South America-focused Aris Mining has taken full control of the Soto Norte gold project in Colombia, signing a binding term sheet to acquire the remaining 49% stake from MDC Industry Holding Company, part of Mubadala, in a transaction valued at $80-million.

The consideration comprises $60-million in cash and 1.74-million newly issued shares at a deemed price of $11.50 a share. The deal also includes the termination of Mubadala’s precious metals stream and is expected to close in early December, subject to customary conditions.

Announcing the transaction on Thursday, CEO Neil Woodyer said the move consolidated the company’s transition from acquisitions to development across its portfolio. “With 100% ownership of Segovia, Marmato, Toroparu, and now Soto Norte, Aris Mining has scaled to a point where our buy-and-build strategy naturally shifts to a clear focus on building,” he said.

“Backed by a portfolio of high-quality projects, a strong financial position, and robust operating cash flows from our existing mines, we now have a diversified, fully owned growth pipeline toward becoming a one-million-ounce-per-year gold producer.”

He added that the company’s recent settlement agreement with the Colombian government “underscores how collaboration is essential to advancing major projects in the country and reinforces the strong foundations for long-term success.”

PIPELINE UPLIFT
Full ownership delivers a significant increase in attributable reserves and resources, with proven and probable reserves rising 33% to 9.1-million ounces and measured and indicated resources up 19% to 21.7-million ounces. Soto Norte’s attributable project net present value (NPV) at a gold price of $2 600/oz increases from $1.4-billion to $2.7-billion.

Soto Norte is positioned as a long-life, high-grade underground mine with a planned 3 500 t/d processing plant, including 750 t/d reserved for local small-scale miners as part of an integrated formalisation programme. The project carries proven and probable reserves of 4.6-million ounces at 7 g/t gold and is expected to average 203 000 oz/y over a 22-year mine life, rising to 263 000 oz/y in years two to ten.

Base-case economics show an after-tax NPV of $2.7-billion, a 35.4% internal rate of return and payback in just over two years, supported by low cash costs of $345/oz and all-in sustaining cost of $534/oz. Aris expects to invest $625-million in initial capital.

Environmental studies are nearing completion ahead of licence submissions planned for the first half of 2026. The flowsheet notably excludes cyanide and mercury.