 7.8 1.7 50.5 13.9
Cash flows from operating activities €k 41,729 13,913 120,006 42,302
Cash flows used in investing activities €k (17,992) (14,564) (59,765) (49,495)
Cash flows from financing activities €k (12,863) (2,422) 2,026 (38,093)
Net cash position ((1)) €k 89,748 40,586 89,748 40,586
Working capital surplus €k 93,125 54,456 93,125 54,456
Average realised copper price US$/lb 4.41 4.13 4.31 4.22
(excluding QPs)
Copper concentrate produced tonnes 74,448 69,307 231,706 182,615
Copper production tonnes 12,123 11,901 39,589 34,149
Cash Costs US$/lb payable 2.55 3.01 2.33 2.96
All-In Sustaining Costs ("AISC") US$/lb payable 2.98 3.39 2.84 3.26
(1) Includes restricted cash and bank borrowings at 30 September 2025 and
30 September 2024.
Alberto Lavandeira, CEO, commented:
"We are pleased to deliver another quarter of positive financial results,
underpinned by solid copper production, strong cost performance and free cash
flow generation that has further strengthened our balance sheet. Our
operational progress and financial management have ensured that we remain on
track to achieve our full-year guidance.
We continue to focus on advancing our core growth projects, which have the
potential to materially increase our copper production in the coming years. In
the Riotinto District, we have accelerated stripping activities at San
Dionisio, continue drilling at Masa Valverde and San Antonio and are advancing
engineering works on the potential polymetallic circuit. At Touro, we continue
to have positive engagement with the Xunta de Galicia in relation to the
environmental permit.
As we look ahead, we are increasingly confident in our copper growth strategy.
Governments around the world continue to classify copper as a core critical
mineral, while at the same time, miners have demonstrated the many challenges
associated with maintaining existing production levels and developing new
projects. As a result, copper fundamentals are strengthening quarter by
quarter."
Results Presentations
Analyst and Investor Presentation
Alberto Lavandeira (CEO) and César Sánchez (CFO) will host a webcast for
analysts and investors today at 9:00 GMT.
To access the SparkLive webcast, please visit:
Atalaya Mining Q3 and YTD 2025 Results | SparkLive | LSEG
(https://eur01.safelinks.protection.outlook.com/?url=https%3A%2F%2Fsparklive.lseg.com%2FAtalayaMining%2Fevents%2F71e5b201-8193-45f6-a92a-98ae6f439484%2Fatalaya-mining-q3-and-ytd-2025-results&data=05%7C02%7Cmichael.rechsteiner%40atalayamining.com%7Ce668edcadb1a430426d008de160dce51%7Cc8a387f772f64a3880d3a42d91fe8257%7C0%7C0%7C638972445741398454%7CUnknown%7CTWFpbGZsb3d8eyJFbXB0eU1hcGkiOnRydWUsIlYiOiIwLjAuMDAwMCIsIlAiOiJXaW4zMiIsIkFOIjoiTWFpbCIsIldUIjoyfQ%3D%3D%7C0%7C%7C%7C&sdata=msG4T2U3x52bJDJfDqht64eshX5O3bYtRCLr4oHc3t4%3D&reserved=0)
Investor Meet Company Presentation
In addition, the Company will provide a live presentation via the Investor
Meet Company platform today at 11:00 GMT.
To access the Investor Meet Company presentation, please visit:
https://www.investormeetcompany.com/atalaya-mining-copper-sa/register-investor
(https://www.investormeetcompany.com/atalaya-mining-copper-sa/register-investor)
Management will also answer questions that have been submitted via the
Investor Meet Company dashboard.
Q3 and YTD 2025 Operating Results Summary
Unit Q3 2025 Q3 2024 YTD 2025 YTD 2024
Ore mined tonnes 3,726,262 4,169,054 10,949,563 11,668,806
Waste mined ((1)) tonnes 9,803,768 9,577,022 33,763,057 22,624,077
Ore processed tonnes 4,271,614 4,329,523 12,490,078 12,156,024
Copper grade % 0.38 0.33 0.41 0.33
Copper concentrate grade % 16.28 17.17 17.09 18.70
Copper recovery % 74.45 84.35 77.48 84.96
Copper concentrate produced tonnes 74,448 69,307 231,706 182,615
Copper production tonnes 12,123 11,901 39,589 34,149
Payable copper production tonnes 11,378 11,207 37,272 32,323
Cash Costs US$/lb payable 2.55 3.01 2.33 2.96
All-in Sustaining Costs US$/lb payable 2.98 3.39 2.84 3.26
(1) Represents the Cerro Colorado pit only.
Mining
Ore mined was 3.7 million tonnes in Q3 2025 (Q3 2024: 4.2 million tonnes) and
10.9 million tonnes in YTD 2025 (YTD 2024: 11.7 million tonnes).
Waste mined was 9.8 million tonnes in Q3 2025 (Q3 2024: 9.6 million tonnes)
and 33.8 million tonnes in YTD 2025 (YTD 2024: 22.6 million tonnes). 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) and 12.5 million tonnes in YTD 2025 (YTD 2024: 12.2 million tonnes),
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%) and 0.41% in YTD 2025 (YTD
2024: 0.33%).
Copper recovery was 74.45% in Q3 2025 (Q3 2024: 84.35%) and 77.48% in YTD 2025
(YTD 2024: 84.96%).
Production
Copper production was 12,123 tonnes in Q3 2025 (Q3 2024: 11,901 tonnes) and
39,589 tonnes in YTD 2025 (YTD 2024: 34,149 tonnes).
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 12,234 tonnes in Q3 2025 (Q3 2024:
11,656 tonnes) and 41,664 tonnes in YTD 2025 (YTD 2024: 33,338 tonnes).
Cash Cost and AISC Breakdown
US$/lb Cu payable Q3 2025 Q3 2024 YTD 2025 YTD 2024
Mining 1.07 1.18 0.92 1.07
Processing 0.94 0.99 0.83 0.91
Other site operating costs 0.74 0.62 0.64 0.64
Total site operating costs 2.75 2.80 2.40 2.63
By-product credits (0.43) (0.37) (0.35) (0.25)
Freight, treatment charges and other offsite costs 0.23 0.58 0.29 0.58
Total offsite costs (0.20) 0.21 (0.07) 0.33
Cash Costs 2.55 3.01 2.33 2.96
Cash Cost 2.55 3.01 2.33 2.96
Corporate costs 0.10 0.08 0.09 0.10
Sustaining capital (excluding tailings expansion) 0.02 0.10 0.03 0.06
Capitalised stripping costs ((1)) 0.18 0.11 0.28 0.06
Other costs 0.14 0.10 0.10 0.09
AISC 2.98 3.39 2.84 3.26
(1) Represents the Cerro Colorado pit only.
Note: Some figures may not add up due to rounding.
Cash Costs were US$2.55/lb payable copper in Q3 2025 (Q3 2024: US$3.01/lb) and
US$2.33/lb payable copper in YTD 2025 (YTD 2024: US$2.96/lb), with the
decrease due to higher copper production, higher silver credits and lower
treatment charges, partly offset by a stronger EUR/USD exchange rate which is
a headwind for USD-denominated metrics.
AISC were US$2.98/lb payable copper in Q3 2025 (Q3 2024: US$3.39/lb) and
US$2.84/lb payable copper in YTD 2025 (YTD 2024: US$3.26/lb), with the
decrease in costs due to the same factors that impacted Cash Costs as well as
lower sustaining capital, but partly offset by higher capitalised stripping.
AISC excludes investments in the tailings dam (consistent with prior
reporting) and waste stripping at the San Dionisio area.
Q3 and YTD 2025 Financial Results Highlights
Income Statement
Revenues were €106.8 million in Q3 2025 (Q3 2024: €86.8 million) and
€361.5 million in YTD 2025 (YTD 2024: €248.9 million), as a result of
higher copper concentrate sales, higher realised copper prices and lower
offsite costs.
Operating costs were €76.0 million in Q3 2025 (Q3 2024: €69.8 million) and
€223.2 million in YTD 2025 (YTD 2024: €195.3 million). Operating costs in
Q3 2025 were impacted by the inclusion of a €4.4 million provision related
to a potential land tax (cadastral) re-assessment, while operating costs in
YTD 2025 reflected higher mining and processing rates than the comparative
period.
EBITDA was €30.7 million in Q3 2025 (Q3 2024: €17.0 million) and €138.3
million in YTD 2025 (YTD 2024: €53.7 million), after the impact of the
€4.4 million cadastral tax provision.
Profit after tax was €10.8 million in Q3 2025 (Q3 2024: €1.5 million) or
7.8 cents basic earnings per share (Q3 2024: 1.7 cents) and €70.9 million in
YTD 2025 (YTD 2024: €17.6 million) or 50.5 cents basic earnings per share
(YTD 2024: 13.9 cents). Profits were impacted by the impairment of a €2.7
million loan to Lain Technologies in relation to the E-LIX pilot plant.
Cash Flow Statement
Cash flows from operating activities before changes in working capital were
€36.5 million in Q3 2025 (Q3 2024: €16.5 million) and €41.7 million
after working capital changes (Q3 2024: €13.9 million). For YTD 2025, cash
flows from operating activities before changes in working capital were
€144.7 million (YTD 2024: €54.7 million) and €120.0 million after
working capital changes (YTD 2024: €42.3 million).
Cash flows used in investing activities were €18.0 million in Q3 2025 (Q3
2024: €14.6 million) and €59.8 million in YTD 2025 (YTD 2024: €49.5
million). Key investments in Q3 2025 included €0.4 million in sustaining
capex, €3.9 million in capitalised stripping at Cerro Colorado, €7.9
million related to the San Dionisio area, €3.5 million to expand the
tailings dam and €0.2 million for the solar plant. In addition, €0.4
million was invested in the E-LIX Phase I Plant.
Cash flows from financing activities were negative €12.9 million in Q3 2025
(Q3 2024: negative €2.4 million) and positive €2.0 million in YTD 2025
(YTD 2024: negative €38.1 million), reflecting credit facility repayments
and drawdowns to finance short-term working capital needs.
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).
Inventories of concentrate valued at cost were €8.5 million at 30 September
2025 (31 December 2024: €19.7 million). The total working capital surplus
was €93.1 million at 30 September 2025 (31 December 2024: €44.7 million).
Outlook for 2025
Copper production guidance for FY2025 continues to be 49,000 - 52,000 tonnes.
As a result of a revised allocation of stripping costs at San Dionisio, Cash
Costs and AISC for FY2025 are expected to be at the low end of the guidance
ranges (US$2.60 - 2.80/lb and US$3.10 - 3.30/lb copper payable, respectively),
while non-sustaining capital investments for FY2025 are expected to be at the
high end of the guidance range (€29 - 37 million).
Exploration expenditure guidance for FY2025 remains at €8 - 12 million.
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.
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, the infill and step-out drilling programme continues.
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 operated for extended periods, producing
zinc precipitates from copper-zinc concentrates, although at a variable and
reduced capacity.
Lain Technologies continued to focus on optimisation and debottlenecking
initiatives. In parallel, an independent third-party engineering firm
initiated a review to assess actual and potential plant performance, including
achievable throughput capacity, and identify further optimisation
opportunities. Once this 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 in the coming months 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. Extensional and exploration drilling is expected to begin
at the Guijarro-Chaparral gold-copper project in the coming weeks.
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 in early 2026.
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.
Contacts:
SEC Newgate UK Clotilde Gros / George Esmond / 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)
ATALAYA MINING COPPER, S.A.
MANAGEMENT'S REVIEW AND
UNAUDITED CONDENSED CONSOLIDATED INTERIM
FINANCIAL STATEMENTS
30 September 2025
Management review report
Notice to Reader
The accompanying Unaudited Condensed Consolidated Interim Financial Statements
of Atalaya Mining Copper, S.A. have been prepared by and are the
responsibility of its management.
Introduction
This report provides an overview and analysis of the financial results of
operations of Atalaya Mining Copper, S.A. and its subsidiaries ("Atalaya", the
"Company" and/or "Group"), to enable the reader to assess material changes in
the financial position between 31 December 2024 and 30 September 2025 and
results of operations for the three and nine months ended 30 September 2025
and 2024.
This report has been prepared as of 12 November 2025. The analysis hereby
included is intended to supplement and complement the Unaudited Condensed
Consolidated Interim Financial Statements and notes thereto ("Financial
Statements") as at and for the period ended 30 September 2025. The reader
should review the Financial Statements in conjunction with the review of this
report and with the audited, consolidated financial statements for the year
ended 31 December 2024, and the Unaudited Condensed Consolidated Interim
Financial Statements for the period ended 30 September 2024. These documents
can be found on Atalaya's website at www.atalayamining.com
(http://www.atalayamining.com)
Atalaya prepares its Annual Financial Statements in accordance with
International Financial Reporting Standards as adopted by the European Union
(IFRS-EU) and the interpretations of the IFRS Interpretations Committee (IFRS
IC) approved by Regulations of the European Commission, and its Unaudited
Condensed Consolidated Interim Financial Statements in accordance with
International Accounting Standard 34: Interim Financial Reporting. The
currency referred to in this document is the Euro, unless otherwise specified.
Forward-looking statements
This report may include certain "forward-looking statements" and
"forward-looking information" under applicable securities laws. Except for
statements of historical fact, certain information contained herein constitute
forward-looking statements. Forward-looking statements are frequently
characterised by words such as "plan", "expect", "project", "intend",
"believe", "anticipate", "estimate", and other similar words, or statements
that certain events or conditions "may" or "will" occur. Forward-looking
statements are based on the opinions and estimates of management at the date
the statements are made, and are based on a number of assumptions and subject
to a variety of risks and uncertainties and other factors that could cause
actual events or results to differ materially from those projected in the
forward-looking statements. Assumptions upon which such forward-looking
statements are based include that all required third party regulatory and
governmental approvals will be obtained. Many of these assumptions are based
on factors and events that are not within the control of Atalaya and there is
no assurance they will prove to be correct. Factors that could cause actual
results to vary materially from results anticipated by such forward-looking
statements include changes in market conditions and other risk factors
discussed or referred to in this report and other documents filed with the
applicable securities regulatory authorities. Although Atalaya has attempted
to identify important factors that could cause actual actions, events or
results to differ materially from those described in forward-looking
statements, there may be other factors that cause actions, events or results
not to be anticipated, estimated or intended. There can be no assurance that
forward-looking statements will prove to be accurate, as actual results and
future events could differ materially from those anticipated in such
statements. Atalaya undertakes no obligation to update forward-looking
statements if circumstances or management's estimates or opinions should
change except as required by applicable securities laws. The reader is
cautioned not to place undue reliance on forward-looking statements.
1. Incorporation and description of the Business
Atalaya Mining Copper, S.A. was incorporated in Cyprus on 17 September 2004 as
a private company with limited liability under the Companies Law, Cap. 113 and
was converted to a public limited liability company on 26 January 2005. Its
registered office after the cross-border conversion finished on 10 January
2025 is Paseo de las Delicias, 1, 3, 41001, Sevilla, Spain.
The Company was first listed on the Alternative Investment Market (AIM) of the
London Stock Exchange in May 2005, trading under the symbol ATYM. On 29 April
2024, the Company was admitted to the premium listing segment of the Official
List maintained by the FCA and to trading on the main market of the London
Stock Exchange. After completion of the cross-border conversion, the Company's
shares commenced trading under "Atalaya Mining Copper, S.A." on 10 January
2025 and the nominal value of the Company's shares were also adjusted from
7.5p to €0.09 per share.
Atalaya is a European mining and development company. The strategy is to
evaluate and prioritise metal production opportunities in several
jurisdictions throughout the well-known belts of base and precious metal
mineralisation in Spain, elsewhere in Europe and Latin America.
The Group has interests in four mining projects: Proyecto Riotinto, Proyecto
Touro, Proyecto Masa Valverde and Proyecto Ossa Morena. In addition, the Group
has an earn-in agreement to acquire two investigation permits at Proyecto
Riotinto East.
In November 2024, Atalaya entered into earn-in agreements on two exploration
projects in Sweden (the Skellefte Belt and Rockliden) located in prospective
volcanogenic massive sulphide ("VMS") districts.
Proyecto Riotinto
The Company owns and operates through a wholly owned subsidiary, "Proyecto
Riotinto", an open-pit copper mine located in the Iberian Pyrite Belt, in the
Andalusia region of Spain, approximately 65 km northwest of Seville. A
brownfield expansion of this mine was completed in 2019 and successfully
commissioned by Q1 2020.
Proyecto Touro
As described in the Annual Report 2024, the Group initially acquired a 10%
stake in Cobre San Rafael, S.L. ("CSR"), the owner of Proyecto Touro, under an
earn-in agreement that allows the Group to acquire up to 80% of the copper
project. Proyecto Touro, located in Galicia (north-west Spain), is currently
in the permitting process.
In July 2017, the Group announced that it had executed the option to acquire
10% of CSR, a wholly owned subsidiary of Explotaciones Gallegas S.L. The
earn-in agreement was structured in four phases, enabling the Group to
gradually increase its stake in CSR up to 80%:
- Phase 1 - The Group paid €0.5 million to secure and exclusive
right to fund up to a maximum of €5.0 million to support the permitting and
financing stages.
- Phase 2 - Upon receipt of permits, the Group is required to pay
€2.0 million to acquire an additional 30% interest in the project
(cumulative 40%).
- Phase 3 - Once development capital is secured and construction
commences, the Group is required to pay €5.0 million to acquire an
additional 30% interest in the project (cumulative 70%).
- Phase 4 - Upon declaration of commercial production, the Group
purchases an additional 10% interest (cumulative 80%) in consideration for a
0.75% Net Smelter Return royalty, with a buyback option.
The agreement was structured to ensure that payments would be made
progressively as the project is de-risked, permitted, and becomes operational.
On 24 June 2024, Atalaya announced that Proyecto Touro, through CSR, had been
declared a Strategic Industrial Project ("Proyecto Industrial Estratégico" or
"PIE") by the Council of the Xunta de Galicia ("XdG"). Under Galician
legislation, PIE status sought to simplify administrative procedures and aimed
to shorten permitting timelines.
This declaration highlighted the XdG's commitment to promoting new investment
in the region and aligned with the objectives of the European Union. As copper
was considered a strategic raw material by the EU, the project was recognised
for its potential to become a sustainable European source of copper
production.
The XdG continued its review under the simplified procedures applicable to PIE
projects. The public information period, which informed nearby communities and
organisations about the proposed project, concluded on 31 January 2025. At
that time, CSR was focused on analysing and responding to feedback from the
public and assessing sectoral reports issued by various departments of the
XdG.
As a result of developments during 2024, the Group concluded that it was
likely that phases 2, 3 and 4 of the Touro project would be completed.
Accordingly, in line with the Group's accounting policy on contingent
payments, it recognised an intangible asset of €16.5 million as of year-end,
together with the related contingent liabilities.
In accordance with the Group's policy on non-controlling interests, 20% of the
newly recognised intangible asset was allocated to non-controlling interests,
amounting to €3.3 million.
As also disclosed in the Annual Report 2024 and reflecting the Group's updated
expectations regarding the completion of future phases, the Group reversed a
previously recorded impairment from 2019 of €6.9 million, which related to
capitalised expenses associated with Proyecto Touro.
In parallel, the Company continued to engage with local stakeholders through
recruitment initiatives and maintained its water treatment operations to
improve water quality in rivers around Touro.
Furthermore, the Company carried out infill and step-out drilling programmes,
focused on areas within the initial mine plan where mineralisation remained
open.
Proyecto Masa Valverde
On 21 October 2020, the Company announced that it had entered into a
definitive purchase agreement to acquire 100% of the shares of Cambridge
Mineria España, S.L. (since renamed Atalaya Masa Valverde, S.L.U.), a Spanish
company which fully owns the Masa Valverde polymetallic project located in
Huelva (Spain). Under the terms of the agreement Atalaya will make an
aggregate €1.4 million cash payment in two approximately equal instalments.
The first payment is to be executed once the project is permitted and the
second and final payment when first production is achieved from the
concession.
In November 2023, the exploitation permit for the Masa Valverde and Majadales
deposits was officially granted. Following this milestone, in January 2024,
the Company made a payment of €0.7 million as part of the process associated
with the granted permits.
Proyecto Ossa Morena ("POM")
In December 2021, Atalaya announced the acquisition of a 51% interest in Rio
Narcea Nickel, S.L., which owned 9 investigation permits. The acquisition also
provided a 100% interest in three investigation permits that are also located
along the Ossa-Morena Metallogenic Belt. In Q3 2022, Atalaya increased its
ownership interest in POM to 99.9%, up from 51%, following completion of a
capital increase that will fund exploration activities. During 2022 Atalaya
rejected 8 investigation permits.
Atalaya will pay a total of €2.5 million in cash in three instalments and
grant a 1% net smelter return ("NSR") royalty over all acquired permits. The
first payment of €0.5 million was made following execution of the purchase
agreement. The second and third instalments of €1 million each will be made
once the environmental impact statement ("EIS") and the final mining permits
for any project within any of the investigation permits acquired under the
agreement are secured. In accordance with the agreement, these outstanding
instalments are disclosed as a non-current payable to the sellers.
Proyecto Riotinto East
In December 2020, Atalaya entered into a Memorandum of Understanding with a
local private Spanish company to acquire a 100% beneficial interest in three
investigation permits (known as Peñas Blancas, Cerro Negro and Herreros
investigation permits), which cover approximately 12,368 hectares and are
located immediately east of Proyecto Riotinto. After a short drilling
campaign, the Los Herreros investigation permit was rejected in June 2022.
Proyecto Riotinto East consists of the remaining two investigation permits,
Peñas Blancas and Cerro Negro, totalling 10,016 hectares.
Skellefte Belt Project and Rockliden Project
During 2024, the Group entered into earn-in agreements with Mineral
Prospektering i Sverige AB ("MPS") in relation to the Skellefte Belt Project
and the Rockliden Project, both situated in well-established volcanogenic
massive sulphide districts renowned for their mineral resource potential.
2. Overview of Operational Results
Proyecto Riotinto
The following table presents a summarised statement of operations of Proyecto
Riotinto for the three and nine months ended 30 September 2025 and 2024,
respectively.
Unit Q3 2025 Q3 2024 YTD 2025 YTD 2024
Ore mined tonnes 3,726,262 4,169,054 10,949,563 11,668,806
Waste mined ((1)) tonnes 9,803,768 9,577,022 33,763,057 22,624,077
Ore processed tonnes 4,271,614 4,329,523 12,490,078 12,156,024
Copper grade % 0.38 0.33 0.41 0.33
Copper concentrate grade % 16.28 17.17 17.09 18.70
Copper recovery % 74.45 84.35 77.48 84.96
Copper concentrate produced tonnes 74,448 69,307 231,706 182,615
Copper production tonnes 12,123 11,901 39,589 34,149
Payable copper production tonnes 11,378 11,207 37,272 32,323
Cash Costs * US$/lb payable 2.55 3.01 2.33 2.96
All-in Sustaining Cost ("AISC") * US$/lb payable 2.98 3.39 2.84 3.26
(1) Represents the Cerro Colorado pit only.
(*) Refer Section 5 of this Management Review.
US$/lb Cu payable Q3 2025 Q3 2024 YTD 2025 YTD 2024
Mining 1.07 1.18 0.92 1.07
Processing 0.94 0.99 0.83 0.91
Other site operating costs 0.74 0.62 0.64 0.64
Total site operating costs 2.75 2.80 2.40 2.63
By-product credits (0.43) (0.37) (0.35) (0.25)
Freight, treatment charges and other offsite costs 0.23 0.58 0.29 0.58
Total offsite costs (0.20) 0.21 (0.07) 0.33
Cash Costs 2.55 3.01 2.33 2.96
Cash Costs 2.55 3.01 2.33 2.96
Corporate costs 0.10 0.08 0.09 0.10
Sustaining capital (excluding tailings expansion) 0.02 0.10 0.03 0.06
Capitalised stripping costs ((1)) 0.18 0.11 0.28 0.06
Other costs 0.14 0.10 0.10 0.09
AISC 2.98 3.39 2.84 3.26
(1) Represents the Cerro Colorado pit only.
Note: Some figures may not add up due to rounding.
Three months operational review
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 advanced at the San Dionisio area, supporting future access to
higher-grade material following the granting of the environmental permit (AAU)
in May 2025.
Processing
The plant processed 4.3 million tonnes of ore in Q3 2025 (Q3 2024: 4.3 million
tonnes), compared with 4.0 million tonnes in Q2 2025. This reflects ongoing
strong plant performance, above the 15 million tonne per annum nameplate
capacity.
Copper grade in Q3 2025 was 0.38% (Q3 2024: 0.33%), compared with 0.42% in Q2
2025.
Copper recovery was 74.45% in Q3 2025 (Q3 2024: 84.35%), compared with 76.75%
in Q2 2025. The decrease was due to mineralogical variability of certain ores
processed during the quarter.
Production
Copper production was 12,123 tonnes in Q3 2025 (Q3 2024: 11,901 tonnes),
compared with 13,175 tonnes in Q2 2025. The quarterly decrease was the result
of lower recoveries and lower grades, partly offset by higher throughput.
On-site copper concentrate inventories stood at 8,092 tonnes at 30 September
2025, compared with 9,820 tonnes at 30 June 2025, reflecting increased
concentrate sales. Copper contained in concentrates sold was 12,234 tonnes in
Q3 2025 (Q3 2024: 11,656 tonnes), compared with 14,024 tonnes in Q2 2025.
Nine months operational review
Copper production during YTD 2025 was 39,589 tonnes, compared with 34,149
tonnes in the same period of 2024. Higher production was primarily the result
of increased ore throughput and higher copper grades, which more than offset
the impact of lower recoveries.
Payable copper in concentrates was 37,272 tonnes, compared with 32,323 tonnes
of payable copper in YTD 2024.
Ore mined in YTD 2025 was 10.9 million tonnes, compared with 11.7 million
tonnes during YTD 2024. Ore processed was 12.5 million tonnes, compared with
12.2 million tonnes in YTD 2024, although a portion of lower-grade stockpiles
was processed during YTD 2025.
Ore grade during YTD 2025 was 0.41% Cu, compared with 0.33% Cu in YTD 2024.
Copper recovery was 77.48%, compared to 84.96% in the same period of the
previous year. Concentrate production amounted to 231,706 tonnes, above the
YTD 2024 production of 182,615 tonnes.
3. Outlook
The forward-looking information contained in this section is subject to the
risk factors and assumptions contained in the cautionary statement on
forward-looking statements included in the Basis of Reporting. Should the
Company consider the current guidance no longer achievable, then the Company
will provide a further update.
Operational guidance
Proyecto Riotinto operational guidance for 2025 is as follows:
Unit Guidance 2025
Ore mined million tonnes 15 - 16
Waste mined ((1)) million tonnes 40 - 43
Ore processed million tonnes 15.8 - 16.0
Copper grade % 0.39 - 0.41
Copper recovery % 78 - 80
Copper production tonnes 49,000 - 52,000
Cash Costs US$/lb payable US$2.60 - 2.80((2))
All-in sustaining cost US$/lb payable US$3.10 - 3.30((2))
(1) Represents the Cerro Colorado pit only. Guidance is 47 - 50 million
tonnes when including the San Dionisio pit.
(2) Low end.
Copper production guidance for FY2025 continues to be 49,000 - 52,000 tonnes.
As a result of a revised allocation of stripping costs at San Dionisio, Cash
Costs and AISC for FY2025 are expected to be at the low end of the guidance
ranges (US$2.60 - 2.80/lb and US$3.10 - 3.30/lb copper payable, respectively),
while non-sustaining capital investments for FY2025 are expected to be at the
high end of the guidance range (€29 - 37 million).
Exploration expenditure guidance for FY2025 remains at €8 - 12 million.
4. Overview of the Financial Results
The following table presents summarised consolidated income statements for the
three and nine months ended 30 September 2025, with comparatives for the three
and nine months ended 30 September 2024, respectively.
(Euro 000's) Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Revenues 106,753 86,799 361,503 248,945
Costs of sales (72,242) (65,601) (212,474) (182,565)
Corporate expenses (2,639) (1,091) (6,694) (6,094)
Exploration expenses (1,542) (1,367) (4,972) (3,313)
Care and maintenance expenditures (39) (2,012) (46) (4,053)
Other income 426 270 992 756
EBITDA 30,717 16,998 138,309 53,676
Depreciation/amortisation (13,985) (12,350) (39,780) (32,940)
Net foreign exchange (loss)/gain 77 (1,685) (5,879) 558
Net finance (cost)/income (2,880) (564) (2,961) (655)
Tax (3,081) (908) (18,777) (3,001)
Profit for the period 10,848 1,491 70,912 17,638
Three months financial review
Revenues for the three-month period ended 30 September 2025 amounted to
€106.8 million (Q3 2024: €86.8 million). The increase in revenues was
mainly driven by significantly higher copper concentrate volumes sold with
lower offsite costs and higher realised copper prices, despite a stronger Euro
relative to the US Dollar.
Realised prices excluding quotation periods ("QPs") were US$4.41/lb copper
during Q3 2025 compared with US$4.13/lb in Q3 2024. The realised price
including QPs was approximately US$4.38/lb during Q3 2025 (Q3 2024:
US$4.12/lb).
Cost of sales for the three-month period ended 30 September 2025 amounted to
€72.2 million, compared with €65.6 million in Q3 2024. Higher costs were
mainly driven by a lower inventory movement compared with Q3 2024. The current
quarter also includes a €4.4 million provision related to a cadastral tax
examination in Spain. These effects were partially offset by lower costs of
electricity, consumables, and professional services.
Cash costs were US$2.55/lb payable copper during Q3 2025 compared with
US$3.01/lb in the same period last year. The reduction in unit cash costs was
mainly due to higher copper production and lower offsites costs despite of
stronger Euro/US Dollar exchange rate compared to Q3 2024. AISC for Q3 2025,
excluding one-off investments in the tailings dam and San Dionisio stripping,
was US$2.98/lb payable copper compared with US$3.39/lb in Q3 2024. The
decrease was primarily due to lower cash costs despite an increase in
capitalised stripping.
Sustaining capex for Q3 2025 amounted to €0.4 million (Q3 2024: €2.2
million), mainly related to the new crusher and enhancements in the processing
systems. In addition, the Company continues to invest in the tailings dam
project to increase storage capacity, having invested €3.5 million in Q3
2025 (Q3 2024: €3.5 million). Stripping costs capitalised for Cerro Colorado
during Q3 2025 amounted to €3.9 million (Q3 2024: €2.4 million).
Capex associated with the construction of the solar plant amounted to €0.2
million in Q3 2025 (Q3 2024: €2.4 million), while investments in the E-LIX
Phase I plant totalled €0.4 million (Q3 2024: €3.6 million). Additionally,
capex of €7.9 million was related to the San Dionisio area during the
quarter.
Corporate expenses amounted to €2.6 million (Q3 2024: €1.1 million) and
include non-operating costs of the Cyprus office, corporate legal and
consultancy fees, listing costs, officers and directors' emoluments, corporate
office salaries and administrative expenses.
Exploration costs on Atalaya's project portfolio for Q3 2025 were €1.5
million, compared to €1.4 million in Q3 2024. As of 30 September 2025, the
Company has recognised a prepayment of €0.9 million in relation to
exploration activities not yet executed, although the funds have already been
provided under agreements for the Skellefte Belt and Rockliden Projects.
Care and maintenance costs were €39k for the three-month period ended 30
September 2025 (Q3 2024: €2.0 million). The significant reduction compared
with the prior year reflects the fact that, following the designation of
Proyecto Touro as a Strategic Industrial Project by the Council of the Xunta
de Galicia at the end of H1 2024, all direct costs associated with the mining
development were capitalised in accordance with applicable IFRS criteria. The
remaining costs, which were mainly administrative in nature and incurred
through the local subsidiary Cobre San Rafael S.L., were no longer presented
under care and maintenance, thus, in 2025, these costs were reclassified under
administration and corporate expenses and amounted to €0.8 million in YTD
2025.
EBITDA for Q3 2025 amounted to €30.7 million, up from €17.0 million in Q3
2024, primarily driven by higher sales and lower unit costs.
Depreciation and amortisation for the quarter totalled €14.0 million (Q3
2024: €12.4 million).
Net foreign exchange gain for Q3 2025 of €0.1 million resulted from the
appreciation of the Euro against the US Dollar.
Net finance costs for Q3 2025 were €2.9 million, compared with €0.6
million in the same period in 2024. Finance cost includes an impairment of
€2.7 million for a loan to Lain Technologies in relation to the E-LIX pilot
plant.
Nine months financial review
Revenues for the nine-month period ended 30 September 2025 amounted to
€361.5 million (YTD 2024: €248.9 million). The increase in revenues was
mainly due to significantly higher concentrate volumes sold with higher
realised copper prices.
Copper concentrate production during the nine-month period was 231,706 tonnes
(YTD 2024: 182,615 tonnes), with 245,429 tonnes of copper concentrate sold
(YTD 2024: 176,780 tonnes). Inventories of concentrates at the reporting date
were 8,092 tonnes (21,815 tonnes as at 31 December 2024).
Copper contained in concentrates sold was 41,664 tonnes in YTD 2025 (YTD 2024:
33,338 tonnes).
Realised copper prices excluding QPs for YTD 2025 were US$4.31/lb, compared
with US$4.22/lb in YTD 2024. The realised price remained close to the market
average, which was US$4.33/lb in YTD 2025 versus US$4.14/lb in YTD 2024. No
hedging agreements were entered into during the period.
Cost of sales amounted to €212.5 million in YTD 2025 (YTD 2024: €182.6
million). The cost increase was related to higher volumes, the increase in
waste mined and lower inventories at the end of the period with a lower unit
cost. Cost of sales also include a provision of €4.4 million related to an
ongoing cadastral tax examination in Spain.
Cash costs were US$2.33/lb payable copper, compared with US$2.96/lb in YTD
2024. The reduction in cash costs was mainly due to higher copper production
and lower offsite cost. AISC, excluding investment in tailings dam and San
Dionisio stripping, was US$2.84/lb payable copper (YTD 2024: US$3.26/lb) with
a higher stripping cost capitalised.
Sustaining capex for YTD 2025 totalled €2.4 million compared with €3.6
million in YTD 2024, mainly related to the new crusher and enhancements in the
plant's processing systems. Additional investment in tailings dam €11.5
million compared with €11.0 million invested in YTD 2024. Stripping costs
capitalised for Cerro Colorado during YTD 2025 amounted to €21.0 million
(YTD 2024: €3.7 million).
Capex for the solar plant was €0.7 million in YTD 2025 (YTD 2024: €5.1
million) while investments in the E-LIX Phase I plant, commissioning and
ramp-up totalled €1.2 million and €4.0 million related to the convertible
loan. Additionally, a capex of €13.1 million is related to the San Dionisio
area.
Corporate costs for YTD 2025 were €6.7 million (YTD 2024: €6.1 million),
mainly comprising the Company's overhead expenses.
Exploration costs totalled €5.0 million (YTD 2024: €3.3 million), mainly
due to activities in the Skellefte Belt and Rockliden Projects in Sweden and
Proyecto Masa Valverde.
EBITDA for the nine months ended 30 September 2025 amounted to €138.3
million (YTD 2024: €53.7 million).
Depreciation and amortisation for YTD 2025 totalled €39.8 million (YTD 2024:
€32.9 million).
Net foreign exchange loss was €5.9 million (YTD 2024: €0.6 million).
Net finance cost for YTD 2025 amounted to €3.0 million, compared with a cost
of €0.7 million in YTD 2024. Finance cost includes an impairment of €2.7
million for a loan to Lain Technologies in relation to the E-LIX pilot plant.
Copper prices
The average realised copper price (excluding QPs) increased by 6.8% to
US$4.41/lb in Q3 2025, from US$4.13/lb in Q3 2024.
The average prices of copper for the three and nine month period ended 30
September 2025 and 2024 are summarised below:
US$/lb Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine
month period ended 30 Sep 2024
Realised copper price (excluding QPs) 4.41 4.13 4.31 4.22
Market copper price per lb (period average) 4.31 4.17 4.33 4.14
Realised copper prices for the reporting period noted above have been
calculated using payable copper and excluding both provisional invoices and
final settlements of QPs together. The realised price during Q3 2025,
including the QP, was approximately US$4.38/lb.
5. Non-GAAP Measures
Atalaya has included certain non-IFRS measures including "EBITDA", "Cash Costs
per pound of payable copper", "All-In Sustaining Costs" ("AISC") "realised
prices" and "Net Cash/Debt" in this report. Non-IFRS measures do not have any
standardised meaning prescribed under IFRS, and therefore they may not be
comparable to similar measures presented by other companies. These measures
are intended to provide additional information and should not be considered in
isolation or as a substitute for indicators prepared in accordance with IFRS.
EBITDA includes gross sales net of penalties and discounts and all operating
costs, excluding finance, tax, impairment, depreciation and amortisation
expenses. Cash Costs per pound of payable copper includes cash operating
costs, including treatment and refining charges ("TC/RC"), freight and
distribution costs net of by-product credits. Cash Costs per pound of payable
copper is consistent with the widely accepted industry standard established by
Wood Mackenzie and is also known as the C1 Cash Costs.
AISC per pound of payable copper includes C1 Cash Costs plus royalties and
agency fees, expenditures on rehabilitation, capitalised stripping costs,
exploration and geology costs, corporate costs and recurring sustaining
capital expenditures but excludes one-off sustaining capital projects, such as
the tailings dam project.
Realised price per pound of payable copper is the value of the copper payable
included in the concentrate produced including the discounts and other
features governed by the offtake agreements of the Group and all discounts or
premiums provided in commodity hedge agreements with financial institutions if
any, expressed in USD per pound of payable copper. Realised prices do not
include period end mark to market adjustments in respect of provisional
pricing. Realised price is consistent with the widely accepted industry
standard definition.
6. Liquidity and Capital Resources
Atalaya monitors factors that could impact its liquidity as part of Atalaya's
overall capital management strategy. Factors that are monitored include, but
are not limited to, the market price of copper, foreign currency rates,
production levels, operating costs, capital and administrative costs.
The following is a summary of Atalaya's cash position and cash flows as at 30
September 2025 and 31 December 2024.
Liquidity information
(Euro 000's) 30 Sep 2025 31 Dec 2024
Unrestricted cash and cash equivalents at Group level 79,380 43,184
Unrestricted cash and cash equivalents at Operation level 34,430 9,694
Consolidated cash and cash equivalents 113,810 52,878
Net cash position ((1)) 89,748 35,091
Working capital surplus 93,125 44,728
((1)) Includes borrowings
Unrestricted cash and cash equivalents, which include balances held at both
Group and Operation levels, increased to €113.8 million as at 30 September
2025, compared with €52.9 million at 31 December 2024. This significant
increase was primarily driven by strong cash inflows from operating
activities, partially offset by investment outflows and moderate financing
movements. At the Group level, cash rose from €43.2 million to €79.4
million, while Operation-level cash increased from €9.7 million to €34.3
million.
The Group generated €120.0 million in net cash from operating activities
during the first nine months of 2025, supported by solid EBITDA and limited
tax payments, despite a working capital outflow mainly attributable to a
€31.3 million increase in trade and other receivables. Cash outflows from
investing activities totalled €59.8 million, reflecting continued capital
expenditure in strategic areas such as San Dionisio, and processing plant
upgrades. Net financing cash flows were positive at €2.0 million, mainly
reflecting the use of €25.0 million from existing credit facilities to
support short-term operational funding. These proceeds were partly offset by
loan repayments of €18.8 million and dividend payments of €3.9 million.
As of 30 September 2025, the Group reported a working capital surplus of
€93.1 million, compared with €44.7 million at year-end 2024. The
improvement is largely explained by the stronger cash position and an increase
in short-term receivables, which offset changes in inventories and trade
payables. Overall working capital reached €93.1 million, up from €44.7
million at 31 December 2024. All cash balances remain unrestricted and
available for general use at both the operational and corporate levels,
reinforcing Atalaya's robust liquidity and financial flexibility.
Overview of the Group's cash flows
(Euro 000's) Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Cash flows from operating activities 41,729 13,913 120,006 42,302
Cash flows used in investing activities (17,992) (14,564) (59,765) (49,495)
Cash flows from/(used in) financing activities (12,863) (2,422) 2,026 (38,093)
Net increase/(decrease) in cash and cash equivalents 10,874 (3,073) 62,267 (45,286)
Net foreign exchange differences (77) (1,685) (1,335) 558
Total net cash flow for the period 10,797 (4,758) 60,932 (44,728)
Three months cash flows review
Total net cash inflow for the three months ended 30 September 2025 was €10.9
million, primarily driven by strong cash generation from operating activities.
Cash from operating activities amounted to €41.7 million, while investing
activities consumed €18.0 million, and financing activities contributed a
net outflow of €12.9 million.
Cash generated from operations before changes in working capital was €36.5
million. During the quarter, inventories decreased by €0.5 million, trade
and other receivables increased by €2.0 million, and trade and other
payables increased by €7.2 million, resulting in a net working capital
inflow.
Investing activities consumed €18.0 million, mainly related to the San
Dionisio deposit, capitalised stripping at Cerro Colorado, ongoing
development works at the tailings dams, and continued upgrades to processing
infrastructure.
Financing activities resulted in net cash outflows of €12.9 million,
reflecting borrowings repayments of €14.2 million and dividend payments of
€3.9 million, partly offset by €5.3 million of net borrowing inflows
Nine months cash flow review
For the nine months ended 30 September 2025, the Group reported a net cash
inflow of €62.3 million, supported by strong operating performance and
disciplined investment spending. This result included €120.0 million of net
cash from operating activities, €59.8 million of investing outflows, and
€2.0 million of net financing inflows.
Cash generated from operations before working capital movements was €144.7
million. However, working capital movements during the period had a net
outflow effect, driven by a €31.3 million increase in trade and other
receivables and partially offset by a €12.3 million decrease in inventories
and a €4.1 million increase in trade and other payables.
Cash outflows from investing activities of €59.8 million mainly reflects
capitalised stripping at Cerro Colorado, capital expenditure related to the
San Dionisio area, tailings storage facilities, and processing plant upgrades.
Financing activities produced a net inflow of €2.0 million, mainly
reflecting the use of €25.1 million from existing credit facilities to fund
short-term operational needs, partly offset by borrowings repayments of
€18.8 million and dividend payments of €3.9 million.
Foreign exchange
Foreign exchange rate movements can have a significant effect on Atalaya's
operations, financial position and results. Atalaya's sales are denominated in
U.S. dollars ("USD"), while Atalaya's operating expenses, income taxes and
other expenses are mainly denominated in Euros ("EUR") which is the functional
currency of the Group, and to a much lesser extent in British Pounds ("GBP").
Accordingly, fluctuations in the exchange rates can potentially impact the
results of operations and carrying value of assets and liabilities on the
balance sheet.
During the three months ended 30 September 2025, Atalaya recognised a foreign
exchange gain of €0.1 million, compared with a loss of €1.7 million in the
corresponding period of 2024. For the nine months ended 30 September 2025, the
Group recorded a foreign exchange loss of €5.9 million, primarily due to the
appreciation of the Euro against the US Dollar, as a substantial proportion of
the Group's revenue and cash balances are denominated in US Dollars.
The following table summarises the movement in key currencies versus the EUR:
Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Average rates for the periods
GBP - EUR 0.8506 0.8451 0.8663 0.8514
USD - EUR 1.1681 1.0983 1.1188 1.0871
Spot rates as at
GBP - EUR 0.8734 0.8354 0.8734 0.8354
USD - EUR 1.1741 1.1196 1.1741 1.1196
7. Sustainability
Corporate Social Responsibility
During the third quarter of 2025, Fundación Atalaya continued its social
engagement in the Cuenca Minera through initiatives in public infrastructure,
social inclusion, culture promotion and sporting initiatives.
Other initiatives enabled the foundation to upgrade the municipal stadium and
provide a new vehicle for the local police. In Zalamea Real, several projects
were proposed, including a new service vehicle, a children's play area and an
entrance signage. In Nerva, the foundation continued its agreement to restore
and catalogue the historical archive of the Casa del Maestro Rojas.
Fundación Atalaya also supported a diverse range of cultural and social
initiatives. These included improving mobility for AFA El Campillo, an
organisation dedicated to Alzheimer's care and upgrading workshops for Athenea
Association, which supports individuals with mental disabilities. Both aim to
promote accessibility and social inclusion.
In terms of cultural activities, the foundation supported various projects
including a mining-themed documentary, a community exhibition in Riotinto and
a poetry initiative. The foundation also continued its support for the
flamenco guitar school in Peña El Candil Minero.
In addition, the foundation also supported various sporting initiatives, such
as the launch of the new season at Nerva CF and various cycling events.
Health and Safety
Regarding the results for the third quarter of 2025, and in comparison with
the same period of the previous year, the results remain similar, with only
one lost-time accident of a minor nature involving a contractor. With respect
to the cumulative data at the end of the third quarter, both the frequency
rate (FR) and the severity rate (SR) show improvement compared with the
previous quarter, closing with values of 4.29 and 0.20, respectively.
Concerning the achievement of accident reduction targets, the SR target has
been met, although the FR remains above the level set for 2025.
With regard to Industrial Hygiene, all the planned measurements for the
quarter have been completed, including assessments of crystalline silica and
respirable dust, organic vapours, asbestos fibres, and fit tests for
respiratory protection equipment, covering 75% of ARM's workforce.
The annual inspection for Legionella control was carried out by the Health
Authority with satisfactory results, fully compliant with regulations.
As part of the First Response Brigade activities, specific training sessions
have been conducted in line with the annual plan. In addition, rescue
equipment for confined spaces in the processing plant has been received, with
a fixed base to be established for emergency operations. The installation of
these bases is scheduled for the fourth quarter.
In relation to the on-site medical services, the staff nurse has requested a
leave of absence to care for a young child, and a replacement nurse has joined
the team. The new nurse holds the required accreditation and has experience in
emergency and urgent care, having previously provided nursing services to
Atalaya through an external provider.
Controls for psychoactive substances (alcohol and drugs) continue to be
conducted at both access points and within the medical unit.
Phase II of the "Zero Harm Challenge" project is ongoing, involving working
groups developing the ten most prevalent and widely supported proposals
identified during Phase I. Participation and commitment among the teams remain
high.
Finally, it should be noted that the Field Leadership activities have been
recognised as Best Practices in Occupational Health and Safety by the
Andalusian Institute for Occupational Risk Prevention, part of the Regional
Government of Andalusia. Moreover, Atalaya received the Gold Award for Safety
at the Euromines Safety Awards 2025, acknowledging its Field Leadership
initiatives.
Environment
During the third quarter of 2025, the Environmental Department maintained its
focus on advancing environmental monitoring and natural resource management
across the Riotinto operations. A total of three environmental incidents were
reported during the period, involving dust.
Rainfall levels during Q3 2025 were significantly lower than in the same
period of the previous year, reaching 5.4 l/m², a 18% decrease year-on-year.
However, cumulative rainfall for the current hydrological year (October 2024
to September 2025) totalled 1,079.6 l/m², representing a 30% increase over
the same period in the prior year.
On 14 May 2025, the Company received official approval of a substantial
modification to its environmental permit, enabling the expansion of mining
operations into the San Dionisio deposit. In addition, three requests for
non-substantial modifications to the permit were submitted during the quarter:
(i) on 28 April 2025, relating to diesel availability optimisation in the
mining area; (ii) on 9 June 2025, for the enhancement of mining road
connectivity in San Dionisio; and (iii) on 20 June 2025, concerning
improvements to the retention pond at the North Waste Dump.
The department also submitted the required annual environmental documentation
to the competent authorities, including the Annual Water Balance and the
results of receiving river monitoring associated with authorised discharges.
Measures established under the Dust Action Plan continued to be implemented,
including intensified periodic watering, enhanced coordination efforts, and
systematic monitoring of dust emissions generated by operational activities.
Progress continued on the Restoration Plan, which covers both operational and
legacy areas. In parallel, scheduled forest maintenance works were carried out
in compliance with the approved Wildfire Prevention Plan. Annual external
emissions control testing was completed in May without incident, while all
routine internal monitoring of non-ducted atmospheric emissions also confirmed
compliance with regulatory thresholds. All other mandatory periodic
environmental controls were conducted on schedule and without issues. Several
environmental reports were submitted to the relevant administrative
authorities during the quarter.
Daily environmental inspections remained a key aspect of the department's
operations, with a focus on chemical storage and handling, site cleanliness,
waste management, prevention of uncontrolled releases, and the reinforcement
of responsible environmental behaviour among both Atalaya personnel and
contractors. Specific inspections also targeted dust suppression systems and
drainage infrastructure. In total, 80 inspections were conducted across the
plant, mining area, and contractor camps throughout the quarter.
8. Risk Factors
Due to the nature of Atalaya's business in the mining industry, the Group is
subject to various risks that could materially impact the future operating
results and could cause actual events to differ materially from those
described in forward-looking statements relating to Atalaya. Readers are
encouraged to read and consider the risk factors detailed in Atalaya's
audited, consolidated financial statements for the year ended 31 December
2024.
The Company continues to monitor the principal risks and uncertainties that
could materially impact the Company's results and operations, including the
areas of increasing uncertainty such as the impact of macro-economic
uncertainty on the business and geopolitical developments or the risks
inherent in the development of new technologies.
In particular, Atalaya is closely monitoring the risks associated with the
investments made in the E-LIX technology together with Lain Technologies Ltd
("Lain"). While the leaching process E-LIX has continued to deliver results in
line with certain technical expectations, progress towards achieving
sustainable, economically viable throughput levels has been more challenging
and materially slower than anticipated (Note 8). The Group awaits further
technical and commercial information, including the findings of the
independent third-party assessment, before updating its evaluation of the
associated risks.
9. Critical accounting policies, estimates, judgements, assumptions and
accounting changes
The preparation of Atalaya's Financial Statements in accordance with IFRS
requires management to make estimates, judgements and assumptions that affect
amounts reported in the Financial Statements and accompanying notes. There is
a full discussion and description of Atalaya's critical accounting policies in
the audited consolidated financial statements for the year ended 31 December
2024.
As at 30 September 2025, whilst there are no significant changes in critical
accounting policies or estimates to those applied in 2024. We highlight the
assumptions made in relation to Lain Technologies and the progress on the
Industrial Plant in Note 8.
10. Other Information
Additional information about Atalaya Mining Copper, S.A. is available at
www.atalayamining.com (http://www.atalayamining.com)
Unaudited condensed consolidated interim financial statements on subsequent
pages.
By Order of the Board of Directors,
Neil Gregson
Chair
Sevilla, 12 November 2025
Condensed Consolidated Interim Statement of Comprehensive Income
(All amounts in Euro thousands unless otherwise stated)
For the period ended 30 September 2025 and 2024
(Euro 000's) Note Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
(Unaudited and unreviewed) (Unaudited and unreviewed)
(Unaudited) (Unaudited)
Revenue 4 106,753 86,799 361,503 248,945
Operating costs and mine site administrative expenses (71,122) (65,185) (210,817) (181,847)
Mine site depreciation and amortisation (13,985) (12,350) (39,780) (32,940)
Gross profit 21,646 9,264 110,906 34,158
Administration and other expenses (2,639) (1,091) (6,694) (6,094)
Share-based benefits 16 (1,120) (416) (1,657) (718)
Exploration expenses (1,542) (1,367) (4,972) (3,313)
Care and maintenance expenditure (39) (2,012) (46) (4,053)
Other income 426 270 992 756
Operating profit 16,732 4,648 98,529 20,736
Net foreign exchange (loss)/gain 77 (1,685) (5,879) 558
Net finance income/(costs) 5 (2,880) (564) (2,961) (655)
Profit before tax 13,929 2,399 89,689 20,639
Tax 6 (3,081) (908) (18,777) (3,001)
Profit for the period 10,848 1,491 70,912 17,638
Profit for the period attributable to:
- Owners of the parent 7 10,925 2,423 71,073 19,553
- Non-controlling interests (77) (932) (161) (1,915)
10,848 1,491 70,912 17,638
Earnings per share from operations attributable to equity holders of the
parent during the period:
Basic earnings per share (EUR cents per share) 7 7.8 1.7 50.5 13.9
Fully diluted earnings per share (EUR cents per share) 7 7.4 1.8 48.5 13.6
Profit for the period 10,848 1,491 70,912 17,638
Other comprehensive income: - - - -
Other comprehensive income that will not be reclassified to profit or loss in
subsequent periods (net of tax):
Change in fair value of financial assets through other comprehensive income 29 (1) 29 (1)
'OCI'
Total comprehensive income for the period 10,877 1,490 70,941 17,637
Total comprehensive income for the period attributable to:
- Owners of the parent 7 10,954 2,422 71,102 19,552
- Non-controlling interests (77) (932) (161) (1,915)
10,877 1,490 70,941 17,637
The notes on the subsequent pages are an integral part of these Unaudited
Condensed Consolidated Interim Financial Statements.
Condensed Consolidated Interim Statement of Financial Position
(All amounts in Euro thousands unless otherwise stated)
As at 30 September 2025 and 31 December 2024
(Euro 000's) Note 30 Sep 2025 31 Dec 2024
Assets Unaudited Audited
Non-current assets
Property, plant and equipment 8 435,059 409,032
Intangible assets 9 73,499 70,209
Loans 13 - 2,627
Trade and other receivables 12 22,452 33,252
Non-current financial assets 2.3 1,101 1,101
Deferred tax asset 10,095 15,085
542,206 531,306
Current assets
Inventories 10 34,144 49,162
Loans 13 9,651 5,352
Trade and other receivables 12 59,599 36,863
Tax refundable 267 266
Other financial assets 2.3 52 23
Cash and cash equivalents 14 113,810 52,878
217,523 144,544
Total assets 759,729 675,850
Equity and liabilities
Equity attributable to owners of the parent
Share capital 15 12,668 12,668
Share premium 15 321,856 321,856
Other reserves 16 90,341 88,774
Accumulated profit 154,216 93,085
579,081 516,383
Non-controlling interests 1,993 2,154
Total equity 581,074 518,537
Liabilities
Non-current liabilities
Trade and other payables 17 14,278 13,983
Provisions 18 30,003 29,328
Lease liabilities 20 2,965 3,320
Borrowings 19 7,011 10,866
54,257 57,497
Current liabilities
Trade and other payables 17 83,555 90,090
Lease liabilities 20 476 481
Borrowings 19 17,051 6,921
Dividend payable 11 6,203 -
Current provisions 18 5,081 916
Current tax liabilities 12,032 1,408
124,398 99,816
Total liabilities 178,655 157,313
Total equity and liabilities 759,729 675,850
The notes on the subsequent pages are an integral part of these Unaudited
Condensed Consolidated Interim Financial Statements.
Condensed Consolidated Interim Statement of Changes in Equity
(All amounts in Euro thousands unless otherwise stated)
For the period ended 30 September 2025 and 2024
(Euro 000's) Note Share capital Share premium ((1)) Other reserves Accum. Profits Total NCI Total equity
(Unaudited)
At 1 January 2025 12,668 321,856 88,774 93,085 516,383 2,154 518,537
Profit for the period - - - 71.073 71,073 (161) 70,912
Change in fair value of financial assets through OCI - - 29 - 29 29
Total comprehensive income - - 29 71,073 71,102 (161) 70,941
Recognition of share-based payments 16 - - 1,657 - 1,657 - 1,657
Recognition of non-distributable reserve 16 - - 685 - 685 - 685
Recognition of distributable reserve 16 - - (670) - (670) - (670)
Dividends 11 - - - (10,064) (10,064) - (10,064)
At 30 September 2025 12,668 321,856 90,341 154,216 579,081 1,993 581,074
(Euro 000's) Note Share capital Share premium ((1)) Other reserves Accum. Profits Total NCI Total equity
(Audited)
At 1 January 2024 13,596 319,411 70,463 98,026 501,496 (9,104) 492,392
Profit for the period - - - 19,553 19,553 (1,915) 17,638
Change in fair value of financial assets through OCI - - (1) - (1) - (1)
Total comprehensive income - - (1) 19,553 19,552 (1,915) 17,637
Issuance of share capital 15 74 2,448 - - 2,522 - 2,522
Recognition of depletion factor 16 - - 8,949 (8,949) - - -
Recognition of share-based payments 16 - - 718 - 718 - 718
Recognition of non-distributable reserve 16 - - 142 (142) - - -
Recognition of distributable reserve 16 - - 7,848 (7,848) - - -
Dividends 11 - - - (10,306) (10,306) - (10,306)
At 30 September 2024 13,670 321,859 88,119 90,334 513,982 (11,019) 502,963
((1)) The share premium reserve is not available for distribution
The notes on subsequent pages are an integral part of these Unaudited
Condensed Consolidated Interim Financial Statements.
Condensed Consolidated Interim Cash Flow Statement
(All amounts in Euro thousands unless otherwise stated)
For to the period ended 30 September 2025 and 2024
(Euro 000's) Note Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
(Unaudited and unreviewed) (Unaudited and unreviewed) (Unaudited) (Unaudited)
Cash flows from operating activities
Profit before tax 13,929 2,399 89,689 20,639
Adjustments for:
Depreciation of property, plant and equipment 8 12,580 10,935 35,672 30,261
Amortisation of intangibles 9 1,406 1,415 4,109 2,679
Recognition of share-based payments 16 1,120 416 1,657 718
Interest income 5 (518) (445) (1,872) (1,432)
Interest expense 5 555 558 1,515 1,514
Unwinding of discounting on mine rehabilitation provision 18 141 444 616 551
Other tax provision 18 4,692 - 4,692 -
Impairment loss on financial assets 2,702 - 2,702 -
Net foreign exchange differences (77) 1,685 5,879 (558)
Unrealised foreign exchange loss on financing activities 1 (940) 15 345
Cash inflows from operating activities before working capital changes 36,531 16,467 144,674 54,717
Changes in working capital:
Inventories 10 523 (4,147) 12,292 (8,951)
Trade and other receivables 12 (2,047) 117 (31,305) 122
Trade and other payables 17 7,230 2,482 4,081 (36)
Provisions 18 (64) (22) (584) (353)
Cash flows from operations 42,173 14,897 129,158 45,499
Tax paid - (419) (7,970) (1,661)
Interest on leases liabilities 5 - (7) - (22)
Interest paid 5 (444) (558) (1,182) (1,514)
Net cash from operating activities 41,729 13,913 120,006 42,302
Cash flows from investing activities
Purchase of property, plant and equipment 8 (16,078) (15,603) (49,894) (50,008)
Purchase of intangible assets 9 (2,617) (25) (7,369) (919)
Payments for investments 176 - (3,370) -
Interest received 5 527 1,064 868 1,432
Net cash used in investing activities (17,992) (14,564) (59,765) (49,495)
Cash flows from financing activities
Lease payments 19 (129) (122) (388) (455)
Proceeds from borrowings 18 5,336 8,006 25,069 -
Repayment of borrowings 18 (14,209) - (18,794) (29,854)
Proceeds from issuance of shares 14 - - - 2,522
Dividends (3,861) (10,306) (3,861) (10,306)
Net cash from/(used in) financing activities (12,863) (2,422) 2,026 (38,093)
Net increase/(decrease) in cash and cash equivalents 10,874 (3,073) 62,267 (45,286)
Net foreign exchange difference (77) (1,685) (1,335) 558
Cash and cash equivalents:
At beginning of the period 103,013 81,037 52,878 121,007
At end of the period 113,810 76,279 113,810 76,279
The notes on the subsequent pages are an integral part of these Unaudited
Condensed Consolidated Interim Financial Statements.
Notes to the Unaudited Condensed Consolidated Interim Financial Statements
(All amounts in Euro thousands unless otherwise stated)
For the period ended 30 September 2025 and 2024
1. Incorporation and summary of business
Atalaya Mining Plc was incorporated in Cyprus on 17 September 2004 as a
private company with limited liability under the Companies Law, Cap. 113 and
was converted to a public limited liability company on 26 January 2005. Its
registered office was at 1 Lampousa Street, Nicosia, Cyprus.
The Company was first listed on the Alternative Investment Market (AIM) of the
London Stock Exchange in May 2005.
Change of name and share consolidation (2015)
Following the Company's Extraordinary General Meeting ("EGM") on 13 October
2015, the change of name from EMED Mining Public Limited to Atalaya Mining Plc
became effective on 21 October 2015. On the same day, the consolidation of
ordinary shares came into effect, whereby all shareholders received one new
ordinary share of nominal value Stg £0.075 for every 30 existing ordinary
shares of nominal value Stg £0.0025. The Company's trading symbol became
"ATYM".
On 29 April 2024, the Company was admitted to trading on the main market of
the London Stock Exchange.
Cross-border conversion (re-domiciliation) (2024-2025)
On 10 January 2025, the Company successfully completed a cross-border
conversion, resulting in its re-domiciliation from the Republic of Cyprus to
the Kingdom of Spain. This process was carried out in accordance with the
Company's strategic objectives to align its corporate structure with its
operational base in Spain.
A cross-border conversion deed was executed on 23 December 2024 and
subsequently filed with the Spanish Commercial Registry on 27 December 2024.
Under Spanish corporate law, the re-domiciliation became legally effective
from the date of registration with the Spanish Commercial Registry, i.e., 27
December 2024. However, for administrative and procedural purposes, the final
formalities were completed on 9 January 2025, with the official public
announcement being made on 10 January 2025. Following this change:
· Atalaya's corporate seat was transferred from Cyprus to Spain,
and Atalaya became a Spanish public limited company (Sociedad Anónima) under
the laws of the Kingdom of Spain;
· Atalaya's registered name changed from Atalaya Mining Plc to
Atalaya Mining Copper, S.A.; and
· Atalaya's registered address changed from 1, Lampousas Street,
1095 Nicosia, Cyprus to Paseo de las Delicias, 1, 3, 41001, Sevilla, Spain.
The Company's shares commenced trading under "Atalaya Mining Copper, S.A." on
10 January 2025 at 8:00 am (London time) and the nominal value of the
Company's shares were also adjusted from 7.5p to €0.09 per share.
Principal activities
Atalaya is a European mining and development company. The strategy is to
evaluate and prioritise metal production opportunities in several
jurisdictions throughout the well-known belts of base and precious metal
mineralisation in Spain, elsewhere in Europe and Latin America.
The Group has interests in four mining projects: Proyecto Riotinto, Proyecto
Touro, Proyecto Masa Valverde and Proyecto Ossa Morena. In addition, the Group
has an earn-in agreement to acquire two investigation permits at Proyecto
Riotinto East.
Proyecto Riotinto
The Company owns and operates through a wholly owned subsidiary, "Proyecto
Riotinto", an open-pit copper mine located in the Iberian Pyrite Belt, in the
Andalusia region of Spain, approximately 65 km northwest of Seville. A
brownfield expansion of this mine was completed in 2019 and successfully
commissioned by Q1 2020.
In May 2025, the Junta de Andalucía granted the Unified Environmental
Authorisation (AAU) for the San Dionisio deposit, located within the Riotinto
District. This authorisation enables the Company to expand its mining
activities and supports its strategy to increase copper production by sourcing
higher-grade material for processing at the Riotinto plant.
Proyecto Touro
The Group initially acquired a 10% stake in Cobre San Rafael, S.L. ("CSR"),
the owner of Proyecto Touro, as part of an earn-in agreement, which was
designed to enable the Group to acquire up to 80% of the copper project.
Proyecto Touro is located in Galicia, north-west Spain, and is currently in
the permitting process.
In July 2017, the Group announced that it had executed the option to acquire
10% of the share capital of CSR, a wholly owned subsidiary of Explotaciones
Gallegas S.L. This acquisition was part of an earn-in agreement, structured in
four phases, allowing the Group to progressively increase its stake in CSR up
to 80%:
- Phase 1 - The Group paid €0.5 million to secure the exclusivity
agreement and committed to funding up to a maximum of €5.0 million to
support the permitting and financing stages.
- Phase 2 - Upon receipt of permits, the Group is required to pay
€2.0 million to acquire an additional 30% interest in the project
(cumulative 40%).
- Phase 3 - Once development capital is secured and construction
commences, the Group is required to pay €5.0 million to acquire an
additional 30% interest in the project (cumulative 70%).
- Phase 4 - Upon declaration of commercial production, the Group will
purchase an additional 10% interest (cumulative 80%) in exchange for a 0.75%
Net Smelter Return royalty, with a buyback option.
The Agreement was structured to ensure that each phase and corresponding
payment would only occur once the project was de-risked, permitted, and
operational.
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 is currently
focused on analysing and responding to the feedback submitted during the
public information period and assessing the sectoral reports issued by the
various departments of the XdG.
As a result of the regulatory developments that occurred during 2024, the
Group now considers it likely that phases 2, 3 and 4 of the Touro project will
be completed. In accordance with the Group's accounting policy on contingent
payments, in 2024 the Group recognised an intangible asset amounting to
€16.5 million in 2024 (Note 9), as well as the corresponding contingent
liabilities (note 17).
In line with the its policy on non-controlling interests, the Group allocated
20% of this intangible asset to non-controlling interests, amounting to €3.3
million.
Additionally, as described in note 9, the Group reversed an impairment
previously recorded in 2019 on intangible fixed assets amounting to €6.9
million, related to capitalised expenses associated with Proyecto Touro.
The Group continues to engage with stakeholders in the region including
through various recruitment initiatives, and operates a water treatment plant
to restore the water quality of the rivers around Touro.
The Group's exploration activities are ongoing, including infill and step-out
drilling programmes focused on areas within the initial mine plan where
mineralisation remains open.
Proyecto Masa Valverde
On 21 October 2020, the Company announced that it entered into a definitive
purchase agreement to acquire 100% of the shares of Cambridge Mineria España,
S.L. (since renamed Atalaya Masa Valverde, S.L.U.), a Spanish company which
fully owns the Masa Valverde polymetallic project located in Huelva (Spain).
Under the terms of the agreement Atalaya would make an aggregate €1.4
million cash payment in two instalments of approximately the same amount:
the first upon permitting of the project and the second upon achieving first
production from the concession.
In November 2023, the exploitation permit for the Masa Valverde and Majadales
deposits was officially granted. Following this milestone, in January 2024,
the Company made the first payment of €0.7 million associated with the
granted permits.
Proyecto Ossa Morena
In December 2021, Atalaya announced the acquisition of a 51% interest in Rio
Narcea Nickel, S.L., which owned 9 investigation permits. The acquisition also
provided a 100% interest in three investigation permits that are also located
along the Ossa- Morena Metallogenic Belt. In Q3 2022, Atalaya increased its
ownership interest in POM to 99.9%, up from 51%, following completion of a
capital increase that will fund exploration activities. During 2022 Atalaya
rejected 8 investigation permits.
Atalaya will pay a total of €2.5 million in cash in three instalments and
grant a 1% net smelter return ("NSR") royalty over all acquired permits. The
first payment of €0.5 million was made following execution of the purchase
agreement. The second and third instalments of €1 million each will be made
once the environmental impact statement ("EIS") and the final mining permits
for any project within any of the investigation permits acquired under the
Transaction are secured. In accordance with the agreement, these outstanding
instalments are disclosed as a non-current payable to the sellers.
Proyecto Riotinto East
In December 2020, Atalaya entered into a Memorandum of Understanding with a
local private Spanish company to acquire a 100% beneficial interest in two
investigation permits (known as Peñas Blancas and Cerro Negro investigation
permits), which cover approximately 12,368 hectares and are located
immediately east of Proyecto Riotinto. After a short drilling campaign, the
Los Herreros investigation permit was rejected in June 2022. Proyecto Riotinto
East consists of the remaining two investigation permits, Peñas Blancas and
Cerro Negro, totalling 10,016 hectares.
Skellefte Belt Project and Rockliden Project
During 2024, the Group entered into agreements with Mineral Prospektering i
Sverige AB ("MPS") in relation to the Skellefte Belt Project and the Rockliden
Project, both situated in well-established volcanogenic massive sulphide
districts recognised for their mineral resource potential. In 2024, the Group
provided funding of €1.2 million to MPS to support the preparatory work for
the planned winter drilling campaigns and to compensate MPS for certain past
expenditures. During the nine month of 2025, Atalaya contributed an additional
€3.1 million to fund exploration activities as part of its ongoing earn-in
commitments. In accordance with IFRS6, all amounts provided to MPS to date
have been recognised as exploration expenses.
2. Basis of preparation and accounting policies
2.1 Basis of preparation
(a) Overview
These condensed interim financial statements are unaudited.
The unaudited Condensed Consolidated Interim Financial Statements for the
period ended 30 September 2025 have been prepared in accordance with
International Accounting Standard 34: Interim Financial Reporting. IFRS
comprise the standard issued by the International Accounting Standard Board
("IASB"), and IFRS Interpretations Committee ("IFRICs") as issued by the IASB.
Additionally, the unaudited Condensed Consolidated Interim Financial
Statements have also been prepared in accordance with the IFRS as adopted by
the European Union (EU), using the historical cost convention and have been
prepared on a historical cost basis except for the revaluation of certain
financial instruments that are measured at fair value at the end of each
reporting period, as explained below.
These unaudited Condensed Consolidated Interim Financial Statements include
the financial statements of the Company and its subsidiary undertakings. They
have been prepared using accounting bases and policies consistent with those
used in the preparation of the consolidated financial statements of the
Company and the Group for the year ended 31 December 2024. These unaudited
Condensed Consolidated Interim Financial Statements do not include all the
disclosures required for annual financial statements, and accordingly, should
be read in conjunction with the consolidated financial statements and other
information set out in the Group's annual report for the year ended 31
December 2024.
As a Spanish company operating under EU regulations, the Group also complies
with the requirements of Spanish corporate law, including the Commercial Code
(Código de Comercio) and the Spanish Capital Companies Act (Ley de Sociedades
de Capital), where applicable. These regulations govern the preparation and
disclosure of consolidated financial statements.
The definition of Public Interest Entity is set out in Article 2.13 of
Directive 2006/43/EC, amended by Article 1 of Directive 2014/56/EU, that
states that it is considered to be Public Interest Entities : (a) entities
governed by the law of a Member State whose transferable securities are
admitted to trading on a regulated market of any Member State; (b) credit
institutions as defined in point 1 of Article 3(1) of Directive 2013/36/EU;
(c) insurance undertakings within the meaning of Article 2(1) of Directive
91/674/EEC; and (d) entities designated by Member States as public-interest
entities. As the company is not included in any of the categories above, it is
not considered to be a Public Interest Entity.
(b) Going concern
These unaudited Condensed Consolidated Interim Financial Statements have been
prepared based on accounting principles applicable to a going concern which
assumes that the Group will realise its assets and discharge its liabilities
in the normal course of business. Management has carried out an assessment of
the going concern assumption and has concluded that the Group can reasonably
be expected to generate sufficient cash and cash equivalents to continue
operating for the next twelve months.
Management continues to monitor the impact of geopolitical developments.
Currently no significant impact is expected in the operations of the Group.
2.2 New standards, interpretations and amendments adopted by the Group
The accounting policies adopted in the preparation of the Condensed
Consolidated Interim Financial Statements are consistent with those followed
in the preparation of the Group's annual consolidated financial statements for
the year ended 31 December 2024, except for the adoption of new standards
effective as of 1 January 2025. The Group has not early adopted any standard,
interpretation or amendment that has been issued but is not yet effective. One
amendment applies for the first time in 2025, but does not have an impact on
the unaudited Condensed Consolidated Interim Financial Statements of the
Group.
Lack of exchangeability - Amendments to IAS 21
The amendments to IAS 21 The Effects of Changes in Foreign Exchange Rates
specify how an entity should assess whether a currency is exchangeable and how
it should determine a spot exchange rate when exchangeability is lacking. The
amendments also require disclosure of information that enables users of its
financial statements to understand how the currency not being exchangeable
into the other currency affects, or is expected to affect, the entity's
financial performance, financial position and cash flows. The amendments are
effective for annual reporting periods beginning on or after 1 January 2025.
When applying the amendments, an entity cannot restate comparative
information. The amendments did not have a material impact on the Group's
financial statements.
2.3 Fair value estimation
The fair values of the Group's financial assets and liabilities approximate
their carrying amounts at the reporting date.
The fair value of financial instruments traded in active markets, such as
publicly traded trading and other financial assets is based on quoted market
prices at the reporting date. The quoted market price used for financial
assets held by the Group is the current bid price. The appropriate quoted
market price for financial liabilities is the current ask price.
The fair value of financial instruments that are not traded in an active
market is determined by using valuation techniques. The Group uses a variety
of methods, such as estimated discounted cash flows, and makes assumptions
that are based on market conditions existing at the reporting date.
Fair value measurements recognised in the consolidated statement of financial
position
The following table provides an analysis of financial instruments that are
measured subsequent to initial recognition at fair value, Grouped into Levels
1 to 3 based on the degree to which the fair value is observable.
· Level 1 fair value measurements are those derived from quoted
prices (unadjusted) in active markets for identical assets or liabilities.
· Level 2 fair value measurements are those derived from inputs
other than quoted prices included within Level 1 that are observable for the
asset or liability, either directly (i.e. as prices) or indirectly (i.e.
derived from prices).
· Level 3 fair value measurements are those derived from valuation
techniques that include inputs for the asset or liability that are not based
on observable market data (unobservable inputs).
Financial assets or liabilities Level 1 Level 2 Level 3 Total
(Euro 000's)
30 Sep 2025
Other financial assets
Financial assets at FV through OCI 52 - 1,101 1,153
Trade and other receivables
Receivables (subject to provisional pricing) - 23,737 - 23,737
Total 52 23,737 1,101 24,890
31 Dec 2024
Other financial assets
Financial assets at FV through OCI 23 - 1,101 1,124
Trade and other receivables
Receivables (subject to provisional pricing) - 10,769 - 10,769
Total 23 10,769 1,101 11,893
2.4 Critical accounting estimates and judgements
The preparation of the unaudited Condensed Consolidated Interim Financial
Statements require management to make judgements, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets and
liabilities, and the accompanying disclosures, and the disclosure of
contingent liabilities at the date of the consolidated financial statements.
Estimates and assumptions are continually evaluated and are based on
management's experience and other factors, including expectations of future
events that are believed to be reasonable under the circumstances. Uncertainty
about these assumptions and estimates could result in outcomes that require a
material adjustment to the carrying amount of assets or liabilities affected
in future periods.
Provisions are recognised when the Group has a present legal or constructive
obligation as a result of past events, it is probable that an outflow of
resources will be required to settle the obligation, and a reliable estimate
of the amount can be made. If the effect of the time value of money is
material, provisions are discounted using a current pre-tax rate that
reflects, where appropriate, the risks specific to the liability. Where
discounting is used, the increase in the provision due to the passage of time
is recognised as a finance cost.
A full analysis of critical accounting estimates and judgements is set out in
Note 3.3 of the 2024 audited financial statements.
Recoverability of assets related to the E-LIX project
The E-LIX System represents a key area of estimation uncertainty due to the
early-stage nature of the project and the significant assumptions involved in
assessing the recoverability of capitalised development costs.
Historically, the Group capitalised expenditures related to the construction
of the pilot plant and supporting infrastructure, as well as costs associated
with feasibility studies and engineering design for a potential
industrial-scale application of the E-LIX electrochemical extraction process.
The recoverability of these capitalised amounts is subject to considerable
uncertainty and depends on the achievement of several future milestones,
including:
· Demonstration of commercial and technical feasibility - The E-LIX
Phase 1 plant must validate the E-LIX System's ability to operate consistently
and cost-effectively at scale. Progress to date has highlighted challenges in
achieving sustainable throughput levels, and further assessment is pending
(see Note 8).
· Market conditions for copper and zinc - Sustained favourable
pricing is critical to supporting the project's economic case.
· Operational and cost performance - The system must achieve
targeted recovery rates and cost efficiencies during pilot and potential
commercial operation.
· Strength of exclusivity arrangements - The Group retains
exclusive rights to deploy the E-LIX System within the Iberian Pyrite Belt,
but the value of these rights is contingent on successful commercialisation.
Management assesses the capitalised amounts for indicators of impairment in
accordance with IAS 36. As at the approval date, the Group had not received
updated technical or commercial information from the third-party advisor
engaged to review the project. Should there be indications of material changes
in project assumptions or external conditions, the Group will review the
carrying amount of the asset in accordance with IAS 36.
3. Business and geographical segments
Business segments
The Group has only one distinct business segment, being that of mining
operations, which include mineral exploration, development and scrap sales.
Copper concentrates produced by the Group are sold to three off-takers as per
the relevant offtake agreements. In addition, the Group has spot agreements
for the concentrates not committed to off-takers.
Geographical areas of sales
The Group's mining activities are located in Spain. The commercialisation of
the copper concentrates produced in Spain is carried out through Cyprus. Sales
transactions to related parties are on arm's length basis in a similar manner
to transaction with third parties. Accounting policies used by the Group in
different locations are the same as those contained in Note 2.
The table below presents revenues from external customers based on their
geographical location, determined by the country of establishment of each
customer.
Revenue - from external customers Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
€'000 €'000 €'000 €'000
Switzerland 40,662 65,258 225,497 192,300
Singapore 66,013 21,541 135,669 56,645
Spain 78 - 337 -
106,753 86,799 361,503 248,945
Revenue from Spain is derived from the sale of scrap metal.
The table below presents revenues from external customers attributed to the
country of domicile of the Company.
Revenue - from external customers Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
€'000 €'000 €'000 €'000
Cyprus 7,934 6,571 26,704 19,022
Spain 98,819 80,228 334,799 229,923
106,753 86,799 361,503 248,945
The geographical location of the specified non-current assets is based on the
physical location of the asset in the case of property, plant and equipment
and intellectual property and the location of the operation to which they are
allocated in the case of goodwill.
Non-current assets 30 Sep 2025 31 Dec 2024
€'000 €'000
Spain 508,558 479,241
508,558 479,241
Revenue represents the sales value of goods supplied to customers; net of
value added tax. The following table summarises sales to customers with whom
transactions have individually exceeded 10.0% of the Group's revenues.
(Euro 000's) Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Segment €'000 €'000 €'000 €'000
Customer 1 Copper 66,013 21,541 135,669 56,645
Customer 2 Copper 39,185 24,148 77,392 79,377
Customer 3 Copper 1,702 41,110 131,272 112,907
106,900 86,799 344,333 248,929
4. Revenue
(Euro 000's) Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Revenue from contracts with customers ((1)) 105,064 87,811 353,608 261,281
Price finalisation adjustments on provisionally priced sales ((2)) (4,981) 2,377 2,372 (861)
Fair value (losses)/gains relating to provisional pricing within sales ((3)) 6,610 (3,389) 5,204 (11,475)
Other income ((4)) 60 - 319 -
Total revenue 106,753 86,799 361,503 248,945
All revenue from copper concentrate is recognised at a point in time when the
control is transferred. Revenue from freight services is recognised over time
as the services are provided.
((1) ) Included within Q3 2025 and YTD 2025 is income related to
the freight services provided by the Group to its customers arising from the
sales of copper concentrate under CIF incoterm, of €2.2 million (Q3 2024:
€3.1 million) and €8.2 million (YTD 2024: €9.4 million), respectively.
((2) ) Represents adjustments to revenue arising from the final
settlement of sales contracts that were previously provisionally priced. These
amounts result from the reversal of provisions once the final invoice amount
has been agreed with the customer.
((3) ) Provisional pricing impact represents the change in fair
value of the embedded derivative arising on sales of concentrate.
((4) ) Other income mainly represents scraps.
5. Net Finance Income/(Costs)
(Euro 000's)
Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Interest expense
Other interest ((1)) (546) (558) (1,487) (1,514)
Interest on lease liabilities (9) (7) (28) (22)
Unwinding of discount on mine rehabilitation provision (Note 17) (141) (444) (616) (551)
Interest income
Financial interest 518 445 1,872 1,432
Impairment and gains/(losses) on disposal of financial instruments (2,702) - (2,702) -
Total (2,880) (564) (2,961) (655)
Interest expense capitalised ((2)) 105 240 429 430
((1) ) Interest expense related to interest accrued on bank payable
balances.
((2) ) Amounts capitalised within the above table refers to 50 MW
Solar plant.
Financial income includes interest received on bank balances of €0.4 million
(2024: €0.2 million) and €1 million related to E-LIX project funding (Note
8).
The impairment relates to the loan to Lain for the Pilot Plant, which the
Company fully written down, as the amount is not expected to be recovered in
the short term. (Note 8)
6. Tax
The Group determines the income tax expense for the period based on the
application of relevant tax laws and regulations in each jurisdiction,
including current and deferred tax effect. The major components of income tax
expense in the unaudited condensed consolidated interim financial statements
of profit or loss are:
(Euro 000's) Three month period ended 30 Sep 2025
Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended
30 Sep 2024
Income taxes
Current income tax expense 1,909 (908) (13,787) (3,001)
Deferred tax expense (4,990) - (4,990) -
Income tax expense recognised in the statement of profit and loss (3,081) (908) (18,777) (3,001)
7. Earnings per share
The calculation of the basic and fully diluted loss per share attributable to
the ordinary equity holders of the Company is based on the following data:
Three months ended 30 Sep 2025 Three months ended 30 Sep 2024 Nine months ended 30 Sep 2025 Nine months ended
30 Sep 2024
(Euro 000's)
Profit attributable to equity holders of the parent 10,925 2,423 71,073 19,553
Weighted number of ordinary shares for the purposes of basic earnings per 140,759 140,759 140,759 140,285
share (000's)
Basic profit per share (EUR cents/share) 7.8 1.7 50.5 13.9
Weighted number of ordinary shares for the purposes of fully diluted earnings 147,850 146,033 146,418 143,467
per share (000's)
Fully diluted profit per share (EUR cents/share) 7.4 1.7 48.5 13.6
At 30 September 2025 there are nil warrants, 6,274,000 options and 443,522
share awards (Note 15) (31 December 2024: nil warrants, 5,423,666 options and
nil share awards) which have been included when calculating the weighted
average number of shares for 2025.
8. Property, plant and equipment
(Euro 000's) Land and buildings Right-of-use assets Plant and machinery Assets under construction ((1)) Deferred mining costs ((2)) Other assets ((3)) Total
Cost
At 1 January 2024 83,517 7,076 319,129 70,601 64,072 951 545,346
Adjustments - - 5 - - - 5
Opening adjusted 83,517 7,076 319,134 70,601 64,072 951 545,351
Additions 151 - - 46,196 3,666 - 34,410
Reclassifications - - 5,351 (5,380) - 29 -
Increase in rehab. Provision 532 - - - - - 741
Write-off - (148) (151) - - - (587)
At 30 September 2024 84,200 6,928 324,334 111,417 67,738 980 595,597
Additions 82 - 332 6,605 6,236 - 13,255
Increase in rehab. Provision 2,533 - - - - - 2,533
Reclassifications - - 15,699 (16,589) - - (890)
Other transfers (363) - - (2,586)((6)) - - (2,949)
Write-off - - 151 - - - 151
Advances - - - 1,601((4)) - - 1,601
At 31 December 2024 86,452 6,928 340,516 100,448 73,974 980 609,298
Additions ((8)) 459 - - 37,412 21,031 - 58,902
Increase in rehab. Provision 116 - - - - - 116
Reclassifications - - 4,907((7)) (2,230) - 19 2,696
Disposals - - - (15) - - (15)
30 September 2025 87,027 6,928 345,423 135,615 95,005 999 670,997
Depreciation
At 1 January 2024 24,702 2,531 113,547 - 19,063 764 160,607
Adjustments - - 1 - - - 1
Opening adjusted 24,702 2,531 113,548 - 19,063 764 160,608
Charge for the period((5)) 4,888 380 20,891 - 4,129 30 30,318
Write-off - (57) - - - - (57)
At 30 September 2024 29,590 2,854 134,439 - 23,192 794 190,869
Charge for the period 1,304 117 6,437 - 1,526 13 9,397
At 31 December 2024 30,894 2,971 140,876 - 24,718 807 200,266
Charge for the period 4,582 390 24,386 - 6,271 43 35,672
30 September 2025 35,476 3,361 165,262 - 30,989 850 235,938
Net book value
30 September 2025 51,551 3,567 180,161 135,615 64,016 149 435,059
At 31 December 2024 55,558 3,957 199,640 100,448 49,256 173 409,032
( )
( )
((1)) Assets under construction at 30 September 2025 were €135.6 million (31
December 2024: €100.4 million) which include sustaining capital
expenditures, tailings dams project, E-LIX plant, solar plant and the San
Dionisio area.
((2)) Stripping costs excluding San Dionisio.
((3)) Includes motor vehicles, furniture, fixtures and office equipment which
are depreciated over 5-10 years.
((4)) Advances related to E-LIX plant. The above fixed assets are mainly
located in Spain.
((5)) Increase of depreciation due to the update of its ore reserves in May
2024 in the subsidiary ARM.
((6)) Transfer to Prepayments for service contract (Note 12).
((7)) Reclassifications of €2.7 million related to low-rotation stock
reclassified from inventories (material supplies).
((8)) During YTD 2025, the Group capitalised €0.4 million of borrowing costs
related to the construction of the solar plant in accordance with IAS 23. The
average effective interest rate applied was 1.4%. The tax deductibility of
these capitalised borrowing costs will be sold over the asset's useful life
through depreciation deductions, rather than as an immediate tax relief.
The above fixed assets are mainly located in Spain.
E-LIX Project
In May 2019, Atalaya initiated a partnership with Lain Technologies Ltd.
("Lain") for the development of technology known as E-LIX. The E-LIX
technology is a newly-developed electrochemical extraction process invented
and owned by Lain which is protected by trade secret rights. Atalaya's rights
over the E-LIX technology are limited to its use on favourable terms and other
benefits but do not include ownership.
E-LIX is an innovative electrochemical extraction process developed by Lain to
assess the production of zinc and copper cathodes, as well as derivatives of
these metals, from complex sulphide ores.
Lain and Atalaya have partnered to develop the E-LIX technology since 2019.
During these years, the collaboration has progressed through different phases,
summarised as follows:
· Phase 0: Preliminary work and research.
· Phase 1: Construction and commissioning of the Pilot Plant.
· Phase 2: Operation of the Pilot Plant and feasibility studies.
· Phase 3: Construction and commissioning of an Industrial Plant.
As a result of the successful laboratory tests carried out by Atalaya on the
E-LIX technology during Phase 0, in July 2020, Atalaya and Lain reached a
global agreement and executed a memorandum of understanding ("MOU"), with the
first step being the construction of a pilot plant (the "Pilot Plant") fully
funded by Atalaya via loans.
The Pilot Plant was built during 2021 and confirmed the technical feasibility
of E-LIX, demonstrating the selective leaching of metals from concentrates and
achieving high recovery rates for copper and zinc through a more efficient and
sustainable process compared to traditional methods.
In December 2021, the Company's Board of Directors approved the construction
and financing of a larger-scale plant with a significantly higher processing
capacity than the Pilot Plant (the "Industrial Plant").
Throughout the partnership, several agreements have been signed, including:
· Construction of the fixed assets required for the use of the
E-LIX technology;
· Exclusivity agreements
· Funding agreements for the construction and the commissioning of
the Pilot Plant
· Funding agreements for the construction and commissioning of the
Industrial Plant;
· Operational agreements for the construction of the Industrial
Plant.
As of 30 September 2025, Atalaya has balances related to Lain and its E-LIX
technology amounting to €53.0 million, as detailed below:
Description Caption Note Amount (€k)
Pilot plant Non-current receivables 13 -
Industrial Plant Non-current Receivables (prepayments) 12 21,307
Industrial Plant PPE 8 22,023
Convertible Loan Current receivables 13 9,631
52,961
Commissioning and Ramp-up progress on the Industrial Plant
Commissioning and ramp-up activities at the E-LIX Phase I plant continued
during 2025. While the leaching process has continued to deliver results in
line with certain technical expectations, progress towards achieving
sustainable, economically viable throughput levels has been more challenging
and materially slower than anticipated.
Lain, the process developer and operator, undertook optimisation initiatives,
in the third quarter 2025, however, the ability of the Industrial Plant to
reach and sustain its design throughput remains uncertain.
The reduced throughput rate increases the risk that Lain may experience
challenges with liquidity and meeting ongoing working capital requirements,
although Atalaya or its management do not have direct insight into Lain's
financial position. The ability to achieve and maintain optimal throughput
will depend on a number of factors, including the availability of suitable
feed material and the successful implementation of plant modifications and
refinements.
To support the assessment of the Project and reduce related risks, Atalaya has
initiated an independent third-party review to assess actual and potential
plant performance, confirm achievable throughput capacity, and identify
further optimisation opportunities. As at the approval date, this review
remained in progress.
While Atalaya considers that the E-LIX technology has potential, particularly
in improving metal recoveries from complex polymetallic ores which could
support the conversion of resources into reserves, the long-term economic
viability of the technology and the associated investment in the Industrial
Plant, will ultimately depend on Lain's ability to achieve and sustain
profitable throughput levels in the short to medium term or in its ability to
find a financial partner, that may or may not be Atalaya, to provide the
necessary financial support until Lain achieves profitable production levels.
Recoverability of Assets
As at 30 September 2025, the commissioning and ramp-up activities at the
Industrial Plant, which is based on a novel hydrometallurgical process,
continued. The E-LIX technology has demonstrated positive technical results in
the selective recovery of zinc and copper, as well as their derivatives.
As of the reporting date, Atalaya has not identified any significant issue in
the use or application of the E-LIX technology and therefore, Atalaya
continues to believe the E-LIX technology could bring significant value to its
operations. While the leaching process has delivered results in line with
certain technical expectations ramp-up to profitable throughput levels has
been slower than anticipated.
Management continues to work with Lain to address operational challenges.
Further progress will depend on achieving and sustaining higher throughput
levels and on the outcome of the independent third-party technical review
currently under way.
As at 30 September 2025, the Group assessed whether there had been any
significant changes to the E-LIX technology's business model and/or to the
indicators of impairment under IAS 36 Impairment of Assets assessed as at 31
December 2024.
As at the reporting date, no impairment has been recognised as Atalaya's
estimates on the financial model for the use of the technology remain valid
until the independent third-party review is concluded.
However, management notes that continued delays in achieving design throughput
capacity may have a potential impact on processing costs and on the operator's
liquidity position. In the event that the independent third-party review
concludes that design throughput capacity cannot be reached, there may be a
resulting adverse impact on unit processing costs and therefore, on the
ability of Atalaya to recover its investment in Lain and its E-LIX technology
since 2019.
In relation to the loan agreement with Lain Technologies for the Pilot Plant,
Atalaya is owed €2.3 million in principal and €0.4 million in accrued
interest. The Company has recognised a full impairment of this balance, as
recovery is not expected in the short term. Refer to Note 13 of Atalaya's
financial statements as at 31 December 2024 for further information.
9. Intangible assets
(Euro 000's) Permits ((1)) Licences, R&D and software Other intangible assets Total
Cost
At 1 January 2024 81,199 8,758 - 89,957
Additions 919 - - 919
At 30 September 2024 82,118 8,758 - 90,876
Additions (919) - 17,771 ((2)) 16,852
Reclassifications (3,128) (6,948) 10,076 -
At 31 December 2024 78,071 1,810 27,847 107,728
Additions 400 - 6,969 7,369
Reclassification 52 28 (50) 30
30 September 2025 78,523 1,838 34,766 115,127
Amortisation
At 1 January 2024 32,080 8,480 - 40,560
Charge for the period 2,657 22 - 2,679
At 30 September 2024 34,737 8,502 - 43,239
Charge for the period 1,221 7 - 1,228
Reversal of impairment losses - (6,948)((3)) - (6,948)
At 31 December 2024 35,958 1,561 - 37,519
Charge for the period 4,084 25 - 4,109
At 30 September 2025 40,042 1,586 - 41,628
Net book value
At 30 September 2025 38,481 252 34,766 73,499
At 31 December 2024 42,113 249 27,847 70,209
((1)) Permits include the mining rights of Proyecto Riotinto, Proyecto Touro,
Masa Valverde and Ossa Morena
((2)) Additions in 2024 include €16.7 million at fair value related to the
interest to acquire the 80% of the shares of Cobre San Rafael, SL, as per the
Shareholders' Agreement, including €16.5 million (note 26) and €0.2
million related to capitalisation expenses in accordance with the policy of
the Group once the Touro Project was granted as Strategic Industrial Project
(PIE).
((3)) Reversal of Impairment on Intangible Assets
Additions during YTD 2025 mainly relate to the capitalisation of exploration
and evaluation costs in connection with Proyecto Masa Valverde (€3.6
million), Proyecto Touro (€3.4 million) and Proyecto Riotinto East (€0.4
million).
The ultimate recovery of balances carried forward in relation to areas of
interest or all such assets including intangibles is dependent on successful
development, and commercial exploitation, or alternatively the sale of the
respective areas.
The Group conducts impairment testing on an annual basis unless indicators of
impairment are not present at the reporting date.
On 29 January 2020, the Company released an update on Proyecto Touro. The
Company referenced news from the regional government of Galicia ("Xunta de
Galicia") in relation to the permitting process, where the General Directorate
to the Mines, Energy and Industry Department announced a negative
Environmental Impact Statement for Proyecto Touro.
As a result of the announcement made by the Xunta de Galicia, the Company
re-assessed the uncertainty about the feasibility of obtaining the necessary
permits for Touro, impacting the project's development prospects.
As a result of the re-assessment, the Company booked as at 31 December 2019 an
impairment of €6.9 million related to the capitalised cost incurred by the
Company to the date according to its accounting policy. However, the Company
retained the value of the mining rights at €5.0 million, as these rights
remained in force.
Since 2019, the Company had actively worked with stakeholders to advance the
permitting process and improve the regulatory framework for Proyecto Touro. In
2024, the permitting and operational environment for the project had improved
significantly, leading to a reassessment of its technical and financial
feasibility.
A key development had been the designation of Proyecto Touro as a Strategic
Industrial Project ("PIE") by the Xunta de Galicia. This designation had
granted priority status, accelerated administrative procedures, and reduced
regulatory uncertainties, removing the primary risk factor that had led to the
initial impairment.
In compliance with IAS 36 - Impairment of Assets, the Company conducted an
impairment test as at 31 December 2024, concluding that the conditions that
had led to the impairment in 2019 no longer existed. The impairment test was
carried out by evaluating both technical and financial feasibility, confirming
that the project was able to generate economic benefits in line with initial
expectations.
As a result, the impairment loss of €6.9 million was fully reversed as at 31
December 2024.
10. Inventories
(Euro 000's) 30 Sep 2025 31 Dec 2024
Finished products 8,489 19,732
Materials and supplies 23,943 25,540
Work in progress 1,712 3,890
Total inventories 34,144 49,162
As of 30 September 2025, copper concentrate produced and not sold amounted to
8,092 tonnes (31 Dec 2024: 21,815 tonnes). Accordingly, the inventory for
copper concentrate was €8.5 million (31 Dec 2024: €19.7 million).
Materials and supplies relate mainly to machinery spare parts. Work in
progress represents ore stockpiles, which is ore that has been extracted and
is available for further processing.
11. Dividends
Cash dividends declared and paid during the period:
(Euro 000's) Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Dividends declared and paid 3,861 5,062 3,861 10,306
Cash dividends declared but not paid during the period:
(Euro 000's) Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Dividends declared but not paid 6,203 - 6,203 -
Cash dividends paid after the period:
(Euro 000's) 30 Sep 2025 30 Sep 2024 31 Dec 2024
Dividend payable 6,203 - -
A final dividend of US$0.03 in respect of 2024 was proposed on 17 March 2025
for approval by shareholders at the 2025 Annual General Meeting ("AGM"). This
equated to €0.0275 per share at the exchange rate published by the European
Central Bank on 17 March 2025. The dividend resulted in a total dividend for
2024 of US$0.07 per share. The final dividend for 2024 was approved by
shareholders at the AGM held on 24 June 2025 and was paid to holders of CREST
Depository Interests on 23 July 2025.
On 11 August 2025, the Company's Board of Directors elected to declare a 2025
Interim Dividend of €0.044 per ordinary share, which is equivalent to
approximately US$0.051 or £0.038 per share.
12. Trade and other receivables
(Euro 000's) 30 Sep 2025 31 Dec 2024
Non-current
Deposits 902 611
Loans 134 141
Prepayments for service contract ((1)) 30,313 29,662
Other non-current receivables 111 2,838
31,460 33,252
Current
Trade receivables at fair value - subject to provisional pricing 12,531 9,727
Trade receivables from shareholders at fair value - subject to provisional 11,206 1,042
pricing (Note 22.3)
Deposits 35 35
VAT receivables 23,640 20,898
Tax advances 6,838 -
Prepayments 4,817 4,507
Other current assets 503 654
59,599 36,863
Allowance for expected credit losses - -
Total trade and other receivables 91,059 70,115
((1)) On 28 January 2022 the Company signed a loan agreement for €15 million
and on 8 May 2023 an amendment increasing this amount to up to €20 million
for the construction of the first phase of the industrial-scale E-LIX plant
("Phase I"). This loan was granted for a fixed term of 10 years from the start
of commercial production. This balance includes capitalised interest, and
repayment will be made through the use of the E-LIX technology. This balance
also includes €7.6 million classified as prepayments related to running
costs of the Industrial Plant of Proyecto E-LIX (see note 8).
Trade receivables are shown net of any interest applied to prepayments.
Payment terms are aligned with offtake agreements and market standards and
generally are 7 days on 90% of the invoice value, with the remaining 10%
payable at the final settlement date which can vary between 1 and 5 months.
The fair values of trade and other receivables approximate their book values.
Non-current deposits included €250k (€250k as at 31 December 2024) as a
collateral for bank guarantees, which is recorded as restricted cash (or
deposit).
13. Loans
(Euro 000's) 30 Sep 2025 31 Dec 2024
Non-current loans
Loans - 2,627
- 2,627
Current loans
Loans 9,651 5,352
9,651 5,352
Non-current loans relate to the loan agreement with Lain Technologies for the
Pilot Plant, comprising €2.3 million in principal plus €0.4 million in
accrued interest. The loan bears interest at EURIBOR 12M + 2%. The Company has
decided to fully impair this loan, as it is not expected that the amount will
be recovered in the short term.
On 30 September 2024 the Company entered into a convertible loan agreement,
providing a credit facility of up to €10 million, maturing on 31 December
2025. This facility bears interest at EURIBOR 3M + 2%. As at the reporting
date, the balance includes €9.3 million principal drawn under the facility
and €0.4 million in accrued interest (refer to note 8).
14. Cash and cash equivalents
(Euro 000's) 30 Sep 2025 30 Jun 2025 31 Dec 2024 30 Sep 2024 30 Jun 2024
Unrestricted cash and cash equivalents at Group level 79,380 83,747 43,184 72,058 76,253
Unrestricted cash and cash equivalents at Operation level 34,430 19,266 9,694 4,221 4,784
Consolidated cash and cash equivalents 113,810 103,013 52,878 76,279 81,037
The table above provides a comprehensive overview of the cash and cash
equivalents held by Atalaya as of 30 September 2025.
Cash and cash equivalents denominated in the following currencies:
(Euro 000's) 30 Sep 2025 30 June 2025 31 Dec 2024 30 Sep 2024 30 June 2024
Euro - functional and presentation currency 50,840 55,821 37,299 51,859 57,782
Great Britain Pound 568 60 70 51 139
United States Dollar 62,402 47,132 15,509 24,369 23,116
Consolidated cash and cash equivalents 113,810 103,013 52,878 76,279 81,037
15. Share capital and share premium
Issued and fully paid Shares Share Capital Share premium Total
Issue Date Price (£) Details 000's €'000 €'000 €'000
31 December 2023/1 January 2024 139,880 13,596 319,411 333,007
9-Feb-24 3.090 Exercised share options ((a)) 20 3 71 74
7-May-24 2.015 Exercised share options ((b)) 67 6 151 157
22-May-24 2.015 Exercised share options ((c)) 600 53 1,368 1,421
27-Jun-24 4.160 Exercised share options ((d)) 120 11 570 581
27-Jun-24 3.575 Exercised share options ((d)) 36 3 149 152
27-Jun-24 3.270 Exercised share options ((d)) 36 3 136 139
26-Dec-24 Capital increase** - 272 - 272
26-Dec-24 Capital decrease** - (1,279) - (1,279)
31-Dec-24 140,759 12,668 321,856 334,524
At 30-Sep-25 140,759 12,668 321,856 334,524
*The Company's share capital at 30 September 2025 is 140,759,043 ordinary
shares (140,759,043 at 31 December 2024) of €0.09 each.
** The decrease in share capital reflects the conversion of the nominal value
from 7.5p to €0.09 per share, following the change in the share capital
denomination from pounds sterling to euros).
In 2024, following the re-domiciliation of Atalaya to Spain, and in accordance
with Spanish corporate law, the Company redenominated its share capital to
euros. As part of this process, the share capital, represented by 140,759,043
ordinary shares, was converted from GBP 10,556,928.22 to EUR 12,395,853.02,
with the nominal value per share adjusted from GBP 0.075 to EUR 0.088065
(applying the exchange rate of 0.85165 EUR/GBP).
Subsequently, in order to round the nominal value of each share to EUR 0.09
following the Cross-Border Transformation, shareholders approved a capital
increase of EUR 272,460.85, using distributable reserves. This adjustment
raised the nominal value of each share by EUR 0.001935, resulting in a total
share capital of EUR 12,668,313.87.
Issued capital
There has been no issuance of share capital during YTD 2025.
(a) On 9 February 2024, the Company announced that it has issued 20,000
ordinary shares of 7.5p in the Company ("Option Shares") pursuant to an
exercise of share options by an employee.
(b) On 7 May 2024, Atalaya announced that it has issued 66,500 ordinary shares
of 7.5p in the Company ("Option Shares") pursuant to an exercise of share
options by an employee.
(c) On 22 May 2024, the Company announced that it has issued 600,000 ordinary
shares of 7.5p in the Company ("Option Shares") pursuant to an exercise of
share options by a person discharging managerial responsibilities ("PDMR").
(d) On 27 June 2024, Atalaya announced that it has issued 193,334 ordinary
shares of 7.5p in the Company ("Option Shares") pursuant to the exercise of
share options by an employee. These options were issued as part of the
Company's long term incentive plan.
The Company's share capital at 30 September 2025 is 140,759,043 ordinary
shares of €0.09 each.
In general, option agreements contain provisions adjusting the exercise price
in certain circumstances including the allotment of fully paid ordinary shares
by way of a capitalisation of the Company's reserves, a subdivision or
consolidation of the ordinary shares, a reduction of share capital and offers
or invitations (whether by way of rights issue or otherwise) to the holders of
ordinary shares.
Share Options
Details of share options outstanding as at 30 September 2025:
Grant date Expiry date Exercise price £ Share options
30 June 2020 29 June 2030 1.475 448,000
24 June 2021 23 June 2031 3.090 886,000
22 June 2022 30 June 2027 3.575 980,000
22 May 2023 21 May 2028 3.270 1,080,000
11 June 2024 10 June 2029 4.135 1,130,000
22 Dec 2024 21 Dec 2029 3.335 150,000
9 July 2025 9 July 2030 4.604 1,600,000
Total 6,274,000
Weighted average Share options
exercise price £
At 1 January 2025 3.343 5,423,666
Options exercised during the year 3.314 (668,000)
Expired during the year 3.533 (81,666)
Granted during the year 4.604 1,600,000
30 September 2025 3.665 6,274,000
By agreement with the respective employees, the 668,000 options exercised
during YTD 2025 were settled in cash, and no share capital was issued in
respect of these awards.
Warrants
As at 30 September 2025 and 2024 there were no warrants.
Conditional share awards
As agreed on 24 April 2025, the Company granted conditional share awards under
the Atalaya LTIP 2020 to Directors and PDMRs. These awards are subject to the
achievement of performance conditions over a three-year period, after which
the shares are granted. However, they remain subject to a two-year holding
period, meaning the beneficiary may not fully realise or dispose of the shares
until the end of year five (note 23.2).
The conditional share awards granted during the period are summarised below:
Name Role Maximum number of shares awarded Grant date Vesting schedule
Alberto Lavandeira Chief Executive Officer 218,000 23/04/2025 Vesting of 3 years, subject to performance
César Sánchez Chief Financial Officer (PDMR) 113,091 23/04/2025 Same as above
Enrique Delgado GM Riotinto (PDMR) 112,431 23/04/2025 Same as above
443,522
No consideration was paid for the grant of these awards. Vesting is
conditional on performance criteria and continued employment, as detailed in
the 2024 Annual Report (page 96). The awards are subject to malus and clawback
provisions (note 23.2).
16. Other reserves
(Euro 000's) Share-based benefit FV reserve of financial assets at FVOCI ((2)) Non-Distributable reserve ((3)) Total
Bonus share Depletion factor ((1)) Distributable
reserve ((4))
At 1 January 2024 11,026 208 37,778 (1,156) 8,316 14,291 70,463
Recognition of share- based payments 718 - - - - - 718
Recognition of non-distributable reserve - - - - 142 - 142
Recognition of distributable reserve - - - - - 7,848 7,848
Recognition of depletion factor - - 8,949 - - - 8,949
Change in fair value of financial assets at fair value through OCI - - - (1) - - (1)
At 30 September 2024 11,744 208 46,727 (1,157) 8,458 22,139 88,119
Recognition of depletion factor - - - - - - -
Recognition of distributable reserve - - - - - - -
661 - - - - - 661
Recognition of share-based payments
Change in fair value of financial assets at fair value through OCI - - - (6) - - (6)
Other changes in reserves 464 - - - - (464) -
At 31 December 2024 12,869 208 46,727 (1,163) 8,458 21,675 88,774
Recognition of share-based payments 1,657 - - - - - 1,657
Recognition of non-distributable reserve - - - - 685 - 685
Recognition of distributable reserve - - - - - (670) (670)
Change in fair value of financial assets at fair value through OCI - - - 29 - - 29
Other changes in reserves (134) - - - - - (134)
30 September 2025 14,392 208 46,727 (1,134) 9,143 21,005 90,341
((1) ) Depletion factor reserve
At 30 September 2025, the Group has recognised €nil (30 September 2024:
€7.5million) as a depletion factor reserve as per the Spanish Corporate Tax
Act.
((2) ) Fair value reserve of financial assets at FVOCI
The Group has elected to recognise changes in the fair value of certain
investments in equity securities in OCI, as explained in (1) above. These
changes are accumulated within the FVOCI reserve within equity. The Group
transfers amounts from this reserve to retained earnings when the relevant
equity securities are derecognised.
((3) ) Non-distributable reserve
To comply with Spanish Law, the Group needed to record a reserve of profits
generated equal to a 10% of profit/(loss) for the year until 20% of share
capital is reached.
((4) ) Distributable reserve
Distributable reserves include the transfer from income for the year
attributable to the parent for 2024.
17. Trade and other payables
(Euro 000's) 30 Sep 2025 31 Dec 2024
Non-current
Other non-current payables 12,771 12,492
Government grant 1,507 1,491
14,278 13,983
Current
Trade payables 73,038 78,965
Trade payables to shareholders (Note 23.3) - 109
Accruals 1,891 2,505
Other 8,626 8,511
83,555 90,090
As of 30 September 2025, other non-current payables included €9.9 million
related to liabilities arising from the potential acquisition of 80% of the
shares of Cobre San Rafael, SL, in accordance with the Shareholders' Agreement
(note 9). An additional €2.8 million related with the acquisition of Atalaya
Masa Valverde SL (formerly Cambridge Minería España, SL) and Atalaya Ossa
Morena SLU (formerly Rio Narcea Nickel, SL) (note 1).
Other current payables include €7.0 million, also associated with the
potential increase in the stake of Cobre San Rafael, S.L., under the
Shareholders' Agreement (note 9). This amount is classified as current, as the
likelihood of reaching the associated milestone is considered high, making
settlement probable within the current year.
Trade payables primarily relate to the acquisition of materials, supplies and
other services. These payables are non-interest bearing and are not secured by
any guarantees. The fair value of trade and other payables approximates their
carrying values.
Trade payables are non-interest-bearing and are normally settled on 60-day
terms.
18. Provisions
(Euro 000's) Other provisions Legal costs Rehabilitation costs Total costs
At 1 January 2024 750 227 26,691 27,668
Use of provision - (51) (297) (348)
Increase in provision - - 740 740
Finance cost - - 107 107
Transfer to other non-current payables (750) - - (750)
At 30 September 2024 - 176 27,241 27,417
Additions - 230 - 230
Increase in provision - - 2,534 2,534
Use of provision - (11) (647) (658)
Finance cost - - 721 721
At 31 December 2024 - 395 29,849 30,244
Additions 4,692 - - 4,692
Use of provision - (150) (434) (584)
Increase in provision - - 116 116
Finance cost - - 616 616
30 September 2025 4,692 245 30,147 35,084
(Euro 000's) 30 Sep 2025 31 Dec 2024
Non-current 30,003 29,328
Current 5,081 916
Total 35,084 30,244
Rehabilitation provision
Rehabilitation provision represents the accrued cost required to provide
adequate restoration and rehabilitation upon the completion of production
activities. These amounts will be settled when rehabilitation is undertaken,
generally over the project's life.
The discount rate used in the calculation of the net present value of the
liability as at 30 September 2025 was 3.23% (31 December 2024: 3.23%), which
is the 15-year Spanish Government Bond rate for 2025. An inflation rate of
2%-2.80% (31 December 2024: 2%-2.80%) is applied on annual basis.
In May 2024, Atalaya incorporated an update of its ore reserves based on an
independent expert analysis in accordance with the Canadian Institute of
Mining, Metallurgy and Petroleum ("CIM") Definition Standards on Mineral
Resources and Mineral Reserves adopted by the CIM Council (the "CIM
Standards"). This update had some impact on the Group's financial statements
and accounting estimates and reflects a revised understanding of the economic
potential and operational requirements of our mining assets.
Legal provision
As at 30 September 2025, the Group has been named as a defendant in several
legal proceedings in Spain, the outcomes of which remain uncertain. During
2025, €0.2 million of the provision recognised as at 31 December 2024 was
utilised, compared to €0.4 million recognised as at 31 December 2024. This
has been reflected in these unaudited Condensed Consolidated Interim Financial
Statements.
Other provisions
Other provisions comprise a provision of €4.7 million related to an ongoing
cadastral tax examination in Spain concerning the land on which the Aguzadera
and Cobre dams are located. The initial conclusions indicate a significant
upward revision of the cadastral value, which could result in additional
property tax assessments for 2022-2025, including interest.
19. Borrowings
(Euro 000's) 30 Sep 2025 31 Dec 2024
Non-current borrowings
Credit facilities 7,011 10,866
7,011 10,866
Current borrowings
Credit facilities 17,051 6,921
17,051 6,921
The Group had credit approval for unsecured facilities totalling €116.4
million (€97.4 million at 31 December 2024). Atalaya drew down some of its
existing credit facilities to finance the solar plant, payable amount of
€10.0 million at 30 September 2025 (€13.9 million at 31 December 2024) and
for the construction of a new part of the processing plant payable amount of
€2.1 million at 30 September 2025 (€2.8 million at 31 December 2024).
Margins on borrowing with variable interest rates, usually 12 months EURIBOR,
range from 0.75% to 2.25% with an average margin of 1.33%.
At 30 September 2025, the Group had used €24.1 million of its facilities and
had undrawn facilities of €92.3 million.
Net cash reconciliation
Reconciliation of Liabilities Arising from Financing Activities
The reconciliation below provides information on changes in liabilities
arising from financing activities, including both cash and non-cash changes.
Net cash (€'000) 30 Sep 2025 31 Dec 2024
Cash and cash equivalents 113,810 52,878
Borrowings - repayable within one year (17,051) (6,921)
Borrowings - repayable after one year (7,011) (10,866)
Lease - as per IAS 7 (3,441) (3,801)
Net cash 86,307 31,290
€'000 Cash Borrowings Lease Total
Net cash / (debt) as at 1 Jan 2024 121,007 (66,687) (4,378) 49,942
Financing cash flows (44,434) - - (44,434)
Proceeds from borrowings - (9,477) - (9,477)
Repayment of borrowings - 40,471 389 40,860
Foreign exchanges adjustments (458) - - (458)
Other changes
Interest paid - 1,514 - 1,514
Interest expense - (1,514) (22) (1,536)
Other changes - - 88 88
Net cash / (debt) as at 30 Sep 2024 76,115 (35,693) (3,923) 36,499
Financing cash flows (25,497) - - (25,497)
Proceeds from borrowings - 6,477 - 6,477
Repayment of borrowings - 11,429 130 11,559
Foreign exchanges adjustments 2,260 - - 2,260
Other changes
Interest paid - (383) 30 (353)
Interest expense - 383 (8) 375
Other changes - - (30) (30)
Net cash / (debt) as at 31 December 2024 52,878 (17,787) (3,801) 31,290
Financing cash flows 62,267 - - 62,267
Proceeds from borrowings - (25,069) - (25,069)
Repayment of borrowings - 18,794 389 19,183
Foreign exchanges adjustments (1,335) - - (1,335)
Other changes
Interest paid - 1,487 28 1,515
Interest expense - (1,487) (28) (1,515)
Other changes - - (29) (29)
Net cash / (debt) as at 30 Sep 2025 113,810 (24,062) (3,441) 86,307
(*) The comparative figures of the cash flow statement include further
breakdown in respect comparative figures, breaking down loan proceeds and
repayments for a better understanding of the movement.
20. Lease liabilities
(Euro 000's) 30 Sep 2025 31 Dec 2024
Non-current
Lease liabilities 2,965 3,320
2,965 3,320
Current
Lease liabilities 476 481
476 481
Lease liabilities
The Group entered into lease arrangements for the renting of land and a
warehouse which are subject to the adoption of all requirements of IFRS 16
Leases (Note 2.2). The Group has elected not to recognise right-of-use assets
and lease liabilities for short-term leases that have a lease term of 12
months or less and leases of low-value assets.
(Euro 000's) 30 Sep 2025 31 Dec 2024
Present value of minimum lease payments due
- Within one year 476 481
- Two to five years 1,835 1,856
- Over five years 1,129 1,464
3,440 3,801
(Euro 000's) 30 Sep 2025 30 Sep 2024
Lease liabilities
At 1 January 3,801 4,377
Interest expense 28 22
Lease payments (389) (389)
Write-off - (87)
At 30 Sep 3,440 3,923
At 30 Sep
Non-current liabilities 2,965 3,440
Current liabilities 476 483
3,441 3,923
21. Acquisition, incorporation and disposal of subsidiaries
There were no acquisitions or incorporation of subsidiaries during the
nine-month period ended 30 September 2025 and 2024.
22. Winding-up of subsidiaries
There were no operations wound up during the nine-month period ended 30
September 2025 and 2024.
23. Related party transactions
The following transactions were carried out with related parties:
23.1 Compensation of key management personnel
The total remuneration and fees of Directors (including Executive Directors)
and other key management personnel was as follows:
(Euro 000's) Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Directors' remuneration and fees 217 311 846 901
Directors' bonus ((1)) - - 294 327
Share -based benefits and other benefits to directors 656 129 826 224
Key management personnel fees 220 170 661 477
Key management bonus ((1)) - - 325 247
Share-based and other benefits to key management personnel 451 129 636 224
1,544 739 3,588 2,400
((1) ) These amounts related to the performance bonus for 2024 approved
by the Board of Directors of the Company during Q2 2025. Director's bonus
relates to the amount approved for the CEO as an executive director and key
management bonus relates to the amount approved for other key management
personnel which are not directors of Atalaya Mining Copper, S.A.
Effective 1 January 2025, the Group included the General Manager of Proyecto
Touro as a member of its key management personnel. The decision reflected the
formal creation of the role and its strategic relevance, as the position
entails direct responsibility over the planning, direction and control of all
operational and development activities at Proyecto Touro.
On 24 July 2025, Fernando Araúz de Robles Villalón was appointed General
Manager of Proyecto Riotinto, succeeding Enrique Delgado, thereby becoming a
member of key management from that date.
23.2 Share-based benefits
During the period, the Company granted new conditional share awards under the
Atalaya Mining Long-Term Incentive Plan 2020. These awards are subject to
performance conditions measured over a three-year period and a subsequent
two-year holding period following vesting. The awards were granted on 24 April
2025 at a market price of 358.60 pence per share and were made to certain
members of senior management and PDMRs.
The maximum number of shares conditionally awarded was as follows:
Chief Executive Officer (Director): 218,000 shares
Chief Financial Officer (PDMR): 113,091 shares
General Manager Riotinto (PDMR): 112,431 shares
The awards will vest subject to the extent to which performance conditions are
satisfied and continued employment. No consideration was paid for the grant.
The total charge recognised in the unaudited interim consolidated income
statement for the nine months ended 30 September 2025 in respect of these
awards amounted to €0.2 million.
Further information on the LTIP performance conditions and terms is set out in
the Directors' Remuneration Report of the 2024 Annual Report.
23.3 Transactions with related parties/shareholders
i) Transaction with shareholders
(Euro 000's)
Three month period ended 30 Sep 2025 Three month period ended 30 Sep 2024 Nine month period ended 30 Sep 2025 Nine month period ended 30 Sep 2024
Trafigura Pte Ltd- Revenue from contracts ((a)) 66,797 21,744 133,707 59,392
Gain / (losses) relating provisional pricing within sales (782) (202) 1,964 (2,746)
66,015 21,542 135,671 56,646
Impala Terminals Huelva S.L.U. - Port Handling and Warehousing services ((b)) (758) (223) (1,886) (1,436)
Trafigura - Total revenue from contracts 65,257 21,319 133,785 55,210
(a) Offtake agreement and spot sales to Trafigura
Offtake agreement
In May 2015, the Company agreed terms with key stakeholders in a
capitalisation exercise to finance the re-start of Proyecto Riotinto (the
"2015 Capitalisation").
As part of the 2015 Capitalisation, the Company entered into offtake
agreements with some of its large shareholders, one of which was Trafigura Pte
Ltd ("Trafigura"), under which the total forecast concentrate production from
Proyecto Riotinto was committed ("2015 Offtake Agreements").
During Q3 2025, the Company completed 1 sale transaction under the terms of
the 2015 Offtake Agreements valued at €8.5 million (Q3 2024: 3 sales valued
at €21.7 million). In addition, in Q3 2025, a pricing adjustment of negative
€0.2 million was recorded.
Spot Sales Agreements
Due to various expansions implemented at Proyecto Riotinto in recent years,
volumes of concentrate have been periodically available for sale outside of
the Company's various 2015 Offtake Agreements. In addition, during YTD 2025,
the delivery obligations of the largest long-term offtake agreement was
fulfilled, which could lead to additional spot sales in the future.
In Q3 2025, the Company completed 4 spot sales (Q3 2024: nil spot sales valued
at €nil) valued at €56.8 million. In addition, in Q3 2025, a pricing
adjustment of €0.8 million was recorded. In Q3 2024, the Company completed
nil spot sales.
Sales transactions with related parties are at arm's length basis in a similar
manner to transactions with third parties.
(b) Port Handling and Warehousing services
In September 2015, Atalaya entered into a services agreement with Impala
Terminals Huelva S.L.U. ("Impala Terminals") for the handling, storage and
shipping of copper concentrates produced from Proyecto Riotinto. The agreement
covered total export concentrate volumes produced from Proyecto Riotinto for
three years for volumes not committed to Trafigura under its 2015 Offtake
Agreement and for the life of mine for the volumes committed to Trafigura
under its 2015 Offtake Agreement.
In September 2018, the Company entered into an amendment to the 2015 Port
Handling Agreement, which included improved financial terms and a five-year
extension.
During 2023, management carried out a reassessment of its relationship with
Impala Terminals in accordance with IAS 24 requirements and concluded that
Impala Terminals is a related party of the Group. These transactions with
related parties are at arm's length basis in a similar manner to transactions
with third parties.
In December 2023, the Company entered into an extension of the service
agreement with Impala Terminals for the handling, storage and shipping of
copper concentrates produced from Proyecto Riotinto on similar terms to the
2015 agreement and the extension in 2018. This 2023 extension has a term of
approximately five years and covers the concentrate volumes produced for
export from Proyecto Riotinto that are not already committed to the Trafigura
Group under its 2015 Offtake Agreement.
As at 30 September 2025, Impala Terminals was part of the Trafigura Group.
ii) Period-end balances with related parties
(Euro 000's) 30 Sep 2025 31 Dec 2024
Receivables from related parties:
Recursos Cuenca Minera S.L. 56 56
Total (Note 12) 56 56
The above balances bear no interest and are repayable on demand.
iii) Period-end balances with shareholders
(Euro 000's) 30 Sep 2025 31 Dec 2024
Receivable from shareholder (Note 12)
Trafigura - Debtor balance- subject to provisional pricing 11,206 1,042
Trafigura - Debtor balance- at amortised cost 29 -
11,235 1,042
Payable to joint venture of shareholder (Note 17)
Impala Terminals Huelva S.L.U. - Payable balance - (109)
- (109)
The above debtor balance arising from sales of goods and other balances bear
no interest and is repayable on demand.
24. Contingent liabilities
Judicial and administrative cases
In the normal course of business, the Group may be involved in legal
proceedings, claims and assessments. Such matters are subject to many
uncertainties, and outcomes are not predictable with assurance. Legal fees for
such matters are expensed as incurred and the Group accrues for adverse
outcomes as they become probable and estimable.
25. Commitments
There are no minimum exploration requirements at Proyecto Riotinto. However,
the Group is obliged to pay local land taxes which currently are approximately
€235,000 per year in Spain and the Group is required to maintain the
Riotinto site in compliance with all applicable regulatory requirements.
In 2012, Atalaya Riotinto Minera, S.L.U. entered into a 50/50 joint venture
with Rumbo 5. Cero, S.L. ("Rumbo") to evaluate and exploit the potential of
the class B resources in the tailings dam and waste areas at Proyecto Riotinto
(mainly residual gold and silver in the old gossan tailings). Under the joint
venture agreement, ARM will be the operator of the joint venture, will
reimburse Rumbo for the costs associated with the application for
classification of the Class B resources and will fund the initial expenditure
of a feasibility study up to a maximum of €2.0 million. Costs are then borne
by the joint venture partners in accordance with their respective ownership
interests.
26. Significant events
The global macroeconomic environment continued to be impacted by a variety of
factors, including geopolitical tensions, economic uncertainty and several
regional conflicts. Sanctions and various trade barriers, such as tariff
policies and export restrictions for critical inputs and technologies, have
the potential to disrupt supply chains and increase input costs. Uncertainties
around global economic growth and persistent inflation continue to impact
fiscal policy in major economies and result in currency fluctuations.
Combined, these macroeconomic factors are expected to lead to continued
volatility in commodity prices, impacting both Atalaya's revenues and
operating costs.
· On 10 January 2025, Atalaya Mining Copper, S.A. (formerly Atalaya
Mining plc) completed its re-domiciliation to Spain. Trading under the new
name became effective at 8:00 AM, and the nominal value of shares changed from
7.5p to €0.09.
· On 15 January 2025, the Board announced the appointment of María del
Coriseo ("Coriseo") González-Izquierdo Revilla as an independent
non-executive director, effective 14 January 2025.
· On 31 January 2025, Atalaya received notification that Neil Gregson,
Non-Executive Chair, purchased 2,800 ordinary shares of €0.09 nominal value
at an average price of 347.28 pence per share.
· On 8 April 2025, Atalaya announced that it received notification that
Jesús Fernández, a PDMR, purchased 32,000 ordinary shares of €0.09 nominal
value each in the Company at an average price of 307.98 pence per share.
· On 24 April 2025, conditional share awards were granted under the
Company's Long- Term Incentive Plan to the CEO (218,000 shares), CFO (113,091
shares) and General Manager Riotinto (112,431 shares), subject to performance
conditions and vesting terms.
· On 2 May 2025, Atalaya was notified by FTSE Russell of its inclusion
in the FTSE 250 Index, effective from 7 May 2025, following the removal of
International Distribution Services.
· On 15 May 2025, Atalaya received the Unified Environmental
Authorisation (AAU) from the Junta de Andalucía for the San Dionisio deposit,
enabling future expansion of mining activities at Proyecto Riotinto.
· On 4 June 2025, Atalaya announced that Hussein Barma, an independent
non-executive director of the Company, was appointed as a non-executive
director of Eldorado Gold Corporation with immediate effect.
· On 24 June 2025, following the retirement of Hussein Barma and the
appointment of Hennie Faul as Director, Atalaya updated the composition of its
board committees, with Hennie now serving as a member of the Audit and
Physical Risk Committees.
· On 10 July 2025, Atalaya granted share options under its LTIP 2020 to
CEO and Director Alberto Lavandeira (800,000), CFO César Sánchez (400,000)
and Riotinto General Manager Enrique Delgado (400,000), at an exercise price
of 460.35p. The options vest 1/6th on grant, 1/3rd on the first anniversary
and 50% on the second anniversary, subject to performance conditions, and
expire on 9 July 2030.
· On 23 July 2025, Atalaya paid the 2024 final dividend approved by
shareholders at the 2025 AGM.
· On 24 July 2025, Fernando Araúz de Robles Villalón was appointed
General Manager of Proyecto Riotinto, succeeding Enrique Delgado.
· On 11 August 2025, the Company's Board of Directors elected to
declare a 2025 Interim Dividend of €0.044 per ordinary share, which is
equivalent to approximately US$0.051 or £0.038 per share.
27. Events after the Reporting Period
· On 1 October 2025, Ithaki Limited, shareholder of the Company,
increased its voting rights from 6.99% to 8.34%.
· On 3 October 2025, Cobas Asset Management, SGIIC, S.A., shareholder
of the Company, decreased its voting rights from 15.04% to 14.47%.
· On 10 October 2025, Atalaya paid the 2025 interim dividend approved
by the Company's Board of Directors.
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