Akobo Minerals AB, the Scandinavian gold producer operating the Segele mine in southwestern Ethiopia, ended December 2025 with its highest quarterly output to date, reporting 21.5 kg of doré gold and outlining an accelerated plan to sink a 120-metre vertical shaft that could lift production as early as next August.
The Oslo-headquartered company’s latest operational update places the fourth quarter at the center of Akobo’s growth strategy, confirming both a surge in metal volumes and the financial flexibility to self-fund the next phase of underground development. By blending ore grades, stockpiling higher-value material and keeping its fledgling processing plant running steadily, the miner is positioning itself for sustainable, long-term production from one of Africa’s newest high-grade deposits.
Over the past three years Akobo has evolved from an exploration junior into a small-scale producer listed on Euronext Growth Oslo and Frankfurt. The December report demonstrates the first fruits of that transition: a steady monthly output of roughly 8 kg of gold, a cumulative 73 kg of doré since start-up, and a stockpile of about 600 tonnes of blended material valued at an estimated US$1.6 million.
Operating highlights
Akobo attributed the record quarter largely to stable underground mining at Segele, where crews focused on grade control and ore blending to feed the company’s processing plant. The 21.5 kg produced in the three months to 31 December represents the miner’s strongest quarter yet, according to the company’s operational update.
- Monthly production: close to 8 kg in December (approximately US$1 million at prevailing prices)
- Stockpiled ore: 600 tonnes, ready to be milled as capacity is available
- Total doré since first pour: about 73 kg, supporting cash flow and future project expenditures
The company emphasised that proceeds from current sales, together with existing cash on hand, are sufficient to fund the expanded mine plan without recourse to additional equity or debt.
Fast-tracking a deeper shaft
The centrepiece of the December update is Akobo’s decision to accelerate construction of a new vertical shaft that will extend the mine’s reach from the current 38 metres down to roughly 120 metres. After consultations with partners Sutton and Monetary Metals, management opted to advance the schedule in order to improve operational flexibility underground, access deeper potentially higher-grade ore sooner, and allow simultaneous mining on multiple levels.
Foundation work for the shaft’s headgear is nearly complete, and the company aims to exploit favourable dry-season conditions to drive development ahead of schedule. If all goes according to plan, the shaft will be commissioned by late August or early September 2026, delivering what the firm describes as the most advanced small-scale underground shaft development in Ethiopia.
Akobo says existing underground workings will remain in production throughout the build, ensuring a continuous revenue stream. Key shareholders have endorsed the plan, while technical partners are providing input on ground support, hoisting and ventilation.
Community and government ties
Management underlined that Segele’s progress is supported by strong relationships with local communities in the Gambela region and ongoing dialogue with Ethiopia’s Ministry of Mines. Current initiatives include training programs, technical cooperation and knowledge-transfer workshops aimed at building a domestic mining skill base. The company said it will continue to integrate environmental, social and governance (ESG) considerations as production scales up.
Resource base and licences
Akobo holds a 16 km² mining licence encompassing Segele, plus a 182 km² exploration licence covering additional greenfield targets. The Segele resource stands at 69,000 ounces with a notable average grade of 22.7 g/t, one of the highest in a junior producer anywhere in Africa. The miner says ongoing drilling and trenching could extend this inventory, while the new shaft offers the mechanical reach to test deeper mineralisation that has so far been out of reach.
Financial footing
While the update contained no formal revenue or profit numbers, the company’s own valuation of its December gold output at roughly US$1 million and its stockpile at US$1.6 million suggests sufficient operating leverage to sustain capital outlays. Akobo reiterated that no external financing is required for the shaft project at present production levels, although the board retains flexibility should additional capital accelerate growth.
Mining in Ethiopia: a brief perspective
Ethiopia’s mining sector remains modest relative to its agricultural and hydropower industries, but the federal government has prioritised new investment to diversify exports. Akobo’s transition from explorer to producer therefore carries weight beyond the company itself, signalling international confidence in the country’s regulatory framework and geological potential. If the Segele shaft is delivered on time, Akobo will showcase a technically advanced underground operation in a jurisdiction better known for artisanal surface mining.
For the wider junior-mining community, the company’s decision to fund expansion internally underscores the advantage of high grades and manageable project scales in today’s cautious capital markets. Conversely, the tight self-funded model places a premium on operational discipline, given that any production shortfall could affect the construction schedule.
Outlook
With a record quarter on the books and a tangible path to deeper mining levels, Akobo enters 2026 focused on two measurable goals: hitting its August/September target for shaft completion and maintaining a steady 8 kg-per-month run rate until the new infrastructure unlocks further ore. The company’s success or setbacks will likely serve as a test case for Ethiopia’s ambition to attract more formal, environmentally responsible gold producers.
Sources
- https://news.cision.com/akobo-minerals-ab/r/akobo-minerals—operational-update-for-december-2025,c4289720
