Atico Mining Provides an Update on the Royalty Dispute with the Colombian Government
Atico Mining Provides an Update on the Royalty Dispute with the Colombian
Government
VANCOUVER, British Columbia, March 10, 2025 -- Atico Mining Corporation (the “Company” or “Atico”) (TSX.V: ATY |
OTCQX: ATCMF) announces that, further to the news release issued on December 29, 2021 , regarding the royalty dispute
concerning the El Roble property, the Center for Arbitration and Conciliation of the Bogotá Chamber of Commerce has reached
a decision. The tribunal has ruled in favor of the National Mining Agency (“NMA”) ordering the Company’s subsidiary Minera El
Roble to back pay copper royalties since 1994.
The ruling requires the Company to pay in Colombian pesos the equivalent of approximately US$29 million dollars, adjusted for
Colombian inflation and accrued interest, for past due royalties. As part of the ongoing Payment Plan with the NMA, the
Company has already paid in Colombian pesos the equivalent of approximately US$12 million dollars (historical amount, not
adjusted for Colombian inflation and interest). Our preliminary estimate is that the amount paid to the NMA is approximate
US$15 million when adjusted for inflation and related interest, but this amount may change as we seek more clarification on
the indexation process applied by the Tribunal. The amount paid to the NMA would be offset against the amount due to the
NMA pursuant to the arbitration ruling. This ruling was announced on Friday, March 7th, and it is still under review by our legal
counsel. As of today, we have identified several points that will require clarification with the Tribunal and NMA in the coming
days.
As of the date of this ruling, Atico still holds approximately 6,500 wet metric tonnes of unsold concentrate in inventory as a
security and guarantee to the Payment Plan with the NMA. At recent mental prices, the approximate value of this concentrate
is US$2000 per dry metric tonne. When feasible, the Company intends to use the proceeds from the sale of these tonnes to
substantially reduce the remaining balance owed to the NMA.
The negative outcome of this ruling could be materially adverse to the Company as it affects its working capital and overall
financial position while creating uncertainty on the Company’s ability to pay its existing and future financial obligations as they
become due. The Company will continue to firmly pursue all possible solutions and will advise the market of any developments
as they occur.
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 generates significant cash flow through the operation of the El Roble mine and is developing its high-grade La
Plata VMS project in Ecuador. The Company is also pursuing additional acquisition of advanced stage 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 | OTCQX: ATCMF
Investor Relations
Igor Dutina
Tel: +1.604.633.9022
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 AIF of the Company dated September 4, 2024 filed with the Canadian securities regulatory
authorities on the SEDAR+ website at www.sedarplus.com