ARIS MINING REPORTS 2023 RESULTS WITH GUIDANCE ACHIEVED, NET EARNINGS OF $11.4M, ADJUSTED EARNINGS OF $52.2M ($0.38/SHARE), ADJUSTED EBITDA OF $159M | ARMN Stock News

    Date:

    VANCOUVER, BC, March 6, 2024 /PRNewswire/ – Aris Mining Corporation (Aris Mining or the Company) (TSX: ARIS) (NYSE-A: ARMN) announces financial and operating results for the three and twelve months ended December 31, 2023 (Q4 2023 and FY 2023, respectively). All amounts are in US dollars unless otherwise indicated.

    Q4 2023

    FY 2023

    Gold Production

    61,052 ounces

    226,151 ounces

    Segovia Operations AISC/oz1

    $1,264

    $1,173

    EBITDA1

    $19.7M

    $112.1M

    Adjusted EBITDA1

    $39.7M

    $159.4M

    Net earnings (loss)

    ($5.9M) or ($0.04)/share

    $11.4M or $0.08/share

    Adjusted earnings1

    $11.8M or $0.09/share

    $52.2M or $0.38/share

    Aris Mining CEO Neil Woodyer stated: “In 2023, we restructured the operations team and introduced new operating procedures following the combination of GCM Mining and Aris Gold in September 2022. The new team achieved consistent quarter-over-quarter increases in gold production during 2023, significantly enhancing our position in 2024 and the future. We have achieved the initial phase of our vision to create an attractive gold mining company for investors by integrating profitable operations with exploration potential and growth projects.  

    During 2023, our high-grade Segovia Operations produced 202,940 ounces of gold at a processed grade of 10.4 g/t with all-in sustaining costs per ounce of $1,173, achieving production and AISC guidance. For the full year 2023, our mines generated $75.4 million in free cash flow from operations1 which largely funded $84.2 million in growth and expansion investments, and we ended the year with a cash position of $195 million.

    With strong gold production results and substantial growth in mineral reserves and resources at our Segovia Operations, we have started construction to increase its processing capacity by 50% to 3,000 tonnes per day with completion expected in early 2025. As the new capacity is used, we expect to increase annual gold production at Segovia to over 300,000 ounces. Construction at our Marmato Lower Mine project has ramped up with initial access roads completed, the lead contractor for portal and decline development selected, and tenders for key items for the new processing plant underway. We are on pace to reach 500,000 ounces of gold production in Colombia in 2026.”

    Operations Review – Segovia Operations

    Q4 2023

    Q3 2023

    FY 2023

    Tonnes milled (t)

    166,329

    163,205

    663,603

    Average tonnes milled per day (tpd)

    1,934

    1,898

    1,858

    Average gold grade processed (g/t)

    10.63

    10.77

    10.42

    Gold produced (ounces)

    54,719

    53,826

    202,940

    Cash costs ($/ounce sold)1

    997

    954

    928

    AISC – owner operated mining ($/ounce sold)1

    1,267

    1,108

    1,120

    AISC – partner operated mining ($/ounce sold) 1,2

    1,261

    1,308

    1,242

    AISC – total ($/ounce sold)1

    1,264

    1,194

    1,173

    Aris Mining Quarterly and YTD Cashflow Generation – 2023 (US$ million)

    Q4

    Q3

    Q2

    Q1

    FY 2023

    Gold sold (ounces)

    62,083

    59,040

    54,228

    49,158

    224,509

    Gold produced (ounces)

    61,052

    60,193

    54,003

    50,903

    226,151

    Average realized gold price ($/ounce sold)

    $1,980

    $1,913

    $1,959

    $1,869

    $1,933

    Gold revenue

    $  122.9

    $  113.0

    $  106.2

    $   91.9

    $  434.0

    Total cash costs1, royalties & social contributions

    (75.5)

    (67.3)

    (62.5)

    (51.1)

    (256.4)

    Sustaining capital1 – Segovia infill exploration program

    (1.3)

    (1.3)

    (0.3)

    (0.8)

    (4.6)

    Sustaining capital1 – other

    (10.0)

    (7.4)

    (4.1)

    (7.7)

    (28.3)

    All in sustaining margin

    36.1

    37.0

    39.3

    32.2

    144.7

    Taxes paid

    (52.4)

    (52.4)

    General and administration expenses

    (7.5)

    (3.9)

    (4.1)

    (2.2)

    (17.8)

    Change in working capital, impact of foreign exchange

    (8.0)

    3.2

    22.9

    (17.0)

    1.0

    Free cash flow from operations

    20.6

    36.3

    5.7

    12.9

    75.4

    Expansion and growth capital1 at:

      Marmato Upper Mine & Lower Mine

    (10.6)

    (14.2)

    (6.8)

    (4.6)

    (36.1)

      Segovia Operations – regional exploration program

    (6.0)

    (2.6)

    (2.9)

    (2.5)

    (14.0)

      Segovia Operations – other

    (10.3)

    (4.0)

    (4.7)

    (0.1)

    (19.1)

      Toroparu Project

    (1.7)

    (3.9)

    (4.6)

    (4.7)

    (14.9)

    Total expansion and growth capital

    (28.6)

    (24.6)

    (19.0)

    (11.9)

    (84.2)

    Free cashflow from operations after expansion capital

    (8.1)

    11.7

    (13.4)

    1.0

    (8.7)

    Proceeds from warrant/option exercises

    0.6

    0.3

    1.6

    0.4

    3.0

    Soto Norte, deferred payment to Mubadala

    (50.0)

    (50.0)

    Repayment of Gold-linked Notes

    (1.8)

    (1.8)

    (1.8)

    (1.8)

    (7.4)

    Contributions to investments in associates

    (1.4)

    (1.4)

    (1.2)

    (1.1)

    (5.1)

    Purchase of Denarius debentures and shares

    (3.6)

    (1.1)

    (4.7)

    Interest (paid), net of interest income

    (2.0)

    (12.3)

    (0.2)

    (17.5)

    (31.9)

    Net change in cash 

    (16.2)

    (3.5)

    (15.0)

    (70.1)

    (104.8)

    Opening balance at the beginning of the period

    210.8

    214.3

    229.3

    299.5

    299.5

    Closing balance at the end of the period

    $  194.6

    $  210.8

    $  214.3

    $  229.3

    $  194.6

    _____________________________________

    1

    AISC ($ per oz sold), EBITDA, adjusted EBITDA, adjusted earning, free cash flow, cash costs and sustaining capital are non-IFRS financial measures in this document. These measures do not have any standardized meaning prescribed under IFRS, and therefore may not be comparable to other issuers. Refer to the Non-IFRS Measures section and the table titled “Quarterly and YTD Cashflow generation” below for a reconciliation of these measures to the most directly comparable financial measure disclosed in the Company’s interim and audited financial statements.

    2 

    Partner-operating mining encompasses contractor workforce as well as the acquisition of mill-feed from artisanal and small-scale miner units.

    Aris Mining’s audited consolidated financial statements for three month and years ended December 31, 2023 and 2022 and related MD&A (together, the Annual Filings) are available on SEDAR+, and the Annual Filings and Aris Mining’s annual report on Form 40-F for the year ended December 31, 2023 are available in the Company’s filings with the U.S. Securities and Exchange Commission (the SEC) and in the Financials section of Aris Mining’s website here. Hard copies of the audited financial statements are available free of charge by written request to info@aris-mining.com.

    FY2023 Conference Call Details

    Management will host a conference call on Thursday, March 7, 2024, at 11:00 am ET/8:00 am PT to discuss the results and outlook for 2024. The call will be webcast and can be accessed at Aris Mining’s website at www.aris-mining.com, or at https://services.choruscall.ca/links/arismining2023q4.html

    To join the conference via telephone dial:

    • Toll-free North America: 1-866-668-0730
    • International: +1 604-638-5357

    Participants may also choose to pre-register to join the conference call automatically, at this link. Upon registering, participants will receive a calendar invitation with dial-in details and a unique PIN, which will allow them to bypass the operator queue and connect directly to the conference.

    The call will be available for playback for one week by dialing:

    • Toll-free in the US and Canada: +1 800.319.6413
    • International: +1 604.638.9010
    • Replay access code: 0729

    A replay of the event will be archived at Aris Mining Corporation – Investors – Events & Presentations (aris-mining.com).

    About Aris Mining

    Aris Mining is a gold producer in the Americas with an attractive blend of current production, exploration, and growth projects. The Company operates two mines in Colombia, the Segovia Operations and Marmato Upper Mine, known for their high-grade deposits, which produced 226,000 ounces of gold in 2023. With expansion projects in progress, Segovia and Marmato aim to produce a combined 500,000 ounces of gold in 2026. Aris Mining also operates and is 20% owner of the Soto Norte Project joint venture, where environmental licensing is advancing to develop a new underground gold, silver and copper mine. In Guyana, Aris Mining is advancing the Toroparu Project, a gold/copper project. Aris Mining is committed to pursuing acquisitions and other growth opportunities to unlock value through scale and diversification.

    Additional information on Aris Mining can be found at www.aris-mining.com, www.sedarplus.ca, and on www.sec.gov.

    Cautionary Language

    Non-IFRS Measures

    Free cash flow, cash costs ($ per oz sold), AISC ($ per oz sold), EBITDA, adjusted EBITDA, adjusted (loss)/earning, sustaining capital and expenditures on growth capital are non-IFRS financial measures and non-IFRS ratios. These measures do not have any standardized meaning prescribed under IFRS, and therefore may not be comparable to other issuers. For full details on these measures and ratios refer to the “Non-IFRS Measures” section of the Company’s Management’s Discussion and Analysis for the three months and years ended December 31, 2023 and 2022 (MD&A). The MD&A is incorporated by reference into this news release and is available on the Company’s profile on SEDAR+ at www.sedarplus.ca and in its filings with the SEC at www.sec.gov.

    The tables below reconcile the non-IFRS financial measures contained in this news release for the current and comparative periods to the most directly comparable financial measure disclosed in the Company’s 2023 audited consolidated financial statements.

    Total cash costs

                            Segovia Operations

    Total Operations

    Quarter ended,

    Year ended,

    Quarter ended,

    Year ended,

    ($000s except per ounce amounts)

    Dec 31, 2023

    Sept 30, 2023

    Dec 31, 2023

    Dec 31, 2023

    Sept 30, 2023

    Dec 31, 2023

    Total gold sold (ounces)

    55,736

    52,627

    201,652

    62,083

    59,040

    224,509

    Cost of sales1

    61,993

    56,543

    213,649

    76,580

    68,534

    261,766

    Less: materials and supplies provision

    (715)

    (715)

    (1,211)

    (190)

    (1,401)

    Less: royalties1

    (3,434)

    (3,202)

    (12,784)

    (4,531)

    (4,189)

    (16,745)

    Add: by-product revenue1

    (2,297)

    (3,153)

    (13,081)

    (2,565)

    (3,514)

    (14,199)

    Less: other adjustments

    77

    Total cash costs

    55,547

    50,188

    187,069

    68,273

    60,641

    229,498

    Total cash costs ($ per oz gold sold)

    997

    954

    928

    1,100

    1,027

    1,022

    1.

    As presented in the interim and audited consolidated financial statements and notes for the respective periods.

    All-in sustaining costs (AISC)

    Segovia Operations

                            Total Operations

    Quarter ended,

          Year ended,

    Quarter ended,

          Year ended,

    ($000s except per ounce amounts)

    Dec 31, 2023

    Sept 30, 2023

    Dec 31, 2023

    Dec 31, 2023

    Sept 30, 2023

    Dec 31, 2023

    Total gold sold (ounces)

    55,736

    52,627

    201,652

    62,083

    59,040

    224,509

    Total cash costs

    55,547

    50,188

    187,069

    68,273

    60,641

    229,498

    Add: royalties1

    3,434

    3,202

    12,784

    4,531

    4,189

    16,745

    Add: social programs1

    2,501

    2,249

    9,573

    2,653

    2,434

    10,157

    Add: sustaining capital expenditures

    8,669

    6,685

    25,136

    11,020

    8,143

    30,842

    Add: lease payments on sustaining capital

    324

    507

    2,073

    324

    507

    2,073

    Total AISC

    70,475

    62,831

    236,635

    86,801

    75,914

    289,315

    Total AISC ($ per oz gold sold)

    1,264

    1,194

    1,173

    1,398

    1,286

    1,289

    1.

    As presented in the interim and audited consolidated financial statements and notes for the respective periods.

    The table below reconciles the cash cost per ounce sold and the AISC per ounce sold for ore sourced from owner-operated mines and other partner-operated mines to the totals for the consolidated Segovia Operations:

    Quarter ended December 31, 2023

    Year ended December 31, 2023

    Owner Operated 

    mining1

    Partner

    Total

    Owner Operated 

    mining1

    Partner

    Total

    Operated mining2

    Segovia

    Operated mining2

    Segovia

    Attributable gold sold (ounces)

    31,396

    24,340

    55,736

    113,560

    88,092

    201,652

    Total cash costs ($’000)3

    27,632

    27,915

    55,547

    88,069

    99,002

    187,071

    Cash cost per ounce sold ($/ounce)3

    $880

    $1,147

    $997

    $776

    $1,124

    $928

    All-in sustaining costs ($’000)3

    39,781

    30,694

    70,475

    127,232

    109,405

    236,637

    AISC cost per ounce sold ($/ounce)3

    $1,267

    $1,261

    $1,264

    $1,120

    $1,242

    $1,173

    Quarter ended September 30, 2023

    Owner Operated 

    mining1

    Partner

    Operated mining2

    Total

    Segovia

    Attributable gold sold (ounces)

    30,030

    22,597

    52,627

    Total cash costs ($’000)3

    23,602

    26,586

    50,188

    Cash cost per ounce sold ($/ounce)3

    $786

    $1,177

    $954

    All-in sustaining costs ($’000)3

    33,279

    29,553

    62,831

    AISC cost per ounce sold ($/ounce)3

    $1,108

    $1,308

    $1,194

    1.

    Includes Company-operated areas within the mines, utilizing owner-managed labour.

    2.

    Comprises contractor-operated and other small-scale mining operations within and outside of the Company’s mining title that are operated by miners under contract to deliver the mill feed mined to the Company’s Maria Dama plant for processing.

    3.

    Refer to the Non-IFRS Measures section for full details on cash costs ($ per oz sold) and AISC ($ per oz sold).

    Additions to mineral interests, plant and equipment

    Quarter ended,

    Year ended,

    ($’000)

    Dec 31, 2023

    Sept 30, 2023

    Dec 31, 2023

    Sustaining capital

       Segovia Operations

    8,669

    6,685

    25,136

       Marmato Upper Mine

    2,351

    1,457

    5,706

         Total

    11,020

    8,143

    30,842

    Non-sustaining growth capital

       Segovia Operations

    16,308

    6,569

    33,157

       Toroparu Project

    1,740

    3,874

    14,929

       Marmato Lower Mine

    9,394

    8,413

    27,814

       Marmato Upper Mine

    1,181

    5,737

    8,244

       Juby Project

    7

    40

         Total

    28,630

    24,594

    84,184

    Total Additions1

    39,650

    32,736

    115,026

    1.  As presented in the interim and audited consolidated financial statements and notes for the respective periods.

    Earnings before interest, taxes, depreciation, and amortization (EBITDA) and adjusted EBITDA

    Quarter ended,

    Year ended,

    ($000s)

    Dec 31, 2023

    Sept 30, 2023

    Dec 31, 2023

    Earnings (loss) before tax1

    7,963

    26,156

    58,826

    Add back:

       Depreciation and depletion1

    7,535

    10,938

    34,944

       Finance income1

    (2,580)

    (3,672)

    (10,783)

       Interest and accretion1

    6,772

    6,757

    29,156

    EBITDA

    19,690

    40,179

    112,143

    Add back:

       Share-based compensation1

    2,977

    528

    5,111

       Revaluation of investments (Denarius) 1

    536

    10,559

       Loss from equity accounting in investee1

    (3,667)

    (1,062)

    (59)

       (Gain) loss on financial instruments1

    13,429

    (374)

    13,078

       Foreign exchange (gain) loss1

    6,685

    2,285

    18,550

    Adjusted EBITDA

    39,650

    41,555

    159,382

    1.

    As presented in the interim and audited consolidated financial statements and notes for the respective periods.

    Adjusted net earnings and adjusted net earnings per share

    Quarter ended,

    Year ended,

    ($000s except shares amount)

    Dec 31, 2023

    Sept 30, 2023

    Dec 31, 2023

    Basic weighted average shares outstanding

    137,313,095

    137,192,545

    136,735,317

    Diluted weighted average shares outstanding

    137,313,095

    137,484,041

    137,062,505

    Net earnings (loss)1

    (5,944)

    13,833

    11,419

    Add back:

       Share-based compensation1

    2,977

    528

    5,111

       Revaluation of investments (Aris Gold/Denarius) 1

    536

    10,559

       (Income) loss from equity accounting in investee1

    (3,667)

    (1,062)

    (59)

       (Gain) loss on financial instruments1

    13,429

    (374)

    13,078

       Foreign exchange (gain) loss1

    6,685

    2,285

    18,550

          Income tax effect on adjustments

    (2,221)

    (796)

    (6,434)

    Adjusted net (loss) / earnings

    11,795

    14,414

    52,224

       Per share – basic ($/share)

    0.09

    0.11

    0.38

    1.

    As presented in the interim and audited consolidated financial statements and notes for the respective periods.

    Forward-Looking Information

    This news release contains “forward-looking information” or forward-looking statements” within the meaning of Canadian securities legislation. All statements included herein, other than statements of historical fact, including, without limitation, statements relating to the Company’s belief that it has significantly enhanced its position in 2024 and the future, the Company’s plans to increase the processing capacity at the Segovia Operations and the timing thereof, the expected increase in annual gold production at the Segovia Operations, the Company’s goal of producing 500,000 ounces of gold in Colombia in 2026 and the Company’s plans and strategies are forward-looking. Generally, the forward-looking information and forward looking statements can be identified by the use of forward looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, “will continue” or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. The material factors or assumptions used to develop forward looking information or statements are disclosed throughout this news release.

    Forward looking information and forward looking statements, while based on management’s best estimates and assumptions, are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of Aris Mining to be materially different from those expressed or implied by such forward-looking information or forward looking statements, including but not limited to those factors discussed in the section entitled “Risk Factors” in Aris Mining’s annual information form dated March 6, 2024 which is available on SEDAR+ at www.sedarplus.ca and in the Company’s filings with the SEC at www.sec.gov.

    Although Aris Mining has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking information and forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such information or statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such information or statements. The Company has and continues to disclose in its Management’s Discussion and Analysis and other publicly filed documents, changes to material factors or assumptions underlying the forward-looking information and forward-looking statements and to the validity of the information, in the period the changes occur. The forward-looking statements and forward-looking information are made as of the date hereof and Aris Mining disclaims any obligation to update any such factors or to publicly announce the result of any revisions to any of the forward-looking statements or forward-looking information contained herein to reflect future results. Accordingly, readers should not place undue reliance on forward-looking statements and information.

    Cision View original content:https://www.prnewswire.com/news-releases/aris-mining-reports-2023-results-with-guidance-achieved-net-earnings-of-11-4m-adjusted-earnings-of-52-2m-0-38share-adjusted-ebitda-of-159m-302082217.html

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