gold flake

Auriant Mining


SEK446.9m market cap

SEK4.53 last close

Auriant Mining is a Swedish junior gold mining company focused on Russia. It has two producing mines (Tardan and Solcocon), one advanced exploration property (Kara-Beldyr) and one early stage exploration property (Uzhunzhul).

Investment summary

Auriant’s Tardan plant has been re-modelled to a single carbon-in-leach process, which has resulted in a c 40pp increase in metallurgical recoveries and an approximate halving in cash costs to c US$580/oz cf its previous heap leach operation. Up to the end of Q320, this has resulted in an almost 6x increase in EBITDA and an almost 4x increase in cash flows. Currently, Auriant is completing a definitive feasibility study on Kara-Beldyr and, combined, the two mines are expected to achieve management’s goal of 3t (96.5koz) of gold output pa in c FY25. Simultaneously, confirmatory drilling is underway with a view to accelerating the development of Solcocon.

Y/E Dec
Revenue (US$m)
PBT (US$m)
EPS (fd) (c)
P/E (x)
P/CF (x)
2018A 17.4 (1.7) (10.2) (10.8) N/A 12.6
2019A 29.8 7.2 (2.2) (1.2) N/A 5.8
2020E 53.9 30.3 16.5 14.0 3.9 1.5
2021E 55.3 30.4 16.7 10.9 5.0 2.8
Industry outlook

Our financial forecasts are under review after Q420 production was almost 10% above our forecasts at 203kg. In the event that it raises US$20m in equity (NB Subject to the gold price and cash flows and could be less) at a share price of SEK5.46/share, we value Auriant at US$1.71/share. In the meantime, it is trading on a multiple of less than 4.6x FY20 earnings.

Last updated on 04/03/2021
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Share price graph
Balance sheet
Forecast net debt (US$m) 59.5
Forecast gearing ratio (%) 566
Price performance
Actual (4.0) (21.6) 24.1
Relative* (5.7) (28.4) (1.7)
52-week high/low SEK7.2/SEK3.0
*% relative to local index
Key management
Peter Daresbury Chairman
Danilo Lange CEO
Katerina Popova Head of PR&IR