Soto Norte PFS: $2.68B NPV, 35.4% IRR
Aris Mining Corporation's Soto Norte in Santander, Colombia (~350 km from Bogota) has a Pre-Feasibility Study (PFS) outlining an after-tax NPV of $2.68B, an after-tax IRR of 35.4%, and initial capital of $625M. The mine plan runs 22 years at about 263 koz Au per year.
Aris Mining Corporation's Soto Norte has reported Pre-Feasibility Study (PFS) results for the gold project in Santander, Colombia (~350 km from Bogota). The study headlines an after-tax net present value of $2.68B at a 5% discount rate. It reflects Aris Mining Corporation's (ARIS.TO) latest disclosed economics for the asset.
Economics. The after-tax NPV is $2.68B using a 5% discount rate. After-tax IRR is 35.4%. Initial capital expenditure is estimated at $625M. The study models a payback period of 2.3 years. All-in sustaining costs are pegged at 534 USD/oz. Economics are based on Base case gold price of $2,600/oz.
Production and mine plan. The project envisions an underground operation. Life of mine is 22 years. Average annual production is approximately 263 koz Au.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Aris Mining Corporation's technical disclosures and reflect the most recent PFS on file. Compare this project against other developers and producers in our project economics database, and always verify the numbers against the original technical report before making any investment decision.
Reserves & Resources
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Proven & Probable | — | 7.0 g/t | 4.6Moz |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured & Indicated | — | 5.6 g/t | 7.0Moz |
Our Analysis
A 35.4% after-tax IRR is strong in absolute terms and sits in the lower half of the 92 gold projects we track, which is respectable but not top-decile. At a 5% discount rate, the $2.68B NPV is flattered by a low reporting convention; a more typical rate would compress that figure meaningfully. The NPV is roughly in line with market cap, which cuts both ways—the market may be pricing the asset fairly given financing and jurisdictional risk, or it may be discounting execution hurdles in Colombia, a higher-risk mining jurisdiction. The $625M initial capex is capital-light at 23% of NPV, reducing funding risk, but still large relative to market cap, implying potential dilution for a developer.
The base case gold price of $2,600/oz sits well below the current spot of $4,123.70/oz, suggesting the study’s returns are conservative on price assumptions and could prove optimistic if costs rise or margins compress. The single most important risk is jurisdictional: Santander, Colombia, carries permitting and community-relations challenges that can delay or derail development, regardless of project economics. Payback of 2.3 years and 22-year mine life offer moderate resilience, but the market’s skepticism on Colombia likely caps valuation until construction is de-risked.
Our take, benchmarked against the project economics in the Mining Stocks database. Figures are estimates drawn from company technical reports — not investment advice; always verify against the source filing.