27 August 2015

PHILIPPINE STOCK EXCHANGE, INC.

3F Philippine Stock Exchange Plaza
Ayala Triangle, Ayala Avenue
Makati City, 1226 PH

Attention

MS. JANET A. ENCARNACION

Head, Disclosure Department

Subject

1H15 unaudited Financial and Operating Results

Dear Madam,
Please see attached press release on the unaudited financial and operations results of Atlas
Consolidated Mining and Development Corporation for the first half of 2015.

Very truly yours,

CARMEN-ROSE A. BASALLO-ESTAMPADOR
Compliance Officer

PRESS RELEASE

Atlas Mining posts Php611M net loss in first half 2015 but
delivers stronger 2Q performance
27 August 2015 Manila, Philippines
Atlas Consolidated Mining and Development Corporation (Atlas Mining) posted a stronger second
quarter performance that contained its net loss for the first half at Php611 million compared to the
Php637 million net loss for the first quarter. For the first half of 2014, Atlas Mining registered a net
income of Php989 million. The decrease in net income was due mainly to the 39% decline in revenues as
lower metal prices and volume were realized in 2015.
Although copper prices improved during the second quarter, the average realized copper price of
$2.67/lb was still 15% lower than the $3.15/lb realized in the first half 2014. Similarly, the average
realized gold price dropped 7% to $1,201/oz from $1,295/oz the previous year.
Copper production of Atlas Minings wholly-owned subsidiary Carmen Copper Corporation (Carmen
Copper) slowed by 13% to 46.4 million pounds of copper metal in concentrate in the first six months of
the year due to unusually heavy rainfall, pit slope ground movement and necessary maintenance activities
in the expanded processing plant. Correspondingly, total volume of copper concentrate shipments
dropped 13% to 77,500 dry metric tons (dmt) during the January-June period. Copper metal content fell
by 14% to 45.2 million pounds of copper metal in concentrate, while gold content increased by 9% to
12,043 ounces.
Production volumes improved in the second quarter as a result of ongoing work to improve key
operations and complete maintenance activities. Copper metal in concentrates rose by 1.6 million pounds
to 24.0 million pounds, boosted by higher head grade, higher milling tonnage and better copper recovery.
The realized copper grade improved to 0.299% versus 0.285% in the first quarter, as mining operations
reverted back to the higher-grade benches. Milling tonnage tracked 4% higher to 4.3 million tons
buoyed by better average daily throughput in the expanded processing plant. Average daily throughput
increased to 54,000 tonnes per day (tpd) in the month of June, lifting the second quarter average to
47,227 tpd from 46,000 tpd the previous quarter.
Spurred by encouraging production volumes in 2Q and favorable realized metal prices in April and May,
revenues grew 6% quarter-on-quarter to Php2.8 billion. This growth in revenue, coupled with robust
equity earnings from Berong Nickel (Php182 million), assisted the company to post a net income of Php26
million in the second quarter, compared to a net loss of Php637million in the first quarter.
Meanwhile, total operating cash costs contracted by 20% to Php4.5 billion in the first semester attributed
mainly to lower volume shipped. However, average cash cost per pound of copper remained stable yearon-year at US$1.84/lb from US$1.86/lb. Total cost, on the other hand, increased by 6% from US$2.65/lb
to US$2.81/lb due to higher depreciation from new assets and higher financing charges.
According to Atlas Mining President, Mr. Adrian Ramos, We are making significant progress towards
addressing all of the issues that hampered production during the first half of 2015. We will continue to
address those issues in order to maximize production and be competitive in the current difficult
environment, and we are optimistic that we will be able to make up for the shortfall in production in the
second half of the year.

ATLAS CONSOLIDATED MINING AND DEVELOPMENT CORPORATION

FINANCIAL AND OPERATING HIGHLIGHTS
AS OF 30 JUNE 2015
ATLAS MINING SUMMARY OF FINANCIAL RESULTS
Year-on-Year (In Million Pesos)

1H2014

1H2015

Change

Revenues

8,669

5,262

-39%

Operating Cash Cost

5,570

4,464

-20%

EBITDA

3,099

981

-68%

Net Income

989

(611)

-162%

Core Income

744

(888)

-219%

1H2014

1H2015

8,715
48,149
0.330%
90
53.5
12,200

8,434
46,597
0.292%
79
46.4
12,986

-3%
-3%
-11%
-12%
-13%
+6%

18.5
88.6
52.3
11,099

16.0
77.5
45.2
12,043

-14%
-13%
-14%
+9%

CARMEN COPPER SUMMARY OF OPERATIONS

Year-on-Year
Production
Milling Tonnage (000 dmt)
Daily Milling Average (dmt per day)
Head Grade
Copper Concentrate (000 dmt)
Copper Metal Gross (in million lbs)
Gold (ounces)
Shipment
Number of Shipments
Copper Concentrate (000 dmt)
Copper Metal Gross (in million lbs)
Gold (payable ounces)

Change

CARMEN COPPER SUMMARY OF COSTS

Year-on-Year (US$/lb Cu)

1H2014

1H2015

Change

C1 cash cost

1.86

1.84

-1%

C2 cash cost

2.32

2.39

+3%

C3 cash cost

2.65

2.81

+6%

C1 = Production cost, G&A, smelting and related charges less by-product credits, C2 = C1 +
depreciation and depletion costs, C3 = C2 + mine product tax and royalties, financing charges net of
interest income, hedging cost and other charges
METAL PRICES (AVERAGE INVOICED PRICE)
Year-on-Year
Copper (US$/lb)
Gold (US$/ounce)

For further information, please contact:

Joanne M. Villanueva
Investor Relations
+632 5849788 local 135
jmvillanueva@atlasphilippines.com

1H2014

1H2015

Change

3.15

2.67

-15%

1,295

1,201

-7%