Akobo Minerals provides update on Segele gold project progress in Ethiopia

Swedish gold exploration firm Akobo Minerals has published a summary of its activities in 2021 following a period of fast development at the Segele project in Ethiopia.

During the first part of the year, the company announced a resource estimate and scoping study for the gold project, and received a mining licence from the Ethiopian Ministry of Mines and Petroleum.

Following the award of the licence, Akobo has completed resource extension drilling and surface exploration, while multidisciplinary project development work has been ongoing to advance the project towards gold production.

The Segele project already has an inferred mineral resource of 52,410 ounces of gold at an average grade of 20.9 g/t. The Segele scoping study envisages a very high margin operation with an operating cost (AISC) estimated at US$243 per ounce of gold produced.

Since the SRK resource estimate, a total of 4,739 metres in 28 holes of deep core drilling has been completed, with visible gold seen in 15 of the 28 holes.

In addition, high assay results from 370 samples taken from artisanal pits around the resource estimate have shown 88 g/t, 8.9 g/t, 12.9 g/t and 6.15 g/t. More drilling is planned to follow up these results.

Planning for first gold production includes: infill drilling to allow detailed mine planning, sourcing a geotechnical specialist and a tailings storage facility designer, plus assessments of manpower and training requirements.