Akobo Minerals Ab · OSL:AKOBO
Akobo Minerals Ab — Q2 2022 Earnings Presentation
23 slides from Akobo Minerals Ab's earnings presentation, Aug 25, 2022
Slide 1: Q2 Presentation 2022
Q2 Presentation 2022 AKOBO MINERALS AB (publ) - 25.08.2022
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: Key events
Key events Events during second quarter Events after the period • Solo Resources (Pty) Ltd contracted for delivery of a • Contracted IW Mining to operate underground mine processing plant for gold production at the Segele mine • Secured convertible loan of 5mUSD • Mineral Resource Estimate update by
Slide 5: Financial performance overview
Financial performance overview Q2 2022 Remarks on the balance sheet • Results for the period SEK -2 038 512 • No external debt • Cash flow for the period SEK -16 629 622 • All operational costs in Ethiopia is activated First half year 2022 • Results for the period SEK -2 411 311 • Cash flow for the
Slide 6: Scandinavian based gold exploration and mining company
Scandinavian based gold exploration and mining company Exploration since 1940 with consistent results Location of License in Akobo, Ethiopia No previous modern mining undertaken in the region 182 km2 exploration license An attractive gold-mining jurisdiction 710 km from Addis 16 km2 mining license P
Slide 7: Mining and exploration licenses in place
Mining and exploration licenses in place Map of the license Area Attractive licenses awarded and renewed Licenses granted by the ministry of Mines and Petroleum ensures Akobo Minerals the following: The right to continue exploration in the 182 km2 for a minimum of 3 years with yearly renewal up to
Slide 8: High margin estimated free cash flow of USD 50 million
High margin estimated free cash flow of USD 50 million Project financials and key assumptions Quarterly cash flow from production start The model, based upon Akobo Minerals’ current Mineral Resource 40 estimate, shows a highly profitable mine operation with an estimated 35 free cash flow of USD 50 m
Slide 9: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 9
Slide 10: The Segele deposit
The Segele deposit Artisanal pit 8.9g/t 12.9g/t 6.2g/t 88g/t Key metrics Total Mineral Resource 69 kOz, 22,7 g/t New Drill Targets Indicated resource 41 kOz, 40,6 g/t Core Drilling Holes AISC USD 243/oz Conservative 81 % extraction rate Inferred Mineral Resource 10 t/h plant 200 m Winze Sh
Slide 11: Focus on mining related activities in Q2
Focus on mining related activities in Q2 Significant drilling activity Accumulated assays Employees 21,430 11,700 87 19,768 10,684 69 15,359 8,410 5,594 39 41 38 9,393 4,506 32 33 6,648 7,245 3,363 4,054 5,718 2,887 23 23 4,141 2,419 2,448 17 2,828 2,897 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q1 Q2 Q3 Q4 Q1
Slide 12: Key contracts secured for low-risk operation
Key contracts secured for low-risk operation CONTRACT MINING OPERATIONS Mine Entrance Construction A small, focused contractor having delivered a wide range of services such as Conveyor Belt installation, Drop Raise training, Face Advance improvement, Equipment reclamation and Underground Mining sto
Slide 13: Mining progress
Mining progress Bafotech Scraper Winch Operations to be implemented by South African miners with long track records. Recruitment and training of local personnel. Geotechnical studies underway for safety and efficiency Equipment selection has been performed but the combined Akobo / IW team.
Slide 14: Processing plant progress
Processing plant progress • Process Plant is ahead of schedule as adjudicated by Consulting Engineer • Site visits and inspections performed • Detailed drawings progressing well • Steel manufacture of tanks well advanced • Orders placed on 55 suppliers to date with more to follow Milling and gravity
Slide 15: Processing plant progress
Processing plant progress Fabrication underway or complete for many major components • CIL and Detox tanks • Mill discharge tank • NaCN Structure and tank • Intensive Leach Reactor • Furnaces • Ball Mill, Jaw and Impact Crushers Smelt Furnace* Leach Reactor* Impact crusher* Mill discharge hopper* Gr
Slide 16: Exploration progress
Exploration progress Trench 30 Recent Developments Segele Resource Extension Drilling Drilling at Trench 30 underway after short hiatus in activity New Target Generation Work in progress Segele Mine Project Segele Soil sampling completed, awaiting analysis Segele Ground Magnetic ad Magnetote
Slide 17: ESG - outputs and next steps
ESG - outputs and next steps Akobo Minerals recognizes the importance of sound ESG performance in meeting its strategic and operational goals. As such, we are in the process of developing and implementing a series of measures that will enable Akobo Minerals to comply with sound international industr
Slide 18: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 18
Slide 19: Income statement – Group
Income statement – Group Comments to figures All P&L related to operations in Sweden and Norway • Other expenses mainly relate to consulting services such as accounting, audit and legal • Personnel costs are primarily salaries for fixed employees All operational costs in Ethiopia are capitalised 19
Slide 20: Balance sheet – Group
Balance sheet – Group • No external debt • Fixed assets relate to operational activity in Ethiopia 20
Slide 21: Cash flow – Group
Cash flow – Group Comments to figures • Cash flow from operating activities relate to operations in Sweden and Norway • Change in working capital during the period relates to all entities • Cash flow from investing activities relates to operational activities capitalised in Ethiopia • Cash flow from
Slide 22: Key metrics
Key metrics Metres drilled (RC+DDH) 1292 5.420 4.410 1662 Accumulated 5.061 5.061 6353 n73 16 183 17.844 ‘Assays samples generated 132 - 283 2051 2274 1016 (inc! aac) ‘Accumulated 2168 2168 2451 4502 6776 7792 Indicated Resources ounces: na na na na na ‘41000 Inferred Resources ounces 62.410 82410 6
Slide 23: Q&A
Q&A 23 23