Mineros SA (TSX:MSA) - Record Earnings Fund Aggressive Expansion Across Latin America

Interview with David Londoño, President & CEO of Mineros SA

Our previous interview: https://www.cruxinvestor.com/posts/mineros-sa-tsxmsa-cash-rich-gold-miner-eyes-expansion-7128

Recording date: 15th September 2025

American gold mining, combining exceptional financial performance with an aggressive expansion strategy across Colombia, Nicaragua, and Chile. The company reports record revenues, earnings per share, and adjusted EBITDA while maintaining over $100 million in cash, providing substantial financial flexibility for growth initiatives without requiring external financing.

The company's flagship Porvenir project in Nicaragua has achieved significant engineering optimization, with preliminary feasibility studies reducing initial capital requirements from over $250 million to the mid-$100 millions. The project features a scalable 2,000 tons per day processing plant expandable to 5,000 TPD capacity, targeting 4-5 grams per ton gold grades with valuable byproduct credits from copper, silver, and zinc. Recent exploration success around the main deposit has identified additional mineralization that could accelerate expansion timelines and extend mine life.

Operational expansion centers on a $45 million investment to increase the Hemco plant capacity from 1,800 to 2,300 tons per day. This expansion leverages the company's unique relationship with artisanal miners, who provide both high-grade feed material and valuable geological intelligence. The capacity increase targets production growth from current levels of 120-130,000 ounces annually to 200,000 ounces, representing approximately 55% growth from Nicaragua operations alone.

Mineros SA recently acquired the La Pepa exploration property in Chile for $40 million cash, adding 2 million ounces of gold resources at 0.56 grams per ton average grade. Located near Copiapó in an established mining district, the property benefits from existing infrastructure and experienced personnel. Management targets production within five years, supported by shallow, oxide-dominated mineralization suitable for heap leach processing.

The company maintains its commitment to shareholder returns through a $30 million annual dividend policy while reinvesting excess cash flow into growth projects. Although the dividend yield has decreased from 10-15% to below 5% due to share price appreciation, the absolute payment remains consistent, demonstrating management's balanced approach to growth investment and shareholder returns in a strengthening gold price environment.

View Mineros SA's company profile: https://www.cruxinvestor.com/companies/mineros-sa

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