Aris Mining increases gold production in Colombia

Aris Mining is making significant strides towards boosting gold production at its Colombian mines this year. The company anticipates a substantial increase in consolidated gold production, estimating a range between 230,000 and 275,000 ounces for 2025, a substantial rise from the 210,955 ounces produced last year.

CEO Neil Woodyer expressed confidence in Aris Mining’s ability to double its annual production to 500,000 ounces, emphasizing the company’s capability and determination to achieve this growth. The company’s primary mine, Segovia, is set for expansion to enhance its processing plant’s capacity by 50%. Segovia boasts one of the world’s highest-grade mines with an average reserve grade of 10.8 grams per tonne.

The commissioning of the expanded processing facility at Segovia is slated for the second quarter of this year, with the installation of the second ball mill already in progress. Aris projects that production at Segovia will increase to a range of 210,000 to 250,000 ounces this year, compared to 188,000 ounces in the previous year. Furthermore, the annual output at Segovia is expected to surpass 300,000 ounces starting in 2026.

In addition to Segovia, Aris operates the Marmato Upper Mine, which generated approximately 23,000 ounces last year. To elevate Marmato’s production capacity to over 200,000 ounces of gold annually, the completion of the Marmato Lower Mine is essential. The Marmato Lower Mine will have a throughput capacity of 5,000 tonnes per day and will involve expanding the company’s Contract Mining Partner business to collaborate with local small-scale mining groups at the Upper Mine. Operational activities at Marmato Lower Mine are anticipated to escalate in the latter part of 2026.

A comprehensive business model has enabled Aris Mining to engage local mining groups as Contract Mining Partners, fostering a mutually beneficial relationship with the informal mining industry that has a deep-rooted history in Colombia. This innovative model facilitates the establishment of well-equipped contract mining companies by CMPs, allowing them to enter into long-term agreements with Aris for the purchase and processing of mill feed.

At present, Segovia’s production primarily originates from owner mining, accounting for 50% to 55%, with mill-feed purchased from CMPs constituting 45% to 50% of the sourced material. The processing plant at Segovia has the capacity to vastly increase gold production compared to what could be achieved independently by the CMPs, given its significantly higher recovery rate of 95% compared to the informal sector’s 45% to 50%.

Aris Mining has calculated that, at a gold price of $3,000 per ounce, the CMP business yields an all-in sustaining cost (AISC) sales margin of approximately $1,125 per ounce. This mutually beneficial arrangement is not only profitable for Aris but also provides an ethical and formalized platform for CMPs to thrive in the gold mining industry.