Location and Infrastructure

The Segovia Operations are located 180 kilometres northeast of Medellín in the Segovia-Remedios mining district of Antioquia, Colombia. Segovia is a multi-million-ounce high-grade gold operation that has been producing gold for more than 150 years. The Segovia mining titles covers an area of 5,335 hectares and includes four underground mines – El Silencio, Sandra K, Providencia, and Carla – and a gravity concentration and gold flotation process plant (the Maria Dama plant), as well as a polymetallic plant that produces zinc and lead concentrates from tailings.

The Segovia Operations are supported by excellent infrastructure including a connection to the national power grid. Water is sourced from underground dewatering and rainwater, and the property is accessible by a 225 kilometre fully paved road from Medellín. Air access is by a 30-minute charter flight from Medellín to Otú, 15 kilometres south of Segovia. A large pool of skilled labour is available in the nearby towns of Segovia and Remedios.

Mining and Processing

Mining at the Segovia Operations is sourced from four underground mines using room and pillar and longwall mining methods, with the ore hoisted to the surface. The operation also incorporates the processing of ore provided by local miners through an artisanal mining model (ASM), which represented 17% of production in 2022. These for-profit partnerships with community-based groups introduce two distinct operating cost structures at the Segovia Operations: owner-operated mining operations, and partner-operated mining operations. The partnership-operated mining operations cost structure is based on the spot gold price and incentivizes higher grade ore. Aris Mining currently has agreements with 63 third party ASM groups who mine in designated areas.

Ore sourced from the owner and partner operated mining operations is processed through the 2,000-tonne-per-day (tpd) capacity Maria Dama process plant using crushing, grinding, gravity concentration, gold flotation and regrind, cyanidation and polymetallic sulphide recovery of the flotation concentrate, Merrill-Crowe precipitation and smelting of the precipitate and gravity concentrate to produce a final gold-silver doré product. A new 200 tpd polymetallic processing plant was built in 2021 to clean sulphides from the Maria Dama processing tails, recovering lead and zinc concentrates that provide an additional revenue source. Tailings from the Maria Dama plant are dewatered in a tailings filtration plant that produces dry tailings that are stacked at the storage facility.

Based on the increased mineral resources and reserves estimates announced on November 27, 2023, Aris Mining is implementing a small scope project to increase the processing capacity by 50% to 3,000 tpd. The project includes the installation of a previously purchased ball mill, which is already on site and will create the potential to gradually increase annual gold production from 200,000 to 300,000 ounces per year.

Aris Mining plans to allocate part of the extra processing capacity to the Segovia Operations’ ASM program, thereby offering our ASM partners a processing solution while mitigating the environmental impacts of informal mining in Segovia.

Geology and Mineralization

Gold mineralization at Segovia occurs in mesothermal quartz-sulfide veins hosted by granodiorites of the Segovia Batholith. The well-known, partially exploited veins dip at approximately 30° to the east or northeast. There are also a number of steeply dipping quartz veins at Las Verticales in the western part of the concession, where inferred mineral resources have been estimated.

The El Silencio mine has a strike of 2.7 kilometres, and extends down dip by 900 metres, with additional structures still being identified with drilling. The Providencia mine has a known strike length of approximately two kilometres and a down dip extent that ranges from 690 metres to greater than 1.3 kilometres. Providencia is still open at depth. The Sandra K vein strikes for two kilometres and extends 700 metres to 900 metres down dip, and is open at depth and along strike. Carla is a new mine and has a strike of 900 metres and a down dip extent of 400 metres to 750 metres, and is still open along strike and at depth. Mineral resources have also been estimated at the historical Vera mine.

Exploration and Mineral Resources

Aris Mining has annual exploration and drilling programs at Segovia to identify new mineral resources and mineral reserves to expand production. The Segovia Operations have a history of successfully replaced mined ounces with new mineral resources. On November 2, 2023, the Company announced an updated Mineral Resource Estimate effective September 30, 2023. The new mineral resource estimate represents an increase of 114% in the Segovia Operations’ measured and indicated gold mineral resources and was a result of a change in the methodology used to select drillhole and channel samples to create the vein wireframe interpretations in 3D geological modelling software. More details can be found at ARIS MINING INCREASES SEGOVIA OPERATIONS' MEASURED AND INDICATED MINERAL RESOURCES BY +114% TO 3.6 MOZ AT 14.34 g/t AU

The growth of the Segovia Operations’ mineral resource estimate since 2017 is shown in the chart below.

Segovia Operations Gold Mineral Resource Growth, net of product depletion 1

1 Refer to the Resources and Reserves section for the breakdown of the mineral resources and disclosure of technical and scientific details.

On November 27, 2023, the Company announced an updated Mineral Reserve Estimate effective September 30, 2023 of 1.3 Moz of gold. Mineral Reserves at the Segovia Operations increased by +75% primarily as a result of the increase in the measured and indicated mineral resource estimate effective September 30, 2023.

The growth of the Segovia Operations’ mineral reserves since 2017 is shown in the chart below.

Segovia Operations Gold Mineral Reserve Growth, net of Product Depletion (koz)1,2

1. Refer to November 27, 2023 news release entitled “Aris Mining Increases Segovia Gold Mineral Reserves by +75% to 1.3 Moz and Announces Plant Expansion to Increase Production Rate”. 2. See “Technical Disclosure and Qualified Person” in the Reserves and Resources page for full disclosure of technical and scientific details.

Aris Mining will file an updated technical report in support of the new Mineral resources and reserves estimates on or before December 15, 2023.,

Ongoing Exploration

Aris Mining planned an 84,500 metre (m) exploration drilling program for 2023, including 29,000 m focussed on increasing the mineral reserves and life of mine plan at Segovia’s four producing mines, 39,000 m on resource extension at the producing mines, and 16,500 m on strategic high priority vein targets located adjacent to the current mining operations.

As of November 27th, 2023, the program is still ongoing. The geology teams also have ongoing programs of digitizing historical sampling data and collecting new channel sampling at the current and historical mines to define additional future exploration targets and to connect data to deeper structures.

In August 2023, the company reported highlights of the 2023 drilling program as follows: