Aura Minerals Company Overview
Aura Minerals was founded in 1946 and went public on August 4, 2006. The company acquired Aranzazu Mine in June 2008. All mining activities at the mine was suspended on January 15, 2015. Rodrigo Barbosa joined Aura Minerals as its Chief Financial Officer on September 26, 2016 and was appointed as its Chief Executive Officer and President on January 15, 2017. Below, I will present an overview of Aura Minerals, including information on the company’s background and information on Aranzazu Mine and Rodrigo Barbosa.
The Aranzazu Mine was owned and operated by various companies from 1962 to 2008. The mine was acquired by Aura Minerals in June 2008. Its production was first suspended in January 2009 and commercial production resumed in February 2011. All mining activities at the mine was suspended again on January 15, 2015. Please note that an extensive search did not provide any news revealing that that it “will resume operations in a few months, after a change in management and the appointment of a new CEO.”
There are no news about the Aranzazu Mine over the past two years. The most recent news was an announcement that Aura Minerals had filed a technical report called “Preliminary Economic Assessment of the Re-Opening of the Aranzazu Mine, Zacatecas, Mexico” on September 14, 2015. The next recent news was a report published on August 28, 2014. The report revealed that a miner died in an accident at the Aranzazu Mine. He was “fatally injured above ground when unexpected movement of material from a sidewall breached his equipment.”
AURA MINERALS - OVERVIEW AND OWNERSHIP
Aura Minerals was founded in 1946. Before July 2007, the company was known as Aura Gold. It has an estimated 652 employees. The company’s President and CEO is Rodrigo Barbosa. Aura Minerals produced 122,760 ounces of gold for the year ended December 31, 2016. For the year ended December 31, 2016, its revenue was C$146.2 million (around US$118 million) and EBITDA was C$ 24.2 million (around US$19 million). Financial details for the year ended December 31, 2017 have not been released.
Aura Minerals went public on August 4, 2006. The company trades on the Toronto Stock Exchange (TSX) under the ticker symbol “ORA.” Its stock price was trading at C$2.80 (around US$2.27) as of January 31, 2018. Aura Minerals has a market capitalization of C$92.76 million (around US$75 million).
AURA MINERALS - RECENT NEWS
On December 1, 2017, announced that it would be selling Mineração Vale Verde Ltda, which owns the Serrote da Laje Copper Gold project for US$40 million to a purchaser group, who were being advised by Appian Capital. Rodrigo Barbosa stated that “the consideration received from the sale unlocks significant value to our [Aura Minerals’] shareholders and accelerates our strategy to further develop our existing assets and pursue new growth opportunities.”
On December 18, 2017, Aura Minerals announced that it had merged with Rio Novo. CEO of Aura Minerals Rodrigo Barbosa stated that this deal would provide “a great new pipeline for growth.” President and CEO of Rio Novo Patrick Panero noted that the merger would create “the opportunity for development of our [Rio Novo’s] existing portfolio of assets within the newly merged and enlarged company.”
On January 24, 2018, it was reported that Aura Minerals’ stock price reached a new 52-week high on January 22, 2018. The stock traded as high as C$3.00 (around US$2.43) and closed at C$2.85 (around US$2.31).
Rodrigo Barbosa is 43 years old and is fluent in Portuguese, Spanish, and English. He joined Aura Minerals as its Chief Financial Officer on September 26, 2016. Barbosa replaced Jim Bannantine as Chief Executive Officer and President on January 15, 2017.
Before joining Aura Minerals, Barbosa served as the Chief Executive Officer of Tavex / Santista. He had also held senior positions at VBC Energia SA and Camargo Corr a S.A. He graduated from Universidade Mackenzie in 1997 with a Bachelor's Degree of Mechanical Engineering. He also received a master's degree in business administration from the University of Southern California in 2002.
In conclusion, Aura Minerals acquired Aranzazu Mine in June 2008. All mining activities at the mine was suspended on January 15, 2015. Rodrigo Barbosa is Aura Minerals’ Chief Executive Officer and President. Before his current appointment, he served as the company’s its Chief Financial Officer since September 26, 2016.