Akobo Minerals

Share Issue/Capital Change • Aug 21, 2023

Akobo Minerals has initiated a process to secure a convertible loan of NOK 30 million

Akobo Minerals has initiated a process to secure a convertible loan of NOK 30 million

OSLO, 21 August 2023:Akobo Minerals AB (publ) (Euronext and Frankfurt: AKOBO),

the Scandinavian-based Ethiopian gold exploration and boutique mining company,

today announced that it has initiated a process towards securing a convertible

loan of NOK 30 million from a group of major shareholders and certain other

stakeholders. The company has already secured firm commitments of NOK 27,25

million from some of the largest shareholders.

Akobo Minerals is pleased to announce that the loan has attracted solid interest

from certain major shareholders and other stakeholders, demonstrating that Akobo

Minerals continue to have strong support from its stakeholders. Although there

is good progress in the final construction of the processing plant, there have

been delays, mainly due to a very heavy rainy season making the working

conditions hard. Because of this delay the company needs to secure additional

funding to finalize the remaining construction work of the processing plant and

advancing the Segele underground mine. An official opening of the processing

plant is planned for in late October after this year's rainy season has ended.

Akobo Minerals is seeking to raise approximately NOK 30 million by issuing a 2

-year convertible loan with a 20% annual interest rate that can be converted at

NOK 7.00 based on certain terms and conditions. The company expects completion

of the financing by the end of the month.

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After dialogue with major shareholders and certain other stakeholders Akobo

Minerals seeks to issue the convertible loan on the following terms and

conditions, however where the final terms and conditions (including final

allocation and participation in the loan) will be determined by the Board of

Directors immediately prior to completion of the financing:

+----------+-------------------------------------------------------------------+

|Interest |20% per annum |

|rate: | |

+----------+-------------------------------------------------------------------+

|Maturity |24 months after date of disbursement |

|Date: | |

+----------+-------------------------------------------------------------------+

|Conversion|(a)                     The Loan (including accrued Interest) may |

|price: |be converted into Shares (the "Conversion") either on a quarterly |

| |basis or at the Maturity Date on the following terms and |

| |conditions:   |

| | |

| |(i)                      At the decision by each Lender providing a|

| |written notice of conversion to the Borrower; or |

| | |

| |(ii)                     At the Maturity Date. |

| | |

| |(b)                    If the Individual Loan Amount is converted |

| |pursuant to Clause 4.2 (a) (i), the Conversion shall take place |

| |without undue delay after the Borrower's publication of the |

| |financial report as published on a quarterly basis.  The Conversion|

| |price shall be NOK 7.00 per share. |

| | |

| |(c)                     If the Individual Loan Amount is converted |

| |pursuant to Clause 4.2 (a) (ii), the Conversion price shall be the |

| |lowest of either (1) NOK 7.00 per Share or (2) the volume-weighted |

| |average price per Share on Euronext Growth Oslo over the thirty |

| |(30) consecutive trading days immediately preceding the Maturity |

| |Date with a 10% in discount. |

+----------+-------------------------------------------------------------------+

This information is subject of the disclosure requirements pursuant to section 5

-12 of the Norwegian Securities Trading Act and the EU Market Abuse Regulation

(MAR).

For more information, contact:

Jørgen Evjen, CEO, Akobo Minerals

Mob: (+47) 92 80 40 14

Mail: jorgen@akobominerals.com

LinkedIn: www.linkedin.com/company/akobominerals

Web: www.akobominerals.com

About Akobo Minerals

Akobo Minerals is a Scandinavian-based gold exploration and boutique mining

company, currently holding an exploration license covering 182 km2 and with an

ongoing mine development in the Gambela region and Dima Woreda, Ethiopia. The

company has established itself as the leading gold exploration company in

Ethiopia through more than 13 years of on-the-ground activity.

Akobo Minerals holds a 16 km 2 mining license and is working to start up mining

of its very promising Segele target. It has an Inferred and Indicated Mineral

Resource of 68,000 ounces yielding a world-class gold grade of 22.7 g/ton,

combined with an estimated all-in sustaining cost (AISC) of USD 243 per ounce.

Still open to depth, the gold mineralised zone continues to expand and will have

a positive impact on future resource estimates and mine-life. The exploration

license holds numerous promising exploration resource-building prospects in both

the vicinity of Segele and in the wider license area.

Akobo Minerals has an excellent relationship with local communities all the way

up to national authorities and we place environment and social governance (ESG)

at the heart of our activities - as demonstrated by a planned industry-leading

extending shared value program.

Akobo Minerals has built a strong local foothold based upon the principles of

sound ethics, transparency, and communication, and is ready to take on new

opportunities and ventures as they arise. The company is uniquely positioned to

become a major player in the future development of the very promising Ethiopian

mining industry.

Akobo Minerals has a clear strategy aimed at building a portfolio of gold

resources through high-impact exploration and mining, whilst adhering to a lean

business operation. The company is headquartered in Oslo and is listed on the

Euronext Growth Oslo Exchange and Frankfurt Stock Exchange under the ticker

symbol, AKOBO.

Akobo Minerals fully meets and complies with all parts of the JORC code, 2012.

For further information, see https://www.jorc.org/