BMO Capital analyst Brian Quast maintained a Buy rating on Aris Mining yesterday and set a price target of C$19.00.
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Brian Quast has given his Buy rating due to a combination of factors including the promising outlook for Aris Mining’s Toroparu Project. The Preliminary Economic Assessment (PEA) for Toroparu indicates a robust 21-year life of mine with substantial production of gold, silver, and copper at competitive cash costs and all-in sustaining costs. This positions the project with an estimated net present value (NPV) of $1.1 billion, which is a significant increase from previous valuations.
Additionally, the project benefits from a large pre-production stockpile, ensuring consistent production levels early on. The company’s financial position is further strengthened by a historical precious metals streaming agreement, reducing the initial funding requirement. While the Toroparu Project adds growth potential and diversifies Aris’s portfolio, the focus remains on the successful ramp-up of existing operations at Segovia and the development of the Lower Marmato and Soto Norte projects, which are expected to drive near-term and medium-term growth.
Based on the recent corporate insider activity of 37 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ARIS in relation to earlier this year.