Q2 2025 Financial Results

Reykjavík, Aug. 14, 2025 (GLOBE NEWSWIRE) -- ("Amaroq" or the "Company")

Q2 2025 Financial Results

Maiden revenue and good operational progress across all commissioning activities at Nalunaq gold mine

TORONTO, ONTARIO – 14 August 2025 – Amaroq Ltd. (AIM, TSX-V, NASDAQ Iceland: AMRQ, OTCQX: AMRQF), an independent mine development corporation focused on unlocking Greenland’s mineral potential, is pleased to announce its Q2 2025 Financial Results. All dollar amounts are expressed in Canadian dollars unless otherwise noted.

A remote presentation for analysts and investors will be held later today at 9:30am BST, details of which can be found further down in this announcement.

Eldur Olafsson, CEO of Amaroq, commented:

“I am pleased to report good progress across all of the commissioning activities at our Nalunaq mine, as we continued the trial mining, on-going construction and commissioning of the processing plant, development of essential infrastructure, as well as stabilization of process plant operating activities. By the end of Q2-25, we had reached two significant milestones, with the first shipment and export of gold doré bars and the associated maiden revenue from operations of C$3.4 million. In terms of commissioning progress, I am very encouraged that in Q2-25, we achieved an average of 3.6x more processing throughput versus Q1-25 and mining ore production was 2.6x better in Q2-25 versus Q1-25. I am pleased to note that this trend has continued in the third quarter, with a further 36kg of doré bars in the safe at site, at the time of writing.

“In June 2025, we successfully completed an oversubscribed and upsized £45 million equity fundraise, following significant reverse interest from international institutional investors. Alongside the fundraise we announced the acquisition of the West Greenland Hub, a new mining province for the Company in Greenland. The West Greenland Hub contains the previously producing Black Angel mine and Kangerluarsuk licences and crystallises our position as the largest acreage holder in Greenland, as well as geographically diversifying our operations into this highly prospective new area in the north west of Greenland.

“With good commissioning progress to date, coupled with the flexibility provided by the enhanced liquidity position following the upsized fundraise; management have decided to bring forward certain construction and commissioning activities for the installation of the flotation recovery (Phase 2) systems, into Q3 and Q4 2025. This will require a period of shut down at the processing facility to accommodate these activities but will enable critical work to be completed before winter, when operating conditions are more challenging, however mining will continue as normal. Once completed, the processing facility will be calibrated to higher recovery rates, enabling higher cash generation from the facility, which will be further enhanced once it is running at the nameplate throughput of 300 t/d, which remains our target by year end 2025. The additional proposed construction and commissioning activities in Q3 and Q4-25 means we are targeting production for the year of approximately 5koz of gold for the full year 2025.

“During the Period, we also completed the planning and scheduling for all of our seasonal exploration field work activities across the gold and strategic mineral asset base, this includes a comprehensive, multi-rig drilling programme at Nalunaq, targeting continued resource expansion, with up to 3,500 metres of surface drilling and near-continuous underground drilling planned, as well as at Nanoq, the analogous gold prospect east of Nalunaq within the Nanortalik gold belt, with approximately 5,000 metres of core drilling to advance towards a maiden Mineral Resource Estimate, as well as operations to expand our understanding across existing and new satellite gold targets within the Nanortalik gold belt.”

Q2 2025 Corporate Highlights

• Maiden revenue of $3.4 million in Q2 2025, following the first commercial sale of gold doré bars from the Nalunaq mine.
• Successfully completed an oversubscribed and upsized equity fundraise in June 2025, raising gross proceeds of approximately £45.0 million.
  • In June 2025, Amaroq announced the proposed acquisitions of the past producing Black Angel mine and Kangerluarsuk licences to create a West Greenland Hub.
  • In May 2025, Amaroq signed a non-binding heads of terms with JLE Group Ltd to establish a special purpose vehicle and create a joint venture company to be called Suliaq ApS, dedicated to the provision of essential services, supplies and supporting assets to Greenland’s growing mining sector and wider economy.
  • Amaroq group liquidity of $75.0 million, at period end, consisting of cash balances of $86.0 million, an undrawn revolving credit facility of $8.9 million less trade payables of $19.8 million ($23.4 million as at 31 March 2025).
    
    
    
    

Q2 2025 Operational Highlights

• Completion of first commercial shipments and export of doré bars containing 808 ounces of gold.
• Gold doré bars containing 724 ounces of gold were shipped to a refinery facility in Switzerland, and subsequently sold to Auramet for gross proceeds of $[3.4] million.
• The Company further shipped 84 ounces of gold to a specialised refinery in the UK for further refining and accreditation as Single Mine Origin (“SMO”) gold, which will be available for purchase by the local Greenlandic population and jewellery makers.
• In May 2025, Amaroq announced the results of its successful 2024 exploration results across the Company’s strategic minerals portfolio JV, Gardaq AS.
• Operations at Nalunaq continue to ramp up and remain on track to reach nameplate processing capacity of 300 t/d by the end of the year.
  
  
  
  

Commissioning and Outlook Highlights

• Significant operational progress throughout Q2-25 has continued into Q3-25.
• With continued up-time in mine development rates and processing throughput of ~145 t/d in July 2025 on a single shift due to continued construction and commissioning work, the Company continues to target a run rate production of 300 t/d by the end of 2025.
• Enhanced liquidity post fundraise has enabled the Company to bring forward certain construction and commissioning activities for the installation of flotation recovery (Phase 2) into the third quarter of 2025, which will require a short period of shut down at the processing facility, however mining will continue as normal.
• Once these activities are completed the processing facility will be calibrated to higher recovery rates, enabling higher cash generation from the facility, which will be further enhanced once it is running at nameplate throughput of 300 t/d.
• As a result of having the flexibility to bring forward this Phase 2 work, and the subsequent period of shut down, the Company is targeting full year production of approximately 5koz for the full year 2025.
  
  
  
  

Post Period Corporate Highlights

• On 1 July 2025, Amaroq commenced trading on the OTCQX, enabling higher transparency and trading opportunities for investors in the U.S.
• In July 2025, Amaroq commenced its 2025 exploration campaign, one of the most ambitious and wide-ranging programs in Amaroq’s history.
• On 15 July 2025, the Company changed its name from “Amaroq Minerals Ltd.” to “Amaroq Ltd.”
• At Nanoq, a large multi-rig programme was mobilised post period end, with operations commencing in August 2025. This programme will include the construction of a ~40-person camp.
• Post period, Amaroq published its inaugural Sustainability Report, highlighting the Company’s commitment to responsible development across four key areas: corporate governance, our environment, our people, and our community. The report is available on the Company’s website at .
  
  
  
  

Services and Renewable Energy business lines

Alongside the Company’s focus on its two key pillars of mining development and exploration, below is an update on the two mining associated business units:

• Suliaq ApS - During Q2-25, the Company incorporated a subsidiary entity called Suliaq ApS in order to create a standalone business which will look to take advantage of the increased interest in mining and infrastructure in Greenland, through the provision of Amaroq’s equipment and services, generating additional revenue. In addition, on 28 May 2025, the Company signed a non-binding head of terms with JLE, whereby JLE will invest £4.0 million, by way of an equity contribution in exchange for a 10% shareholding in the subsidiary company, with Amaroq holding 90%. JLE has the option to increase its investment up to a total of £12.0 million, structured in additional tranches of £4.0 million, which will result in proportional increases in JLE’s equity stake in the company. During the second half of 2025 a Board and management team will be put in place and initial contracts for the rental of equipment and services to third parties and other companies controlled by the Company, will be finalised.
• Renewable energy generation – Power generation and energy provision are some of the most expensive and polluting cost items within remote mining operations. To de-risk the future life of mine at Nalunaq, whilst at the same time investing in technologies to power the future mines, the Corporation is in advanced plans for the construction of at least one mega watt (“MW”) of hydro power, within close proximity of Nalunaq. During the second half of 2025, following the request for the trial pit investigation licence in July 2025, designs will be finalised and tenders for turbine, generator, transformer, powerhouse & penstock will be solicited, ahead of the publication of the prefeasibility report and application for the project to take place within the existing Nalunaq Mine Plan framework by the end of 2025, allowing for construction and power generation in 2026. It is anticipated that by year end 2025, the hydro electric business will be formally incorporated in Greenland, under the name IMEQ ApS.

Strategic Acquisitions and West Greenland Hub

Further to the announcement on 11 June 2025, the Company has signed the asset purchase agreement for the acquisition of the Kangerluarsuk licences from 80 Mile plc (and Disko Exploration Ltd). Preparations for completion are underway. For the Black Angel transaction with FBC Mining (BA) Limited, which includes the former producing mine and associated infrastructure, the parties are progressing the agreed conditions precedent. On completion, these acquisitions will form the West Greenland Hub as previously outlined.

Update on Impact Benefit Agreement

Additionally, the Company provides an update on the progress of the Impact Benefit Agreement (IBA).

Amaroq has been actively working in collaboration with the Government of Greenland and Kommune Kujalleq to advance the IBA. However, due to the Government of Greenland’s need to address competing priorities, and in recognition of these circumstances, an extension of the deadline to 31 December 2025 has been agreed. Amaroq remains fully committed to its collaborative approach to ensure the IBA reflects the shared objectives of all parties. This delay to the formalization of the IBA will not impact current and future operations.

Details of conference call

A conference call for analysts and investors will be held this morning at 9:30am BST, including a management presentation and Q&A session.

To join the meeting, please register at the below link:

Financial Results

Financial Position

Enquiries:

Amaroq Ltd.

Eldur Olafsson, Executive Director and CEO

Ed Westropp, Head of BD and Corporate Affairs

+44 (0)7385755711

Eddie Wyvill, Corporate Development

+44 (0)7713 126727

   

Panmure Liberum Limited (Nominated Adviser and Corporate Broker)

Scott Mathieson

Nikhil Varghese

+44 (0) 20 7886 2500

Canaccord Genuity Limited (Corporate Broker)

James Asensio

Harry Rees

Tel: +44 (0) 20 7523 8000

Camarco (Financial PR)

Billy Clegg

Elfie Kent

Fergus Young

+44 (0) 20 3757 4980



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Further Information: 

About Amaroq

Amaroq’s principal business objectives are the identification, acquisition, exploration, and development of gold and strategic metal properties in South Greenland. The Company’s principal asset is a 100% interest in the Nalunaq Gold mine. The Company has a portfolio of gold and strategic metal assets in Southern Greenland covering the two known gold belts in the region as well as advanced exploration projects at Stendalen and the Sava Copper Belt exploring for Strategic metals such as Copper, Nickel, Rare Earths and other minerals. Amaroq is continued under the Business Corporations Act (Ontario) and wholly owns Nalunaq A/S, incorporated under the Greenland Companies Act.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Glossary

Inside Information

This announcement contains inside information for the purposes of Article 7 of the UK version of Regulation (EU) No. 596/2014 on Market Abuse ("UK MAR"), as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018, and Regulation (EU) No. 596/2014 on Market Abuse ("EU MAR").

Qualified Person Statement

The technical information presented in this press release has been approved by James Gilbertson CGeol, VP Exploration for Amaroq Ltd. and a Chartered Geologist with the Geological Society of London, and as such a Qualified Person as defined by NI 43-101.

Amaroq Ltd.

UNAUDITED CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the three and six months ended June 30, 2025

The attached financial statements have been prepared by Management of Amaroq Ltd. and have not been reviewed by the auditor

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

Amaroq Ltd.

Consolidated Statements of Changes in Equity

(Unaudited, in Canadian Dollars)

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

The accompanying notes are an integral part of these unaudited condensed interim consolidated financial statements.

1. NATURE OF OPERATIONS, BASIS OF PRESENTATION AND GOING CONCERN

Amaroq Ltd. (the “Corporation”) (previously known as Amaroq Minerals Ltd.) was incorporated on February 22, 2017, under the Canada Business Corporations Act. As of June 19, 2024, the Corporation completed its continuance from the Canada Business Corporations Act into the Province of Ontario under the Business Corporations Act (Ontario). The Corporation’s head office is situated at 100 King Street West, Suite 3400, First Canadian Place, Toronto, Ontario, M5X 1A4, Canada. The Corporation operates in one industry segment, being the acquisition, exploration and development of mineral properties. It owns interests in properties located in Greenland. The Corporation’s financial year ends on December 31. Since July 2017, the Corporation’s shares are listed on the TSX Venture Exchange (the “TSX-V”). Since July 2020, the Corporation’s shares are also listed on the AIM market of the London Stock Exchange (“AIM”) and from November 1, 2022, on Nasdaq First North Growth Market Iceland which were transferred on September 21, 2023 on Nasdaq Main Market Iceland (“Nasdaq”) under the AMRQ ticker. Since July 2025, the Corporation’s shares trade on the OTCQX ® Best Market (“OTCQX”) in the United States of America under the AMRQF ticker.

These unaudited condensed interim consolidated financial statements for the six months ended June 30, 2025 (“Financial Statements”) were reviewed and authorized for issue by the Board of Directors on August 14, 2025.

1.1 Basis of presentation and consolidation

The Financial Statements include the accounts of the Corporation and those of its subsidiary Nalunaq A/S, corporation incorporated under the Greenland Public Companies Act, owned at 100%. The Financial Statements also include the Corporation’s 51% equity share of Gardaq A/S, a joint venture with GCAM LP (Note 6).

The Financial Statements have been prepared in accordance with International Financial Reporting Standards and International Accounting Standards as issued by the International Accounting Standards Board and interpretations (collectively IFRS Accounting Standards) including International Accounting Standard (“IAS”) 34, Interim Financial Reporting. The Financial Statements have been prepared on the historical cost basis, except for financial instruments at fair value.

1.2 Accounting policies

The Financial Statements should be read in conjunction with the audited annual financial statements for the year ended December 31, 2024, which have been prepared in accordance with IFRS as issued by the IASB. The accounting policies, methods of computation and presentation applied in these Financial Statements are consistent with those of the previous financial year ended December 31, 2024, except as for the implementation of IFRS 15 during the six months ended June 30, 2025 as a result of the Corporation commencing gold sales.

The Corporation recognises revenue from the sale of gold when control of gold has transferred to the customer and the performance obligations are satisfied, which occurs when legal title and the significant risks and rewards of ownership have passed to the customer and the Corporation has no continuing managerial involvement with the goods.

1.3 Going concern

The Financial Statements have been prepared on a going concern basis, which contemplates the realization of assets and the satisfaction of liabilities in the normal course of business. The Corporation is transitioning from development to production at its flagship Nalunaq project. While initial commissioning activities have commenced, the Corporation has not yet generated significant revenues and continues to incur development and operating costs. The ability of the Corporation to continue as a going concern is dependent upon the successful ramp-up of production and achievement of positive operating cash flows to fund ongoing operations and capital commitments.

2. CRITICAL ACCOUNTING JUDGMENTS AND ASSUMPTIONS

The preparation of the Financial Statements requires Management to make judgments and form assumptions that affect the reported amounts of assets and liabilities at the date of the Financial Statements and reported amounts of expenses during the reporting period. On an ongoing basis, Management evaluates its judgments in relation to assets, liabilities and expenses. Management uses past experience and various other factors it believes to be reasonable under the given circumstances as the basis for its judgments. Actual outcomes may differ from these estimates under different assumptions and conditions.

In preparing the Financial Statements, the significant judgements made by Management in applying the Corporation accounting policies and the key sources of estimation uncertainty were the same as those that applied to the Corporation’s audited annual financial statements for the year ended December 31, 2024.

3. PREPAID EXPENSES AND OTHERS

The Corporation’s prepaid expenses and others mainly consist of downpayments to vendors and contractors involved in the supply of drilling rigs and consumables, process plant equipment, infrastructure and mine development work.

4. INVENTORY

Purchases in transit include spare parts, consumables and equipment.

5. ESCROW ACCOUNT FOR CLOSURE OBLIGATIONS

On behalf of Nalunaq’s licence holder, an escrow account has been set up with the holder of the licence as holder of the account and the Government of Greenland as beneficiary. The funds in the escrow account have been provided in favour of the Government of Greenland as security for fulfilling the closure obligations following the closure of the Nalunaq mine after operations are finished (note 12).

6. INVESTMENT IN EQUITY ACCOUNTED JOINT ARRANGEMENT

6. INVESTMENT IN EQUITY ACCOUNTED JOINT ARRANGEMENT (CONT’D)

The following tables summarize the unaudited financial information of Gardaq A/S.

6. INVESTMENT IN EQUITY ACCOUNTED JOINT ARRANGEMENT (CONT’D)

6.1 Financial Asset – Related Party

Subject to a Subscription and Shareholder Agreement dated 13 April 2023, the Corporation undertakes to subscribe to two ordinary shares in Gardaq (the “Amaroq shares”) at a subscription price of GBP 5,000,000 no later than 10 business days after the third anniversary of the completion of the subscription agreement.

Amaroq’s subscription will be completed by the conversion of Gardaq’s related party balance into equity shares. Gardaq’s related party payable balance consists of overhead, management, general and administrative expenses payable to the Corporation. In the event that the related party payable balance is less than GBP 5,000,000, the Corporation shall, no later than 10 business days after the third anniversary of Completion:

a)   subscribe to one Amaroq share by conversion of the amount payable to the Corporation,

b)   subscribe to one Amaroq share at a subscription price equal to GBP 5,000,000 less the amount payable to the Corporation

In the event that the amount payable to the Corporation exceeds GBP 5,000,000, the Corporation shall subscribe to the Amaroq shares at a subscription price equal to GBP 5,000,000 by conversion of GBP 5,000,000 of the amount due from Gardaq. Gardaq shall not be liable to repay any of the balance payable to the Corporation that exceeds GBP 5,000,000 (equivalent to CAD 9,360,450 as at June 30, 2025).

During the six months ended June 30, 2025, the Corporation reclassified the financial asset as a current asset since the amount will be settled during April 2026. As a result, an amount of $7,719,717 is classified as a current asset as at June 30, 2025 ($6,699,179 classified as non-current as at December 31, 2024).

7. MINERAL PROPERTIES

8. CAPITAL ASSETS