Aura Minerals ramps-up production at Borborema Mine, Brazil
Aura Minerals Inc. [TSX: ORA; B3: AURA33; OTCQX: ORAAF] reported a production ramp-up at its Borborema Mine, Brazil, has commenced. The mine and plant are currently in operation and the Company expects to achieve commercial production by Q3 2025. Borborema is poised to become a cornerstone asset for Aura, expected to have the second-highest annual production among the company’s five operations currently at production stage, once commercial production is achieved. Aura envisions Borborema to be a strong economic driver and a testament to its strategic growth in Brazil’s mining landscape.
Rodrigo Barbosa, President, and CEO, commented, “The start of production at Borborema marks a proud milestone for Aura – our fifth mining operation and second greenfield project, projected to be one of our lowest-cost mines, built on time and on budget in just 19 months with zero lost time incidents. This success showcases our strategy of creating simple, scalable, and efficient projects that are easy to build and run, setting the stage for Aura as a reliable operator and new mine builder. Borborema stands as a global ESG benchmark, driven by innovations like using grey water from the nearby municipality and renewable energy, fully embodying our Aura 360 commitment to responsible operations.”
Barbosa added, “We are also pleased to highlight the strong economic fundamentals of the mine, which delivers an after-tax internal rate of return (IRR) of 41.8% on an unleveraged basis and 81.4% considering 50% leverage, based on a gold price of US$2,600/oz. Notably, these figures do not yet reflect the significant upside potential from future reserve growth, particularly once the road relocation is executed.”
The 100%-owned Borborema project is an open pit gold mine, located in the municipality of Currais Novos, northeast of Brazil. On August 30, 2023, Aura announced a Feasibility Study indicating an anticipated production of 748,000 ounces of gold over 11.3-year LOM, with possibilities for even greater output in a deposit with over 2,000,000 contained ounces of gold in Indicated Mineral Resource category.
Aura holds 100% of Borborema Inc.’s shares, the owner of Borborema. According to the company’s Guidance announced on February 27, 2025, the company expects 2025 production at Borborema to be between 33,000 and 40,000 ounces of gold.
Borborema`s Highlights: Annual production average of 83,000 oz/year for the first three years. LOM: 11 years, based on existing Proven and Probable Mineral Reserves.
Submitted approval of the road relocation – Relocating the road has the potential to convert significant additional Indicated Mineral Resources (exclusive of current Mineral Reserves) into Mineral Reserves.
Growing workforce contributing to region and community development: Borborema employs approximately 2,184 personnel directly and indirectly, with 68% currently hired from the local community with efforts to expand this percentage, encouraging entrepreneurship and regional economic growth. Operators training, focused on local community, was concluded, building a skilled local workforce for the plant operation.
Aura is a mid-tier gold and copper production company focused on operating and developing gold and base metal projects in the Americas. The company has five operating mines including the Aranzazu copper-gold-silver mine in Mexico, the Apoena, Almas and Borborema gold mines in Brazil, and the Minosa (San Andres) mine in Honduras. The company’s development projects include Cerro Blanco in Guatemala and Matupá in Brazil. Aura has unmatched exploration potential owning over 630,000 hectares of mineral rights and is currently advancing multiple near-mine and regional targets along with the Carajas (Serra da Estrela) copper project in the prolific Carajás region of Brazil.