Q1 2025 Financial Results

TORONTO, ONTARIO – 14 May 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 Q1 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 10:00am BST, details of which can be found further down in this announcement.

Eldur Olafsson, CEO of Amaroq, commented:

“As outlined at the time of our full year 2024 results, the pace of construction and commissioning activities at our Nalunaq plant during the first quarter of the year was understandably slow, due to the winter conditions in Greenland. However, I am very pleased to report good progress so far in the second quarter within our plant commissioning and particularly in our mining operations. We utilised the winter months to mine the development tunnels, giving us access to the orebody in the Mountain Block, and I am pleased to say that towards the end of the Quarter we have been achieving rates of up to 220t/d of ore, which is being stockpiled. We are now in the final stages of agreeing mining KPIs with our contractor, Thyssen to support feeding the plant with enough ore to allow 300t/day processing capacity by the end of the year. I am also pleased to note steadily improving throughput rates at our processing facility, although it must be noted that this period is about testing each component within the facility, so we can then commission and calibrate Phase One and plan the construction of Phase Two.

“Also during the quarter, we announced a 51% increased Mineral Resource, including a maiden Indicated resource for Nalunaq with MRE4. Exploration drilling at Nalunaq from 2022-24 has been a huge success, validated by MRE4 and confirming the exploration upside and mine scale potential, enabling us to ultimately mine more accurately and increase mine life confidence. MRE4 is being integrated into our dynamic mine plan, allowing the mining teams to optimise their efforts. When combined with the updated KPIs set with our mining contractor, this enables us to deliver the right tonnage and grade to the processing facility.

“While we remain in the commissioning and construction phase at Nalunaq, I am encouraged by progress to date and, with conditions continuing to improve in Southern Greenland as we head into summer, our teams are working hard to deliver our targeted throughput by the end of the year and a busy exploration season.”

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

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

Original assaying performed by detectORE™

Repeat assaying performed by fire assay methods

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.

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.

Amaroq Minerals Ltd.

Eldur Olafsson, Executive Director and CEO

Ed Westropp, Head of BD and Corporate Affairs

Eddie Wyvill, Corporate Development

Panmure Liberum Limited (Nominated Adviser and Corporate Broker)

Scott Mathieson

Nikhil Varghese

Canaccord Genuity Limited (Corporate Broker)

James Asensio

Harry Rees

Camarco (Financial PR)

Billy Clegg

Elfie Kent

Fergus Young

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