PR Newswire
VANCOUVER, BC , June 28, 2024 /PRNewswire/ – Aris Mining Corporation (Aris Mining or the Company) (TSX: ARIS) (NYSE-A: ARMN) announces that, further to the Company’s news release of May 23, 2024 , it has closed the acquisition of an additional 31% interest in the Soto Norte gold-copper project in Colombia (Soto Norte or PSN), increasing its total ownership in the joint venture to 51%. Soto Norte is one of the largest undeveloped underground gold projects in South America .
As consideration for the additional 31% interest of PSN:
Aris Mining has issued 15,750,000 shares to a wholly-owned subsidiary of the Abu Dhabi based investment company Mubadala Investment Company PJSC (Mubadala), which shares will be subject to a 12-month hold period.
An additional 6,000,000 shares will be issued to Mubadala on receipt of an environmental license for PSN.
Mubadala is retaining a 49% interest in PSN. Aris Mining will sole fund certain operating costs on behalf of the joint venture during the pre-licensing period. Non-operating and project construction costs will be funded on a pro-rata ownership basis.
In March 2022 , Aris Mining disclosed the results of mineral resource and reserve estimates and a Feasibility Study for the Soto Norte Gold Project in a NI 43-101 compliant Technical Report with an effective date of January 1, 2021 (the Feasibility Study). The Feasibility Study includes a 7,200 tonnes per day capacity processing plant with average annual production of over 450,000 gold ounces (oz) over an 11-year production period at average all in sustaining costs (AISC) of US$471 /oz from a 5.0 million ounce mineral reserve 1 .
In 2023, Aris Mining completed a technical and economic assessment of PSN that considered a scaled-down mining concept. To confirm and optimize our assessments and streamline permitting processes, we have decided to undertake Feasibility Study level work on a new, smaller scale development plan with optimizations including: (i) reducing the environmental footprint, (ii) building a smaller processing plant with a longer operating life, (iii) adopting a flexible mining method to target higher-grade material earlier in the mine life, (iv) installing a paste backfill plant to minimize surface tailings storage requirements and, (v) replacing the 6.9 km tunnel to connect the mine and the processing plant site with an aerial ropeway, a material movement approach utilized in Colombia and other jurisdictions.
The Soto Norte region in Colombia is a significant mining district, hosting numerous small-scale mining operations. Aris Mining’s partnership model, successfully implemented at its Segovia Operations, increases gold production while benefiting contract mining partners, the Government, and the environment. The new development plan for PSN will integrate processing solutions for local contract mining partners. By supporting the formalization of traditional miners into contract mining partners, Aris Mining aims to enhance economic development and environmental practices at Soto Norte....
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I like among others the word "Copper" here. Makes sense.