Atico Reports 2019 Fourth Quarter and Full Year Production Results
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Atico Reports 2019 Fourth Quarter and Full Year Production Results
Vancouver, January 16, 20 20 -- Atico Mining Corporation (the “Company” or “Atico”)
(TSX.V: ATY | OTC: ATCMF) is pleased to announce operating results for the three and twelve
month period s ended December 31 , 201 9 from its El Roble mine. Production totaled 5.62
million pounds of copper with 3,492 ounces of gold for the fourth quarter (“Q4 2018”) and
16.85 million pounds of copper with 10,480 ounces of gold in concentrates for the full year
2019.
“Atico has successfully concluded its sixth full year of operating the El Roble mine and despite
a 75-day strike in the first two quarters, the Company was able to recover and exceed most of
the adjusted 2019 operational guidance” said Fernando E. Ganoza, CEO. “Along with
outstanding operational performance in t he second half of the year, the Company is expecting
strong revenues for the fourth quarter as two concentrate shipments were made, and overall,
robust financials for year -end 2019. In the upcoming year, we will continue aggressive
exploration at El Roble and La Plata properties to unlock value of the respective land packages
while working towards achieving operational guidance for 2020.”
Fourth Quarter and Full Year Operational Highlights
Fourth Quarter
• Production of 5.62 million pounds of copper contained in concentrates; a decrease of 3%
over Q4 2018.
• Production of 3,492 ounces of gold contained in concentrates ; an increase of 20% over
Q4 2018.
• Average processed tonnes per day of 859; no significant change over Q4 2018.
• Copper and gold head grades of 3.61% and 2.41 grams per tonne; a decrease of 1% for
copper and an increase of 21% for gold over Q4 2018.
• Copper and gold recovery of 92.0% and 59.0%; a decrease of 1% for copper and 2% for
gold over Q4 2018.
2019 Year-end
• Production of 16.85 million pounds of c opper contained in concentrates; a decrease of
23% over 2018.
• Production of 10,480 ounces of gold contained in concentrates ; a decrease of 8% over
2018.
• Average processed tonnes per day of 855; an increase of 3% over 2018.
• Copper and gold head grades of 3.51% and 2.35 grams per tonne; a decrease of 5% for
copper and an increase of 15% for gold over 2018.
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• Copper and gold recovery of 92.0% and 58.5%; a decrease of 2% for copper and 3% for
gold over 2018.
Fourth Quarter and Full Year Operational Details
Q1 Total Q2 Total Q3 Total Q4 Total 2019 Total
Production (Contained in Concentrates)
Copper (000s pounds) 2,362 3,157 5,712 5,615 16,853
Gold (ounces) 1,552 2,116 3,320 3,492 10,480
Mine
Tonnes of ore mined 34,796 47,321 74,462 75,167 231,746
Mill
Tonnes processed 35,581 47,534 76,532 76,707 236,354
Tonnes processed per day 885 839 863 859 855
Copper grade (%) 3.29 3.28 3.66 3.61 3.51
Gold grade (g/t) 2.24 2.34 2.34 2.41 2.35
Recoveries
Copper (%) 91.6 91.7 92.5 92.0 92.0
Gold (%) 60.6 58.4 58.0 58.0 58.5
Concentrates
Copper and Gold Concentrates (dmt) 4,921 6,561 11,757 11,669 34,908
Payable copper produced (000s lbs) 2,244 2,999 5,426 5,334 16,003
Note: Metal production figures are subject to adjustments based on final settlement.
2020 Operating and Capital Guidance
2020 Production and Cost Guidance
Copper (000s pounds) 20,000 to 21,000
Gold (ounces) 10,500 to 11,500
C1 Cash Cost ($US)(1) $1.25 to $1.35
Note: Please see “Non-GAAP Financial Measures” at the end of this release. C1 cash cost per pound of payable
copper produced net of by-product credits and selling costs.
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El Roble Mine
The El Roble mine is a high grade, underground copper and gold mine with nominal processing
plant capacity of 8 50 tonnes per day, located in the Department of Choco in Colombia. Its
commercial product is a copper-gold concentrate.
Since obtaining control of the mine on November 22, 2013, Atico has upgraded the operation
from a historical nominal capacity of 400 tonnes per day.
El Roble has Proven and Probable reserves of 1.47 million tonnes grading 3.40 % copper and
1.88 g/t gold, at a cut-off grade of 1.93% copper equivalent as of June 30th, 2018. Mineralization
is open at depth and along strike and the Company plans to further test the limits of the deposit.
On the larger land package, the Company has identified a prospective stratigraphic contact
between volcanic rocks and black and grey pelagic sediments and 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 numerous target areas prospective for
VMS type mineralization occurrence, which is the focus of the current surface drill program at
El Roble.
Qualified Person
Mr. Thomas Kelly (SME Registered Member 1696580), advisor to 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
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Atico Mining Corporation
Trading symbols: TSX.V: ATY | OTC: 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.
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 nine months ended September
30, 2019 as filed on SEDAR and as available on the Company's website for further details.
Cautionary Note Regarding Forward Looking Statements
This announcement includes certain “forward -looking statements” wi thin 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 fa ctors 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 un certainties 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