Significant Developments from Atico Mining Corporation
VANCOUVER, British Columbia — Atico Mining Corporation (the “Company” or “Atico”) (TSX.V: ATY | OTC: ATCMF) is excited to share pivotal updates regarding its negotiations with the National Mining Agency (NMA). Recently, representatives from the NMA, the Governor of the Department of Choco, and the Mayor of El Carmen de Atrato conveyed their decision to grant a new 30-year mining title to Minera El Roble.
New Mining Title Announcement
After an extensive negotiation period lasting more than 18 months, the NMA has decided to issue a new 30-year mining permit to Minera El Roble. During a recent press conference, this significant step was heralded, as it signifies Atico's return to long-term operational stability once the formal title is granted.
Compliance with Current Mining Laws
The new contract agreement will adhere to Colombia's current mining legislation, specifically Law 685 from 2001. This is a vital component as it not only clarifies the existing regulations but also includes additional compensation fees to be paid to the Colombian State. Furthermore, community relations expenses have been committed to, marking Atico's ongoing dedication to responsible mining practices.
Financial Strategies and Inventory Management
Atico currently has around 6,500 wet metric tonnes of unsold concentrate in its inventory, valued at approximately US$2000 per dry metric tonne based on recent metal prices. The decision from the NMA to grant a new title includes the arrangement that the pledge on this concentrate will be transferred to future production until the commitment to the NMA is fully satisfied. By utilizing the proceeds from this sale, the Company aims to significantly diminish its liabilities and improve its financial positioning.
Amendments to Facility Agreement with Trafigura
Additionally, Atico has finalized an amendment to its existing agreement with Trafigura. This new arrangement, which was previously discussed in a press release, allows the Company to make a final principal payment, as negotiated. The deadline for this payment is set for April 30th, with a full settlement of the outstanding balance to be completed by June 30th. This amendment will be supported by unsold and unencumbered concentrates as collateral, enhancing the Company's financial security.
About Atico Mining Corporation
Atico is not just a mining company; it is a growth-oriented entity focused on the exploration, development, and management of copper and gold mining projects throughout Latin America. With an operational base at the El Roble mine, Atico generates considerable cash flow, which underpins its further development plans. Moreover, the Company is concentrating on its promising La Plata VMS project in Ecuador while seeking more advanced stages of acquisition opportunities to bolster its portfolio.
Investor Relations and Company Communication
Atico encourages stakeholders and interested parties to stay informed about their activities and progress through the Company’s official communications. For those wanting to know more about their operations and strategic objectives, the website is a great resource for updates and further information.
ON BEHALF OF THE BOARD
Fernando E. Ganoza
CEO
Atico Mining Corporation
Trading symbols: TSX.V: ATY | OTC: ATCMF
Investor Relations
Igor Dutina
Tel: +1.604.633.9022
Frequently Asked Questions
What recent developments has Atico Mining announced?
Atico Mining has announced a new 30-year mining title granted by the NMA after extensive negotiations, aiming for stable operations.
How does the new mining title impact Atico's operations?
The new title will provide Atico with long-term operational stability and allows for adherence to Colombian mining laws.
What are the specifics of the financial arrangements with Trafigura?
Atico has amended its facility agreement with Trafigura, committing to settle outstanding balances by June 30th through the sale of unsold concentrate.
What goals does Atico have regarding its mining projects?
Atico aims to enhance its portfolio through responsible mining practices while developing its projects, primarily focusing on copper and gold in Latin America.
How can investors learn more about Atico Mining Corporation?
Investors can visit Atico's official website for updates on their projects, financial strategies, and other corporate communications.
