Adriatic Metals Nears Commercial Production Milestone at Rupice Silver Mine

Highlights:

• Rupice silver mine achieves full-scale operations with two active stopes and a 24-hour processing plant.
• 2024 ore mining totals 129,194 tonnes, with an additional 40,000 tonnes forecasted for December.
• Strong financial backing secured through agreements with Orion Mine Finance and Trafigura.

Adriatic Metals PLC (LSE:ADT1, ASX:ADT, OTCQX:ADMLF) announced significant progress at its Rupice silver mine in Bosnia & Herzegovina, with operations reaching a pivotal stage. The company has begun mining from two active stopes, while the processing plant at the nearby Vares site operates on a 24-hour schedule. Commercial production is set to be officially achieved by the end of December 2024 and sustained into early 2025.

Operational Achievements

By the end of November 2024, total ore mined at Rupice reached 129,194 tonnes, with an additional 40,000 tonnes expected in December. The company’s 2025 guidance remains unchanged, targeting 750,000–800,000 tonnes of ore mined for the year. These developments underline the steady ramp-up of operations at the Vares Silver Project, a critical step toward sustained production.

Laura Tyler, Chief Executive Officer, highlighted the strong fourth-quarter performance: “Fourth quarter 2024 will be a record quarter of production at the Vares Silver Operation, and we are confident commercial production levels will be reached in the coming weeks.”

Strengthened Financial Position

Adriatic Metals has reinforced its financial stability through strategic agreements. A $25 million concentrate prepayment deal with global trading giant Trafigura enhances its cash reserves, while a key agreement with Orion Mine Finance reschedules its first quarterly debt repayment of $19 million from December 2024 to March 2025.

As of November 30, 2024, Adriatic reported a robust financial position with $23 million in cash and approximately $8 million in receivables and concentrate inventory. These arrangements provide crucial support for the company’s operational and financial commitments as it transitions to full-scale production.

Future Prospects

The Vares Silver Project is poised to deliver record production in the final quarter of 2024, cementing Adriatic’s position as a significant player in the silver mining sector. With the Rupice mine and processing plant operating at full capacity, the company is well-positioned to meet its ambitious targets for 2025 and beyond.

By leveraging strategic partnerships and financial agreements, Adriatic Metals demonstrates its commitment to efficient project execution and long-term sustainability in a highly competitive market.