Atalaya Mining Copper Sa · LSE:ATYM

Atalaya Mining Copper Sa — Atalaya Mining — BMO Global Metals and Mining Conference 2020

29 slides from Atalaya Mining Copper Sa's conference presentation, February 2020

1. Slide 1: A low risk copper producer in Europe

   A low risk copper producer in Europe BMO Global Metals and Mining Conference February 2020

2. Slide 2: Disclaimer

   Disclaimer The information contained in this document (“Presentation”) has been prepared by Atalaya Mining Plc (the “Company”). While the information contained herein has been prepared in good faith, neither the Company nor any of its shareholders, directors, officers, agents, employees or advisers

3. Slide 3: Introduction

   Introduction A low risk copper producer in Europe  Proven management team with a consistent track record of delivery  Experienced global mine builders with EL FERROL Port considerable expertise in Spain A CORUÑA Port  Prudent operators VILLAGARCIA Port  Assets located in established and stable T

4. Slide 4: Proyecto Riotinto

   Proyecto Riotinto Strong track record of delivering ahead of time and below budget – 5Mtpa to 15Mtpa in four years 1. Restart 5.0Mtpa Incremental throughput: +5.0Mtpa Nameplate copper production: 25ktpa Incremental capex: US$82m Cumulative capex intensity: US$3,280/t Cu Unit processing cost: ~€5.01/

5. Slide 5: Proyecto Riotinto

   Proyecto Riotinto Real near term growth at low capital cost  Steady production progress with record quarter in Q4 2019 RIOTINTO HUELVA SEVILLE  FY Cu production at the upper end of guidance Matsa (Trafigura 0 E-803 50 100 km & Las Cruces Proyecto  Cu production guidance for 2020 Mubadala) Riotint

6. Slide 6: 2019 Production Results

   2019 Production Results Q4 – another record quarter Ore throughput (Mtpa) 3 12 Annualised (Mt) Quarterly (Mt)  Q4 2019 Cu production: 13,527 tonnes 2 8  FY 2019 Cu production: 44,950 tonnes 1 4  Consistent throughput and recovery -- Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 -- 2016 2017 201

7. Slide 7: Q3 2019 Financial Results

   Q3 2019 Financial Results  Revenues  Q3 revenue: €44.4m (Q3 2018: €42.8m) Revenues (€m)  YTD revenue: €139.2m (2018: €144.4m) €53.4 €52.7 €48.9 €51.7  Q3 realised Cu price/lb – US$2.68 (Q3 2018: €45.7 €42.8 €45.1 €43.1 €44.4 US$2.89) €35.7 €25.7  Operating Costs  Q3 cash costs/lb: US$1.92 (Q3

8. Slide 8: Operating Margins

   Operating Margins Average market Company realised AISC per lb Cu price per lb Cu price per lb Q1 2019 $2.18 $2.82 $2.80 Q2 2019 $1.95 $2.77 $2.81 Q3 2019 $2.12 $2.67 $2.67 To be published Q4 2019 n/a n/a April 2020  AISC in YTD 2019 decreased in  Cost guidance for 2019: comparison with YTD 2018 Ca

9. Slide 9: 15M Expansion

   15M Expansion 9.5 Mtpa and 15 Mtpa Expansion areas AIM:ATYM / TSX:AYM 9

10. Slide 10: 15M Expansion

    15M Expansion SAG Mill AIM:ATYM / TSX:AYM 10

11. Slide 11: 15M Expansion

    15M Expansion SAG pebble crushing New Pebble Crusher, belts and SAG Mill AIM:ATYM / TSX:AYM 11

12. Slide 12: 15M Expansion

    15M Expansion New primary crusher AIM:ATYM / TSX:AYM 12

13. Slide 13: 15M Expansion

    15M Expansion New flotation area AIM:ATYM / TSX:AYM 13

14. Slide 14: 15M Expansion

    15M Expansion Tailings Management Facilities AIM:ATYM / TSX:AYM 14

15. Slide 15: Reserves and Resources

    Reserves and Resources • Update in July 2018 reported 29% increase in P&P reserves, 21% increase in contained Cu to 822,000t and reduction in strip ratio from 1.95:1 to 1.43:1 • Pit design and internal cut-off grade based on long term Cu price of US$2.60/lb • Resources are pit-constrained at US$3.20

16. Slide 16: Exploration at Proyecto Riotinto

    Exploration at Proyecto Riotinto Additional underground potential with copper/zinc/lead in adjacent orebodies  At Atalaya/San Dionisio pit, massive sulphides and stockwork mineralisation are being targeted – more than 10,000 m of a 19,000 m programme drilled to date with positive preliminary result

17. Slide 17: Atalaya Positioning vs. Copper Peers

    Atalaya Positioning vs. Copper Peers Attractive valuation metrics(1) Enterprise Value (US$m) Net debt / Enterprise Value 2020e CuEq prod’n (kt)(3) EV / 2020e CuEq prod’n (US$/t)(3) (2) (2) Atalaya $355 Atalaya 12% Atalaya 56.5 Atalaya $6,213 Central Asia Ero Copper $1,329 Taseko 70% 33 Ero Copper $3

18. Slide 18: Atalaya Positioning vs. Copper Peers

    Atalaya Positioning vs. Copper Peers Attractive valuation metrics(1) 2020e EBITDA (US$m)(2) EV / 2020e EBITDA(2) 2020e FCF (US$m)(3) 2020e FCF Yield(2)(5) (4) (4) Atalaya $130 Atalaya 2.7x Atalaya $103 Atalaya 29% Taseko $78 Ero Copper 6.7x Taseko $43 Ero Copper 7% Copper Central Asia $86 5.4x Capst

19. Slide 19: Future Positioning

    Future Positioning Low-risk growth pipeline and competitive costs 2020E copper production (kt) 317 255 132 121 79 – 82 76 66 55 – 58 (2020 Guidance) 45 42 42 37 (2019A) 13 10 (1) (1) KAZ Minerals Lundin OZ Minerals Hudbay Atalaya Sandfire Capstone Atalaya Atalaya Taseko Ero Copper Copper Mtn. CAML I

20. Slide 20: Copper price in EUR

    Copper price in EUR Copper Price (€/lb) H1 2019 AISC (€/lb) Q3 2019 AISC (€/lb) 2.90 2.70 2.50 2.30 2.10 Q3 2019 AISC: €2.02/lb(2) 1.90 H1 2019 AISC: €1.83/lb(1) 1.70 Jan-16 May-16 Sep-16 Jan-17 May-17 Sep-17 Jan-18 May-18 Sep-18 Jan-19 May-19 Sep-19 Jan-20 Source: FactSet. 1. H1 2019 AISC of US$2.0

21. Slide 21: Investment Case

    Investment Case  Strong financial position  Nil financial debt(1)  Proven management team with strong track record of consistent delivery  Production guidance at the top end of expectations  Well understood deposits with low operational and country risk  Access to developed and modern infrastr

22. Slide 22: APPENDIX

    APPENDIX AIM:ATYM / TSX:AYM 22

23. Slide 23: Ownership Structure & Corporate Overview

    Ownership Structure & Corporate Overview  Supportive strategic shareholders  Have participated in prior equity raises for restart and expansions of Proyecto Riotinto  Indicative of continued support for the company Major shareholders (as at 19 February 2020) Overview (as at 19 February 2020) Hold

24. Slide 24: Senior Management & Board of Directors

    Senior Management & Board of Directors Strong Technical & Financial Expertise Alberto Lavandeira César Sánchez Enrique Delgado CEO, Director Chief Financial Officer GM, Operations Nearly 40 years’ experience Formerly CFO of various companies Over 30 years´ international mining operating and developi

25. Slide 25: Riotinto Plan View

    Riotinto Plan View AIM:ATYM / TSX:AYM 25

26. Slide 26: 15M Flowsheet

    15M Flowsheet ROM ORE ROM ORE TO FLOTATION PRIMARY CRUSHING PRIMARY CRUSHING SAG MILLING GYRATORY JAW (NEW) (EXISTING) (NEW) O/F O/F O/F COARSE ORE PRIMARY SECONDARY SECONDARY STOCKPILE CYCLONING CYCLONING CYCLONING (EXISTING) (NEW) (EXISTING) (EXISTING) U/F U/F U/F PRIMARY SECONDARY SECONDARY PRIMA

27. Slide 27: Key Investor Rights / Other Key Agreements

    Key Investor Rights Company Agreement Terms XGC • Subscription Agreement *  Pre-emptive right over further issues of equity shares1  One board seat2 Orion Mine • Subscription Finance Agreement *  Pre-emptive right over further issues of equity shares1  One board seat2 Liberty Metals • Subscripti

28. Slide 28: Summary of Astor Case Ruling

    Summary of Astor Case Ruling Judgement handed down 6 March 2017  Deferred Consideration payment not triggered, hence first instalment has not fallen due  No breach of obligation to use all reasonable endeavours to obtain a senior debt facility or duty of good faith  No lump sum or fixed payment s

29. Slide 29: Contact Information

    Contact Information: Investor Relations CEO Carina Corbett Alberto Lavandeira 4C Communications Ltd Telephone: +34 959 59 28 50 Telephone: +44 20 3170 7973 Email: info@atalayamining.com Email: corbett@4ccommunications.com AIM:ATYM / TSX:AYM

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