Atalaya reports record copper production, financial results

Atalaya Mining reported record annual copper production of 56,097 tonnes in its results on Thursday, up from 59,890 tonnes in the prior year.

The AIM-traded firm also posted a record financial performance, with EBITDA for the 12 months ended 31 December rising to €199.1m (£165.68m), from €67.4m in 2020.

Cash flows from operating activities improved to €148.8m from €62.9m in the prior year.

Atalaya said it ended the period with a “robust” balance sheet, including net cash of €60.1m.

“I am very pleased with all aspects of Atalaya's performance in 2021 - once again, we demonstrated our ability to operate in a sustainable and safe manner while achieving record production, highlighting the strength of our people,” said chief executive officer Alberto Lavandeira.

“Our operations generated record cash flow, providing the company with the financial strength to make investments in our growth pipeline, pursue initiatives that will enhance our sustainability, pay an inaugural dividend and further strengthen our balance sheet.

“We look forward to 2022, where another good year of production is expected.”

Lavandeira said the company saw the industry-wide inflationary pressures as being supportive for copper fundamentals, and expected that energy prices in Spain would return to normalised levels as Europe entered the spring.

“We remain excited about our portfolio of growth and exploration projects, which have the potential to significantly increase our production in Spain, providing our customers with a reliable, sustainable and ethical source of copper to support the modern economy and the energy transition.”

At 1206 GMT, shares in Atalaya Mining were up 2.07% at 409.3p.