Akobo Minerals completes financial restructuring, secures $3m funding

Akobo Minerals announced the completion of its financial restructuring by amending a loan agreement with Monetary Metals. Key terms include a 22% annual interest rate, an interest-free period from August 15, 2025, to February 15, 2026, and quarterly repayments beginning March 2026. The loan maturity has been extended to July 31, 2027, and the gold loan can increase to a maximum of 10,490.1268 troy ounces before default. New warrants issued to Monetary Metals increase their entitlement to 3% of Akobo's fully diluted market capitalization.

Further strengthening its finances, Akobo completed a $3 million private placement of 15 million new shares subscribed by Ethiopian Investment Holdings (EIH) at $0.20 per share. The two remaining convertible bonds will also be converted into shares based on the EIH private placement terms.

With this comprehensive funding and restructured debt, Akobo Minerals is well-positioned to advance operations, including vertical shaft construction expected to complete around year-end, which will materially enhance production and revenues.