(Kitco News) - On Tuesday, Aura Minerals (TSX: ORA) announced that its total production reached 58,175 gold equivalent ounces (GEO) during Q3 2022, which is an increase of 5% when calculated based on current prices and by 8% at constant prices relative to Q2 2022.
According to the company’s statement, at EPP, production was 18% above the same quarter of 2021 and 43% above Q2 2022. Aura said that production was slightly better than management’s expectations, achieving close to 18,000 oz of gold. The company expects EPP to deliver strong production in Q4 2022.
At San Andres, production was 20% below the same quarter of 2021 and 16% below Q2 2022 mainly due to lower mine production as result of a new mine contractor and heavy rains. The company said that for Q4 2022, it is focusing on the upper zone of Esperanza, which it expects will provide higher grades with oxidized material.
At Aranzazu, concentrate production was 9% above the same quarter of 2021 and 6% above Q2 2022, partially offsetting a reduction in copper sale price, which was 18% below the same quarter of 2021 and also 18% below the previous quarter.
Copper production was 12% above the same quarter of 2021 and 10% above the previous quarter, as a result of higher head grade and better mine and plant performance.
Importantly, the company said that as a result of a 19% drop in the copper price during the period, it anticipates earnings to be affected by provisional pricing adjustments in accordance with the offtake agreement between Aranzazu and Trafigura México.
President and CEO Rodrigo Barbosa stated, “Despite the weather, lower copper prices and lower productivity in Honduras, this quarter we increased our production by 5% compared to Q2 2022. We look forward to strengthening our output across all three operations as we move into the fourth quarter, particularly at EPP with higher grades and San Andres where operational efficiencies are expected to take effect.”
Aura is a mid-tier gold and copper production company focused on the development and operation of gold and base metal projects in the Americas. The Company’s producing assets include the San Andres gold mine in Honduras, the Ernesto/Pau-a –Pique (EPP) gold mine in Brazil and the Aranzazu copper-gold-silver mine in Mexico. In addition, the company has four additional gold projects in Brazil: Almas, under construction; Borborema and Matupá, in development, and São Francisco, in care & maintenance, and one gold project in Colombia, Tolda Fria.
