Adriatic Metals Plc

Adriatic Metals Plc is a junior silver producer headquartered in London, United Kingdom, operating primarily in Europe. The company's portfolio consists of 2 projects, comprising 1 operating mine and 1 advanced exploration project. Key assets include Vareš Silver. The business model centers on producing and delivering metal concentrates to smelters, supported by an integrated approach that combines ongoing production with continued exploration across its concession package. A key operational characteristic is the transition to an owner-operator model, which enhances control over mining activities and safety protocols. The development cycle is systematic, progressing from asset targeting and exploration to construction, production, and eventual restoration, emphasizing a long-term operational perspective. Competitive positioning is driven by the processing of high-grade source material, which is intended to yield premium products and lower processing costs. The company's structure as a revenue-generating entity that evolved from an exploration and development stage provides a foundation for scalable and sustainable operations. This model is designed to deliver consistent products to customers while managing the full lifecycle of its mineral resources responsibly.

Strategic priorities are structured around 3 core pillars: near-term cash generation, organic growth, and external growth opportunities. The immediate focus is on achieving a 1st quartile cost curve position and generating significant free cash flow through consistent operational performance. Organic growth initiatives center on accelerating the definition of brownfield exploration upside and delivering on greenfield targets within existing concessions. For external growth, the strategy involves targeting value-accretive polymetallic assets and projects with potential for a sustainable footprint. Capital allocation is disciplined to maximize shareholder returns, with a stated priority on debt repayment as operations ramp up. Execution is measured against a detailed 2025 Key Performance Indicator framework heavily weighted toward operational discipline (50%), which includes production, cost, and capital effectiveness, complemented by sustainability (30%) and people (20%) metrics. The organization is also advancing expansion studies to potentially increase production capacity.

Executive leadership is headed by CEO Laura Tyler, appointed in 2024, who brings over 30 years of industry experience, including a 20-year career at BHP where she served as the inaugural Chief Technical Officer. The Board of Directors is composed of 7 members, including 5 independent directors, ensuring a majority of independent oversight. Governance framework adheres to the Quoted Companies Alliance (QCA) Corporate Governance Code and is supported by 3 primary committees: Audit & Risk, Sustainability, and Remuneration & Nomination. A key governance enhancement in 2024 was the appointment of the company's first Senior Independent Director to act as a sounding board for the Chair. An internal board performance effectiveness review conducted in December 2024 resulted in specific action plans, including enhancing the stakeholder management plan, improving the functionality of the Employee Council, and increasing the focus on internal audit capabilities. The leadership philosophy prioritizes health and safety, responsible stewardship, and maintaining a social license to operate through transparent stakeholder engagement.

The sustainability framework is built on a commitment to responsible resource extraction, overseen by a dedicated Sustainability Committee. Climate strategy includes supporting the Paris Agreement, developing a Net Zero pathway with targets to be announced in 2025, and installing a 32.4 kWp solar PV array at its processing plant administration building. Environmental stewardship is demonstrated through a closed-loop water management system at the processing plant, a state-of-the-art water treatment lagoon to manage all contact water at the mine, and a commitment to align with the Global Industry Standard on Tailings Management (GISTM). Biodiversity initiatives include a partnership with a local forestry commission for reforestation programs, which has resulted in 10,000 trees being planted. Social engagement is formalized through a Public Liaison Committee and a community information center to maintain dialogue with local stakeholders. Workplace safety performance is a key priority, with a 12-month rolling total recordable incident frequency rate (TRIFR) of 1.05 at year-end 2024.

The corporate structure includes Adriatic Metals BH d.o.o. as the main operating entity and Adriatic Metals d.o.o. as the sole operating entity for a separate project following an internal reorganization in 2024. This reorganization involved merging 3 wholly owned Serbian entities—Global Mineral Resources d.o.o., Tethyan Resources d.o.o., and TAOR d.o.o.—into Adriatic Metals d.o.o. to simplify the group structure. In 2022, Adriatic Metals Trading and Finance Ltd was incorporated to act as a dedicated trading and finance company for the group. A significant historical structural change was the 2020 acquisition of Adriatic Metals Jersey Limited (formerly Tethyan Resource Corp.) and its subsidiaries. As of March 2025, substantial shareholders with interests over 3% include Helikon Investments (21.44%), L1 Capital (15.52%), T Rowe Price (8.83%), Orion Asset Management (3.73%), and 2 individual investors.