PGM Production

Amigo Resources PLC (LSE: AMGO) is pleased to announce the successful production of metal ingots with Gold and platinum group metals (“PGMs”) (the “Ingots”).

Highlights

• Ingots produced from mineral concentrates generated from the Company’s Tanzanian operations.
• Ingots weighed a total of approximately 16.75 kgs, with contained Osmium and Iridium elements of 2.265%.
• 12 tonnes of concentrate produced, to be used in the same metallurgical process to produce further Ingots.
• By combining physical beneficiation, concentrate upgrading and copper-assisted pyrometallurgical processing, Amigo aims to recover additional valuable metals alongside its existing gold recovery activities.
• Using the existing 12 tonnes of concentrate inventory further metallurgical trials, independent assays and mass-balance studies will be undertaken to validate recovery performance and optimise operating parameters.

Production and Commissioning Update

The Ingots were produced using mineral concentrates generated from the Company’s Tanzanian operations, together with locally sourced copper used as a collector metal in the metallurgical process.

This represents an important technical milestone in Amigo’s strategy to develop an integrated recovery process capable of producing gold and potentially recovering PGMs and other valuable metals from its mineral processing operations.

In addition to producing the Ingots, the Tanzanian operations have produced 12 tonnes of concentrate as part of their testing and commissioning of the processing plants. This concentrate will be used in the same metallurgical process to produce further Ingots.

Ingots Metal Composition

Based on the Company’s internal testing, the Ingots:

Critical analytical qualification: these are preliminary readings preparing by the Company’s internal testing. Independent representative assays, including suitable PGM methods, are required before treating osmium, iridium or gold quantities as confirmed metal inventory. They do not establish representative bulk grade or actual one-tonne production.

On a purely illustrative one-tonne product-equivalent basis, these preliminary readings prepared from the Company’s internal testing correspond to approximately 19.76 kgs of osmium and 2.87 kgs of iridium, representing a combined indicated concentration of 2.265% (or 379 gms) in the Ingots. The Company considers this an important step, given the potential significance of these platinum-group elements within specialised metallurgical applications.

Preliminary Metal Valuation

Based on preliminary Internal analysis, the Company has calculated an indicative gross contained metal value of US$1.05 million per tonne of produced ingot, using reference market prices1.

This indicative valuation remains subject to independent laboratory confirmation of metal grades, representative sampling, refining recoveries and applicable commercial terms. It should not be interpreted as an estimate of realised or payable value.

Amigo is in discussions with prospective offtake and refining partners regarding the potential commercialisation of its PGM-bearing metal products, including what percentage of the contained metal value is realised by the Company.

Integrated Precious Metals Recovery

The combined contained metal content of Osmium and Iridium of 379 grams in the produced Ingots was extracted and produced from 5 kgs of concentrate. This was supplemented with the addition of approximately 10 kgs of copper, which is used as a collector metal in the metallurgical process.

The initial production represents an encouraging step towards the Company’s objective of maximising the recovery of valuable metals throughout its mineral processing chain.

By combining physical beneficiation, concentrate upgrading and copper-assisted pyrometallurgical processing, Amigo aims to recover additional valuable metals alongside its existing gold recovery activities.

The Company believes this approach has the potential to improve overall resource utilisation and establish additional commercial opportunities from its mineral concentrates.

Progressive Metallurgical Optimisation

The Company is continuing a structured programme of metallurgical optimisation, focusing on refining the composition of the furnace charge, copper collector ratios, flux chemistry, temperature control and successive fusion stages.

The objective is to improve metal collection efficiency, reduce losses to slag and other residues, enhance product consistency and establish a repeatable and commercially scalable process.

Using the existing 12 tonnes of concentrate inventory further metallurgical trials, independent assays and mass-balance studies will be undertaken to validate recovery performance and optimise operating parameters.

Craig Ransley, Executive Chair of Amigo Resources PLC, commented:

“The production of these metal ingots with the contained metal content represents an exciting step forward in Amigo’s metallurgical development programme.

Our strategy is to maximise the value recovered from the mineral material passing through our processing operations, combining gold recovery with the potential recovery of additional precious metals.

We are encouraged by these initial results with 379 gms of Osmium and Iridium produced from 5 kgs of concentrate produced from the Tanzanian operations … yet remain focused on independently validating the metal content, continuously improving our metallurgical process and progressing discussions with potential offtake partners.

Whilst there is no certainty the existing concentrate contains the same metal content … based on the contained metal content in these Ingots produced from the Company’s internal testing, the concentrate on hand when used in the metallurgical process could contain in excess of 800 kgs of Osmium and Iridium … which could lead to the production of in excess of 30 tonnes of ingot.

We believe this work could create an important additional dimension to Amigo’s long-term production strategy.”