Aris Mining (ARMN) Surges 12.59% on $80M Soto Norte Acquisition, Boosting Reserves to 9.1M Ounces

The share price rose to its highest level since the start of this month, with an intraday gain of 10.40% on 25 November. Aris Mining (ARMN) has surged 12.59% over two trading days, marking a pivotal rally driven by strategic and operational developments.

The stock’s ascent follows Aris Mining’s completion of an $80 million acquisition to secure full ownership of the Soto Norte gold project in Colombia. This move boosted the company’s total gold reserves to 9.1 million ounces and expanded measured and indicated resources to 21.7 million ounces. The transaction, involving $60 million in cash and 1.74 million shares, underscores Aris’s shift from a “buy-and-build” strategy to a “building” phase, aligning with its ambition to become a million-ounce-per-year gold producer. The Soto Norte project, with a 22-year mine life and 4.6 million ounces of reserves, is expected to contribute over 200,000 ounces annually, complementing existing operations in Colombia and Guyana.

Resolving a long-standing legal dispute with the Colombian government further reduced operational risks. Aris dropped an ICSID arbitration case initiated in 2018 and established collaborative governance agreements for the Marmato mining area. The resolution, emphasizing performance obligations over financial settlements, reinforced investor confidence by mitigating regulatory uncertainties. Concurrently, a prefeasibility study for Soto Norte highlighted robust financial metrics, including a 35.4% internal rate of return and a 2.3-year payback period, underpinning the project’s long-term viability.

Aris’s strategic focus on high-grade, long-life assets and geographic diversification positions it to capitalize on gold sector trends favoring resilient, scalable operations. The stock’s recent performance reflects optimism about its ability to execute growth plans while maintaining disciplined capital allocation. With environmental licensing for Soto Norte nearing completion and production expansion targets in place, the company’s trajectory aligns with investor expectations for sustainable value creation in a volatile commodity market.