15th Aug 2019 10:58
(Alliance News) - Atalaya Mining PLC said Thursday profit dropped in the first half of 2019 as revenue dipped on lower copper prices and volumes sold.
For the six months to the end of June, the miner reported a pretax profit of EUR24.6 million, down 15% from EUR29.1 million a year before, on revenue that declined 6.6% to EUR94.8 million from EUR101.5 million.
Production-wise, copper concentrate output for the six months totalled 91,823 tonnes, up 1.8% from 89,568 tonnes the year before, with 5.3 million tonnes of ore mined, compared to 5.1 million tonnes.
Of this, payable copper contained in concentrate in the period was 20,190 tonnes, up 6.3% from 18,991 tonnes the prior year.
In the first half, Atalaya sold 93,039 tonnes of copper concentrate, down from 94,854 tonnes the prior year, while the average copper price declined to USD2.80 per pound from USD3.80.
Looking ahead, the company has reiterated its production guidance for 2019 at 45,000 tonnes to 46,500 tonnes.
In addition, the expansion of Proyecto Riotinto to 15 million tonnes per annum is now close to full commissioning, and is waiting for electricity capacity to be granted by the electricity supplier for mechanical completion.
"A pleasing reduction in operating costs, combined with another robust quarterly production performance, helped the company to minimise the impact of lower copper prices during the period. The expansion at Proyecto Riotinto is another example of management delivering a low capex intensity project and as it comes on line, we expect to continue this improvement in operating efficiencies," said Chief Executive Officer Alberto Lavandeira.
Shares in Atalaya Mining were down 2.1% at 206.00 pence on Thursday.
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