Aura buys two projects near Matupá gold property in Brazil

Mid-tier gold-copper miner Aura Minerals (TSX: ORA; US-OTC: ORAAF) recently acquired two projects in Mato Grosso, Brazil, with a view of bolstering resources at its feasibility stage Matupá growth project.

To acquire the projects, Aura made an initial payment of US$500,000, and if exploration results meet its expectations, the company has the right to complete the acquisition in up to 12 months for US$9.5 million.

The 253-sq.-km. Matupá property in the Ouro Alta Floresta province, hosts the X1 and Serrinhas gold deposits. A feasibility study from November 2022 outlined an open-pit mine that would produce 293,000 oz. of gold annually over a seven-year life with an initial capital cost of US$107 million.

The Matupá feasibility is based on total reserves of 8.5 million tonnes grading 1.1 grams gold per tonne for 309,000 oz. The company believes it can “significantly” add to reserves by incorporating surrounding projects.

Matupá is located in a region that is known for its artisanal mining activities, the company said.

“This project represents the first industrial-scale operation in the area, and from the outset, our goal has been to consolidate several nearby deposits into the Matupá project,” Aura’s CEO Rodrigo Barbosa said in a release.

The two new projects — Pé Quente and Pezão — are located within a 50-km radius of Matupá and the X1 deposit, and have the same type of mineralization. They comprise a total of six mineral rights for 286 sq. km.

Pé Quente has a historical mineral resource derived from four separate mineralized zones indicating in situ potential of 6.3 million tonnes at 1.28 grams gold per tonne for 257,000 oz, while the Pezão project could contain 370,000 ounces, according to a non National Instrument 43-101-compliant report prepared in 2018 by a former owner.

Aura has budgeted US$1.6 million for 13,000 metres of drilling over the next year for the projects. The program will focus on infill drilling to confirm mineralization continuity and grades.