2024 Full Year Financial Results

Reykjavík, March 28, 2025 (GLOBE NEWSWIRE) -- ("Amaroq" or the "Company")

2024 Full Year Financial Results

2024 - a pivotal year marking the transition from developer to producer at our flagship Nalunaq mine

TORONTO, ONTARIO - 28 March 2025 - Amaroq Minerals Ltd. (AIM, TSX-V, NASDAQ Iceland: AMRQ), an independent mining company with a substantial land package of gold and strategic mineral assets in Southern Greenland, is pleased to announce its Q4 and FY 2024 Financial Results and an update on planned exploration activities for 2025. All dollar amounts are expressed in Canadian dollars unless otherwise noted.

A remote presentation for analysts and investors will be held later today at 9:00am GMT, details of which can be found further down in this announcement.

Summary

• First Gold Pour at the flagship Nalunaq Gold Mine in November 2024 and construction of the processing plant and camp at Nalunaq expansion continued in Q4 2024.
• Wide-spread Nalunaq exploration campaign in 2024, across the Nalunaq Target Block Extension zone, 75 Vein and Surface zone.
• Additional exploration campaign at the Nanoq target, indicating high-grade gold potential.
• Extensive additional exploration across non-gold portfolio, including the Stendalen Cu/Ni project and further scout drilling across South Greenland Copper Belt.
• Successful GBP 27.5 million (CAD $49.0 million, ISK 4.8 billion) fundraise in December 2024 to new and existing investors.
• A new two-year senior secured debt financing package of up to US$35 million signed with Landsbankinn, increasing financial flexibility and liquidity.
• Continued progress to form a Servicing and Logistics business unit and assess potential for developing hydro-power as a source of renewable energy for Nalunaq.
• Outlook for 2025 - Focus on optimising operations at Nalunaq through Phase 1 commissioning to bring it up to nameplate capacity of 300 t/d.
• Post period end, an updated Material 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.
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"I am very proud of the entire Amaroq team and our wider support teams, who have worked tirelessly during 2024 to progress all the facets of our business; from the very successful development and exploration drilling at Nalunaq, to the construction and expansion of the processing and mining facilities at site and further delineation of the non-gold asset base in Southern Greenland.

"Looking forward into 2025, although first gold pour marked a significant moment, the real work we have been undertaking throughout the first quarter of this year, has been in the commissioning of the processing facilities, mining operations and logistics, in order to establish a stabilised rate and bring the facilities up to the name plate capacity of 300 t/d by the end of 2025. In line with this and following some standard commissioning issues over the winter months, which resulted in delays to the original ramp up schedule, we are working hard on completing the commissioning and remaining construction in the spring and summer months, taking advantage of the more clement weather conditions.

"Across the wider exploration portfolio, we have an active field season planned for 2025, in particular at Nanoq, where we have designed a comprehensive multi-rig drill programme. Greenland's resource potential and proximity to the world's largest markets for commodities holds; it is a very exciting time to be the largest licence holder in South Greenland.

"Post period end, I was also pleased to note the results from the updated mineral resource estimate, which the significantly increased the contained gold at Nalunaq, by over 51% to over 484koz, demonstrating the robust expansion potential of the Nalunaq deposit. Significantly, this increase also extends the potential mine life to ~10 years from the original preliminary estimate of ~6 years¹.”

Further detailed information

FY 2024 Corporate Highlights

• Amaroq group liquidity of $50.5 million consisting of cash balances, undrawn revolving credit facility less trade payables ($26.0 million as of September 30, 2024).
• Gold business working capital before convertible note liability and loan payable of $47.6 million that includes prepaid contractors on the Nalunaq project of $10.2 million as of December 31, 2024 ($37.9 million that includes prepaid contractors on the Nalunaq project of $17.8 million as of September 30, 2024).
• The Gardaq Strategic Minerals Joint Venture has available liquidity of $4.8 million as of December 31, 2024 ($8.3 million as of September 30, 2024).
• On December 17, 2024, Amaroq closed its fundraising pursuant to which it raised gross proceeds of approximately GBP 27.5 million (CAD $49.0 million, ISK 4.8 billion) through a placing of 32,034,664 new common shares, issued at a price of 86 pence (CAD $1.53, ISK 151) per new common share.
• On December 30, 2024, Amaroq entered a credit agreement with Landsbankinn, for a 2-year senior secured debt financing package of up to US$35 million, simplifying the structure of its debt facilities and increasing financial flexibility and liquidity.
• Amaroq continues to progress its Servicing and Logistics business unit and assess potential for developing hydro-power as a source of renewable energy for Nalunaq.

• First Gold Pour at Nalunaq Gold Mine took place on November 27, 2024, producing 1.2 kilograms (39 troy ounces) of gold following a 10-hour processing period.
• Construction of the processing plant continued in Q4 2024, including the installation of the gravity circuit, ball mill, feed conveyor, reclaimer, e-house, gold room shaking table, concentrator, furnace and oven and the thickener.
• A new wing was completed at the Nalunaq camp and is now in operation, increasing camp capacity to 120 people.
• Following approval of the Environmental Impact Assessment (EIA) and Social Impact Assessment (SIA) for Nalunaq by the Government of Greenland, the Impact Benefit Agreement is expected to be formalised by 30th June 2025.
• 13 drill holes and 3112.76 meters of new core drilling completed across the Nalunaq Target Block Extension zone, 75 Vein and Surface zone.
• 2 drill holes and 133.1 meters of core drilling at the Nanoq target, indicating high-grade gold potential.
• 6 drill holes and 4,733 meters of exploration drilling conducted at the Stendalen Cu/Ni project.
• Further scout drilling carried out across the 120km-long South Greenland Copper Belt, comprising 4 drill holes and 751.9 metres across the Target North and Josva targets.

• A significant 51% increase in overall contained gold, to 157.6koz Indicated plus 326.3koz Inferred, demonstrating the robust expansion potential of the Nalunaq deposit.
• The inclusion of a maiden Indicated Mineral Resource category, supporting potential future conversion to Mineral Reserves and advancing the project's development.
• Total maiden Indicated Mineral Resource of 151Kt @ 32.4g/t Au for 157.6koz Au, with an additional 348Kt @ 29.2g/t Au for 326.3koz Au in the Inferred category, as reported in accordance with CIM Definition Standards by Bara Consulting Ltd. (Bara).
• This growth in Mineral Resource provides the potential to increase the estimated mine life from ~6 years to ~10 years¹.
• MRE4 incorporates extensive new data up to and including the 2024 exploration programme, underscoring the continued success of Amaroq's systematic drilling campaigns.
• Key resource expansion in the Valley Block and Mountain Block extension areas, reinforcing the potential for further growth.
• This updated resource estimate will inform the next phase of mine design, project planning, and strategic development initiatives. Amaroq is committed to ongoing exploration in 2025 to further enhance and expand this already significant resource base.
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As a result of standard commissioning issues while working in Southern Greenland over the winter months, which resulted in some delays, and impacted commissioning activities in December 2024 to March 2025, the Company will provide processing throughput and production estimates for the full year at the time of the Q1 results on 14^th May 2025, as we concentrate on stabilising operations in order to achieve the ramp-up to 300 t/d in Q4 2025.

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.

Corporate strategy and business model

Alongside the Company's focus on its two key pillars of mining development and exploration, Amaroq Minerals is also actively pursuing two further, value accretive business lines, which will complement the Company's existing operations and enhance the ability to drive further cashflow opportunities from the asset base:

• Services and logistics - Amaroq continues to develop opportunities in support of its operations in Greenland. Given the working environment and physical access to the mine and plant, the Company has been pursuing a strategy to de-risk mining activities through the procurement and operation of proprietary servicing and logistics infrastructure, such as drilling rigs, marine equipment and camp facilities. During 2025, it is anticipated that other mining and infrastructure operators within the region will look to utilise this provision of Amaroq's equipment and services, generating additional revenue.
• Renewable energy generation - Power generation and energy provision are one of the largest, most expensive and polluting cost items within remote mining operations. The Company is committed to harnessing the Nordic region's abundant renewable energy resources to support its mining activities. In order to de-risk the future life of mine at Nalunaq, whilst at the same time investing in technologies to power the future mines, the Company will be conducting a pre-Front-End Engineering Design (FEED) study for the construction of at least one mega watt ("MW”) of hydro power within close proximity of Nalunaq. Once the FEED studies are completed, it is anticipated that construction work could commence, and power generation will occur in 2026.
• Geopolitics - Greenland's resource potential and proximity to the world's largest markets for commodities has attracted a heightened level of political, as well as media interest. In terms of the geopolitical interest in Greenland; by the end of the period, the US had elected a new president who had publicly declared his intentions of engaging more with Greenland as a resources province. The practicalities of this heightened geopolitical interest, is that the Company is actively pursuing multiple opportunities, to leverage the increased interest and focus on Greenland and the companies who are active in the province.
• Listing- As previously communicated, in 2025 Amaroq is considering upgrading one of its junior listings onto a main market of an international stock exchange, in order to access further market liquidity and broader investor base. However, there can be no certainty in regard to timing or promotion of any such undertaking and further details will be shared with the market as appropriate.

The Company is committed to ongoing exploration in 2025 to further enhance and expand our already significant resource base ultimately delivering long-term value to our shareholders.

Gold Projects

Following the successful completion of the exploration programmes in 2024, and having incorporated these and results from 2022 and 2023 into an updated Mineral Resource Estimate, the Company is conducting an assessment of the underground drilling options available in 2025, to provide further confidence in the resource growth potential within the Mountain Block. Further underground drilling at the Target Block extension are also being reviewed. The Company is considering further field assessments, sampling and drilling across the Eagle's Nest target and others in the vicinity of Nalunaq in 2025.

The 2024 Nanoq drilling campaign yielded encouraging high-grade results, following which Amaroq is preparing for a comprehensive multi-rig 2025 drilling programme to further evaluate Nanoq's potential and work towards delineating a Mineral Resource. The Company is also exploring the feasibility of bulk sampling and processing at the Nalunaq facility in 2026/27, which could offer additional insight into Nanoq's high-grade potential and economic viability.

Strategic Minerals Projects (51% ownership through Gardaq Joint Venture)

As further geophysical, geological and assay results are received for Stendalen, the Company will develop a refined 2025 exploration programme, which may include a targeted core drilling programme into blind sulphide conductors, which were defined by the 2024 drilling results.

In addition, the Company intends to continue its work across the Sava Copper Belt, with a number of porphyry and epithermal copper subject matter experts, in order to develop a systematic exploration programme of the belt, prioritising the most prospective areas in order to define a resource base. Further ground studies of the Ukaleq target are also planned, which may also include initial scout core drilling.

Amaroq also plans to expand its Rare Earth and Critical Metals exploration efforts across Paatasoq and other identified potential licence areas.

Details of conference call

A conference call for analysts and investors will be held this morning at 09:00am GMT, including a management presentation and Q&A session.

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

https://us06web.zoom.us/j/86230049688

Financial Results

Amaroq Minerals Ltd.

Eldur Olafsson, Executive Director and CEO

eo@amaroqminerals.com

Ed Westropp, Head of BD and Corporate Affairs

+44 (0)7385755711

ewe@amaroqminerals.com

Eddie Wyvill, Corporate Development

+44 (0)7713 126727

ew@amaroqminerals.com   

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

amaroq@camarco.co.uk

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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

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.

AUDITED CONSOLIDATED FINANCIAL STATEMENTS

For the years ended December 31, 2024 and 2023