- Aura Minerals announced partial interruptions at their San Andres Mine in Honduras
- No more than 50 people are allowed on site, by order of the Honduran Government
- Aura Minerals have also completed their acquisition of Para Resource’s subsidiary’s Nevada Gold Road Mine
- Aura has advanced a C$5.6 million payment to the Gold Road Mining Corp to restart the Gold Road mine.
- At the previous market close, Aura Minerals (ORA) is trading at $54.57 with a market cap of $237 million
Operations at Aura Minerals Inc’s (TSX:ORA) San Andres Mine will be “partially interrupted” by order of the Honduran Government.
The Honduran National Defence and Security Council approved the suspension of work in the public and private sectors until April 12, 2020.
The Honduran Government have ordered that no more than 50 people may be on the site at any one time, effectively torpedoing operations for the time being.
The company has announced it will conduct maintenance activity on its leaching process during the downswing in activity.
Rodrigo Barbosa, President and CEO of Aura, is being co-operative with the government’s request.
“We are committed to the health and safety of our employees and contractors, and the communities in which they live and work,” he said.
In related news, Aura Minerals have also completed their acquisition of the Para Resources’ Gold Road Mine in Nevada
The company has announced it has completed the purchase of all issued and outstanding shares of a Para subsidiary, Z79 Resources.
Z79 Resources wholly owns a subsidiary, the Gold Road Mining Corp, which in turn owns the Gold Road mine, along with several options to acquire parcels of land adjacent to the site.
Aura has also finished advanced some C$5.6 million to the Gold Road Mining Corp to restart work at the Gold Road mine.
The purchase agreement was completed for the sum of US$1.
However, Aura has now assumed all liabilities the Gold Road Mining Corp and Z79 owe.
There is a substantial current debt to Pandion Mine Finance, and part of the acquisition agreement was a payment schedule to Pandion.
Aura’s new acquisitions will need to pay some $35 million in cash in a schedule of payments over the next 3 years.
However, there is an option for them to advance cash forward and pay a smaller fee of $24 million, provided the payment is made within 1 year of settlement.
At the previous market close, Aura Minerals (ORA) is trading at $54.57 with a market cap of $237 million