Name of the Project
Proyecto Riotinto copper mine expansion.

Location
Spain.

Project Owner/s
Atalaya Mining.

Project Description
Atalaya has approved the 15-million-tonne-a-year expansion plan at Proyecto Riotinto.

The expansion plan is designed to upgrade processing facilities to increase copper production to between 50 000 t/y and 55 000 t/y.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Management expects the expansion project to result in an incremental post-tax net present value, at an 8% discount rate, of $113-million, and a post-tax internal rate of return of about 43%, assuming a $3/lb copper price, an $18/oz silver price and a dollar:euro ratio of 1.15.

Capital Expenditure
The capital cost of the project has been estimated at €80.4-million.

Planned Start/End Date
Nominal production is expected to start during the first half of 2020.

Latest Developments
Atalaya Mining has started with a feasibility study on the Proyecto Riotinto site to evaluate the economic viability of producing cathodes from complex sulphide ores prevalent in the Iberian pyrite belt.

This will be done through the application of a newly developed electrochemical extraction process, called the E-Lix System, the effectiveness of which has been tested with a pilot plant at the Proyecto Riotinto site.  

The production of cathodes has the potential to generate cost savings by reducing charges associated with concentrate transportation, treatment, refining and penalty elements while simultaneously reducing carbon emissions.

E-Lix is developed and owned by Lain Technologies, which is led by University of Cambridge electrochemistry expert Dr Eva Lain.

Through the application of singular catalysts and physicochemical conditions, the system can achieve high metal recoveries under low residence times by accomplishing rapid reaction rates while overcoming classic surface passivation issues that have typically impaired metal recovery from complex sulphide ores.

The E-Lix system is considered to be a more environment-friendly process than existing technologies; it is a zero-emissions process that does not consume water or acid and runs under mild operating conditions of atmospheric pressure and room temperature.

Hence, the process is additionally characterised by ease and safety of operation.

The pilot plant, with its 5 t/d capacity, has been running at Proyecto Riotinto for the past nine months, with only mandatory stoppages during Covid-19 restrictions in Spain.

Atalaya achieved leach rates of up to 250 kg/h for copper and zinc concentrates, and blends of different types of sulphides.

The pilot plant also contains a solvent extraction and electrowinning section, and has successfully produced high-purity copper cathodes as a proof of concept.

Atalaya affirms that the pilot plant has demonstrated that the E-Lix system effectively treats the impurity levels that are typically associated with the complex sulphides present in the pyrite belt that runs through the south of Portugal and Spain.

During the past five years, Atalaya provided financial assistance for Lain Tech to develop such a system. The parties have now reached an agreement that Atalaya may use Lain Tech’s patents on an exclusive licence basis within the Iberian pyrite belt, while the profits of production will be shared eventually between the parties.

The company has commissioned a feasibility study to evaluate the construction of an industrial-scale plant to produce at least 10 000 t/y of copper cathode metal.

The €1-million feasibility study is expected to be finalised during 2021.

The feasibility study will be based on the results obtained from the pilot plant and aims to confirm the scalability of the E-Lix system, and the capital and operating costs of the industrial plant.

Should the industrial plant be built, it will be funded and built by Atalaya, with Lain Tech designing, operating and managing the system.

Atalaya believes that the use of the E-Lix system could potentially be applicable to the large amount of complex sulphide ore inventory present throughout the Iberian pyrite belt, including Atalaya's Proyecto Masa Valverde site.

Key Contracts and Suppliers
None stated.

Contact Details for Project Information
Atalaya Mining, tel +357 2244 2705, fax +357 2242 1956 or email info@atalayamining.com.