OSLO, 06 September 2023: Akobo Minerals AB (publ) (Euronext and Frankfurt: AKOBO), the Scandinavian-based Ethiopian gold exploration and boutique mining company, today announced that it has issued an unsecured convertible loan (the "Loan") of NOK 34.4 million (approx. USD three million) from existing investors to fund the final phase of its Segele mining operation in Gambella, Ethiopia. The board of directors and management of Akobo Minerals contributed with NOK 4.7 million of the funds.
The proposed Loan has a term of two years and an interest rate of 20 % p.a. The Loan may be converted into shares on a quarterly basis or at the maturity date, subject to certain conditions being met. If converted, the conversion of the Loan will take place by each lender subscribing for shares through off-setting the Loan amount (including accrued interest) against a conversion price of NOK 7.00 per Akobo Minerals share. If the Loan is converted at maturity, the conversion price shall be the lowest of either (1) NOK 7.00 per Share or (2) the volume-weighted average price per Share on Euronext Growth Oslo over the thirty (30) consecutive trading days immediately preceding the Maturity Date with a 10% in discount.
Further updates on operational activities and exploration targets will be provided in due course.
This information is subject to the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
Advokatfirmaet Schjødt has acted as legal advisor to the company on Norwegian and Swedish law matters.
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 13 years of on-the-ground activity.
Akobo Minerals holds a 16 km 2 mining license and is working to start up mining of its very promising Segele target. It has an Inferred and Indicated Mineral Resource of 68,000 ounces yielding a world-class gold grade of 22.7 g/ton, combined with an estimated all-in sustaining cost (AISC) of USD 243 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 we place environment and social governance (ESG) at the heart of our activities – as demonstrated by a planned industry-leading extending shared value 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, whilst adhering to a lean business operation. The company is headquartered in Oslo and is listed on the Euronext Growth Oslo Exchange and Frankfurt Stock Exchange under the ticker symbol, AKOBO.
Akobo Minerals fully meets and complies with all parts of the JORC code, 2012. For further information, see https://www.jorc.org/
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.