Akobo Minerals AB, the Scandinavian‐based gold producer operating the Segele mine in western Ethiopia, closed out 2025 with its strongest quarter to date, generating about 8 kg of gold worth roughly USD 1 million in December alone and setting new highs for production, revenue and EBITDA, according to the company’s latest operational update released on 8 January 2026 Akobo Minerals operational update.
The announcement demonstrates how the Oslo-listed and Frankfurt-traded miner is converting small-scale, high-grade deposits into steady cash flow while laying groundwork for an ambitious vertical shaft that could take production deeper into the orebody and extend mine life. Management’s dual focus—sustaining current output while investing in future capacity—positions Akobo as an emerging test case for Ethiopia’s efforts to attract responsible foreign investment to its nascent hard-rock gold sector.
Akobo reported that consolidated doré output for the October-to-December quarter reached roughly 21.5 kg, lifting cumulative production since start-up to about 73 kg. The company also stockpiled approximately 600 tonnes of blended material valued at an estimated USD 1.6 million, reflecting a deliberate strategy of combining high- and lower-grade ore to smooth mill feed and revenue volatility Akobo Minerals operational update.
Stable underground tonnage
The Segele team maintained steady underground operations through December. Mining continued along the initial incline while engineers advanced a new vertical shaft, part of a phased development plan aimed at unlocking deeper levels of the high-grade vein system. Current shaft depth stands at 38 metres, in line with scheduling; civil crews neared completion of the headgear foundation, setting the stage for backfilling and compaction of the base level in early January Akobo Minerals operational update.
Chief executive Jørgen Evjen said the operational discipline shown by the Ethiopian workforce was pivotal: “By blending ore and lowering grade variability we protected cash flow while giving the shaft crew space to work. The approach also improves geological confidence because we sample multiple sections of the vein.”
Strategic shaft decision
After technical reviews with partners Sutton and Monetary Metals, the board elected to proceed with the next phase of shaft sinking rather than pausing to develop lateral ore drives at the current horizon. Extending the shaft to roughly 120 metres will provide an additional 80 metres of vertical advance before horizontal development, opening earlier access to deeper exploration levels and potentially new resource blocks.
Company engineers argue the change increases operational flexibility: while crews drive the shaft, miners can still extract ore from existing workings, ensuring revenue continuity. Management forecasts a production uplift by August–September 2026 once lateral access at depth is completed. Funding for the program will be met from on-hand cash and internally generated funds, with the company judging the impact on liquidity as manageable given prevailing gold prices Akobo Minerals operational update.
Government engagement
Akobo continues to liaise with Ethiopia’s Ministry of Mines, highlighting training, technology transfer and the possibility of replicating the shaft methodology at other deposits in the region. Officials have visited Segele to observe safety protocols and mechanised development techniques that remain uncommon in the country’s largely artisanal gold industry.
The company operates under a 16 km² mining licence in the Gambela region and holds a 182 km² exploration licence surrounding the mine. Its current mineral resource stands at 69,000 ounces with an impressive grade of 22.7 g/t, ranking Segele among the higher-grade new gold discoveries globally. Akobo lists on Euronext Growth Oslo and the Frankfurt Stock Exchange, giving the project public-market transparency that Ethiopian regulators say complements their push for more formalised, ESG-compliant mining.
Mine-site metrics
• December 2025 gold production: ~8 kg (≈ USD 1 million)
• Fourth-quarter doré production: ~21.5 kg
• Cumulative doré since start-up: ~73 kg
• Blended stockpile on surface: ~600 t (≈ USD 1.6 million in situ)
• Current shaft depth: 38 m; target depth in next phase: 120 m
• Expected shaft completion for lateral development: August–September 2026
All figures are drawn from the company’s January 2026 operational update Akobo Minerals operational update.
Financial snapshot
Although exact EBITDA was not disclosed, Akobo described the fourth quarter as its strongest in terms of production, revenues and EBITDA since achieving first gold. Management credits a combination of consistent ore tonnes, robust gold prices and tight cost control. By blending high-grade vein material with lower-grade halo rock, the mine averaged down unit costs without sacrificing overall metal output.
The company did not announce new financing but reaffirmed that ongoing capital outlays—including additional shaft work, equipment upgrades and resource drilling—can be covered by existing cash and operational cash flow. Analysts tracking the micro-cap producer note that even modest quarterly ounces have significant leverage because grades at Segele run several times the industry average, keeping all-in sustaining costs low.
ESG and community relations
Akobo emphasises its commitment to environmental, social and governance standards. The miner employs primarily local staff, provides skill development programs and maintains dialogue with nearby communities. Tailings and waste management protocols are designed to minimise water usage and avoid cyanide leaching, an important consideration in Gambela’s sensitive river systems.
“This is a compact, high-grade operation, so our physical footprint is small,” Evjen said during a recent call with local officials. “But we recognise the social footprint is equally important. Partnering with regional authorities on training and environmental monitoring is central to our licence to operate.”
Outlook for 2026
Looking ahead, management’s immediate milestones are:
- Complete headgear installation and base-level compaction in January
- Resume rapid shaft sinking to 120 metres
- Continue grade-blended stoping to sustain quarterly output
- Launch a limited deep-level drilling campaign once lateral development starts, aimed at expanding resources below current mine workings
If timelines hold, the company expects a step-change in mined tonnage and grade mix late in the third quarter of 2026, when new high-grade sections at depth could come on-line. The outcome would be higher ounces, lower per-ounce costs and longer life-of-mine visibility—critical factors for attracting institutional investors beyond the Scandinavian retail base that provided seed funding.
Analysis: a test case for Ethiopia’s mining ambitions
Ethiopia has promoted large-scale gold mining for years, but progress has been sporadic as investors grapple with logistical challenges and evolving regulatory frameworks. Akobo’s progress at Segele offers a micro-scale example of how foreign capital, modern mining methods and government partnership can co-exist in Ethiopia’s complex resource landscape.
Should the vertical shaft deliver the promised expansion while maintaining strong safety and environmental records, the project could serve as a template for similar vein systems across Ethiopia’s greenstone belts. Conversely, delays or cost overruns would reinforce scepticism among would-be investors who recall stalled gold projects in the country’s past.
For now, Akobo’s record December quarter and the decision to fast-track deeper development suggest momentum is building. Continued production, transparent reporting and collaboration with Ethiopian authorities will determine whether the company can turn a promising high-grade deposit into a sustainable, medium-scale gold business—one that helps Ethiopia realise its goal of becoming a competitive African mining jurisdiction.
Sources
- https://news.cision.com/akobo-minerals-ab/r/akobo-minerals—operational-update-for-december-2025,c4289720
