Akobo Minerals, a Swedish, Africa-focused gold mining company, has laid the foundation stone at its under-construction prospective mining and gold production facility in Segele, Ethiopia.

The company said that it would produce approximately 45,000 ounces of gold a year once the mine site is fully operational.

It noted that future production rates might increase depending on future innovations and upgrades of the processing plant; the long-term goal is to produce between 1.5 - 2 million ounces of gold.

Akobo Minerals, traditionally a pure exploration company, will use the Segele mine site to launch its mining business, for which it was supported by the national government and local authorities. It said the latest studies and reports show there will be "significant" opportunities for mining in Segele in the near future.

Jørgen Evjen, chief executive officer of Akobo Minerals, said it aims to become the leading exploration and mining company in Ethiopia in the coming years.

In December 2021, Akobo Minerals acquired three second-hand Diamec 262 drill rigs, including spare parts, from Swedish drilling equipment manufacturer Protek Norr AB.