Akobo Minerals – First quarter 2022 results
OSLO, 23 May 2022: Akobo Minerals AB (publ) (EURONEXT: AKOBO) today reported its first quarter 2022 results. Akobo Minerals is still in a project development phase and consequently had no income in the first quarter. The net loss for the period was SEK 0.373 million, affected by positive foreign exchange effects. The company has no external debt and a strong cash position of SEK 21 million.
Jørgen Evjen, CEO of Akobo Minerals, said: “The first quarter of 2022 proved to be a very positive start to the year, with many highlights. Our exploration team has been effective in completing the Segele infill and extension drill program, and our mining team made great advances in its work, all while having a strong ESG focus. Everything is moving forward as planned.”
“The 100th hole at Segele was drilled and marked the completion of our current drill program. As we now know from the updated Mineral Resource Estimate received after the end of the first quarter, it has been highly successful, with a gold concentration so high it is rarely seen in the industry. With visible gold seen at a record depth of 280 m, the ore is still open and will secure additional life-of-mine. In addition, promising new targets have been identified in the vicinity of the Segele ore.
We have worked tirelessly to advance the development of our mine operations. Negotiations with both plant providers and mining contractors was our main focus. Simultaneously, we worked on infrastructure, geotechnical drilling and camp upgrades. With the support and cooperation of the government and local authorities, solid progress is being made.” Evjen added.
He concluded: “As we have finished the immediate drilling of the Segele ore, we are now looking forward to seeing how we can develop a wider exploration program. We have many targets to explore, both in the vicinity of Segele, but also in the wider area of the license. With the arrival of our new drill rigs we can be flexible and opportunistic in our approach. Even with our great results to date, we have only scraped the surface of a potential new gold district. The road towards mining looks robust while realistic. The combination will be unique and strong. We are delivering on our strategy of becoming an exploration company supported by boutique mining cash flow.”
IMPORTANT EVENTS IN FIRST QUARTER
- Awarded extension of exploration license
- Construction and approval of airstrip
- Hiring of Dr Cathryn McCallum as Head of ESG Strategy
- Visible Gold discovered at a record depth
- 100th drill hole at Segele completed
- Commenced tendering process for contract mining partnerships
Events after the period
- Solo Resources (Pty) Ltd contracted for delivery of a processing plant for production of gold at the Segele mine.
- Mineral Resource Estimate update by SRK completed, demonstrating an increased grade and tonnage
- New mineralization zone discovered, with visible gold intersection
Akobo Minerals will host a webcast, in English, for all shareholders and interested parties today at 10:00 CET. There will be a Q&A session following the management presentation.
The webcast will be available through Akobo Minerals Q1-22 presentation 23.05 at 10.00 - inQrate
For more information, contact:
Jørgen Evjen, CEO, Akobo Minerals
Mob: (+47) 92 80 40 14
About Akobo Minerals
Akobo Minerals is a Scandinavian-based gold exploration and boutique mining company, currently holding an exploration license covering 182 km2 and with an ongoing mine development in the Gambela region and Dima Woreda, Ethiopia. The Company has established itself as the leading gold exploration company in Ethiopia through more than 12 years of on-the-ground activity.
Akobo Minerals holds a 16 km2 mining licence and is working to start up mining of its very promising Segele target. It has an Inferred and Indicated Mineral Resource yielding a world-class gold grade of 22.7 gr/ton, combined with an estimated all-in sustaining cost (AISC) of 243 USD per ounce. Still open to depth, the gold mineralised zone continues to expand and will have a positive impact on future resource estimates and mine-life. The exploration license holds numerous promising exploration resource-building prospects in both the vicinity of Segele and in the wider license area.
Akobo Minerals has an excellent relationship with local communities all the way up to national authorities and it places environment, social and environment (ESG) at the heart of its activities – as demonstrated by a planned industry-leading community program.
Akobo Minerals has built a strong local foothold based upon the principles of sound ethics, transparency, and communication, and is ready to take on new opportunities and ventures as they arise. The company is uniquely positioned to become a major player in the future development of the very promising Ethiopian mining industry.
Akobo Minerals has a clear strategy aimed at building a portfolio of gold resources through high-impact exploration and mining, while adhering to a lean business operation. The company is headquartered in Oslo and is listed on the Euronext Growth Oslo Exchange under the ticker symbol, AKOBO.
This release is not for publication or distribution, directly or indirectly, in or into Australia, Canada, Japan, the United States or any other jurisdictions where it would be illegal. It is issued for information purposes only and does not constitute or form part of any offer or solicitation to purchase or subscribe for securities, in the United States or in any other jurisdiction. The securities referred to herein have not been, and will not be, registered under the U.S. Securities Act of 1933, as amended (the “U.S. Securities Act”), and may not be offered or sold in the United States absent registration or pursuant to an exemption from registration under the U.S. Securities Act. Akobo Minerals does not intend to register any portion of the offering of the securities in the United States or to conduct a public offering of the securities in the United States. Copies of this publication are not being, and may not be, distributed or sent into Australia, Canada, Japan or the United States.