Altiplano Reports Q1 2024 Operational Results at Farellon with 2.29% Copper Recovered in March
Altiplano Reports Q1 2024 Operational Results
at Farellon with 2.29% Copper Recovered in
March
Edmonton, Alberta--(Newsfile Corp. - May 7, 2024) -
Altiplano Metals Inc
. (TSXV: APN) (WKN:
A2JNFG) ("
Altiplano
" or the "Company") is pleased to report on Q1 2024 operation results from the
Farellon Copper-Gold-Iron (Cu-Au-Fe) mine located near La Serena, Chile.
For the Q1 2024 period, the copper grade produced at Farellon was recorded at 1.74%, a reduction
from 1.87% observed in Q4 2023. However, very good grades were recovered from the 326 m NE
mining level in March 2024 where copper was produced with an average grade of 2.29%.
Production in Q1 2024 totalled 8,600 tonnes of mineralized Cu-Au material and processed material
totalled 7,822 tonnes. These figures represent a decrease of 5.6% and 3.7% respectively from the Q4
2023 results. Sales of 292,862 pounds of copper in 2024 Q1 generated approximately US$716,200 in
revenue (after processing costs), a decrease of 10% over the $798,919 revenue figure received in 2023
Q4. The revenue decrease is related mainly to processing lower Cu grade material during the quarter.
Waste removal increased 65% to 2,016 tonnes in Q1 2024 as development focuses on advancing the
tunnel to the new 326 m operating level, expected to be reached in mid-May 2024.
El Peñón Processing Plant
The Company also provides an update on the progress at the El Peñón processing plant located 15 kms
from the Farellon mine with final power installation completed at the plant. This work was finalized
recently after a several month delay by the power supplier. The plant now receives the designed 1,000
kVA to support the full operational power requirements. The diesel generators used for the start up
phase have been returned.
President and CEO Alastair McIntyre comments: "Q1 2024 was a busy quarter finalizing the processing
plant for startup and optimizing the development and production at Farellon. Excellent copper grades
averaging 2.29% were observed on the NE extension of the 336m production level in March while we
began the ramp development to the 326 m level. This will give us access to multiple production headings
as we begin processing material at the plant. This comes at an ideal time as copper prices have
improved over the later part of the first quarter providing us the opportunity to combine higher prices with
lower processing and transportation costs. In addition, we are pleased to have finalized the electrical
power connections which now removes our reliance on diesel generators and reducing our carbon
footprint."
Stockpiles
At the end of March 2024, the Company had 218 tonnes in stockpiles at the Farellon site and a total of
1,200 tonnes of stockpiles at the El Peñón mill site. An additional 8,500 tonnes of lower-grade material
are stockpiled at Farellon site and ready to be shipped for processing at the El Peñón facility over the
next several months. These stockpiles will be blended with newly mined material to optimize processing
efficiencies. In addition, the Company currently has 710 tonnes of material in process with third party
processors. This material will be processed for copper sales and the revenue will be realized in the
coming months.
Figure 1.
Quarterly Review of US$ Revenue and Copper Pounds Sold
Period
Mined
USD Revenue*
Cu Pounds
Sold
Copper Grade
Q1 2023
7,675
$822,764
307,104
1.90%
Q2 2023
8,315
$745,162
294,162
1.75%
Q3 2023
8,116
$639,458
263,232
1.72%
Q4 2023
9,114
$798,919
325,358
1.87%
Q1 2024
8,600
$716,200
292,884
1.74%
* After processing costs
Figure 2.
2024 Monthly Copper Grade
Period
Tonnes Processed
Copper Grade
January
2024
7,675
1.49%
February 2024
8,315
1.64%
March 2024
8,116
2.29%
Figure 3. Mined, Processed, Waste Removed and Cu Grade by Quarter 2022-2024
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4303/208202_altiplanofig3.jpg
Figure 4. Processed Material, Income vs. Mining Costs by Quarter 2022-2024
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4303/208202_altiplanofig4.jpg
Q1 2024 Mining Activity
Mining activity during the first quarter focused on production from the 336 m level where a total 8,612
tonnes were extracted. This amount included 6692 tonnes from the north advance and 1920 tonnes from
the south advance. High grade copper in amounts exceeding 2.6% copper were observed and mined in
the NE extension of the 336 m mining level.
Development continues on the extension of the Hugo tunnel, advancing 43 meters towards the next
mining level located a 326 m elevation. Approximately 15 m remain to reach the production zone where
where mining is planned on drifts to the NE and SW directions. The added production level will provide
opportunity to mine at several operational work faces to improve production output.
Copper Markets Waking Up
Copper prices have risen greater than 25% in the past two months as investors are seeing signs of a
growing supply gap combined with the encouragement of a stronger global demand profile. The catalyst
for the move in copper began when mine disruptions threatened refined-copper production at Chinese
smelters and notable reduction in available concentrates drove down treatment and smelting charges in
Q1 2024. This is typically a signal of a future refined copper supply shortage which has led to the higher
spot prices. The World Bank warns that the copper supply growth is expected to be modest this year,
limited by production stoppages and declining ore grades in major producers in South America. This will
contribute to a continued strong copper market in 2024.
Figure 6. Two Year Copper Price
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Figure 7. Chalcopyrite with Bornite in Stockpiles/Underground Miners Prepare the Advance in the 336m
North Mining Area
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/4303/208202_altiplanofig7.jpg
Altiplano has generated over
US$14.9 million
from the recovery and sale (after processing costs) of
more than
6.55 million pounds of copper
with an average grade of
1.8% Cu
(2018 Q1-2024 Q1).
Cash flow has been re-invested into equipment, underground drilling, expanding underground
development at Farellon, enhancing ventilation to increase productivity and capacity, new underground
development and exploration, and the start-up of the El Peñón fit-for-purpose mill and flotation plant
located 15 km from the Farellon site.
About Altiplano
Altiplano Metals is a growing gold, silver, and copper company focused on the Americas. The Company
has a diversified portfolio of assets that include an operating copper/gold/iron mine and a state-of-the-art
operating copper/gold and iron processing facility in the final stages of completion. Altiplano is focused
on creating long-term stakeholder value through developing safe and sustainable production, reinvesting
into exploration, and pursuing acquisition opportunities to complement its existing portfolio. Management
has a substantial record of success in capitalizing on opportunity, overcoming challenges and building
shareholder value. Altiplano trades on the TSX.V under the symbol APN and the Frankfurt Exchange
under the symbol A2JNFG.
John Williamson, B.Sc., P.Geol., a Qualified Person as defined by NI 43-101, has reviewed, and
approved the technical contents of this document.
Altiplano is part of the Metals Group of Companies, led by a dynamic group of resource sector
professionals with a long record of success in evaluating and advancing mining projects from exploration
through to production, attracting capital, and overcoming adversity to deliver exceptional shareholder
value.
ON BEHALF OF THE BOARD
/s/ "John Williamson"
Chairman
For further information, please contact:
Alastair McIntyre, CEO
Tel: (416) 434 3799
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.
This release includes certain statements that may be deemed "forward-looking statements". All
statements in this release, other than statements of historical facts, that address exploration drilling,
exploitation activities and events or developments that the Company expects are forward-looking
statements. A qualified person has not done sufficient work to classify any historical estimates as
current mineral resources or mineral reserves and the issuer is not treating the historical estimates as
current mineral resources or mineral reserves. The Farellon mine was previously in production dating
back to the 1970's with a reported historical production (to a depth of 70 m) yielding approximately
300,000 tonnes at an average grade of 2.5% copper and 0.5g/t gold. This material was processed
locally and sold to ENAMI. Altiplano is relying upon past production records, underground sampling
and related activities and current diamond drilling to estimate grade and widths of the mineralization
to reactivate production. The decision to commence production on the Farellon deposit is not based
on a feasibility study of mineral reserves demonstrating economic and technical viability and there is
increased uncertainty and economic and technical risks of failure associated with any production
decision. Although the Company believes the expectations expressed in such forward-looking
statements are based on reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially from those in the forward-
looking statements. Factors that could cause actual results to differ materially from those in forward-
looking statements include market prices, exploitation and exploration successes, continuity of
mineralization, uncertainties related to the ability to obtain necessary permits, licenses and title and
delays due to third party opposition, changes in government policies regarding mining and natural
resource exploration and exploitation, and continued availability of capital and financing, and general
economic, market or business conditions. Investors are cautioned that any such statements are not
guarantees of future performance and actual results or developments may differ materially from those
projected in the forward-looking statements. For more information on the Company, investors should
review the Company's continuous disclosure filings that are available at
www.sedarplus.ca
.
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