Name of the Project
La Plata gold/copper project.

Location
Ecuador.

Project Owner/s
Canadian junior miner Atico Mining Corporation.

Project Description
The project is a gold-rich volcanogenic massive sulphide deposit that was the subject of small-scale mining from 1975 to 1981.

The 2024 technical report proposes a mine with a life of 8.1 years with a throughput of 850 t/d or 310 250 t/y. Total production over the life-of-mine is estimated at 128 474 oz of gold, 1.83-million ounces of silver, 78.3-million pounds of copper and 106.87-million pounds of zinc.

The project will use variations of bench-and-fill, cut-and-fill and drift-and-fill mining methods, accessed through several access drifts and ramps. These methods are appropriate for orebodies with varying structural geometries, from flat to near vertical, and thicknesses ranging from 4 m to 8 m.

Potential Job Creation
The project is expected to generate more than 600 direct jobs and up to 1 800 indirect jobs. In commercial production, La Plata is expected to support more than 300 direct and up to 900 indirect jobs.

Net Present Value/Internal Rate of Return
The 2024 technical report estimates a net present value of $137-million using a 5% discount rate and an pretax internal rate of return of 32.9%. The project has payback of 3.4 years after-tax.

Capital Expenditure
$91.39-million.

Planned Start/End Date
Not stated.

Latest Developments
Atico Mining has signed an investment protection agreement (IPA) with the Ecuadorian government for the development of the project, covering $157.9-million in planned investment.

The agreement provides tax and legal stability throughout the life of the mine and is considered as a key step in advancing La Plata to construction.

Atico CEO Fernando Ganoza has said the agreement will “safeguard current and future $157.9-million of investments throughout the life of the mine” while strengthening investor confidence by providing a predictable and secure environment.

The IPA also reduces the corporate income tax rate by 5% during the contract term, ensures access to international arbitration in disputes, and prohibits confiscation or expropriation of immovable assets except under strict constitutional conditions with fair compensation.

Atico has said that the agreement stabilises sector-specific rules, tax incentive regimes and property rights while enabling investors to produce and market lawful goods, set prices and import/export within legal frameworks. 

Disputes not resolved through 60 days of negotiations may be escalated to arbitration under the International Chamber of Commerce, in New York.

The project is in the final stages of securing its environmental licence and other statutory permits. Once received, construction will start.

Key Contracts, Suppliers and Consultants
None stated.

Contact Details for Project Information
Atico Mining, tel +1604633 9022 or email info@aticomining.com.