Aura Minerals Grows Reserves As Gold Hits Record Highs

AURA MINERALS INC (VG) 0.00%

AURA MINERALS INC (VG)

ORAAF

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Aura Minerals (OTCQX:ORAAF) has issued a positive update on its mineral reserves.

The news added to the positive momentum. The stock climbed almost 16% over the last month, outperforming gold despite its new all-time highs seemingly happening each week.

"This achievement is a result of our clear strategy to increase production while we increase our resources and reserves," said CEO Rodrigo Barbosa, clarifying an increase across all categories.

The mid-tier gold producer drilled over 114,000 meters in 2023, using $24 million for these exploration operations across all properties. Minosa was an exception and exploration will resume in 2024.

These activities replenished depleted ounces while adding 2.4 million ounces in measured and indicated reserves and 856,000 in proven and probable reserves.

See Also: Gold Hits All-Time High In March – Want To Capitalize On Projected Further Growth, But Not Sure How? Check Out Lou Dobbs-Endorsed Priority Gold

Notable developments:

  • Aranzazu mine, Mexico: 24,840 drilled meters, with proven and probable reserves increase of 6% to 10.13 million tons grading 2.81 grams of gold per ton)
  • Apoena mine, Honduras: The largest reserves increase since 2017 prolongs the mine’s life for at least five years. Its measured and indicated resources stand at 112.9 million tons, grading 1.15 grams of gold per ton, and 9 million tons, grading 0.96 grams.
  • Borborema project, Brazil: Feasibility study from August 2023 added 83,000 ounces per year in potential production during the first four years. Proven and probable reserves stand at 22.5 million tons at 1.12 grams of gold per ton. Measured and indicated resources grew to 63.7 million tons at 1.01 grams per ton. Relocation of a federal road could unlock another 1.3 million ounces for reserve inclusion.

Aura Minerals has also reported impressive production results from the past year. The company, focused on Central and South America, produced 236,000 ounces of gold equivalent in the previous year with all-in-sustaining costs of S$1,324 per ounce.

Aura Minerals has maintained a competitive position in the industry while delivering robust financial performance, as evidenced by its net revenues surging by 164% since 2018, reaching $417 million.

For 2024, management guides a production of 244-292,000 ounces, or a 3%- 24% increase compared to 2023, primarily due to the full-scale production at the Almas mine in Brazil. Anticipated capex stands between $188 and $219 million.

Now Read: Iamgold Marks Major Progress In Northern Ontario, Paving Way For Full-Scale Gold Production

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Image: T. Schneider, Shutterstock

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