Atalaya Mining Share Discussion Threads

[mronions] 09/4/2019 09:30

Does anyone have any sizeable cash in their account to test the offer in ATYM? Can you buy size in stock ? thx

[mronions] 09/4/2019 09:27

@val : 0,15 Us$/lb , thats Ok . We get to offload with no further risk / don't have to handle the down stream process. We are not a trading company. Sure it would be great to have the trading part as well, but who says we would make a success of it. All said, we have held back some concentrate in the past, so there are other ways to play. Who knows about the future : if we settle Astor, then future funding when-and-if needed may not have to come via off-take (and worse still equity dilution).

[laurence llewelyn binliner] 08/4/2019 18:48

From my notes over the years, the discounts to the off takers were not all the same, or even the same for any of their subsequent deals.. but overall they were about -4.4% market to realised Copper prices, so discounted off takes are valuable and have been sold on, but we don't know the terms tho'..!

[vanhelsingjr] 08/4/2019 16:35

No market prices, look at the difference between market price and realised price, about 0,15 Us$/lb or 10M € in the year to the offtakers and main shareholders.

[mronions] 08/4/2019 13:39

surely the off take is is one less thing for us to worry about ... we sell out concentrate at market prices to whoever has the off take ( - some incremental costs)

[vanhelsingjr] 08/4/2019 12:41

recovered NI from sedar
NI 2/13 Behre Dolbear (1), 9/16 (2) & 7/18 (3) Ore Reserves Engineering
Ressources
M+I (1)203,1Mt 0,46%Cu -- (2)192,8 0,43% -- (3)258,2 0,40% -- Cutoff 0,2 for 1 and 2 and 0,15 for 3
Reserves proven and probable
(1) 123Mt 0,49% Cu SR 1,1 -- 152,8 0,45% SR 1,95 -- 196,9 0,42% SR 1,43 -- Cutoff 0,2 for 1 and 2 and 0,15 for 3
Offtake are based on reserves or resources?
At least the first 123 Mt are included in the offtake but most probably the recent capital increase will include an off take extension to the whole Cerro Colorado deposit

[waterloo01] 08/4/2019 12:25

Pawsche, quite right. They are getting close to market value, so not an issue. As Van points out, the current off-takes are based on the earlier NI report, not on the expansion, although all concentrate will, until the full NI resource numbers are sold. At least that's how I think it works, unless they are also putting in resource from a separate pit. Either way, doesn't matter that much, although any company buyer might want the full concentrate to themselves.

[pawsche] 08/4/2019 12:18

Re offtakes... Does it make much difference? Looking at the annual results ATYM appear to be getting better than the average market price regardless of offtake discounts. Or am I missing something?

[vanhelsingjr] 08/4/2019 11:26

Metals platform is not the physical commodities trading.
The offtake contracts are covering all the LOM reserves of NI 43-101, unfortunately ATYM has deleted from web all the NI reports previous to the 2018.
The whole present production is subject to offtakes

[ruvic] 07/4/2019 22:47

On 11 May 2018, Louis Dreyfus Company sold its metals platform (LDC Metals, or LDCM) to NCCL Natural Resources Investment Fund.[13] The final price of the transaction was US$466 million.

[waterloo01] 06/4/2019 09:38

The Touro mine has already overcome some objections raised by the Xunta, presumes Atalaya Minning

[laurence llewelyn binliner] 05/4/2019 17:32

#Van, that is interesting, I've been puzzled by who took over the off takes for a long time.. :o), but the %'s refer to the 5.0 MTPA 43-101 output tho' don't they.. not the 9.5 or the 15.0MTPA..? so it's not 80% or anything close to todays volumes of concentrate.. maybe 30%..?

[waterloo01] 05/4/2019 17:15

Indeed however not over anything added since that NI report.

[vanhelsingjr] 05/4/2019 17:11

XGC was granted an offtake over 49.12% of life of mine reserves as per the NI 43-101 report issued in September 2016.
Similarly, Orion was granted an off take over 31.54% and Trafigura 19.34% respectively of life of mine reserves as per the same NI 43-101 report.
In November 2016, the Group was notified and consented the novation of the Orion offtake agreement as Orion reached an agreement with a third party (XGC) to transfer the rights over the concentrates.
In December 2017, the Group was notified and consented the novation of XGC offtake agreement as XGC reached an agreement with a third party (LDC) to transfer the rights over the concentrates.

LDC (Louis Dreyfus) is controlling 80% of Atym concentrates. Interesting.

[waterloo01] 05/4/2019 08:10

Broker notes read well (all buys) with target prices range from £3.00 (Peel) to £3.50 (Arden)

[clive205] 04/4/2019 18:23

Rated a 'BUY' in this week's Investors Chronicle publication. Not surprising.



(Subscription needed)

[waterloo01] 04/4/2019 18:22

LLB, not sure but they have a lot of options going forward. Astor aside they are debt free and producing good cash flows, so they could easily get debt funding, or just do it slowly out of cash flow.

They mention other opportunities in a addition to Touro, although if Touro gets the go ahead, I expect that will give them enough to chew on for a bit, but the team are clearly capable of getting a mine up and running efficiently and at a low capital cost, so shareholders should be encouraging them to expand the business. Not sure that Zinc mine mentioned some time back isn't also still in play?

[laurence llewelyn binliner] 04/4/2019 17:43

#waterloo01, the cash we will be spinning off in 2020 at 15.0MTPA after the new plant is bought and paid for will be quite something.. :o), and go a long way towards paying for Touro too..

How soon can we expect to start seeing Astor paid down..?

With €34M posted profits in 2018 that's clearly over the $10M we are allowed to spend, then any profits over and above should go to Astor, but when..? or are we still in the 'non triggered' phase..!

[waterloo01] 04/4/2019 17:18

Indeed. Seems they will be able to get to 15mt from cashflow rather than borrowing or equity as originally suggested.

[rougepierre] 04/4/2019 17:10

Pretty quiet for such an excellent set of results...

[husbod] 04/4/2019 12:38

More than 225p though Van, at least atm

[pawsche] 04/4/2019 12:00

@van...

Ese caballo está muerto, es hora de dejar de golpearlo!

[vanhelsingjr] 04/4/2019 11:05

excellent report, no one single word about BMO research or the key issues that were relevant in the failed dd. Costs are still extremely high compared with first evaluations made by Behre Dolbear.
Magnifique, tout est pour le mieux dans le meilleur des mondes but the share price is still below 250. Why?

[shortarm] 04/4/2019 09:59

Cheaper costs at Touro too!

[husbod] 04/4/2019 09:21

So if Touro goes into full production at the same rate as PRT it will double our annual copper production which is good news.Also I see they have confirmed PRT lom ( I'm getting to like acronyms - must be watching too much Line of Duty) as 13 years or so. Not sure whether that includes the full potential expansion but anyway given the time it takes for a new mine to come into operation they must already be on the lookout for further ventures.In any event the results show why Traf want it on the cheap. No chance Batmaster.