Scandinavia-based gold producer Akobo Minerals concluded the fourth quarter with continued improvement in operational performance at its Ethiopian gold operations.

In an operational update for December, the company says the month marked the end of Akobo’s strongest quarter to date in terms of production, revenue and earnings before interest, taxes, depreciation and amortisation (Ebitda), reflecting stable underground operations and disciplined execution.

Gold production for December was about 8 kg, taking cumulative doré production, to date, to about 73 kg.

Stock of blended material to be processed is about 600 t, with estimated in-situ value of $1.6-million.

Gold prices remained strong during the fourth quarter of 2025.

Operations at the Segele mine remained stable throughout December, with continued production from existing underground workings.

The mining team is balancing production by blending grades, to allow for the mine to achieve a sustainable and constant run-of-mine while development of the new vertical shaft is under way.

Shaft sinking is at 38 m, in line with planned sequencing, with infrastructure works currently being completed ahead of the next sinking phase.

The headgear foundation construction is also well advanced and nearing completion.

Backfilling and compacting of the headgear base level is due to start early this month during the curing period for the first civils, before restarting the shaft sinking.

Following detailed technical work over recent weeks, including updated mine planning and projections prepared together with Sutton, the company has decided to proceed directly with the next phase of vertical shaft development rather than deferring this work to a later stage.

The decision reflects increased confidence in the deposit based on ongoing geological and geotechnical review and supports an optimal long-term development scenario aimed at value creation for the Segele resource, Akobo points out.

Executing the next phase now allows continued production from existing winzes during shaft development, while avoiding production constraints that would arise if this work were deferred.

Once the vertical shaft and associated lateral development are commissioned, production from the winzes will be phased out, with the western winze converted to a ventilation shaft and the eastern winze repurposed as a travelling way and emergency exit.

Planned production uplift is now expected from August or September.

The impact is considered manageable given ongoing production, improving cash flow and the current gold price environment.

Development will be funded through existing cash resources and operational cash flow.

Upon completion, the vertical shaft will represent the deepest and most advanced small-scale underground shaft developments in Ethiopia, Akobo highlights, adding that the design is relevant for replication across similar mining operations in the country.

Dialogue is ongoing with the Ministry of Mines regarding training, cooperation and knowledge transfer.