Slide 1: Proyecto Riotinto
PROYECTO RIOTINTO A new low risk copper producer in Europe September 2016 January 2016 AIM:ATYM / TSX:AYM
Slide 2: Disclaimer
Disclaimer The information contained in this document (“Presentation”) has projections or opinions contained herein necessarily involve Although the Company has attempted to identify important been prepared by Atalaya Mining Plc (the “Company”). While the significant elements of subjective judgment,
Slide 3: Investment highlights
Atalaya Mining Investment highlights Construction of plant including Expansion Project completed Delivered ahead of schedule and under budget Nameplate capacity of 9.5Mtpa projected for end 2016 Capex fully financed without recourse to senior debt Located in a prolific mining jurisdiction
Slide 4: Results for Q2
Results for Q2 Operating and Financial Highlights Expansion Project mechanically complete during 1st week of May 2016 1.3m tonnes of ore processed (Q1: 1.1mt) - a 15% increase Copper production of 4,442 tonnes (Q1: 4,048t) – an increase of 10% Copper grade in final concentrate consistent at
Slide 5: Events subsequent to end of Q2
Events subsequent to end of Q2 Working capital: US$14 million copper concentrate prepayment agreement announced with Transamine Trading S.A. on 5th September, 2016. Option to extend the contract, with the same terms, for an additional US$ 14 million provided certain production conditions have be
Slide 6: Ramp-up results
Ramp-up results Commercial production declared from 1 February 2016 Ramp-up of Expansion progressing well Implementation of new technology will lead to better Anticipate operating at nameplate capacity (9.5Mtpa) by end recoveries, improved grades and lower penalties of 2016 Silver credits cu
Slide 7: Production Ramp up
Production Ramp up Copper tonnes produced AIM:ATYM / TSX:AYM 7
Slide 8: Operating Outlook
Operating Outlook Nameplate capacity expected by end of 2016 Guidance for 2016 is: Estimated ore processed: 6.7 – 7.1 million tonnes Estimated Concentrate: 115,000-130,000 DMT Estimated contained copper: 23,500 – 27,000 tonnes AIM:ATYM / TSX:AYM 8
Slide 9: Capex reduction
Capex reduction Phase 1 (5.0Mtpa) Phase 1 + Expansion (9.5Mtpa) Capex (incurred) US$82 Million Capex (estimated)* US$145-150 Million Cu production 25,000 tpa Cu production 40,000 Tpa Capital intensity US$3,280 tpa Cu Capital intensity US$ 4,000 tpa Cu NI 43-101 anticipated direct field capex for P
Slide 10: The Case for Copper
The Case for Copper Producers significantly undervalued Recent copper asset acquisitions Tenke, Zaldivar, Kevitsa well above the spot price - in some cases >50% Copper producers appear significantly undervalued EVs not aligned with transaction prices for asset sales - this disconnect not sus
Slide 11: Proyecto Riotinto
Proyecto Riotinto Located in an established mining jurisdiction with good infrastructure links RIOTINTO HUELVA SEVILLE Matsa 0 50 100 km (Trafigura & E-803 Mubadala) Las Cruces Proyecto Riotinto (First Quantum) N-435 A-4 E-1 A-49 Seville Huelva A-92 Atlantic Copper SPAIN Smelter (Freeport McMoRan) N
Slide 12: Plan view
Plan view AIM:ATYM / TSX:AYM 12
Slide 13: Updated Reserves and Resources
Updated Reserves and Resources Updated Mineral Reserves and Resources estimate for Proyecto Riotinto as at 30 June 2016. NI 43-101 compliant 153 million tonnes Reserves Averaging 0.45% Cu representing over a 12% increase 216 million tonnes Resources Measured + Indicated + Inferred Av
Slide 14: Planned exploration
Planned exploration Limited exploration to date on lateral extensions to Cerro Colorado as main focus has been on confirmation of open pit potential 11,949 metres drilled (DDH) in 2015 7,778 metres thus far in 2016 Exploration programme will be increased once steady state production achieved
Slide 15: Our vision
Our vision We maintain a positive view on base and precious metals Short term - to maximise the efficiencies of our expanded project Longer term - to actively build on our initial success at Riotinto through exploration and acquisition to focus on maximising returns for shareholders AIM:ATYM / T
Slide 16: Investment case
Investment case A long term option on copper Production commenced well ahead of schedule and under budget Expansion to 9.5Mtpa NO SENIOR doubled DEBT initial production A NEW COPPER COMPANY THAT DELIVERS Expansion achieved 14 Supportive months strategic ahead of shareholders schedule Long term optio
Slide 17: Contact
Contact Alberto Lavandeira CEO Telephone: +34 959 59 28 50 Email: info@atalayamining.com Investor Relations North America Investor Relations UK and Europe Michelle Roth Carina Corbett Roth Investor Relations 4C Communications Ltd Telephone: +1 732 792 2200 Telephone: +44 20 3170 7973 Email: michelle
Slide 18: Appendix
APPENDIX AIM:ATYM / TSX:AYM 18
Slide 19: Corporate snapshot
Corporate snapshot Overview¹ Research Coverage² Company Analyst Rec. Target price Exchanges AIM:ATYM / TSX:AYM Speculative Share price (GB pence) 82 Nick Hatch 205p Buy Share price (CAD) 1.50 Martin Potts Buy 195p Shares Outstanding 116,679,555 Options & warrants 1,272,052 Nikolas Buy 192p Fully dil
Slide 20: Senior management
Senior management Strong Technical & Financial Expertise Team with proven and lengthy experience in the start-up and operation of mines Alberto Lavandeira in Spain and internationally, supported by local and international consultants Chief Executive Officer, Director Ángel López: Plant. 18 years in
Slide 21: Board of Directors
Board of Directors Strong Technical & Financial Expertise Over 40 years’ experience in the mining industry. Former Senior Mining Engineer at NM Roger Davey Rothschild & Sons; former Director, VP and GM, AngloGold (Argentina). Currently a Chairman director of Orosur Mining Inc., Central Asia Metals a
Slide 22: Board of Directors
Board of Directors Strong Technical & Financial Expertise Senior Managing Director of Liberty Metals & Mining Holdings, LLC. Formerly held Damon Barber positions with mining companies and served as the Head of Deutsche Bank's Metals Mining investment banking practice in Asia-Pacific. Spent more than
Slide 23: Reserves and Resources
Reserves and Resources The pit design and internal cut-off grade are based on a long term copper price of US$2.60/lb. Resources are pit-constrained at US$3.20/lb Cu Ore (Mt) Copper (%) RESERVES* Proven 78 0.45 Probable 74 0.44 TOTAL 153 0.45 RESOURCES (inclusive of reserves)* Measured 90 0.43 Indica
Slide 24: Cost Breakdown
Cost Breakdown As per NI-43,101, February 2013 Current thinking: Cost to be realised across LOM Agency fees should be included in selling costs (US$66 million) Current market TC/RCs higher than originally forecast Non-cash costs Should be included in LOM mining costs Includes LOM provisi
Slide 25: Key Investor Rights
Key Investor Rights Company Agreement Terms XGC • Subscription Agreement * Pre-emptive right over further issues of equity shares1 • Offtake Agreement One board seat2 Offtake granted over 49.12% of life of mine reserves in the Technical Report Orion Mine • Subscription Agreement * Pre-emptiv
Slide 26: Mining Industry in Spain
Mining Industry in Spain An established Mining-friendly jurisdiction 1 2 6 Proyecto Riotinto Aguas Teñidas Significant Mining Copper Copper, zinc Infrastructure 11 3 4 Substation located Power 5 1km from mine site 10 7 Las Cruces 9 SPAIN Aguablanca Supplied from Copper Nickel, copper Campofrio reser
Slide 27: AIM:ATYM / TSX:AYM
AIM:ATYM / TSX:AYM 27