Mineros Completes Sale of the Gualcamayo Property
MINEROS COMPLETES SALE OF THE GUALCAMAYO PROPERTY
(all amounts expressed in U.S. dollars)
MEDELLIN, Colombia, September 22, 2023 – Mineros S.A. (TSX:MSA, CB:MINEROS) ("Mineros" or the
"Company") announces that on September 21, 2023, it closed the previously announced sale of its non-
core Gualcamayo Property to Eris LLC (the "Purchaser").
The transaction was structured as the sale to the Purchaser by certain subsidiaries of Mineros (the "Sellers")
of all of the outstanding shares of Minas Argentinas S.A. ("MASA") pursuant to a share purchase and sale
agreement dated September 7, 2023 (the "Agreement"). Under the terms of the Agreement: (i) the
Purchaser assumed all obligations of MASA existing as at the closing date of the transaction, and Mineros
paid $6.5 million to the Purchaser to cover a portion of those obligations; and (ii) the Purchaser assumed
all of the obligations of Mineros and its subsidiaries with respect to a $30 million contingent payment that
would become payable to Nomad Royalty Company Ltd. (a subsidiary of Sandstorm Gold Ltd.) should the
Deep Carbonates Project, an exploration project located on the Gualcamayo Property, ever be put into
production.
As a result of the transaction, the Company expects to incur one-time non-cash costs of between $38 million
– $41 million in the third quarter of 2023.
UPDATED GUIDANCE
Based on the sale of the Gualcamayo Property, Mineros is revising its 2023 consolidated production and
cost guidance, as provided in the Company's management's discussion and analysis ("MD&A") for the three
months and year ended December 31, 2022, dated February 17, 2022. Guidance for total gold production
on a consolidated basis is revised from 264,000 – 292,000 oz to 239,000 – 262,000 oz, Cash Cost per
ounce of gold sold on a consolidated basis is revised from $1,160 – $1,250 to $1,170 – $1,270, and All-In
Sustaining Cost ("AISC") per ounce of gold sold on a consolidated basis is revised from $1,400 – $1,490
to $1,440 – $1,540.
Mineros is not revising its 2023 guidance for the Hemco Property or the Nechi Alluvial Property, its
continuing operations. On a consolidated basis, guidance for 2023 for the Hemco Property and the Nechi
Alluvial Property, is as follows: total gold production is 209,000 – 229,000 oz, Cash Cost per ounce of gold
sold is $1,060 – $1,150, and AISC per ounce of gold sold is $1,310 – $1,410.
These estimates are forward-looking statements and information that are subject to the cautionary note
associated with forward-looking statements at the end of this news release.
Cash Cost and AISC are non-IFRS financial measures, and Cash Cost per ounce of gold sold and AISC
per ounce of gold sold are non-IFRS ratios, with no standardized meaning under IFRS, and therefore they
may not be comparable to similar measures presented by other issuers. For further information and detailed
reconciliations of non-IFRS financial measures to the most directly comparable IFRS measures, see "Non-
IFRS and Other Financial Measures" in the Company's MD&A for the three and six months ended June 30,
2023, which is incorporated by reference in this news release and available on SEDAR+ at
www.sedarplus.com.
ABOUT MINEROS S.A.
Mineros is a Latin American gold mining company headquartered in Medellin, Colombia. The Company has
a diversified asset base, with mines in Colombia and Nicaragua, and a pipeline of development and
exploration projects throughout the region. The Board of Directors and management of Mineros have
extensive experience in mining, corporate development, finance, and sustainability. Mineros has a long
track record of maximizing shareholder value and delivering solid annual dividends. For almost 50 years,
Mineros has operated with a focus on safety and sustainability at all its operations.
Mineros' common shares are listed on the Toronto Stock Exchange under the symbol "MSA", and on the
Colombia Stock Exchange under the symbol "MINEROS".
The Company has been granted an exemption from the individual voting and majority voting requirements
applicable to listed issuers under Toronto Stock Exchange policies, on grounds that compliance with such
requirements would constitute a breach of Colombian laws and regulations which require the directors to
be elected on the basis of a slate of nominees proposed for election pursuant to an electoral quotient
system. For further information, please see the Company's most recent annual information form filed on
SEDAR+ at www.sedarplus.ca.
FORWARD-LOOKING STATEMENTS
This news release contains "forward looking information" within the meaning of applicable securities laws.
Forward looking information includes statements that use forward looking terminology such as "may",
"could", "would", "will", "should", "intend", "target", "plan", "expect", "budget", "estimate", "forecast",
"schedule", "anticipate", "believe", "continue", "potential", "view" or the negative or grammatical variation
thereof or other variations thereof or comparable terminology. Such forward looking information includes,
without limitation, statements regarding capital allocation decisions, the effect of the sale of the Gualcamayo
Property on the Company's financial position, and future financial or operational performance, including
estimated production of gold, Cash Cost per ounce of gold sold, and AISC per ounce of gold sold in 2022.
Forward looking information is based upon estimates and assumptions of management in light of
management's experience and perception of trends, current conditions and expected developments, as
well as other factors that management believes to be relevant and reasonable in the circumstances, as of
the date of this news release, including, without limitation, assumptions about favourable equity and debt
capital markets; the ability to raise any necessary additional capital on reasonable terms to advance the
production, development and exploration of the Company's properties and assets; future prices of gold and
other metal prices; the timing and results of exploration and drilling programs, and technical and economic
studies; the accuracy of any mineral reserve and mineral resource estimates; the geology of the Company's
material properties being as described in the applicable technical reports; production costs; the accuracy
of budgeted exploration and development costs and expenditures; the price of other commodities such as
fuel; future currency exchange rates and interest rates; operating conditions being favourable such that the
Company is able to operate in a safe, efficient and effective manner; political and regulatory stability; the
receipt of governmental, regulatory and third party approvals, licenses and permits on favourable terms;
obtaining required renewals for existing approvals, licenses and permits on favourable terms; requirements
under applicable laws; sustained labour stability; stability in financial and capital goods markets; inflation
rates; availability of labour and equipment; positive relations with local groups, including artisanal mining
cooperatives in Nicaragua, and the Company's ability to meet its obligations under its agreements with such
groups; and satisfying the terms and conditions of the Company's current loan arrangements. While the
Company considers these assumptions to be reasonable, the assumptions are inherently subject to
significant business, social, economic, political, regulatory, competitive and other risks and uncertainties,
contingencies and other factors that could cause actual actions, events, conditions, results, performance
or achievements to be materially different from those projected in the forward looking information. Many
assumptions are based on factors and events that are not within the control of the Company and there is
no assurance they will prove to be correct.
For further information of these and other risk factors, please see the "Risk Factors" section of the
Company's annual information form dated March 31, 2022 (as it may be updated or replaced from time to
time), available on SEDAR+ at www.sedarplus.ca.
The Company cautions that the foregoing lists of important assumptions and factors that may affect future
results are not exhaustive. Other events or circumstances could cause actual results to differ materially
from those estimated or projected and expressed in, or implied by, the forward looking information
contained herein. There can be no assurance that forward looking information will prove to be accurate, as
actual results and future events could differ materially from those anticipated in such information.
Accordingly, readers should not place undue reliance on forward looking information.
Forward looking information contained herein is made as of the date of this news release and the Company
disclaims any obligation to update or revise any forward looking information, whether as a result of new
information, future events or results or otherwise, except as and to the extent required by applicable
securities laws.
SOURCE Mineros S.A.