Mr. Rodrigo Barbosa reports

AURA SECURES ADDITIONAL US$31 MILLION IN FINANCING AND ANNOUNCES FULLY FUNDED CONSTRUCTION FOR THE BORBOREMA PROJECT

Borborema Inc., a wholly owned subsidiary of Aura Minerals Inc., and indirect owner of Aura's Borborema gold project in Rio Grande do Norte state, Brazil, has entered into an agreement with Gold Royalty Corp. to secure $31-million (U.S.) in financing to develop the Borborema project. The $31-million (U.S.) in financing is composed of a $21-million (U.S.) net smelter return (NSR) royalty over the Borborema project and a $10-million (U.S.) gold-linked loan.

Together with the $100-million (U.S.) term loan previously entered into with Banco Santander Brazil and $14-million (U.S.) raised through gold collars with several financial institutions, Aura, through its subsidiaries, has now secured over $145-million (U.S.) toward construction of the Borborema project, which has an estimated total construction capex (capital expenditure) of $188-million (U.S.).

Key financing terms

NSR royalty:

• Upfront payment: $21-million in cash upon closing of the transaction.
• Royalty terms: Gold Royalty acquired a secured 2-per-cent net smelter return royalty on the first 725,000 ounces produced from the Borborema project.
• Stepdown: The NSR royalty will decrease to 0.5 per cent after 725,000 ounces of payable gold is produced from the Borborema project.
• Buyback option: The remaining 0.5 per cent of the NSR royalty will be subject to a $2.5-million (U.S.) buyback at Borborema's option, exercisable by Borborema after the earlier to occur of: (i) of 2.25 million ounces of payable gold being produced at the Borborema project; or (ii) Jan. 1, 2050.
• Preproduction payments: Borborema will make quarterly payments to Gold Royalty of 250 ounces of gold (1,000 ounces per year). The preproduction payments will cease upon the earlier of: (i) the date of commencement of commercial production of the Borborema project; and (ii) the 10-year anniversary of the closing of the transaction.
• ESG (environmental, social and governance) co-investment payments: Gold Royalty will make continuing payments to Borborema of $30 (U.S.) per gold equivalent ounce delivered or paid to Gold Royalty. These payments are earmarked for ESG-related investments by Borborema, up to a maximum of $300,000 (U.S.).

Gold-linked loan:

• Loan principal: $10-million paid to Borborema in cash upon closing of the transaction.
• Maturity: Six years from closing of the transaction.
• Prepayment: The loan can be prepaid at any time commencing on the 24 month of the closing of the transaction, subject to certain prepayment costs.
• Quarterly interest payments: Quarterly coupon payments of minimum 110 ounces of gold (440 ounces per year). Coupon payments can be made via cash settlement or physical delivery of gold.
• Conversion: Upon maturity, Gold Royalty has the option to be:
  • Paid $10-million (U.S.) cash; or
  • Paid $5-million (U.S.) in cash plus receive a 0.5-per-cent net smelter return royalty over the Borborema project.
• Security: The gold-linked loan will be secured against certain mining concessions relating to the Borborema project and a pledge of the shares of the Borborema operating entity, with the company's interests thereunder subordinated to senior project financing lenders. The gold-linked loan is also guaranteed by Aura.

Rodrigo Barbosa, president and chief executive officer, commented: "We have successfully concluded our financing plan for the Borborema project with an additional $31-million (U.S.) from royalty and gold loan agreements, bringing our total external funding to $145-million (U.S.). This amount, together with our own cash, fully addresses the projected $188-million (U.S.) capital expenditure. This diversified funding strategy, which encompasses debt, royalty, gold loan and positive collars, aligns perfectly with our goal to mitigate financial risks while enhancing shareholder equity returns."

Completion of the transaction is subject to customary conditions and is currently expected to be completed in December, 2023, with an outside date of Jan. 31, 2024.

About Aura Minerals Inc.

Aura is focused on mining in complete terms -- thinking holistically about how its business impacts and benefits every one of its stakeholders: the company, its shareholders, its employees, and the countries and communities the company serves. Aura calls this 360-degree mining.

Aura is a mid-tier gold and copper production company focused on the development and operation of gold and base metal projects in the Americas. The company's four producing assets include the San Andres gold mine in Honduras, the EPP and the Almas gold mines in Brazil, and the Aranzazu copper-gold-silver mine in Mexico. In addition, the company has the Tolda Fria gold project in Colombia and four projects in Brazil, of which three gold projects are Borborema and Matupa, which are in development, and Sao Francisco, which is on care and maintenance. The company also owns the Serra da Estrela copper project in Brazil, Carajas region, under exploration stage.

We seek Safe Harbor.