Our ongoing exploration activities unveil new encouraging findings as we drill tested two new targets around Segele within 500m distance. Our exploration team has discovered a new gold mineralisation zone including a visible gold intersection. Moving on, we are preparing for a soil geochemical sampling program between Segele and Joru, and for a ground geophysical survey over the Segele mine license area.

We are very excited about the new discoveries, and I am quite sure we are just scraping the surface of the long-term potential within our exploration license area. Exploration is still our main activity, soon to be supported by cash flow from our mining operations. I am therefore looking forward to refocusing on our exploration program with our new drill rigs. Moving forward we will have the opportunity to fulfill our long-term goal of becoming the leading exploration and mining company in Ethiopia.

Jørgen Evjen, CEO

The exploration team has tested two new targets including 9 holes and 1,000m of drilling, and drilling of a geology cross section. The new mineralisation zone was discovered about 100m west of Segele. Testing a wider part of the geology will help build better geological knowledge as well as finding nearby gold targets.

Currently 1,800 samples are with ALS for assaying, from both the new targets around Segele and the final results from Joru.

The style of the new gold mineralisation is a fault hosted quartz-vein system with visible gold. The system has been intersected in several drill holes with visible gold observed in one hole. Work is ongoing to better evaluate the potential of this mineralisation style with analysis of drill cores which were previously overlooked. Further investigation is needed to determine whether this mineralisation will be economic to mine or if it will add any significant tonnage to the Segele mine.

In addition to the new mineralisation zone, we have tested two targets near the Segele main mineralisation, both these targets are south of the mineral resource estimate; Trench 37 is about 260m south east of Segele while Trench 32/33 is about 500m south east. T37 was tested with 6 holes for 671.1m while T32/33 was tested with 3 holes and 328.9m. Assays are pending.

The regional exploration activity was postponed during the intensive resource drilling campaign at Segele. However, we are still committed to continuing making significant gold discoveries in the Akobo area. To that end the company is launching a soil geochemical sampling program as well as a ground geophysical survey over key areas of the Akobo license.

The soil geochemistry program will focus in the Nechdingay area between Segele and Joru and will encompass a total of over 1,600 samples. The first stage will be followed up by sampling around known gold anomalies from previous sampling while the latter parts will aim to extend the coverage to areas west of Nechdingay as well as north of Joru.

The ground geophysical survey will primarily focus on covering the entire Segele Mining License with ground magnetic data. This data will improve the interpretations of the geology in the wider Segele area and potentially help to identify new exploration targets within the Mining License. In addition to this the geophysical contractor will do a test survey using Magneto-Telluric survey technology over the Segele gold deposit. If this survey is successful Akobo Minerals anticipates that this technique will be used as another tool to help identify and prioritize exploration targets.