Impact: Mildly Positive
Aris Mining reported results for 48,694m of its ongoing 84,500m drill program at its Segovia operations in Colombia. The drill program is now 58% complete and 17 drill rigs continue to operate. Results are from the El Silencio, Sandra K, Providencia, and Carla mines, all of which returned high grades that could potentially result in resource expansion and upgrading. Based on a successful history of replacing mined resources for seven consecutive years and a large amount of drilling conducted in 2023, we anticipate that Aris should once again replenish and likely increase its resources in its next reserve and resource update (Q1/24E). These results reaffirm our view that Segovia’s main mines remain underexplored and have the potential to be larger than what we currently model. We also believe the discovery of new orebodies along with ongoing positive drill results from exploration drilling could result in additional resource growth and mine life extension.