Amaroq Ltd

Welcome everyone to the Amarok Minerals full year 2025 results webcast. Thanks for joining us. We're going to do a slightly different format than usual. There's no conference call line, so all questions will be written in via the webcast service. So please, if you have any questions, add those in and we'll deal with those at the end of the call. We'll follow the normal form today. Elder Holliston, the Chief Executive, will take you through the summary of the year and some strategic areas. Elliot Holliston will take you through some of the financials, and I'll finish off and host the Q&A at the end. So thanks very much for joining. Welcome, Elder and LT.

Thank you. Good morning, everybody. It's good to be with you here today. I want to turn your attention to the first slide. I want to start this meeting here just to kind of set the scene a little bit where Amrog is at the moment. Now, we have an operating mine where we've guided 25,000 to 35,000 ounces for 2026, a full year. first full year of production for our NALMAT mine. We have the West Greenland Hub which is our next development project which we are focused on putting together a feasibility study and some research development this year to start developing of that mine in 27-28. And then we have the Namco project, which we are actively pursuing to bring into resources. Now, in Gardak, we are drilling two early-stage projects, but very impactful projects, both in rare earth elements and iron ore. And then the two enablers to allow us to do all of this is Zuliac and Emix. Zuliac being a service venture that we've set up, and we just announced this morning about... cooperation with IFO and other green Arctic funds on that. This will help our working capital. It will help other mining companies and interest of the company green on working capital. And then IMEC, where we have finalized our feasibility study to start producing green energy at a size which will decrease our uses of diesel by 1.6 million liters, which will lower our operating costs and give more stability. At a glance, you can see we are one of the largest license holders, very prospective licenses. We have developed a mine now in Greenland. We are operating a mine. We are actively pursuing exploration. We have a large resource scale, both in Black Angel and in Naluna. And effectively, we have multiple company makers within NAMROC at the time. And we intend to use the experience from the great team that we built up today to develop these other opportunities as fast as possible. Taking you over to the next slide. So this is how we do it. This is effectively, you can look at this as a five to seven year plan within Amarok. Now, what you see here on the right is the NALMAC phase one operating, which is now in full scale production, where we are producing through gravity recovery, making a door bar on site every month now, generating good cash flow. Phase two we will have in, which is the floatation recovery. That means that we are taking moving recovery of the gold from each town from 65 all the way up above 90% recovery. Phase two is progressing on plan, on schedule. We will have that operating by June. And phase three is what we are analyzing now is to grow the potential production in Nalunok from 300 ton per day to 450 ton per day. So that is still being assessed, but we've assigned that. So this is where the production is going, where the free cash flow is providing the group. Now, Black Angel has a previous feasibility study that we are updating. It was a mine. We know the operating procedure. We're doing the same thing again, similar kind of a scale in terms of investment and in terms of timing from a very high-yielding asset. And then we're moving up there, which we call the elephant in Nanog, Kanka, Pint, Minitur, Ilua, up the value curve by drilling them and defining them. So, we can see that there's a huge value potential that we are building up within Amrock. Now, we turn to focus on the next slide. So, year to date, the production was above 6,000 ounces last year. We got our initial revenues. We went through various different aspects of selling and moving the gold out, selling it. We got an average gold price of about $3,600 per ounce. We transition our mining operation from kind of a contractor to an owner operating operation. This means that on site, Our biggest cost on site is effectively people. We now control all of our mining equipment, our own people. This has given us more efficiency, more control, and lower cost in the end. And this has been a very, very successful process so far. We acquired the West Greenland Hub in May last year. This sets us up. So as you can see, now we're operating and generating hardware from NALNAG. have a whole development team that is now moving towards the west finland hub to bring that mine into into production and while we've been doing that we've been had very successful exploration program uh in in uh other assets and and mainly nano that was what we drilled about five thousand meters last year and i just want to put this into perspective to the market that none of what we drilled about 27 holes, more than 63% of the holes that we drilled were hit gold mineralization. To put this into perspective, in Nalunag, one out of eight holes gave us a grade. In this instance, we were getting more than 63% of the hole. We're getting thick intersection all the way from one and a half meters up to nine meters with really, really high grade. So now our intention this year is that we are starting the infant drilling of this area, focusing on creating a maiden resource. and then multiplying the scale of drilling to declare hopefully what we think could be a resource and a scalable kind of potential work class resources. So last year we obviously finished getting to a 300 ton per day, we finalized our phase activities in terms of construction. So the last quarter was very construction heavy, which was a great result for us because it gave us the opportunity to produce really well during this first quarter and finalize phase two during this quarter and next quarter. I'm going to turn now over to Eller to walk you a little bit through our finances before we go again on giving you a bit of an outlook for this year.

Thanks, Elders. In Q4, we had sales of 1,949 ounces for gross proceeds of 10.7 million Canadian dollars, and the average prices we were able to sell at was 3,920 US per ounce. In comparison, gross revenue in Q3 was slightly higher at 12.8 million, and it was lower in Q4 due to the planned shutdown for commissioning activities that took place in the quarter. And as Elter mentioned, for the year as a whole, we recorded revenues of 27 million from the sale of 5,310 ounces. Expiration and devaluation expenses were 4.6 million in the quarter. Most of it was incurred at the Nano campaign, where we drilled roughly 5,000 meters this year with good results, as mentioned. and after incorporating other income and expenses the company recorded in at loss of 3.2 million for the period and moving on please on the balance sheet side cash balance at year ends it's at 21.5 million compared to 55 at the end of September and this is mainly driven by Continued capex, which was quite heavy in the quarter at Nalunag, mainly processing plant construction as well as stocking up of spares and consumables in relation to finalizing commissioning of phase one, and also driven by investments in a new mining fleet alongside taking over mining operations in Q4. We continue to see an increase in metals inventory, which stands at 15.8 million at quarter end, compared to 11 million at the end of Q3. This represents our gold contained in ore stockpiles, gold in circuit in the processing plant, as well as gold-bearing tailings, which we will be bringing back to the processing plant once phase two is operational in Q2. So that puts us at total current assets of 67 million at year end. On the non-current assets, the main Movement here, consistent with prior periods, is a $30 million increase in capital assets to $252.7 million at year-end. Again, driven by the NALONAC project and the 300-time-per-day processing plan. On the liability side, accounts payable stay roughly the same between quarters at around $20 million. A change here between current and non-current liabilities is the amendment to our RCF facilities we announced in Q4 where we extended the facilities to February 2028. So that takes them from current liabilities to non-current liabilities. So, total liabilities at 74.4 million at year-end, which results in an equity ratio of 79%. And on the bottom there, you will see cash balance at Gardak, our joint venture, at 2.6 million, with not very much activity in Q4. So, moving on to cash flow. So we recorded a net loss of 18.6 million for the year after adjusting for non-cash items, cash flow used in operating activities, negative 30 million roughly, and cash flow used for investing activities at 84 million roughly, which represents the CapEx at our Nalunag project predominantly. And against that, we had positive cash flow from financing activities of 90 million, which is mostly due to an equity raise that was closed in June of last year of 80 million, roughly, and a drawdown on our facilities of about 10 million. So all in all, this results in a reduction of cash flow of 23 million throughout the year, 23.6. And our cash balance was sitting at 21.5 million at year end. And in access of that, we had on-ground credit facilities of 8.9 million at year end. The table on the bottom is where we show the main cash flow movements in relation to the NALONAC project in and of itself. Now that that is closing completion. Closing to completion, we had a total of about 25, roughly, outflow of cash due to additions to capital assets. And then we had, as previously stated, we were stocking up on supplies and consumables in relation to the commissioning of phase one and increasing our metals inventory as well. I think that's it on this one. Thank you, Ed. Back to you, Elder.