ROAD TOWN,
Highlights of the Hedging Program:
- Aura has hedged about 215,000 ounces of gold between
July 2025 toJune 2028 (the “Period”) using gold-collars established with several financial institutions. The derivatives were booked at Aura’s corporate level, and the total volume is not projected to exceed about 20% of Aura’s expected consolidated gold production for the Period, significantly decreasing the risk of potential over-hedging. - Aura purchased put options that will expire monthly over the Period, at a strike price of
US$ 1,745 per ounce, with the goal of ensuring that at least 80% of the production during the first three years of production will be sold at approximately the price or above the price used as the base case in the feasibility study datedOctober 5, 2023 and entitled “Feasibility Study Technical Report (NI 43-101) for theBorborema Gold Project , Currais Novos Municipality, Rio Grande do Norte, Brazil” (the “Feasibility Study”), which is available on Aura’s profile on SEDAR+ at www.sedarplus.com. - Aura sold call options that will expire monthly over the Period at a strike price of
US$2,400 per ounce, ensuring upside exposure to the gold price. - Aura has received or will receive premium payments from the counterparties, totaling approximately
US$ 14.5 million . - The premium payments of
US$ 14.5 million will supplement theUS$100 million , already secured through a term loan established withBanco Santander Brazil , to partially fund the construction of theBorborema Project . - The results of the Feasibility Study were released on
August 30, 2023 , and indicated, among other things:- Estimated initial capital expenditures of approximately
US$188 million . Payback period estimated at 3.2 years after completion of construction, based on a weighted average consensus gold price of approximatelyUS$ 1,712 , for all operational years - Aura currently expects that construction will be completed by
February 2025 and that commercial production will be achieved by Q3 2025
- Estimated initial capital expenditures of approximately
Qualified Person
The scientific and technical information contained within this news release has been reviewed and approved by
About Aura 360° Mining
Aura is focused on mining in complete terms – thinking holistically about how its business impacts and benefits every one of our stakeholders: our company, our shareholders, our employees, and the countries and communities we serve. We call this 360° Mining.
Aura is a mid-tier gold and copper production company focused on operating and developing gold and base metal projects in the
Forward-Looking Information
This press release contains “forward-looking information” and “forward-looking statements”, as defined in applicable securities laws (collectively, “forward-looking statements”) which may include, but is not limited to, statements with respect to the activities, events or developments that the Company expects or anticipates will or may occur in the future, including the proportion of production from the
Known and unknown risks, uncertainties and other factors, many of which are beyond the Company’s ability to predict or control, could cause actual results to differ materially from those contained in the forward-looking statements. Specific reference is made to the most recent Annual Information Form on file with certain Canadian provincial securities regulatory authorities for a discussion of some of the factors underlying forward-looking statements, which include, without limitation, volatility in the prices of gold, copper and certain other commodities, changes in debt and equity markets, the uncertainties involved in interpreting geological data, increases in costs, environmental compliance and changes in environmental legislation and regulation, interest rate and exchange rate fluctuations, general economic conditions and other risks involved in the mineral exploration and development industry. Readers are cautioned that the foregoing list of factors is not exhaustive of the factors that may affect the forward-looking statements.
All forward-looking statements herein are qualified by this cautionary statement. Accordingly, readers should not place undue reliance on forward-looking statements. The Company undertakes no obligation to update publicly or otherwise revise any forward-looking statements whether as a result of new information or future events or otherwise, except as may be required by law. If the Company does update one or more forward-looking statements, no inference should be drawn that it will make additional updates with respect to those or other forward-looking statements.
Readers are encouraged to read the “The technical report (the “Technical Report”) titled “Feasibility Study for the
For more information, please contact: Investor Relations ir@auraminerals.com www.auraminerals.com
Source:
2023 GlobeNewswire, Inc., source