Altiplano Metals sells 257,500 lbs copper in Q1 from Farellon, Chile

Altiplano Metals Inc. [APN-TSXV; ALTPF-OTC; 9AJ1] reported the Q1 2021 results from the 100%-owned Farellon copper-gold mine near La Serena, Chile.

During Q1, 2021, the company extracted a total 9,770 tonnes of mineralized Cu/Au material at Farellon and processed 8,055 tonnes at an average copper grade of approximately 1.53%. Sales of 257,500 pounds of copper generated approximately US$544,000 in revenue. Total revenue since Q1 2018 generated at the Farellon operation now represents more than US$6,000,000 from the sale of approximately 2.96 mm pounds of copper.

Total extracted tonnes in Q1 declined by 19.5% from the previous record quarterly set in Q4 2020. Processed material was also lower in Q1 representing a 11.5% decrease from the previously strong quarter. Overall grade declined by 8.9% from Q4 2020. Grade and extraction declines are attributed to development work in non-productive areas and reduction in grade control as the benching process of removing ceilings between drift levels has begun. The grade is expected to improve in April as new headings are developed and with access to higher grade zones. At the end of March 2021, the company had 1,600 tonnes in stockpiles at the Farellon site and an additional 1,428 tonnes in process.

CEO Alastair McIntyre commented, “The work in Q1 2021 reflects our ongoing focus on development and sustainability. As we advance to additional headings at depth, and begin to mine within existing levels, this provides us the opportunity to improve output and increase efficiencies. Our next steps are to begin mining on the 369 m level in the NE and SW directions, following up with an extension to the 360 m level.”

The decision to commence production on the Farellon deposit is not based on a feasibility study of mineral reserves demonstrating economic and technical viability and there is increased uncertainty and economic and technical risks of failure associated with the production decision

Mining activity in Q1 2021 involved completing the advance on the 376 m NE and 382 m NE levels where work has also begun to remove the ceilings between these drifts. This benching method is used to extract the mineralized material remaining between the drift levels which is removed to the surface. This work also creates additional ventilation as the spaces between these levels open up. Two chimneys were created to open two additional air flow channels by connecting the 382 m SW with 389 m SW levels and also connecting the 389 m SW with 395 m SW levels. Finally, the extension of the Hugo Decline to the 369 m level began at the end of March. This approximately 80 metres extension is expected to be completed in May.