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

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 cash flow 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.

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 [email protected].

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.comwww.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 instruments

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 instruments

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.

SOURCE Aris Mining Corporation

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