Atalaya Mining Plc

Good morning and welcome to the Atalaya Mining PLC investor presentation. Throughout this recorded presentation, investors will be in listen-only mode. Questions are encouraged and they can be submitted at any time using the Q&A tab situated on the right-hand corner of your screen. Simply type in your questions and press send. The company may not be in a position to answer every question received during the meeting itself. However, the company can review all questions submitted today and publish responses where it is appropriate to do so. Before we begin, I would like to submit the following poll. And I would now like to hand you over to CEO, Alberto Lavendera. Good morning to you.

Good morning, everybody. Thank you for being here in this summertime. I'll try to keep it brief, the presentation, because we have already pre-released the production results and we are talking here about the financial results of the corresponding to the first quarter and the second quarter and the first half of 24. With me, I will have Cesar Sánchez, if needed, that he can also respond to any specific question that you may have. We had already released the production in the second quarter. It was better than the first quarter and it showed a good improvement, especially in the tons treated through the plant. One of the key points in this quarter is that we maintained the costs, all in sustainable costs of 320 and also more or less the same 320 during the first half, despite we had low grades and we kept the guidance of costs around 320, although the guidance of the production has been reduced a little bit. The reason of that is that we believe we are going to be having much better grades in the second quarter, in the second half of the year, excuse me. But we will not be able to catch up production loss during the first half. besides that the fact that we had better higher cover prices and and good cost control we had a very good uh beta of 26.4 million in the in the quarter and accumulated 36.7 million euros which are around over 40 million 40 million dollars and uh we continue doing some investments in helix and in in the pre-stripping of the sunday initial so at the end of the at the end of the the quarter we quarter and a half of the year we ended up having over 50 million euros in net cash with a very strong balance sheet which allowed us to to declare an interim dividend of another 0.04 uh cents uh dollars per year to be paid in in august 24. All the things that we had pre-released, as you know, is that we passed to the main market. And we are going to be moving from Cyprus to Spain in the third quarter, which means that likely in the fourth quarter of 24 we'll be ready. And that will allow us, or we think that we fulfill all the conditions to be part of the index, which would improve the liquidity and the trading of our shares. Talking about the assets, as you all know, our total project has been declared strategic by the Junta de Galicia, the regional government. And this is a huge step forward, which will streamline the permitting process. Permitting is ongoing. I will speak a little bit more about that in the next few minutes, but things I can say are going very well. The same thing with the permitting of the final pit of San Dionisio, although we continue with the interim pit that has been approved and where we have continuous stripping activities during the first half and also starting to touch some of the ore already. And this will provide better grades in the months to come to be blended with the Cerro Colorado main pit. at the same time we continue commissioning the helix plant which is handled by by line technologies and and also we have almost finished the the construction of the of the solar plant finally which is basically ready to to start up almost in the immediately We have also made some changes in the board, as you all know. Neil Gregson will be the new chair, substituting Roger Davy. Roger Davy will continue the board, but due to the fact that he had been over 12 years in the company, he was not considered independent, although he is independent. compliance rules with the London Stock Exchange. He will continue as a director and Neil Gregson will take the chair of the company. Kate Harcourt has been appointed as senior independent director and Carol Whitall has been appointed as a new non executive director. Carol comes with a huge experience in M&A uh from marcelo mitad and also cfo roles in the in london listed company so um overall very good quarter in even in spite of the slightly lower rate at the end the results have been quite good i've spoken most about this about this already but basically the reason why we had good better copper production than the previous quarters that we treated more tons. So we had the same grade, same recovery, but more tons, which resulted in the increase in copper production of 11.6 thousand tons of copper, which is quite good considering that we have been treating only 0.33% copper grade. This copper grade was already flagged. It was already known that we were going to go through a period of low grade that we wanted to mix with the San Dinizio, which had a couple of months of delay. So as a result of that, we had slightly lower grade. Note that the expansion that was originally designed for 15 million tons, it's running at 4.1 million per quarter, which means 16 million tons per year. So the production-wise, things are going quite well. As a result of this production, as I said before, we had, as you can see, high revenues. Why was it high revenues? Basically because we had higher copper prices. Due to the fact that we had higher sales and and lower costs, we had very good EBITDA and it allowed us to increase our cash balances and maintain a very good working capital position of over 63 million euros, which is basically 70 million dollars. which, as you can see, is quite consistent with what we have had in the last few years, even with the fact that we have given dividends and we have also been doing some investments. The conclusion for this is that this company is very leveraged through copper price. As you can see, a very small increase in copper price, even through a small period, creates a big increase in EBITDA and in cash. The summary of the results for the half of the year are summarized in slice nine. As I said before, revenues due to the higher cover prices, even in spite of lower production, have been similar to the previous year, but operating on the same thing with operating costs, but in a bit that has been better. And cash flows has also been quite consistent with previous years, even in spite of lower production. The details of the cash costs and all-in costs are, as you know, we always break down all these details. There is an increase in mining costs versus previous years due to slightly higher waste mined and lower production mainly, basically lower production. the same thing happens with with the others other side costs the processing costs have been kept lower lower than previous years and and the reason for that is that the electricity prices have been uh or also slightly lower and also we have if you remember we had some some long-term contracts for one-third of our production what was a big change is the the the byproduct rates we had a very good byproduct rates due to two facts one is that this byproduct is formed by silver silver in our concentrates so uh silver prices have been good but in addition to that we have been processing some areas with higher silver uh rates knowing those those areas were quite accessible and knowing that we were going to be having a lower copper copper grades we at least were able to mine this higher silver to compensate a little bit the copper rate so then we were able to maintain the the the costs in a quite good range in spite of this lower production due to the bipolar claims overall the the Overall, the total all-in costs have been quite consistent during the year and within the guidance. important to note here as we used to compare ourselves with peers and you will see our our costs in the last quarters all in cost in our last quarters in the left columns in in orange you will see that we have been quite consistent after the the big increase that happened with uh in 2022 but also quite well controlled compared with other companies that are shown there. All of this is based on public information. So it's very important because we always report all in cost due to the fact that the mining is contracted out and being contracted out, the contractor, the operator takes care of purchasing the equipment. and the mining equipment and so we don't have extra cost to buy once in a while uh equipment to replace the fleet we have uh we have reiterated the lower guidance than we had already already flagged about one month ago with copper containing concentrates uh at the end of the year being between 45 and 50 000 which is roughly uh three thousand tons less than originally planned But we have kept the cash cost within the guidance and we will still be investing because we believe that the copper prices will stay as they are. We'll still be investing some money in finalizing the solar plant, the helix plant and the road and investments associated with the development of some division. As I said before, we have given a dividend consistent with our policy of distributing back to the shareholders between 30 and 50% of the free cash flows without considering extraordinary investments. So the mid range of that was 4 cents and the dividend rate The date is going to be August and it's going to be payable more or less mid-September. So what are we doing for the rest of the year? Basically, the redevocation is going quite well. ELEX supposedly is going to be ramping up in the last part of the year. The first part of the solar plan will be connected finally after receiving a small permit and finalizing that was pending due to a change of scope. and will be connected and you will see a picture that basically everything is finished. Sandinicio will continue with this working quite normally. TAURO, we believe we are in a key period of permitting because TAURO, we have already submitted the 24,000 pages project proposal, very well received. We have had presentations to the public, to the authorities, very well attended. We are almost sure this project is going to be attended soon. An important thing is, as we say, is an initiative. You can see that in the center part of the picture that the activities are going quite well. I mean, this is for stripping, so there's big activity there. Remember, we started in the early part of this year. and as you can see that the main road that separates both pits is crossing the center part of the picture. Our excavations do not affect the main road, so we don't need to relocate anything and we are already starting to touch the first ore, which is expected to have a better grade. The solar plant, as you remember also in the previous pictures, The solar plant had some missing panels and had a small problem with the relocation of the change on the high electric line that was crossing the road that in theory was going to be crossing under the road. And finally, the road authority is required to cross on top of the road. We had a small delay. But as you can see, basically, this is ready to start an operation. Right now, we have shown in green around one third of our costs hedged at a lower price, at around 54, which is a very good price. And in the future, when this gets into production, we will get over 50% of our production at very low rates, which will help our operating costs. Deluxe is nothing really to show, simply that they continue commissioning. They had lots of issues with filter, with cathodes, with connection, simply because of connecting something new, totally new, with new people, with new persons, with new maintenance, new operators. It requires a lot of training. So it's taking longer than we expected. By the way, and you can see in the picture, in the right side of the picture, that white area is the solar plant. You can see the quite big size of the solar plant. What you're seeing here is some rigs. Why are we showing rigs which normally we don't? It's because in Mazabal Verde, if you remember, it's a satellite deposit that's around 36 kilometers from our site. We have identified an area with copper grates, copper only. which can be added into our circuits without any modification of the circuits. Right now we are doing some drilling to support where is the ventilation races, where is the best rock conditions, the design is ready, the land on surface is ready. And we are in basically the preparation stages with all the designs to start the ramp, access ramp at the end of this year, beginning of next year. Because as you know, this project is fully permitted right now. The idea is to bring ore from Massa Valverde to Criotipo. What can it mean? So you get an idea, and of course we have not given too much information about this, because we are quite prudent, as you know. We have areas, which you would see in past press releases, of very good intercepts of 2% copper. 2% copper with minimum deleterious materials, those can be fed in our circuits without any problem. Well, if you could bring in half a million tons of copper mine underground at 2% copper, uh into the just half a million tons it would be equivalent to bringing uh four million tons three million tons of upgrade of 0.35 copper so as you can see with a minimum material from this area can increase the production by 10 000 tons at least copper which is not in the federal colorado which is not in any of our plans but you can see why we want to develop this project as soon as possible uh it's not that fast they will require between year and a half and two years of development maybe we will go a little bit faster than that but we are getting ready because it has some some very promising production expectations there a total total i think is without any question the the the growth project that can give more value to our company um this thing is going quite well uh we have had multiple presentations during july since our project was declared strategic with uh hundreds of people attending with from all the sectors of the economy of galicia the project is on going into public consultation it has has received uh coverage to the media constant coverage and in right now um the situation you would say is quite good because the the the company has made a huge effort in engaging with the local communities with with all the stakeholders from the sea from the area from municipalities around the project from potential local investors from potential suppliers and really this project we are we are quite sure this is going to go ahead The plan is to, obviously, we don't have any control on the timing of the permits, but the way this thing is going with all the support, very likely we'll get the key environmental permit at the end of the year or beginning of next year, which will pave the way to start the construction of this project, which is around 250 million euros. which we have already, we are working already in the funding mechanisms for this. So in conclusion, we are in our way to get to our target of getting over 100,000 tons of copper in three years. And actually, I would say in less years. First, coming from the expansion on Rio Tinto, where we are treating only the copper only. uh the second increase is when we start increasing the polymetallic which higher grades in san diricio and uh and the third leg and obviously the more important one is the the other production of very clean copper concentrates from from door uh as i said before our company is very leveraged to the copper price um have seen the peaks of the copper price uh in may get into getting to uh over four point uh over 11 000 tons of per ton of copper now prices have gone down a little bit but we are not uh let's say too much worried about that the reason of that is that we are seeing that from the supply side almost all the companies are showing lower production. Lower production in the first half, everybody's saying it's going to be weighted in the second half. And although China continues to have some issues with the construction itself in the real estate activities, the reality is that the consumption in infrastructure, electrical infrastructure is going very well. and it's also going very well in other countries. At the same time, what's happening with what used to be the biggest producer of the work, Odelco, is warring because it's going down. And although it seemed, well, that's not very relevant, you should see that this reduction of production as shown in the left part, means it's the equivalent of one very large big mine, like 400,000 tons of copper. So although the price of copper has gone down in the last months, the physical premise of the demand for copper in China, which used to be negative, and it's a good indication of the demand of copper, physical copper has already picked up and is positive again, as well as a pickup of copper premium in the United States. So we believe that when we get TOTO back, the copper project is going to go back over to $5 or even more. And as we have said before, our company is very, very leveraged to the copper price. of course we're one of the few few copper price in in london so with with the inclusion of the company as in the index i think the demand for shares both from london market and from the european market is going to be quite And I think this concludes this part.

That's great, Alberto. Thank you very much indeed for your presentation. Ladies and gentlemen, please do continue to submit your questions using the Q&A tab situated on the top right corner of your screen. While the company take a few moments to review those questions submitted today, I would like to remind you that a recording of this presentation, along with a copy of the slides and the published Q&A, can be accessed via your invested dashboard. Alberto, as you can see, we have received a number of questions throughout today's presentation, and Alberto, if I may now hand back to you and kindly ask you to read out the questions where appropriate to do so, and I'll pick up from you at the end.

Excellent. Yes, I will do that. I have a few questions here. I'm going to read all of them and try to reply to all of them. First one is, what are the next steps in the permitting process in total? Is the process moving consistent with expectations? Yes, the process is moving according to expectations. The company has submitted already 24,000 pages of project, of designs. studies of all type of the project, the full new project with new designs, including the electric line and all the auxiliary services. Right now, after that, the next steps as this information is going to be made available for the general public in Transparency Portal and also it's going to be published in the Shogunate for 30 days. Simultaneous to that, the main bodies of the administration are preparing what they call the sectoral sector evaluations, which means they look at each of the parts, let's say archaeology, heritage, natural heritage, water, cultural, roads, etc. And each of them gives their own opinion and their own conditions. And after that, we will have a few months of preparation of the conditions of the environmental backstatement, which we believe is going to be positive because we have corrected all the potential shortcomings that were found in the process that was launched four years ago. Second press submit is, if you start the ramp at Massa Valverde at the end of 24, where can it reach production? Is SELEX required for the ore to be economic? Two very interesting questions. We will get Massa Valverde, as you know, consists of several deposits. The main one is called Massa Valverde, which contains two parts. One is polymetallic, which means copper and zinc mixed. and the other one is copper only, which is a stock work. And then there's another satellite deposit, which is called Majadales, which is a small but high grade and quite shallow, which is polymetallic. And then we have other deposits, which we have been drilling, but we've not released a resource yet, which are also shallow. Some of them are impenetrable, which in general are polymetallic. are polymetallic. So to treat the copper only, the stock work, we don't need to make any modifications on the plant. And this would be thrown into our existing circuit without any modification. In the case of the polymetallic, we have the option of using conventional flotation, which is the way things have been evaluated. But we also have the possibility of using elix we will not decide to go with elix until it's totally proven and is working normally specifically the case of mahadales we have made some test work with which is high copper and high zinc at the same time it looks ideal for elix but again we will only use it when the thing is up and running we can mine for quite a few years copper only without having any for the modification to the circuit um next comments at what stage are you in developing the modified recovery circuit for processing polymetallic or what copies is expected when it will be incurred The process, the moment where we are is that we have finished, we have completed lots of flotation tests, both internally in our own metallurgical labs, fully equipped metallurgical labs, and also in some external labs, very well-known labs. We are in the process of getting the different alternatives to how we can do it. Are we going to have a separate global flotation followed by differential flotation of copper, lead and zinc. And that's where we are. There are several variations. And that's the situation where we are. When is the capex going to be incurred? I would say in two years from now. So it's not needed immediately because as you know, the upper part of San Dinizio only contains copper. So we don't have any zinc significant thing i would say two years from now another question is could you please provide some more detail at the submission permitting process what is permit required for what is the timeline the steps required to be granted the permits look this thing of some issues are quite a strange situation because initially we were told that you that the permit of somebody would only be needed uh based on a way which is called non-substantial modification so basically a small modification of existing permit and that's the way we were going when we were in the middle of this process last year they said that the footprint of san denisio was going out about 100 meters out from the original permit and And they believe that to be safer, we should go what they call substantial modification. Going out 100 meters in an area which covers more or less three kilometers by two kilometers wide by three kilometers long, really, we don't believe it was substantial. But anyway, in order to avoid any arguments, we went through the route. What that route means is that it basically includes public information, consultation, and simply takes more time. We are in that process of getting immediate access to the public information. And in the meantime, we requested a permit, interim permit, to be mining a first stage without going out of the perimeter. And that's what we got, and that's how we are working. It was like a way that was given by the administration to be able to continue the normal work because really that thing, that interpretation was really a very strict interpretation that really probably did not make too much sense. But anyway, since the administration wants to make sure things are done correctly, we agree with that. But we don't expect any issues at all. It's a matter of time. And the time will likely be at the end of this year, more or less, without having any effect in the overall plans. Another question is, to what extent do you expect the recent uptrend in electricity prices to impact costs for 2024? Well, the uptrend is normal. In summer, there's lots of demand, there's less wind, less hydro, and the prices in summer are always higher than the prices in autumn and in the spring. So yes, it will affect a little bit, but not much. The reason of that is that we have covered some of our costs at lower prices. Just to give you an indication, just to give you an indication, we consume around a little bit less than 24 kilowatts per ton, which means roughly 700 gigawatts per year. I think it's a little bit less than 700, which means an increase in 10 euros per megawatt, considering that we have one third of that covered already, would probably mean around 5 million euros in the year. so around 3 million euros extras in the rest of the year so it's not material it's important but not material we're talking about three to five cents per pound when you consider that we are roughly producing 100 000 100 million pounds another question is how can you forecast the great quality of the material that yet to be mined this deposit is has been drilled in a pattern of around 20 by 50 have been mining during 10 years and the the production guidance has always been quite consistent why is that is because we have a drill hole that's helping in the calculation very close to where we are going to be mine of course this is not perfect when you have an intercept of of or X grade at 20 meters, when you said go away another 15, 20 meters, it may not be exactly the same thing as what was real. That's why we use your statistics. So far in this nine years, we have been plus minus, some months higher, some months lower, but actually we have been having slightly more tones about, 1%, not a big amount, and slightly better grades than the model. But of course, it means that sometimes you may have 1% or 5% less than the model. But the model has shown to be very consistent and we don't expect to have any, we don't have any reason to suspect that this thing is going to be different in the future. And the reason for that is because this deposit is very well drilled. When do you expect to see the first results on commercial production rate in ELIX? What are the main challenges you are facing here? Well, the main challenge we are facing here is that we are not making the commissioning. The commissioning and operation is handled by LAIN, which is the owners of the technology, which is a technology that's quite secret, which means they are very careful in showing this to people. And it means that they have to hire new people, train them, new maintenance guys, new operating guys, and this takes time to learn. The challenge we are seeing is that we are not doing it. I think there are some problems that have happened that are normal engineering, clogging filters or like settling in tanks. That was not expected. I mean, you have to have a kind of procedure that comes with experience and the experience is not there. I have to say that from what I've seen, the problems that we have experienced or they have experienced have nothing to do with the ELEKS system itself. The difficult part of ELEKS is how to leach the concentrates. That's very difficult to do and that's done quite successfully. places where it has failed is in normal things like filtering or settling or or pipes growing or burning a pump which comes from from experience and now they are setting a good team and we hope that we'll have this during this uh month second half as we said second half of the year probably they will start producing more or less constant in the in the third and the last part of this quarter already But as I say, a little bit out of our control. This is an interesting question. In the case of the net cash as a statement compared to the production results announcement, what is the reason for this change? Well, it was a mistake. I mean, with lots of people on holidays, the person that was to provide the number to the people that prepared that basically forgot to consider one account that was in one bank. uh because it was not the person that was doing it normally and as simple as that i mean the cash is something that's either is there or not there simply when when they took the numbers and and nobody checked that they had been done correctly the cash was there simply with the rush of giving the the production the the final numbers What is the cash position? And this was the cash position and it's just a mistake, small account. But no, not any account in normal state and simply they forgot to take the cash that was in an account. Does the ELEX process recovery contain silver in concentrates? In general, yes. What I say in general depends if the Silver is locked in Barrett, normally the recovery is lower. But if the Silver is with Zinc concentrates, Zinc which is sold very well with Copper, yes, it is recovered. Can you please add more detail to how the 250 million euros for TOTO will be financed? Well, look, 250 million euros, about half of that will be coming from loans. And the rest will be coming from our own cash reserves, which we have over 100 million euros. And we believe that we are going to get very good loans from local banks because we have been told that from them. We already started in the context. Just to give you an idea, we have had over 60 million euros without any warranty. for Rio Tinto. So right now we have possibilities of giving warranty over the assets of Rio Tinto or company warranties or the assets of total without even going to a full project finance package. The idea is not to go to a full project finance, but to go to basically a loan from Spanish banks, maybe with addition to some other banks, but basically with Spanish banks. you tell us one next question can you tell what happens to the precious metal content in polymetallic ores that go through the helix plant um with silver as i said before it is it can be recovered and recovered it's recovered it's leached and after the after the precipitation is staged in the sludge and it's not it doesn't go to the doesn't go to the cathodes. In the case of the gold, I believe that's not recovered because the intensity of leaching is not enough to dissolve the gold. In a blue sky scenario, when would you expect to have the first production at total? Also, what's the total capex? And does this number consistent with inflation of recent years? Yes. The original capex was around 200 million and now it's 250 million euros after the inflation. And we made this check in December, January, December 23, January 24. So we ask for votes to everybody, look at the prices of steel, concrete, everything. And so the number is quite recent and I would say quite short. 250 million euros this 250 million euros do not need to be spent or ahead of production they are spent in two stages a little bit like less than 200 in the pre pre-start production and then the other 50 about two years later after production but we are stating the whole production the reason of that is technical there's uh there's there's some time needed to develop the tailings before building the second expansion, this expansion. And yes, it's consistent with inflation and everything has been checked. Another one is, are you concerned about the developing water shortage in Spain considering the use of water in production? Well, actually, we had a big, huge draw two years ago but this year we have water like you cannot imagine. The reason of that is that yes, there have been water restrictions in the rest of Spain, but in Rio Tinto, at Rio Tinto, it's a kind of basin that receives lots of water from the Southwest and the dams there are full. We have right now water, enough water that if we had two years of zero precipitation, it will still be okay. The reason of that is that we have a tailings thickener that we recycle 85% of the water back to the circuits. And the only water we lose is the evaporation and the water entrained in the solids of the tailings, which is around 25%. But as I said, right now we have no restrictions. In total, it's a quite wet area, which normally rains 1400 millimeters per year compared to 700 millimeters 800 millimeters in the south in rio tinto still quite a lot by the way it's not a dry area due to this this range of mountains that does that receives the water from the southwest with lots of rain and this year has been very wet and there's no restrictions at all can you make any comment on the haro chaparral project the initial initial evaluation that that took place recently In Jaro we continue drilling, but we are going to be stopping soon and to make some evaluations. It's a gold project, very close to surface. We have made some tests of leaching, preliminary indications, it leaches extremely well. So it's a pre-milling, basically gold. It contains very low amounts of sulphides of copper. And we have not given any indication of size. But we believe it's not going to be the size that can make a difference for Atalya. It still has a value. And we were looking at other options, at all options. One of them is to develop it, but other one could be to farm it out to a smaller company that can get it without distracting our teams. The next question is, how would you think about the CAPEX profile routine toward 2025-2026? What will be the main components of non-sustaining CAPEX? Well, I think we have guided already those CAPEX. So I would say that the next year, 2025-2026, the stripping of will be done. The road will be, we are starting this year, will be ongoing. And the solar will be finished, the helix will be finished. We have some known sustaining capex like a small modification in the crusher circuit to reduce energy consumption and which will be a capex of around 3 million euros. which is going to be started probably later this year then we have the the ramp of of um which probably will be around 10 to 15 million per year in two years and um and then in 26 we will have the the capex for the modification of the circuit of the sink which I think is very early to to say the the total capex but in the PA it was around 70 million dollars so around 60 million euros and I would say that's more or less the range is going to be This question comes from Jason. Are you spending a lot of capital on prescriptive in this project? Actually, is this project board approved yet? Yes, the board has approved already this and the board has no question about the permits that we have right now to do the prescriptive and the roads and everything. So this is so long going and fully permitted obviously and approved also by the board of course can you please tell us a bit more about elix you thought it might be start to see some commercial volumes of production by now does this technology work at scale well i mentioned before that's true that um i would say a little bit of the disappointment the the ramp up because of the issues we see are are quite quite normal. I mean, the solution technology works perfectly. We have seen that and concentrates have been leached and precipitates have been produced and cathodes have been produced, but they have had lots of teething issues with burning cathodes, with housekeeping, with filters being clogged because they stopped during the weekend and when they come on Monday is totally, um like a brick which they should have cleaned it before they have had tanks settle and then issues to start up things that are basically lack of experience so i don't think the technology has a problem but it's true that we are we have to be patient with this startup being a new thing and with new people and new technologies Is this possible to apply for grants to help fund the total expenditure? Maybe yes, but not a big amount. If there would be grants, it would be grants of small grants of three, five million for specific cases, but not big grants of 20% or whatever for a whole project. Are you still considering wind turbines at Rio Tinto to generate electricity? No, we have stopped that. that evaluation because we complete the measurements and the economics were coming at the overall level levelized price of electricity for around 50 euros megawatt hour long term and that price you can get it with hedging without any problem without the risk um we had a It would be very nice to have it from our own wind farm, but if it doesn't make economic sense, we decided to fridge it. Last question so far is a strategic question. In addition to the organic growth project within the company, what is the longer term picture for the company? What's your view on potential M&A for the company, potentially adding assets outside of Spain and having a more geographically diversified asset base. Do you see attracting M&A opportunities at the moment? We have a team evaluating projects constantly and right now we were in two data rooms until recently, when I mean until recently, until days ago, looking at things in Chile, specifically looking at things in other countries of South America, looking at things in Spain and also in Europe, Northern Europe. And we are working right now with other opportunities, which are a little bit early to say, but yes, we look at diversifying in different places, not only in Spain. Obviously, Spain is the logical place. But having said that, we are not looking just for the sake of growth. We need to make sense. It needs to have the opportunity of growing and to have some value creation. If you pay 100% of the net asset value or even a premium, it doesn't come with a return for the shareholders and it will be very hard to justify. And I think that's the last question I have.

That's correct, Alberto. Thank you very much indeed for addressing all those questions for investors today. And of course, the company can review all questions submitted today and we'll publish those responses on the Investing Big Company platform. But before redirecting investors to provide you with their feedback, which I know is particularly important to the company, Alberto, can I please ask you for a few closing comments?

Well, briefly, there has been a challenge in quarter and a challenge in the first half of the year. But I think we passed it quite well with maintaining the balance sheet, with good economic results. The company has a great future. We have lots of things in our plate. Tauro, which is a huge value generator, is there. We can see it. Massa Valverde, we believe it's going to be a new project soon. And the company has, I think, great future because we believe that the copper price will only go up from now on. It can be hiccups, but we are very leveraged to the copper price and our share price responds very well with copper price. So I think this company has a great future. We have good team, good assets in a great jurisdiction. So the second part of the year is expected to be better than the first part and also much better in the future. So that's the conclusion I can make for this quarter.

That's great, Alberto Cesar. Thank you once again for updating investors today. Could I please ask investors not to close this session as you will now be automatically redirected to provide your feedback in order that the board can better understand your views and expectations. This will only take a few moments to complete and I'm sure will be greatly valued by the company. On behalf of the management team of Atalaya Mining PLC, we'd like to thank you for attending today's presentation and good afternoon to you all.