Welcome!

News Feed Item

Atico Reports Consolidated Financial Results for the First Quarter of 2014

(All amounts expressed in US dollars, unless otherwise stated)

VANCOUVER, BRITISH COLUMBIA -- (Marketwired) -- 05/29/14 -- Atico Mining Corporation (the "Company" or "Atico") (TSX VENTURE: ATY)(PINKSHEETS: ATCMF) today announced its financial results for the three months ended March 31, 2014, posting income from mining operations of $539,870 and a net loss of $779,972, due to 2,516 tonnes of non-invoiced dry concentrate remaining in inventory at quarter end. Production for the quarter at Atico's El Roble mine totaled 1.4 million pounds of copper and 1,147 ounces of gold in concentrates at a cash cost(1) of $1.33 per equivalent payable pound of copper produced.

"During the first full quarter of operating the El Roble mine, copper and gold production exceeded our expectations as the operations team materially increased production from previous quarters," said Fernando E. Ganoza, CEO. "We are looking forward to a strong second quarter which will include revenue from our first full-size concentrate shipment."

First Quarter Financial Highlights

--  The Company produced 2,735 tonnes of dry concentrate during the quarter
    with a metal content of 1.398 million pounds of copper and 1,147 ounces
    of gold.
--  Revenues of $2.04 million generated during the quarter from the shipping
    and provisional invoicing of 946.7 tonnes of dry concentrate containing
    465,941 pounds of payable copper and 694 ounces of payable gold
    respectively.
--  At quarter end 2,515.7 tonnes of non-invoiced dry concentrate remained
    at the company's warehouses.
--  Income from mining operations of $539,870 for the quarter.
--  Net loss of $779,972 for the quarter primarily due to the sale and
    shipping of only a limited quantity of metals concentrate.
--  Average production costs(1) (before depreciation and amortization) for
    the quarter were $114.2 per tonne of processed ore.
--  Cash cost(1) per equivalent payable pound of copper produced was $1.33.

First Quarter Operations Review

El Roble performed better than planned in the first quarter of 2014 with an increase in copper and gold production. The performance was driven by a combination of higher than budgeted throughput, head grade and metallurgical recovery.

(1) These are alternative performance measures; please refer to "Non-GAAP Financial Measures" at the end of this release.

Cash cost(1) per tonne of processed ore was $114.2 and in line with company expectations. Cash cost(1) per payable pound of copper equivalent was $1.33. The company believes there is opportunity to improve the cash cost as the throughput increases in the subsequent quarters.


First Quarter Operational Details

----------------------------------------------------------------------------
                                                                    Q1 Total
----------------------------------------------------------------------------
Production (Contained in Concentrates)(i)
----------------------------------------------------------------------------
Copper (000s pounds)                                                   1,398
----------------------------------------------------------------------------
Gold (ounces)                                                          1,147
----------------------------------------------------------------------------
Silver (ounces)                                                        3,461
----------------------------------------------------------------------------
Mine
----------------------------------------------------------------------------
Tonnes of ore mined                                                   26,791
----------------------------------------------------------------------------
Mill
----------------------------------------------------------------------------
Tonnes processed                                                      23,016
----------------------------------------------------------------------------
Tonnes processed per day                                               354.1
----------------------------------------------------------------------------
Copper grade (%)                                                        3.01
----------------------------------------------------------------------------
Gold grade (g/t)                                                        2.43
----------------------------------------------------------------------------
Silver grade (g/t)                                                     10.65
----------------------------------------------------------------------------
Recoveries
----------------------------------------------------------------------------
Copper (%)                                                             91.53
----------------------------------------------------------------------------
Gold (%)                                                               63.73
----------------------------------------------------------------------------
Silver (%)                                                             43.91
----------------------------------------------------------------------------
Concentrates
----------------------------------------------------------------------------
Copper Concentrates (dmt)                                              2,735
----------------------------------------------------------------------------
 Copper (%)                                                            23.19
----------------------------------------------------------------------------
 Gold (g/t)                                                            13.05
----------------------------------------------------------------------------
 Silver (g/t)                                                          39.36
----------------------------------------------------------------------------

----------------------------------------------------------------------------
Payable copper produced (000s lbs)                                     1,332
----------------------------------------------------------------------------
Cash cost per pound of payable copper(1) ($/lbs)                        1.33
----------------------------------------------------------------------------

(i)Subject to adjustments due to final settlement

The financial statements and MD&A are available on SEDAR and have also been posted on the company's website at http://www.aticomining.com/s/FinancialStatements.asp

El Roble Mine

El Roble is an operating underground copper and gold mine with a nominal mineral processing capacity of 400 tonnes per day. Over the past 22 years, the mine has processed 1.5 million tonnes of ore at an average head grade of 2.5% copper and an estimated 2.5 g/t gold. Copper and gold mineralization occurs within volcanogenic massive sulfide ("VMS") lenses.

Since entering into an option agreement in January 2011 to acquire 90% of El Roble, Atico has aggressively explored the mine and surrounding claims. The Company has completed 11,740 meters of diamond drilling and identified numerous prospective targets for VMS deposits on the 6,679-hectare property. This exploration led to the discovery of high-grade copper and gold mineralization below the 2000 level, previously the lowest production level of the El Roble mine. Atico has developed a new adit access from the 1880 elevation to develop these new resources.

National Instrument 43-101 compliant inferred mineral resource are 1.58 million tonnes grading 4.45 % copper and 3.17 g/t gold, at a cut-off grade of 0.72 % copper equivalent. Mineralization is open at depth and along strike, the Company plans to further test the limits of the resource.

On the larger land package, the Company has identified a prospective stratigraphic contact between volcanic rocks and black and grey cherts that has been traced by Atico geologists for ten kilometers. This contact has been determined to be an important control on VMS mineralization on which Atico has identified 15 prospective target areas for VMS type mineralization occurrence, which is the focus of the surface drill program at El Roble.

Qualified Person

Mr. Thomas Kelly (SME Registered Member 1696580), Chief Operating Officer of the Company and a qualified person under National Instrument 43-101 standards, is responsible for ensuring that the technical information contained in this news release is an accurate summary of the original reports and data provided to or developed by Atico.

About Atico Mining Corporation

Atico is a growth-oriented company, focused on exploring, developing and mining copper and gold projects in Latin America. The Company operates the El Roble mine and is pursuing additional acquisition opportunities. For more information, please visit www.aticomining.com.

ON BEHALF OF THE BOARD

Fernando E. Ganoza, CEO

Atico Mining Corporation

Trading symbols: TSX.V: ATY ? OTC: ATCMF

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

No securities regulatory authority has either approved or disapproved of the contents of this news release. The securities being offered have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act"), or any state securities laws, and may not be offered or sold in the United States, or to, or for the account or benefit of, a "U.S. person" (as defined in Regulation S of the U.S. Securities Act) unless pursuant to an exemption therefrom. This press release is for information purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities of the Company in any jurisdiction.

Cautionary Note Regarding Forward Looking Statements

This announcement includes certain "forward-looking statements" within the meaning of Canadian securities legislation. All statements, other than statements of historical fact, included herein, without limitation the use of net proceeds, are forward-looking statements. Forward- looking statements involve various risks and uncertainties and are based on certain factors and assumptions. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company's expectations include uncertainties relating to interpretation of drill results and the geology, continuity and grade of mineral deposits; uncertainty of estimates of capital and operating costs; the need to obtain additional financing to maintain its interest in and/or explore and develop the Company's mineral projects; uncertainty of meeting anticipated program milestones for the Company's mineral projects; and other risks and uncertainties disclosed under the heading "Risk Factors" in the prospectus of the Company dated March 2, 2012 filed with the Canadian securities regulatory authorities on the SEDAR website at www.sedar.com

Non-GAAP Financial Measures

The items marked with a "(1)" are alternative performance measures and readers should refer to Non-GAAP Financial Measures in the Company's Management's Discussion and Analysis for the three months ended March 31, 2014 as filed on SEDAR and as available on the Company's website for further details.

Contacts:
Atico Mining Corporation
Igor Dutina
Investor Relations
+1.604.633.9022
www.aticomining.com

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.

Latest Stories
Is advanced scheduling in Kubernetes achievable? Yes, however, how do you properly accommodate every real-life scenario that a Kubernetes user might encounter? How do you leverage advanced scheduling techniques to shape and describe each scenario in easy-to-use rules and configurations? In his session at @DevOpsSummit at 21st Cloud Expo, Oleg Chunikhin, CTO at Kublr, will answer these questions and demonstrate techniques for implementing advanced scheduling. For example, using spot instances ...
SYS-CON Events announced today that Taica will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Taica manufacturers Alpha-GEL brand silicone components and materials, which maintain outstanding performance over a wide temperature range -40C to +200C. For more information, visit http://www.taica.co.jp/english/.
When it comes to cloud computing, the ability to turn massive amounts of compute cores on and off on demand sounds attractive to IT staff, who need to manage peaks and valleys in user activity. With cloud bursting, the majority of the data can stay on premises while tapping into compute from public cloud providers, reducing risk and minimizing need to move large files. In his session at 18th Cloud Expo, Scott Jeschonek, Director of Product Management at Avere Systems, discussed the IT and busine...
Organizations do not need a Big Data strategy; they need a business strategy that incorporates Big Data. Most organizations lack a road map for using Big Data to optimize key business processes, deliver a differentiated customer experience, or uncover new business opportunities. They do not understand what’s possible with respect to integrating Big Data into the business model.
Enterprises have taken advantage of IoT to achieve important revenue and cost advantages. What is less apparent is how incumbent enterprises operating at scale have, following success with IoT, built analytic, operations management and software development capabilities – ranging from autonomous vehicles to manageable robotics installations. They have embraced these capabilities as if they were Silicon Valley startups. As a result, many firms employ new business models that place enormous impor...
Amazon is pursuing new markets and disrupting industries at an incredible pace. Almost every industry seems to be in its crosshairs. Companies and industries that once thought they were safe are now worried about being “Amazoned.”. The new watch word should be “Be afraid. Be very afraid.” In his session 21st Cloud Expo, Chris Kocher, a co-founder of Grey Heron, will address questions such as: What new areas is Amazon disrupting? How are they doing this? Where are they likely to go? What are th...
SYS-CON Events announced today that MIRAI Inc. will exhibit at the Japan External Trade Organization (JETRO) Pavilion at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. MIRAI Inc. are IT consultants from the public sector whose mission is to solve social issues by technology and innovation and to create a meaningful future for people.
SYS-CON Events announced today that Dasher Technologies will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Dasher Technologies, Inc. ® is a premier IT solution provider that delivers expert technical resources along with trusted account executives to architect and deliver complete IT solutions and services to help our clients execute their goals, plans and objectives. Since 1999, we'v...
Though cloud is the future of enterprise computing, a smooth transition of legacy applications and systems is critical for seamless business operations. IT professionals are eager to start leveraging the cost, scale and other benefits of cloud, but with massive investments already in place in existing infrastructure and a number of compliance and resource hurdles, it can be challenging to move to a cloud-based infrastructure.
SYS-CON Events announced today that NetApp has been named “Bronze Sponsor” of SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. NetApp is the data authority for hybrid cloud. NetApp provides a full range of hybrid cloud data services that simplify management of applications and data across cloud and on-premises environments to accelerate digital transformation. Together with their partners, NetApp emp...
In his session at 21st Cloud Expo, Raju Shreewastava, founder of Big Data Trunk, will provide a fun and simple way to introduce Machine Leaning to anyone and everyone. Together we will solve a machine learning problem and find an easy way to be able to do machine learning without even coding. Raju Shreewastava is the founder of Big Data Trunk (www.BigDataTrunk.com), a Big Data Training and consulting firm with offices in the United States. He previously led the data warehouse/business intellige...
SYS-CON Events announced today that IBM has been named “Diamond Sponsor” of SYS-CON's 21st Cloud Expo, which will take place on October 31 through November 2nd 2017 at the Santa Clara Convention Center in Santa Clara, California.
SYS-CON Events announced today that TidalScale, a leading provider of systems and services, will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct 31 - Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. TidalScale has been involved in shaping the computing landscape. They've designed, developed and deployed some of the most important and successful systems and services in the history of the computing industry - internet, Ethernet, operating s...
Infoblox delivers Actionable Network Intelligence to enterprise, government, and service provider customers around the world. They are the industry leader in DNS, DHCP, and IP address management, the category known as DDI. We empower thousands of organizations to control and secure their networks from the core-enabling them to increase efficiency and visibility, improve customer service, and meet compliance requirements.
In his session at 21st Cloud Expo, Michael Burley, a Senior Business Development Executive in IT Services at NetApp, will describe how NetApp designed a three-year program of work to migrate 25PB of a major telco's enterprise data to a new STaaS platform, and then secured a long-term contract to manage and operate the platform. This significant program blended the best of NetApp’s solutions and services capabilities to enable this telco’s successful adoption of private cloud storage and launchi...