Aura Minerals has completed the acquisition of the Mineração Serra Grande (MSG) gold mine in Crixás, Goiás, Brazil, from AngloGold Ashanti.
The transaction was completed through Aura’s wholly owned subsidiary.
Aura paid AngloGold Ashanti an upfront cash consideration of $72.8 million on closing, based on an agreed enterprise value of $76 million, adjusted for customary items as set out in the share purchase agreement.
Additionally, Aura will make deferred consideration payments equivalent to a 3% net smelter revenue interest on MSG’s mineral resources, including the Mineral Reserve, payable quarterly.
Since 1998, the MSG gold mine has produced more than three million ounces of gold, with a peak annual production of 193,000 ounces in 2006.
In 2024, the mine produced 80,000 ounces of gold, up from 86,000 ounces in 2023, according to AngloGold Ashanti.
Rodrigo Barbosa, Chief Executive Officer of Aura Minerals, said: “AngloGold Ashanti has built a strong reputation for developing and operating world-class mines. MSG, located in one of Brazil’s most important greenstone belts, has – according to AngloGold Ashanti – produced more than three million ounces since 1998, with a peak of 193,000 ounces in 2006, highlighting its significant potential.
“As an agile company with a proven track record of turnarounds (e.g. Apoena and Aranzazu) and a team with extensive experience, Aura is ideally placed to unlock the full potential of the mine.
“Our team has a detailed plan – currently being implemented – to recover production, reduce dilution, increase efficiency and invest to increase resources and reserves, all executed within the highest safety and sustainability standards of our Aura 360 culture.”
The MSG gold mine operation includes one open pit mine and three mechanized underground mines. It includes a dedicated metallurgical plant with an annual capacity of 1.5 million tonnes.
BofA Securities provided exclusive financial advisory services to Aura for the transaction.
Demarest Advogados acted as Brazilian legal advisor and Gowling WLG (UK) acted as English legal advisor to Aura.
“Aura Minerals Completes Acquisition of Mineração Serra Grande Gold Mine” was originally created and published by Mining Technology, a brand owned by GlobalData.
The information on this website has been included in good faith for general information purposes only. It is not intended to constitute advice on which you should rely, and we make no representations, warranties, express or implied as to its accuracy or completeness. You should obtain professional or specialist advice before taking or refraining from any action on the basis of the content on our site.
