Allied Gold Reports Significant Exploration Advancements at Kurmuk

Core Viewpoint - Allied Gold Corporation is advancing its exploration and development activities at the Kurmuk mine in western Ethiopia, emphasizing the potential for significant mineral resource growth and production capacity expansion [1][2]. Exploration Program and Highlights - The Kurmuk mine is located within the Arabian-Nubian Shield, approximately 500 kilometers from Addis Ababa, and is expected to start operations in mid-2026, targeting an average production of approximately 290,000 gold ounces per annum over the first four years at All-In Sustaining Costs (AISC) below $950 per ounce [2][3]. - Initial Proven and Probable Mineral Reserves are estimated at 2.7 million ounces, with Measured and Indicated Mineral Resources at 3.1 million ounces [3][19]. - The five-year exploration goal aims to increase Mineral Resources to 5 million ounces, with a target of adding over 1.5 million ounces in addition to the current inventory [3][18]. Drilling and Resource Expansion - Recent drilling activities have focused on infill drilling at Dish Mountain and exploration of Northern Prospects, with significant intersections of gold mineralization reported [5][24]. - The exploration plan includes expanding existing Mineral Resources near Ashashire and Dish Mountain, with a focus on higher-grade zones [4][8]. - The company aims to extend the mine life to a minimum of 15 years and sustain higher production levels beyond the initial four years [8][19]. Target Areas and Future Plans - Key target areas include Ashashire, Tsenge, Dul Mountain, and Urchin, with specific three- to five-year targets set for each area [9][66]. - The exploration program has identified over five additional target areas with known gold mineralization, which could contribute to future Mineral Resources and Reserves [20][71]. - A drone magnetic survey and deep-penetrating IP surveys are planned to further define the extents of the mineralized systems [27][20]. Technical Discussion - The current Mineral Reserves at Ashashire and Dish Mountain total 2.74 million ounces at a grade of 1.41 g/t Au, while Measured and Indicated Mineral Resources total 3.12 million ounces at 1.68 g/t Au [19][22]. - Gold mineralization is primarily hosted in quartz-carbonate-pyrite veins associated with sheared lithological contacts, with visible gold occurrences noted at several deposits [22][33]. Summary of Recent Drilling Results - Significant drill results include multiple intersections at Dish Mountain and Tsenge, with grades exceeding reserve grades in some areas [10][12][14]. - The exploration results indicate a high prospectivity for the land package, with ongoing work expected to enhance the mineral inventory [18][21].