Akobo Minerals Ab · OSL:AKOBO
Akobo Minerals Ab — Q3 2023 Earnings Presentation
34 slides from Akobo Minerals Ab's earnings presentation, Dec 7, 2023
Slide 1: Third quarter 2023 Presentation
Third quarter 2023 Presentation AKOBO MINERALS AB (publ) 07.12.2023 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: Scandinavian based Ethiopian gold exploration and mining company
Scandinavian based Ethiopian gold exploration and mining company Corporate Foundation Ethical Local Presence Cost-Efficient Operations • Established and robust corporate • Strong local foothold rooted in • Implementation of low-cost and foundation facilitating ongoing principles of ethics, transpare
Slide 5: Significant exploration and high margin gold production potential
Significant exploration and high margin gold production potential Segele Mineral Resource estimate by SRK • Indicated Mineral Resources alone of 41.000 oz gold @ 40,6g/t • Inferred and Indicated Mineral Resource of 68.811oz gold @ 22,7g/t Au • Still open at depth • Near mine targets High margin gold
Slide 6: Doing It Right – an integral and vital part of the company
Doing It Right – an integral and vital part of the company Award winning ESG program developed with Sazani Associates - Sustainable Resource Plan Winner of the INDABA ESG Nature award in 2023 2 times runner up as ESG explorer of the year at M&M London Technology-driven solutions that enable communit
Slide 7: Key events
Key events Q3 2023 Highlights Post Q3 2023 Highlights • Refinery agreement signed with the world-renowned gold refiner, MKS • Gold price all time high and first high-grade gold produced from the Segele ore PAMP body • Results from the Gingibil bulk sampling suggest ore grades are present • Implement
Slide 8: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 8
Slide 9: Mining Operations – Gold at last
Mining Operations – Gold at last Key Recent Developments ▪ Incline Shaft Length: 55m ▪ Eastern Winze Length: 31m ▪ Western Winze Length: 46m The First Gold ▪ First gold was extracted from the Western Winze Nov. 27. ▪ The ore was intersected exactly where we had expected it to be ▪ Gold transported t
Slide 10: Mining Operations – Western Winze Challenges
Mining Operations – Western Winze Challenges Incorrect winze development by SCHEMATIC ILLUSTRATION previous mining contractor Resource definition drilling Corrected winze development by new owner operator mining team Indicated Resource approximate outline (contains of high/bonanza grade layers separ
Slide 11: First Gold Day
First Gold Day Team with first gold (left) and first loading of gold ore (right) 11
Slide 12: First High-Grade Gold Produced
First High-Grade Gold Produced • The image shows the first high grade gold ore produced on the Ultra Small Plant (USP) • The characteristic golden line can be seen between the gangue material and the black. • A major milestone for Akobo Minerals. • Proof of concept for resource, mine and plant. 12
Slide 13: Mining Operations
Mining Operations • Upper left: Morning meeting for the mine team. • Lower left: Artisanal miner's hole coming down to the mine from the hang-wall. • Right: Investigating the face for gold after cleaning. • Ramp up to 2.000 ton production per month and start up of main plant estimated in May 13
Slide 14: Processing Plant
• All major structures up Processing Plant • Most plant pipework done • Major remaining tasks: electricals, generator-setup with diesel infrastructure, water pipeline and tailings storage facility 14
Slide 15: Electrical work progressing fast
15 Electrical work progressing fast • Cable racks being added on whole plant • Kilometers of cable getting pulled • Everything connects to the MCC (Motor Control Center)
Slide 16: Erection of Major Processing Equipment Complete
Erection of Major Processing Equipment Complete Left: crushing circuit Pilot and Main Plant metrics: Pilot Plant Key metrics ▪ 1 t/h plant ▪ 50% recovery of gold ▪ Fully installed and manned. ▪ Expansion options being investigated Main Plant Key metrics ▪ 10 t/h plant – upgradable to 20t/h ▪ 97.2% r
Slide 17: Ultra Small Plant
Ultra Small Plant Pilot Plant Key metrics Preparing Segele material ▪ 1 t/h plant ▪ Visible gold in rocks and mud ▪ 50% recovery of gold ▪ Fully installed and manned ▪ Expansion options being investigated 17
Slide 18: TSF construction
TSF construction ▪ Tailings Storage Facility (TSF) being built close to plant ▪ Secured permit for this TSF in record time Fayzal Seid, Lead Civil Engineer 18
Slide 19: Exploration Strategy
Exploration Strategy Ambition to become a leading player in the future development of the very promising Ethiopian mining industry Exploring the right places Tipping the table to success Inexpensive technology and logistics • Arabian Nubian Shield • Large exploration licences • Company Owned Drill R
Slide 20: 1.5 – 2 million ounces – Tipping the table towards success
1.5 – 2 million ounces – Tipping the table towards success A N S A N S A N S A Gold A N N S K S M Copper A N W S J A S N S S G Nickel A N B S S A S 1 H N S B G Cobalt A 2 S D $ N B A N S 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 u
Slide 21: Akobo is “low-hanging fruit” for modern gold exploration
Akobo is “low-hanging fruit” for modern gold exploration 1,000 kg extracted by hand in 18 months1 immediately above the Segele underground mine (production imminent) ▪ Part of the Arabian Nubian shield – home to gold Lega Dembi project 400 km to the East • Main Ethiopian gold producer for 20+ ye
Slide 22: Exploration targets
Exploration targets West Segele (WS) Gingibil Deep and Surface (GD, GS) • Gold rich sheared ultramafics • Widespread Visible Gold at surface • 601m of trenching • Positive grades from surface bulk sampling • Drilling successfully intersecting deeper Segele Hill Top (SH) mienralisation in several hol
Slide 23: West Segele – Near mine exploration
West Segele – Near mine exploration West Segele Key Facts Sheared ultramafic rocks with gold nuggets - analogous to those rocks which surround 24 gram gold nugget found the Segele Bonanza in West Segele Trench Mineralisation 1.5km from Segele mine and Processing 601m of trenching completed 40
Slide 24: Gingibil – tangible and prospective
Gingibil – tangible and prospective AT SURFACE Mineralised quartz float. Low-cost, low-risk target AT DEPTH 30m Mineralised quartz 30m veins. Growth target 10min drive from Segele Processing Plant to Gingibil Gingibil Key Facts Bulk Sampling has produced gold from surface (1.8 – 5.0 g/t*) Dril
Slide 25: Gingibil Surface Float – Trial Mining planning complete
Gingibil Surface Float – Trial Mining planning complete Produce gold from bulk samples using USP or main plant Evaluate Tonnage Assess Economics of assessment capital surface float using investment. for near-term surveying profit and, mapping Assess mining, transport and processing Trial Mining Key
Slide 26: Novel Award Winning Technology – To fill the funnel faster
Novel Award Winning Technology – To fill the funnel faster DetectOre Key Facts ▪ Shortens assay turnaround from months to days – faster decisions, faster discovery. ▪ Uses proprietary sample digestion to enable high quality analysis with hand-held XRF ▪ Not JORC compliant (yet), but minimises sample
Slide 27: Table of Contents
Table of Contents I Introduction II Operational update III Financial update IV Q&A 27
Slide 28: 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 29: Corporate structure and top shareholders
Corporate structure and top shareholders Corporate structure and listing Transparent corporate structure Top shareholders Rank Holding % Name 1 6 025 975 11,3 % PIR INVEST HOLDING AS Stock listed on Euronext Growth in Oslo and 2 4 137 348 7,8 % NAUTILUS INVEST AS Frankfurt Stock exchange (ticker:
Slide 30: Key metrics
Key metrics as a @ [| Meters renched Meri (C3004) a0 vee 1 on wm acct ia Ce conroRATE renee oshnce SEK Tos6u358 | «SaIOIS7 «15642508 ——SoaDAGTO.—aBGPLIOR—SOONADA—_aassra7S a aaa on 1016 oon ws 19s a ie i ‘Shae issue SEK Accumulated 6776 779 848 9207 9732 9782 9792 ‘Comertbleoan SEK 52588514 22475000
Slide 31: Income statement – Group
Income statement – Group Comments to figures • SEK 2.2 million in other expenses mainly relate to consulting services such as accounting, auditing and legal both in Norway and Sweden • SEK 16.4 million in other expenses mainly relate to mining activities in Ethiopia • Personnel costs are primarily s
Slide 32: 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 5.000 ounces gold loan from Monetary Metals and two convertible loans of SEK 57 million 32
Slide 33: 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 relates to the 5000-ounce gold loan affected by gold price and curr
Slide 34: Q&A
Q&A 34 34