Name of the Project
Segele gold project.

Location
Ethiopia.

Project Owner/s
Scandinavian gold exploration and mining company Akobo Minerals.

Project Description
Akobo Minerals’ Segele mine has an inferred and indicated mineral resource of 68 000 oz, yielding a world-class gold grade of 22.7 g/t. 

The deposits will be accessed using an inclined shaft from the surface and will be mined using shrinkage stoping, post room-and-pillar, and narrow-vein stull mining or cut-and-fill, depending on the dip and orientation of the orebody. 

At peak production, almost 6 000 t a month of rock will be mined and this material will be fed into an industry-standard crushing and gravity circuit, with cyanidation where necessary.

The mine life is estimated at 27 months.

The company plans to buy a plant capable of processing 20 t/h, but will initially operate it at 10 t/h. The mine plant will be a turnkey solution comprising a grinder, concentrator and cyanide leach containers.

Akobo will manage the processing plant, but will appoint a mining contractor to do the mining.

The plant is expected to extract 90% of all gold in the mineralisation; this will be confirmed by ongoing metallurgical testwork.

Still open to depth, the gold mineralised zone continues to expand and will have a positive impact on future resource estimates and the life expectancy of the mine. 

Potential Job Creation
None stated.

Net Present Value/Internal Rate of Return
None stated.

Capital Expenditure
Total capital expenditure for establishing the mine plant is estimated at $8-million.

Planned Start/End Date
Production startup has been delayed to July or August 2024.

Latest Developments
The Segele processing plant is now operational.

The commissioning process has successfully activated the majority of the plant, enabling Akobo to process a substantial amount of ore.

The first phase of commissioning was completed with industrial technology companies Gekko Systems and Solo Resources overseeing the setup of the milling, grinding, Falcon concentrator, InLine Leach Reactor (ILR) and furnace in the gold room.

The final phase, during which the ILR was activated, was completed by Gekko Systems. The company expects an extraction efficiency of 76% from the concentrator and ILR system.

In line with a phased approach to boosting operational efficiency and cost-effectiveness, Akobo has said the commissioning of the carbon-in-leach (CIL) system will be deferred until production volumes have increased. This strategy will allow for enough time so that team members can familiarise themselves with the initial phase of the plant. Tailings from the current ore will be stored and reprocessed once the CIL tanks are operational.

The plant is designed to produce 4 000 oz of gold a month, with an expected recovery rate of 96%. 

Its modular design allows for future upgrades as the Segele mine and adjacent targets are developed, ensuring that the plant remains adaptable to evolving operational needs.

The company is blasting and mining ore from the Western winze and expects to process low-grade ore through the plant in the coming weeks.

Key Contracts, Suppliers and Consultants
Peacocke and Simpson (metallurgical testwork); IW Mining (mining contractor) and Solo Resources (processing plant).

Contact Details for Project Information
Akobo Minerals, tel +47 92 80 40 14 or email info@akobominerals.com.