Akobo Minerals Ab · OSL:AKOBO
Akobo Minerals Ab — H1 2024 Earnings Presentation
33 slides from Akobo Minerals Ab's earnings presentation, Sep 27, 2024
Slide 1: First half-year 2024 presentation
First half-year 2024 presentation AKOBO MINERALS AB (publ) 27.09.2024 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: Key events
Key events Successfully commissioned the processing plant at Segele Produced the first gold from the Segele ore body Achieved daily mining operations, consistently moving ore from the mine to the processing plant Applied for a new large exploration license, ensuring future growth and sustain
Slide 5: 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 6: … with significant gold production potential
… with significant gold production potential 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 li
Slide 7: Strong ESG policy and active involvement with the local community
Strong ESG policy and active involvement with the local community Dedicated to support the need for responsible resource Sustainable Natural Resources stewardship Management Plan (“SNRMP”) Development of a structure for managing • Akobo Minerals is dedicated to supporting the local community through
Slide 8: ESG – key activities
ESG – key activities Operational Readiness and Compliance ▪ TTSF Approval: Secured EPA approval for the construction of a Temporary Tailing Storage Facility ▪ GHG Reporting: Initiated reporting on GHG emissions and hired a consultant for pre-operational baseline studies ▪ Environmental Monitoring: C
Slide 9: Gold price development with positive effect on the Segele mine
FOR ILLUSTRATION Gold price development with positive effect on the Segele mine Value of the Segele resource Operational cash flow from Segele 179 89 mUSD mUSD 134 120 59 49 1750 1950 2600 1750 1950 2600 USD/oz USD/oz • Record high gold price above 2.600 USD/oz • The value of the 69’ ounces SRK reso
Slide 10: Financial development
Financial development Financial restructuring completed ▪ Raised additional equity ▪ Converted convertible debt to equity ▪ Restructured gold loan with Monetary Metals Current production status ▪ First gold produced and ramp-up phase ongoing ▪ Second batch in production ▪ Production estimate still u
Slide 11: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 11
Slide 12: Mining operations
Mining operations Mine development ▪ First cross-cut between Eastern and Western Winzes completed Sept.18. Will soon start stoping in Eastern Winze ▪ A major milestone for safety of the mine and for the start of stoping ▪ Eastern Winze Length: 66 m (reached gold) ▪ Western Winze Length: 53 m (of 65
Slide 13: Mining operations – current status
Mining operations – current status 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 mineraliz
Slide 14: Breakthrough for crosscut between Eastern and Western Winze
Breakthrough for crosscut between Eastern and Western Winze Picture shows the first time First blast that holed through between the that one of our miners walks two winzes connecting the Eastern and through the crosscut Western part of the mine through the first crosscut The crosscut will give a saf
Slide 15: Processing Plant
• Commissioning of current setup completed Processing Plant • First gold produced • Improving processing and recovery at every stage 15
Slide 16: Commissioning Completed
Commissioning Completed Key Recent Developments ▪ All 5 generators commissioned and connected for high-load capability and redundancy for higher up-time ▪ Plant commissioning completed and the facility adapted to batch running which gives us better availability of plant in the start-up phase of the
Slide 17: First Gold Produced
Gold ore being fed into the plant First Gold Produced Key Recent Developments ▪ Commissioning of current process setup completed ▪ First trial batch of ore produced through the facility ▪ First gold through ILR, electrowinning and smelting process ▪ Larger batch with richer ore currently being proce
Slide 18: Exploration activities in first half 2024
Exploration activities in first half 2024 Exploration activities minimised due to mine development prioritisation Segele Gold Mine ▪ Six trenches totalling 369 meters length completed ▪ Four drill holes completed totalling 354 meters ▪ 70 line kilometres of magnetic surveying 1 km 18
Slide 19: 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 20: Gambela Region – Unexplored Arabian Nubian Shield
Gambela Region – Unexplored 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 projects Ar
Slide 21: The Gilo Exploration License Application
60km to Gambela City The Gilo Exploration License Application 1220km2 Uninhabited savannah grassland One gravel road connecting Gambela city and Mizan Teferi Arabian Nubian Shield. Same geological structures that host the Segele Mine and the Tulu Kapi Project. No known exploration 85km t
Slide 22: Akobo Licence: Many exploration targets under investigation
Akobo Licence: Many exploration targets under investigation West Segele Gingibil Deep and Surface (GD, GS) • Gold rich sheared ultramafics • Widespread Visible Gold at surface • 601m of trenching • Positive grades from surface bulk sampling Segele Hilltop • Drilling successfully intersecting deeper
Slide 23: 1.5 – 2 million ounces – tipping the table towards success
1.5 – 2 million ounces – tipping the table towards success G G G Gold G K G M Copper G J W G S S G Nickel G B S S 1 H G G B Cobalt G 2 S D $ B A N 3 B Lithium S B J A 4 C N A N S W W S 3 4 Opportunistic A N W S W 2 and A N S 1 Commodity A N 1. Prioritisation of Akobo Licence targets. Maximise Agnost
Slide 24: High activity level and numerous triggers in the near term
High activity level and numerous triggers in the near term Q4 2025 Q2 Q3 Q4 2026 Q2 Q3 Q4 2027 Q2 Q3 Q4 2028 Phase 1. Segele Ore Phase 2: Segele and Shallow Bulk Targets Phase 3: Shallow and Deep Segele and Bulk Targets Segele Gold Production Processing Plant Upgrade from 10t//hr to 20t/hr EPCM Larg
Slide 25: Clearly defined strategy to move from exploration to mining
Clearly defined strategy to move from exploration to mining Mining of the Segele deposit Exploration growth strategy Potential to accelerate the current exploration plan with cash-flow from the Affordable Exploring the right Tipping the table to Segele mine technology and places success logistics
Slide 26: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 26
Slide 27: 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 28: Corporate structure and top shareholders
Corporate structure and top shareholders Corporate structure and listing Transparent corporate structure Top shareholders Rank Holding Stake Name 1 20 050 509 10,7 % ATOLI AS Stock listed on Euronext Growth in Oslo and 2 17 553 012 9,3 % Bernhd. Brekke A/S Frankfurt Stock exchange (ticker: AKOBO)
Slide 29: Key metrics
Key metrics cea CC] Meters diled (RC¥DDH) Accumulated 3586 3586 3586 3.586 3586 3506 Assays samples generated (Incl ACC) 2 2 > 2 Accumulated 3908 3908 3908, 3908 3908 3908, AKOBOMINERALS 29
Slide 30: Income statement – Group
Income statement – Group Comments to figures • SEK 4.5 million in other expenses mainly relate to consulting services such as accounting, auditing and legal both in Norway and Sweden • SEK 6.6 million in other expenses mainly relate to mining activities in Ethiopia • Personnel costs are primarily sa
Slide 31: 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 7,300 ounces gold loan from Monetary Metals 31
Slide 32: 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 7,300 ounces gold loan affected by gold price and curr
Slide 33: Q&A
Q&A 33 33