TORONTO, ONTARIO -- (Marketwired) -- 05/13/13 -- Aura Minerals Inc. ("Aura Minerals" or the "Company") (TSX: ORA) announces financial and operating results for the first quarter of 2013.
This release does not constitute management's discussion and analysis ("MD&A") as contemplated by applicable securities laws and should be read in conjunction with the MD&A and the Company's condensed interim consolidated financial statements for the three months ended March 31, 2013, which are available on SEDAR at www.sedar.com and on the Company's website.
-- Highest gold ounce ("oz") production in Aura's history achieved in the first quarter of 2013, which was 34% higher as compared to the first quarter of 2012;-- Net sales revenues in the first quarter of 2013 increased 17% over the first quarter of 2012;-- Copper concentrate sales are from the shipment of 5,370 dry metric tonnes ("DMT") and 5,396 DMT of copper concentrate for the quarters ended March 31, 2013 and 2012, respectively;-- Copper production at Aranzazu for the first quarter of 2013 was in line with management's expectations at 3,005,000 pounds. On-site average cash cost(1) per pound of payable copper produced, net of gold and silver credits was $3.69 for the first quarter of 2013, including $0.57 in respect of Arsenic related charges and penalties;-- Gross margin of $(7.2) million and $(10.5) for the three months ended March 31, 2013 and 2012, respectively;-- Loss of $10.9 million or $0.05 per share for the first quarter of 2013 compared to a loss of $18.7 million or $0.08 per share for the first quarter of 2012;-- Cash flows from operating activities of $16.1 million for the first quarter of 2013 compared to $20.6 million for the first quarter of 2012;-- The Company was not in compliance with its revolving credit facility's financial covenant at March 31, 2013 and is in negotiations with its Lenders to obtain a waiver or a forbearance; and-- Subsequent to quarter end, received R$20.6 million (approximately $10.3 million) in additional preliminary bridge financing for Serrote development.
Jim Bannantine, the Company's President and Chief Executive Officer stated, "Over the past year and a half, we have focused on achieving cost-efficient improvements to our existing operations while continuing to focus on our expansion plans at Aranzazu and the development of the Serrote Project. As a result of this effort, this quarter shows an overall improvement in throughput and production at our operations and the highest quarterly gold production in the Company's history. Aranzazu is producing to expectations with a substantially reduced Arsenic content, and the Company has generated a strong cash flow from operations.
As we move into Aranzazu's expansion phase including the installation of the partial roasting facility, it is currently anticipated that major equipment purchases for this phase will commence in the middle of this year. The Serrote Project continues to be under budget and negotiations for long-term financing are progressing. We are exploring our value maximization options with respect to all the Brazilian Projects in addition to a number of corporate financing alternatives.