September 18, 2014
National Club – 303 Bay Street
At the door:
San Andres Mine Continuous Improvement Initiatives. The San Andres Mine is an open-pit heap leach gold mine located in the highlands of western Honduras, in the municipality of La Union, Department of Copan, Honduras, approximately 300 kilometres northwest of the country’s capital city, Tegucigalpa, and covers 399 hectares. The mine has been in production since 1983 and has well-developed infrastructure, which includes power and water supply, warehouses, maintenance facilities, assay laboratory and on-site camp facilities.
During late 2013 and continuing into 2014, the Company implemented a continuous improvement program at San Andres which resulted in further operational efficiencies and cost savings. Production was improved by the addition of a new secondary crusher with increased availability and utilization, increasing throughput and a focus on debottlenecking the plant. On May 27, 2014 Aura announced an increase in Mineral Reserves and Mineral Resources at San Andres resulting in a 44% increase in total Proven and Probable Mineral Reserves and a 1.7% increase in Measured and Indicated Mineral Resources. The Company has planned tonnage increases going forward to approximately 7 Mt of processed material per year along with current and anticipated reduction in operating costs. For complete details please see the technical report entitled Mineral Resource and Mineral Reserve Estimates on the San Andres Mine in the Municipality of La Union, in the Department of Copan, Honduras dated July 2, 2014.
The Canada-Honduras Economic Growth and Prosperity Act. An act to implement the Canada-Honduras Free Trade Agreement and parallel agreements on labour and environmental cooperation – received Royal Assent on June 19, 2014. Canada will now work with Honduras for a coming into force of the agreement as quickly as possible. The Canada-Honduras Free Trade Agreement includes provisions on market access for goods, services (including financial services), investment and government procurement. Once the agreement is fully implemented, over 98 percent of tariff lines will be duty-free.
Aura Minerals Inc. 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 copper-gold-silver Aranzazu mine in Mexico, the San Andres gold mine in Honduras and the Sao Francisco and Sao Vicente gold mines in Brazil. The Company’s core development asset is the copper-gold-iron Serrote project in Brazil. The Company’s shares are traded on the TSX under the symbol ORA.
Jim Bannantine joined Aura Minerals in October 2011, after having served as CEO of Intercap Energy Systems, a provider of systems and software to electric utilities and large commercial, campus and government customers. From 2005 to early 2010, Mr. Bannantine was a partner in Atlantic Capital Group and served as Managing Partner of their private equity activities, responsible for origination, investment due diligence, negotiation of transactions, investment pricing and structuring and fund raising. Between 2001 and 2005, Mr. Bannantine founded Acumen Capital, LLC, a private equity firm. From 2001 through 2002 Mr. Bannantine led and then sold a start-up company, Dorsal Networks, to Corvis Corporation, which subsequently became Broadwing Corporation, a $900 million telecom company, where he served as President and Chief Operating Officer from 2003 through 2005. He also worked with Enron Corporation for ten years, holding several top management positions, including six years in Brazil, most notably as Chief Executive Officer for Enron South America, the power and pipeline division with assets of $3.5 billion and 4,500 employees. Mr. Bannantine served in the United States Army as Contracting Officer for the Corp of Engineers in Honduras, and as an Assistant Professor of Economics and Finance at the US Military Academy. He received an MBA from the Wharton School with Distinction and is a West Point Distinguished Graduate as well as being a licensed Professional Engineer.