Revenue and Income - Revenue for the three months ended September 30, 2024, was $134,723,000, an increase of 15.7% compared to $116,469,000 for the same period in 2023[5] - Income from mining operations for the three months ended September 30, 2024, was $37,982,000, compared to $34,563,000 in the same period last year, representing an increase of 7.0%[5] - Net income for the three months ended September 30, 2024, was a loss of $2,227,000, compared to a profit of $13,833,000 in the same period in 2023[5] - Comprehensive loss for the three months ended September 30, 2024, was $(10,677,000), compared to a comprehensive income of $28,327,000 in the same period last year[8] - The Company reported a net income of $(2,227,000) for the three months ended September 30, 2024, compared to a net income of $13,833,000 for the same period in 2023, indicating a significant decline[10] - Segment net income for the three months ended September 30, 2024, was a loss of $2.227 million, compared to a profit of $13.833 million in the same period of 2023[142] Costs and Expenses - Cost of sales for the three months ended September 30, 2024, was $83,243,000, up from $68,534,000 in the prior year, reflecting a 21.5% increase[5] - The total cost of inventories recognized in the consolidated statement of income for the nine months ended September 30, 2024, was $231.6 million, compared to $185.2 million in 2023[40] - Interest payments for the three months ended September 30, 2024, were $937,000, down from $1,157,000 in the same period of 2023, reflecting a decrease of 19%[67] - The company reported a total of $6.493 million in interest and accretion expenses for the three months ended September 30, 2024[136] - Income taxes for the three months ended September 30, 2024, amounted to $15.830 million, compared to $12.323 million in the same period of 2023[142] Assets and Liabilities - Total assets as of September 30, 2024, were $1,828,921,000, an increase from $1,352,871,000 as of December 31, 2023[4] - Total liabilities as of September 30, 2024, were $736,427,000, slightly up from $728,216,000 as of December 31, 2023[4] - As of September 30, 2024, total inventories amounted to $46.2 million, an increase from $38.9 million as of December 31, 2023[40] - Long-term debt as of September 30, 2024, was $365,005, a decrease from $377,831 as of December 31, 2023, representing a reduction of approximately 3.4%[59] - The fair value of the company's Senior Notes was estimated at $299.2 million as of September 30, 2024, compared to a carrying amount of $294.5 million[119] Equity and Share Capital - Share capital increased to $934,238,000 as of September 30, 2024, from $719,806,000 as of December 31, 2023[4] - As of September 30, 2024, total equity attributable to owners of the Company increased to $808,862,000 from $624,655,000 at December 31, 2023, reflecting a growth of approximately 29.4%[9] - The total number of common shares outstanding increased to 170,626,452 as of September 30, 2024, from 137,569,590 at December 31, 2023[9] - The Company issued 15,750,000 common shares to Mubadala, valued at $152.0 million, and will issue an additional 6,000,000 common shares upon receiving an environmental license for the PSN, valued at $28.9 million[90] Cash Flow and Financing - Operating cash flows before taxes for the nine months ended September 30, 2024, were $55,355,000, down from $126,167,000 in the same period of 2023, representing a decrease of approximately 56.2%[10] - The Company’s cash and cash equivalents at the end of the period were $80,304,000, a decrease from $210,838,000 at the end of September 30, 2023[10] - The company completed an offering of $450 million of 8.000% Senior Notes due 2029 on October 31, 2024[144] Investments and Acquisitions - The acquisition of PSN contributed $180,920,000 to equity, with a total acquisition cost of $464,705,000, reflecting the Company's strategic expansion efforts[9] - The Company increased its interest in the Soto Norte Project from 20% to 51% on June 28, 2024, gaining control over the project[13] - The Company acquired an additional 31% interest in the Soto Norte Project, increasing its ownership to 51% and obtaining control as of June 28, 2024[33] - The investment in Soto Norte as of December 31, 2023, was $108.527 million, with a cash contribution of $2.647 million and a share of loss of $2.811 million[44] Financial Instruments and Risks - The total gain (loss) on financial instruments for the three months ended September 30, 2024, was $(12.842) million, compared to a gain of $374 thousand in the same period of 2023[137] - The company experienced a foreign currency exposure with a potential impact of $1,844 thousand on earnings from a 10% appreciation of the Colombian Peso against the US dollar as of September 30, 2024[130] - The company's exposure to credit risk increased, with total receivables amounting to $72,677,000 as of September 30, 2024, up from $49,439,000 at December 31, 2023[121] Other Financial Metrics - The Company reported a foreign exchange loss of $311,000 for the three months ended September 30, 2024, compared to a loss of $2,285,000 in the same period last year[5] - The Company’s income tax expense for the nine months ended September 30, 2024, was $39,075,000, up from $33,497,000 in the same period of 2023, indicating an increase of approximately 16.8%[10] - Total share-based compensation expense for the three months ended September 30, 2024 was $2,533,000, compared to $528,000 for the same period in 2023, marking a significant increase[105]

Company Overview - Aris Mining (NYSE: ARMN) is an intermediate gold producer primarily operating in Colombia, formed in September 2022 through the merger of GCM Mining and Aris Gold [1] Company Characteristics - The company is relatively young, which may contribute to its under-the-radar status in the market [1] Investment Perspective - The article highlights the importance of continuous learning and adaptability in investment, referencing a quote from Charlie Munger about the value of becoming wiser over time [1]

Group 1 - Aris Mining aims to increase its annual gold production to 500,000 ounces by 2026, indicating a bold growth strategy in the gold production sector [1] - The company is actively engaged in mining operations across the Americas, highlighting its geographical focus and operational scale [1] Group 2 - Grassroots Trading emphasizes providing objective and unbiased research, focusing on small- to mid-cap companies while also identifying opportunities in larger firms [1] - The research approach is data-driven and aims to present compelling investment opportunities that are often overlooked [1]

Financial Data and Key Metrics Changes - In Q2 2024, the company generated revenue of $114.2 million, with a total of $219.4 million for the first half of the year, driven by a 12% increase in average realized gold price to $2,308 per ounce [14][19] - Adjusted EBITDA for Q2 increased by 27% quarter-over-quarter to $36.1 million, with a total of $64.5 million for the first half [14][15] - The company reported adjusted earnings of $18.1 million or $0.12 per share for the first half [5] Business Line Data and Key Metrics Changes - Aris Mining produced 49,000 ounces of gold in Q2 and 99,983 ounces in H1, with Segovia generating an all-in sustaining margin of $60.6 million in H1 [4][5] - Cash costs per ounce for mine operations were $1,222, while for untitled CMP operations, it was $1,174, with a modest increase of 3% and 11% respectively compared to Q1 2024 [8][9] - The Segovia processing plant expansion is 85% complete, with an expected production capacity of over 300,000 ounces of gold per year post-expansion [10][11] Market Data and Key Metrics Changes - The average realized gold price increased by 12% to $2,308 per ounce in Q2 compared to $2,061 per ounce in Q1 [14] - The company anticipates cash costs per ounce at Segovia to range between $1,125 to $1,225 for the full year 2024, up from prior guidance of $975 to $1,075 [19] Company Strategy and Development Direction - The company is targeting an annual gold production rate of approximately 500,000 ounces in the second half of 2026, supported by ongoing expansion projects at Segovia and Marmato [6][20] - The acquisition of an additional 31% in Soto Norte increased project ownership to 51%, with plans for a new development plan study expected to be completed by early 2025 [6][7] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in meeting the lower end of the full-year production guidance of 220,000 to 240,000 ounces, with expectations of a 30% increase in Segovia's gold production in the second half [18][20] - The company acknowledged inflationary cost pressures but remains optimistic about maintaining stable margins while growing production [19] Other Important Information - The company invested $70 million in growth projects during H1, including $7.5 million for exploration programs [5][15] - The estimated cost to complete the Marmato lower mine construction is $246 million, with $122 million funded by stream financing [13] Q&A Session Summary Question: What grades should be expected in Q3 and Q4 at Segovia? - Management expects grades to increase from 9.3 grams per ton in Q2 to approximately 10.2 grams per ton towards the end of the year [23][24] Question: How is capital spending at Marmato tracking? - Significant expenditures are expected to ramp up in the second half of the year as the company begins purchasing milling equipment and civil works [25][28] Question: Are there inflationary pressures affecting Marmato development? - Management indicated confidence in the costs tied to equipment and infrastructure, with many costs locked in through prepayments [34][35] Question: What is the current completion status of the Marmato project? - The Marmato project is currently 22% complete, with expectations to remain on schedule [36] Question: What is the breakdown of the remaining capital expenditures for Marmato? - Approximately $100 million of the remaining $250 million is locked into fixed-price contracts, primarily for the mill and process infrastructure [35][40]

Revenue and Income - Revenue for Q2 2024 was $117,185,000, an increase of 7.9% compared to $109,315,000 in Q2 2023[6] - Net income for Q2 2024 was $5,713,000, a decrease of 42.1% from $9,900,000 in Q2 2023[6] - Income from mining operations for Q2 2024 was $29,838,000, down from $34,877,000 in Q2 2023[6] - Earnings per share for Q2 2024 were $0.04, compared to $0.07 in Q2 2023[6] - The company experienced a comprehensive loss of $39,651,000 in Q2 2024, compared to a comprehensive income of $56,606,000 in Q2 2023[8] - The net income for the six months ended June 30, 2024, was $5,713,000, compared to $9,900,000 for the same period in 2023, reflecting a decrease of 42.1%[13] - The company reported a comprehensive loss of $43,826,000 for the six months ended June 30, 2024, compared to a comprehensive income of $65,886,000 in 2023[10] - The company reported net earnings of $5,713 for the three months ended June 30, 2024, down from $9,900 in 2023[114] - The net income for the company for six months ended June 30, 2024, was $4,970, compared to $3,530 for the same period in 2023, reflecting an increase of 40.8%[146] Assets and Liabilities - Total assets increased to $1,810,132,000 as of June 30, 2024, compared to $1,352,871,000 at the end of 2023[4] - The company’s long-term debt stood at $339,889,000 as of June 30, 2024, slightly down from $341,005,000 at the end of 2023[4] - As of June 30, 2024, total equity increased to $1,098,229,000 from $565,199,000 at June 30, 2023, representing an increase of 94.2%[10] - The company’s total liabilities decreased from $69,348,000 at December 31, 2023, to $62,860,000 at June 30, 2024, indicating a reduction of about 9.2%[65] - Total liabilities were $711,903, indicating a strong asset-liability ratio[146] Cash and Cash Equivalents - The company reported a decrease in cash and cash equivalents to $121,657,000 from $194,622,000 at the end of 2023[4] - Cash and cash equivalents at the end of the period were $121,657,000, down from $214,344,000 at the end of June 2023, a decrease of 43.2%[13] Share Capital and Equity - Share capital rose to $928,273,000 as of June 30, 2024, up from $719,806,000 at the end of 2023[4] - The total number of common shares outstanding increased to 169,225,264 as of June 30, 2024, from 137,018,048 at June 30, 2023, an increase of 23.5%[10] - As of June 30, 2024, the Company had 169,225,264 common shares issued and outstanding, an increase from 137,569,590 shares as of December 31, 2023[92] Mining Operations and Projects - The company increased its interest in the Soto Norte Project from 20% to 51% on June 28, 2024, gaining control over the project[15] - The acquisition of PSN contributed $180,920,000 to equity, with a total acquisition cost of $464,705,000[10] - The total consideration paid for the acquisition of the Soto Norte Project was $295.4 million, which included 15,750,000 common shares issued and 6,000,000 contingently issuable common shares[36] - The fair value of exploration and evaluation assets acquired in the Soto Norte Project was estimated at $578.1 million[39] - The Company assessed that the Soto Norte Project did not constitute a business and accounted for the acquisition as an asset acquisition[36] Expenses and Costs - Cost of sales for Q2 2024 was $76,994,000, up from $62,947,000 in Q2 2023, resulting in a gross profit of $40,191,000[6] - The total cost of inventories recognized in the consolidated statement of income for the six months ended June 30, 2024, was $148.3 million, compared to $116.7 million in 2023[41] - Share-based compensation for the first half of 2024 was $3,215,000, compared to $1,606,000 in 2023, an increase of 100.8%[13] - The company reported a stock option expense of $542,000 for the three months ended June 30, 2024, an increase from $415,000 in the same period of 2023[112] Financial Instruments and Investments - The company recorded a loss of $10.0 million upon discontinuing the equity method for Denarius, with a fair value reclassification of $3.5 million[51] - The investment in Denarius is carried at $11.3 million as of June 30, 2024, with a recognized loss of $1.5 million for the three months ended June 30, 2024[55] - The total net loss for the company from associates for the six months ended June 30, 2024, was $2.9 million, compared to $4.7 million for the same period in 2023[43] Production and Operational Metrics - Gold production in dore for three months ended June 30, 2024, was $114,170, compared to $106,239 for the same period in 2023, representing an increase of 8.8%[135] - The company reported a segment net income of $26,677 for Segovia operations in the three months ended June 30, 2024, compared to $18,414 in the same period of 2023, an increase of 44.5%[146] - Capital expenditures for Segovia operations in the three months ended June 30, 2024, were $23,678, compared to $9,897 in the same period of 2023, an increase of 138.5%[146] Other Financial Metrics - Interest expense for three months ended June 30, 2024, was $5,172, a decrease from $5,446 in the same period of 2023, showing a reduction of 5%[140] - The company experienced a loss on financial instruments totaling $6,144 for three months ended June 30, 2024, compared to a gain of $11,756 in the same period of 2023[141] - The company expects to recover the outstanding VAT and HST receivable within the next 12 months, totaling $56,005 as of June 30, 2024[123]

VANCOUVER, BC, July 16, 2024 /PRNewswire/ - Aris Mining Corporation (Aris Mining or the Company) (TSX: ARIS) (NYSE-A: ARMN) announces gold production of 99,983 ounces for the first half of 2024 (H1 2024), with 88,613 ounces from Segovia and 11,370 ounces from the Marmato Upper Mine. In the same period in 2023, the Company produced 104,906 ounces of gold, including 94,395 ounces from Segovia and 10,511 ounces from the Marmato Upper Mine. As the Segovia mine plan progresses to higher-grade zones the Company i ...

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 3 ...

VANCOUVER, BC, May 23, 2024 /PRNewswire/ - Aris Mining Corporation (Aris Mining or the Company) (TSX: ARIS) (NYSE-A: ARMN) announces that it has entered into a binding agreement with MDC Industry Holding Company LLC (Mubadala), a wholly-owned subsidiary of the Abu Dhabi based investment company Mubadala Investment Company PJSC, whereby, subject to certain customary conditions, Aris Mining will acquire an additional 31% joint venture interest in the Soto Norte gold-copper project in Colombia (Soto Norte or P ...

VANCOUVER, BC, May 16, 2024 /PRNewswire/ - Aris Mining Corporation (Aris Mining or the Company) (TSX: ARIS) (NYSE-A: ARMN) reports voting results from its Annual General Meeting of shareholders (the Meeting) held earlier today. AGM Voting Results Shareholders holding 46,147,782 shares, being 32.54% of the outstanding shares of the Company were represented by proxy at the meeting. The voting results from the Meeting are as follows: Election of Directors The number of directors to be elected was fixed at ei ...

VANCOUVER, BC, May 14, 2024 /PRNewswire/ - Aris Mining Corporation (Aris Mining or the Company) (TSX: ARIS) (NYSE-A: ARMN) announces its full financial and operating results for the three months ended March 31, 2024 (Q1 2024). Aris Mining previously released Q1 2024 production results and announced that it is on track to deliver full-year 2024 guidance while its expansion projects advance in a news release dated April 15, 2024. All amounts are in US dollars unless otherwise indicated. Q1 2024 Gold pr ...