Uppgjör fyrsta ársfjórðungs 2025 

Reykjavík, May 14, 2025 (GLOBE NEWSWIRE) -- Uppgjör fyrsta ársfjórðungs 2025

Amaroq Minerals Ltd. (AIM, TSX-V, NASDAQ Iceland: AMRQ) birtir í dag uppgjör fyrir fyrsta ársfjórðung 2025. Stjórnendur félagsins kynna uppgjörið á fundi í beinu streymi í dag kl. 9:00. Nánari upplýsingar um fundinn er að finna neðar í þessari tilkynningu.

Eldur Olafsson, forstjóri Amaroq:

“Eins og fram kom í kynningu okkar á ársuppgjöri 2024 leiddu veðurtengdar aðstæður á fyrsta ársfjórðungi til þess að það hægðist á framkvæmdum við vinnslustöð okkar í Nalunaq. Ég er aftur á móti afar ánægður með þróunina undanfarið og höfum við sýnt góðan framgang í vinnslustöðinni en ekki síður í námuvinnslunni. Við nýttum vetrarmánuðina til að vinna okkur upp Mountain Block svæðið í fjallinu og greiða fyrir aðgengi að gullberandi efni, og undir lok ársfjórðungsins náðum við að sprengja 220 tonn á dag af gullberandi efni, sem er safnað saman fyrir vinnslu. Þá erum við að ganga frá samningi um árangursviðmið við námuverktakann okkar Thyssen sem styður við markmið okkar um að vinna 300 tonn á dag í vinnslustöðinni á þessu ári.

Það er einnig ánægjulegt að greina frá auknum afköstum í vinnslustöðinni tímabilinu, þar sem áherslan hefur verið á að prófa og gangsetja sérhvern hluta vinnslunnar fyrir sig, með það fyrir sjónum að gangsetja að fullu fasa 1 og ljúka undirbúningi á framkvæmdum við fasa 2 á næstu mánuðum.

“Á ársfjórðungnum tilkynntum við um uppfært auðlindamat fyrir Nalunaq, sem sýndi fram á verulega 51% aukningu í gullmagni ásamt því að hluti auðlindarinnar var í fyrsta sinn skilgreindur í “Indicated” flokk. Rannsóknarboranir 2022-24 hafa því skilað gríðarlegum árangri og sýnt fram á hina miklu vaxtarmöguleika Nalunaq gullnámunnar. Við erum nú þegar farin að nýta okkur auðlindamatið til að gera námuvinnsluna enn skilvirkari svo hægt verði að skila efni í réttu magni og gullstyrkleika til vinnslustöðvarinnar.

“Ég er ánægður með framganginn í verkefninu undanfarið og með hækkandi sól getur teymið unnið á fullum afköstum við framkvæmdir og rannsóknir til að ná markmiðum okkar fyrir árið.”

Q1 2025 Corporate Highlights

• Amaroq group liquidity of $23.4 million as at 31 March 2025, consisting of cash balances of $16.7 million, undrawn revolving credit facility of $23.7 million, less trade payables of $17 million ($50.5 million as of December 31, 2024).
• Gold business working capital before convertible note liability and loan payable of $22.2 million that includes prepaid contractors on the Nalunaq project of $9.0 million as of March 31, 2025 ($47.6 million that includes prepaid contractors on the Nalunaq project of $10.2 million as of December 31, 2024).
• The Gardaq Strategic Minerals Joint Venture has available liquidity of $4.4 million as of March 31, 2025 ($4.8 million as of December 31, 2024).
  
  
  
  

1Q 2025 Operational Highlights

• Nalunaq updated Mineral Resource Estimate confirmed a significant 51% increase in overall contained gold, to 326.3koz at 29.2 g/t Inferred plus a maiden Indicated Resource of 157.6koz at 32.4 g/t, demonstrating the robust expansion potential of the Nalunaq deposit. Post period end the updated off-site, conclusive fire assay results have significantly upgraded the previously reported underground drilling, confirming stronger intersections including 78.3 g/t Au over 1.72 m, (see detailed tables at the end of the release).
• Construction and commissioning of the process plant continued during Q1 2025, following first gold pour at the end of 2024.
• As previously reported, typical commissioning issues while working in Southern Greenland over the winter months resulted in some delays impacting the ramp-up pace during Q1-2025.
• During Q1 2025, focus remained on enhancing the efficiency of the mining teams and ensuring availability of equipment. To improve development rates, the Company set new KPIs for the on-site mining contractor, involving increasing the contractor’s staffing levels and fleet size to match the production profile. In this context, performance-boosting equipment, such as an electric double boom rig and a single boom rig were deployed to site, along with a second long hole rig.
• Mining operations successfully focussed on ramp development, while extending the ore drives into the resource base. Notably, the first stope was successfully blasted at the beginning of March 2025.
• Meeting these performance criteria will enable mining to supply the processing plant with sufficient ore to ramp up to full production rates, concurrently with the completion of construction and full configuration of the plant’s operational equipment to design capability. 
• Good progress at the Hydropower project near Nalunaq, with the pre-feasibility study finalised showing positive preliminary results. Project preparation, design and schedule are expected to be complete by the end of 2025 with construction starting in 2026.
• The Company is now planning to proceed with the construction and installation of Phase 2 in Q4 2025. This will provide additional time for the commissioning and ramp-up Phase 1, as well as to complete engineering studies aimed at upgrading the processing throughput capacity from the current nameplate of 300 t/d to 450 t/d.

Post-period Highlights

• Post period end, good mining process has continued, with the integration of MRE4 into the mining plan, which when combined with the increased grades from the fire-assay results allows optimisation of the mining fleet and more effective operations to target ore body.
• Construction, commissioning and calibration of the processing facilities has continued into Q2 2025.
• Positive progress has been achieved with increasing average daily processing rates continuing into Q2 2025, when including stoppages for commissioning, calibration and rotation, with process capacity regularly reaching 250 t/d.
• Average grades while in the commissioning and trial mining stage of a project vary, however as we experience more uptime from the processing unit, grades have been improving and in accordance with the mine plan.

Outlook for 2025

There has been significant operational progress since the conclusion of Q1 2025. With continued up time in mine development rates and processing throughput. We continue to target a run rate production of 300t/d in Q4 2025. During this commissioning phase and as a result of promising operational progress the Company expects full year gold production to be in the range of 5 – 20koz; a wide range at this stage due to the nature of the trial mining and commissioning year. This for example entails stopping operations while we install the final automated electrical systems, water system and the phase 2 flotation system. There is however potential to narrow this guidance range as we progress operations through the remainder of the year. Once full ramp up is achieved, the Company will provide its outlook for the full year run rate in 2026.

Details of conference call

A conference call for analysts and investors will be held this morning at 10:00 am BST, including a management presentation and Q&A session.

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

Financial Results

Financial Position

Detail of re-assayed results from Nalunaq Drilling

As previously reported in the Company¹, a number of underground drill results were reported using provisional detectORE assaying method ahead of being dispatched for offsite traditional fire assaying. These updated fire assay results have now been received from ALS Geochemistry in Ireland and are reported here. The new updated assay results provide for a significant upgrade in intersection grades due to the partial leach properties for the detectORE assay method. This further highlights the high grade nature of the orebody present within the Mountain Black at Nalunaq

1 Amaroq presents Nalunaq 2024 Exploration Results, 27,02,2025

2024/5 Underground Drill Locations Reported used detectORE Provision Data

*  logged, sampled and detectORE assays received

Projection WGS 84 UTM zone 23N

All core drilled using NQ diameter

Updated Mineralized Intervals Following Receipt of Fire Assay Results

True thickness calculated using Main Vein intersection angles recorded during geological logging and from 3D modelling in Leapfrog Geo software.

Sampling and QAQC Disclosure        

Core Drilling – Fire assaying

Underground drill core undergoes full core sampling without cutting to address volume variance effects. All drill core samples were placed into thick polymer bags with a sample ticket. All samples were prepared at ALS Geochemistry’s containerised preparation laboratory on-site at Nalunaq, before being packaged and sent to an accredited laboratory, ALS Geochemistry, Loughrea, Ireland, for analysis.

Sample preparation scheme PREP-31BY was used on all samples. This involves crushing to 70% under 2 mm, rotary split off 1 kg, and pulverizing the split to better than 85% passing 75 microns. Samples were then analysed by 50 g fire assay with method Au-AA26 which has a detection limit of 0.01 ppm Au. Samples containing visible gold and samples considered to be the Main Vein were assayed with screen-metallics fire assay technique Au-SCR24 which has a detection limit of 0.05 ppm Au. This involves screening 1 kg of pulverised sample to 106 microns followed by a gravimetric assay of the entire plus fraction and a duplicate 50 g AAS assay of the minus fraction.

Amaroq’s QA/QC program consists of the systematic insertion of certified reference materials of known gold content, blanks, and quarter core field duplicates at a rate of 1 in 20 or 5% per QA/QC type. In addition, ALS insert blanks and standards into the analytical process. The average sample mass was ~4 kg.

Enquiries:

Amaroq Minerals 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

For Company updates:

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Further Information:

About Amaroq Minerals

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 Minerals 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 Minerals and a Chartered Geologist with the Geological Society of London, and as such a Qualified Person as defined by NI 43-101.

Amaroq Minerals Ltd.

UNAUDITED CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

For the three months ended March 31, 2025

The attached financial statements have been prepared by Management of Amaroq Minerals 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 Minerals 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 Minerals Ltd. (the “Corporation”) 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.

These unaudited condensed interim consolidated financial statements for the three months ended March 31, 2025 (“Financial Statements”) were reviewed and authorized for issue by the Board of Directors on May 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.

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.

1.2 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.

2. CRITICAL ACCOUNTING JUDGMENTS AND ASSUMPTIONS (CONT’D)

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

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 9,282,650 as at March 31, 2025).

During the three months ended March 31, 2025, the Corporation classified the financial asset should be classified as a non-current asset since the amount will be settled during April 2026. As a result, an amount of $7,342,875 is classified as a non-current asset as at March 31, 2025 ($6,699,179 reclassified as at December 31, 2024).

7. MINERAL PROPERTIES

8. CAPITAL ASSETS

8. CAPITAL ASSETS (CONT’D)

Depreciation of capital assets related to exploration and evaluation properties is being recorded in exploration and evaluation expenses in the consolidated statement of comprehensive loss, under depreciation. Depreciation of $25,612 ($157,262 for the three months ended March 31, 2024) was expensed as exploration and evaluation expenses during the three months ended March 31, 2025. During the three months ended March 31, 2025, Buildings, Equipment, Infrastructure and Vehicles and rolling stock depreciation of $174,909 ($nil for the three months ended March 31, 2024) was capitalized to construction in progress.

As at March 31, 2025, the Corporation had capital commitments, of $33,181,956 ($16,232,290 as at December 31, 2024). These commitments relate to the continued development of the mine, construction and commissioning of the processing plant, purchases of mobile equipment and establishment of surface infrastructure.

During the first three months of 2025 the Corporation capitalised borrowing costs of $1,008,317 ($1,223,021 for the first three months of 2024) to construction in progress, which are included in additions. Borrowing costs included in the cost of construction in progress arose on the Corporation’s convertible note and loan payables. Refer to note 10 for details with respect to the interest rates on these loans.

9. ACCOUNTS PAYABLE AND ACCRUED LIABILITIES