Akobo Minerals Ab · OSL:AKOBO
Akobo Minerals Ab — Q3 2024 Earnings Presentation
35 slides from Akobo Minerals Ab's earnings presentation, Dec 10, 2024
Slide 1: Third quarter 2024 presentation
Third quarter 2024 presentation AKOBO MINERALS AB (publ) 10th December 2024 Euronext – AKOBO OTCQX – AKOBF www.akobominerals.com
Slide 2: Disclaimer
Disclaimer This document has been used during an oral presentation. Therefore, this document is incomplete without the oral explanations, comments and supporting instruments that were submitted during the referred presentation. To the extent permitted by law, no representation or warranty is given,
Slide 3: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 3
Slide 4: Akobo Minerals is an exploration and mining company
Akobo Minerals is an exploration and mining company Akobo Minerals is a Scandinavian-based gold exploration Listed on Euronext Growth in Oslo, Norway mining company Exploration and mining licenses held in the Gambella region and Dima Woreda, Ethiopia The leading gold exploration company in Ethiopia
Slide 5: Located in the gold rich Gambela region
Located in the gold rich Gambela region 182 km2 exploration license • An attractive gold-mining jurisdiction 710 km from Addis • Ambition of developing world class deposits of 1.5 to 2 Moz in the current Akobo license • Several targets identified with high bulk volume potential 16 km2 mining license
Slide 6: Part of the Arabian Nubian shield – home to gold
Part of the Arabian Nubian shield – home to gold One of the least explored Precambian terranes world-wide1 A total of 48 million ounces of gold resources and reserves so far defined1 Exceptional geological setting with potential to host numerous mineral deposit styles.1 Ma’aden2 • 335,207 ou
Slide 7: Gambela region – unexplored part of the Arabian Nubian Shield
Gambela region – unexplored part of the Arabian Nubian Shield Allied Gold and Kefi Minerals soon to commit a total of US $665m in CAPEX in coming years (Kefi US $320m and Allied US $345m) Both Allied Gold and Kefi Minerals are continuing to discover more resources around their mine development p
Slide 8: Latest key events
Latest key events • Record-high gold prices, improving the value of the Segele resource and revenue potential • Strengthened the management team with senior personnel from Sutton Global • Secured a convertible loan of NOK 25.5 million to enhance financial flexibility • Initial sales to the National
Slide 9: The Segele inauguration
The Segele inauguration • The Segele mine was inaugurated by Prime Minister Abiy Ahmed • A 6.5 kg gold pour showcased the mine's high-grade ore and production capacity • Key dignitaries, including the Gambella Region President and Minister of Mines, attended • Guests toured the facility, highlightin
Slide 10: ESG, Health and Safety – key activities
ESG, Health and Safety – key activities Wastewater management o Regularly sample and test wastewater at the TSF for chemical content. o Continuously monitor TSF water levels for timely intervention. Noise and air quality monitoring o Measure plant and generator noise levels regularly; implement miti
Slide 11: Exploration – key activities
Exploration – key activities o Limited field activities to focus on ramping up Segele Mine operations o Gilo License Application: Applied for a larger exploration license near the Gilo River to expand regional potential o Relogging Drill Holes: Reviewed 37 drill holes to strengthen geological and mi
Slide 12: Gold sales and financial update
Gold sales and financial update Convertible bond o Issued an unsecured convertible loan of NOK 25.5 million with existing and new investors o The loan has a term of 24 months with an interest rate of 20% p.a. Ongoing discussions o Engaged in ongoing discussions with financial, industrial and strateg
Slide 13: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 13
Slide 14: The Segele Mine
The Segele Mine AKOBOMINERALS 14
Slide 15: Mining operations
Mining operations Key mine metrics Total Mineral Resource 69 kOz, 22,7 g/t Indicated resource 41 kOz, 40,6 g/t Conservative 81 % extraction rate 10 t/h plant capacity Peak production rate 4,000 oz/month Excellent resource extension potential Open at depth New mineralization found 100 m
Slide 16: Mining operations
Mining operations Mine development ▪ Encountered very rich ore in the crosscut as predicted by the mine model Expect higher tonnage and high-grade ore from ▪ First stoping started in the first crosscut between the Winzes stoping. ▪ Now producing ore from the very rich ore area ▪ Eastern winze length
Slide 17: Very rich ore encountered
Very rich ore encountered ▪ Left: The Ore that we are now mining is very high grade ▪ Below: Preparing the crosscut for first stoping 17
Slide 18: Mining operations Q&A
Mining operations Q&A Operational Processes ▪ How do we organize daily operations in the mine? ▪ What methods do we use to map the gold veins (geological and technical)? ▪ How is the sequence of development tunnels and stopes determined? ▪ What is the difference between development and production in
Slide 19: Mining operations Q&A
Mining operations Q&A Operational Processes Answers ▪ How do we organize daily operations in the mine? ▪ We start every shift with a quick meeting which ▪ What methods do we use to map the gold veins (geological and deals with safety and the tasks of the day. technical)? ▪ How is the sequence of dev
Slide 20: Mining operations Q&A
A miner's PPE Mining operations Q&A Operational Processes Answers ▪ How do we organize daily operations in the mine? ▪ We only use certified mine blasters in our ▪ What methods do we use to map the gold veins (geological and operation. technical)? ▪ How is the sequence of development tunnels and sto
Slide 21: Mining operations Q&A
Mining operations Q&A Operational Processes Answers ▪ How do we organize daily operations in the mine? ▪ Block models are approximations of the reality ▪ What methods do we use to map the gold veins (geological and to try to give a 3D image of how the technical)? distribution of gold looks like in t
Slide 22: Mining operations Q&A
Mining operations Q&A Operational Processes Answers ▪ How do we organize daily operations in the mine? ▪ All material is taken well care of through all ▪ What methods do we use to map the gold veins (geological and logistic stages and kept in storages and stocks technical)? that are safe and secure.
Slide 23: Processing Plant
Processing Plant. __ :
Slide 24: Processing Plant
• First gold bars smelted Processing Plant • About 3 kg of gold produced in October and 10 kg in November • Plant organisation now geared towards operations 24
Slide 25: Plant operational and producing
Plant operational and producing Key Recent Developments ▪ Plant fully operational ▪ Producing several batches through the gravity and ILR circuit each month ▪ Processing all the ore received from the mine. ▪ Several gold bars produced, from 1.4 kg up to 6.5 kg in a single bar (later split into small
Slide 26: Gold bar pouring and cooling photos
The red-hot poured smelt from the oven Releasing the gold bar from the slag Washing and cooling the gold bar 26
Slide 27: The Gold Plant
The Gold Plant Key Recent Developments ▪ Better understanding and more expertise on running the plant. ▪ Processing of high-grade ore. ▪ Dore gold bars produced and sold to Ethiopian National Bank Going Forward ▪ Planning to reprocess the tailings for higher recovery ▪ Processing larger batches as m
Slide 28: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 28
Slide 29: Financial performance overview
Financial performance overview All figures in ‘000 SEK Operational Expenses Development Equity & Debt Development Equity Debt • The company is still in the project development phase prior to production start-up. There was no income during the quarter • Operational related cost from Ethiopia is now b
Slide 30: Corporate structure and top shareholders
Corporate structure and top shareholders Corporate structure and listing Transparent corporate structure Top shareholders Rank Shares Stake Name Stock listed on Euronext Growth in Oslo and 1 20 050 509 10,7 % ATOLI AS 2 17 553 012 9,3 % Bernhd. Brekke A/S Frankfurt Stock exchange (ticker: AKOBO) A
Slide 31: Key metrics
Key metrics 2028 cams ce ce Meter diled (RC+00H) Accumulated 19975 19975 19975, 19975 19875 20328 20328 Assays samples generated (nc! QAQC) 485 > 2 > 2 = 2 Accumulated ora ae or 9732 oye ora ors Indicated Resources ounces 1000 ‘41000 ‘41900 ‘41900 ‘81900 41900 ‘41,000 ‘Auggremsperton Indested 408 40
Slide 32: Income statement – Group
Income statement – Group Comments to figures • SEK 1.4 million in other expenses mainly relate to consulting services such as accounting, auditing and legal both in Norway and Sweden • SEK 9.5 million in other expenses mainly relate to mining activities in Ethiopia • Personnel costs are primarily sa
Slide 33: Balance sheet – Group
Balance sheet – Group Comments to figures • Fixed assets are capitalised exploration costs and local mining equipment in Ethiopia • Long term debt is the 7,500 ounces gold loan from Monetary Metals 33
Slide 34: Cash flow – Group
Cash flow – Group Comments to figures • Cash flow from operating activities relates to all entities • Cash flow from investing activities relates only to operational activities capitalised in Ethiopia • Cash flow from long term debt includes the 7,500 ounces gold loan affected by gold price and curr
Slide 35: Q&A
Q&A 35 35