Osino Resources Continues Fast Track to Production at Twin Hills Gold Project in Namibia

• Osino Resources, a Canadian gold mining exploration and development company, is active in Namibia, working on the Twin Hills project.
• The company plans to publish a definitive feasibility study in June and aims to fast track the project. This will include a new mineral resource model.
• The main focus of recent drilling has been converting inferred resources into indicated resources and achieving more clarity for definitive feasibility.
• In terms of financing, OSI expects costs around 375 to 400 million dollars. The company is considering a mix of debt, equity, and possibly streaming finance.
• Apart from the definitive feasibility study, the company will focus on front-end engineering design, financing activities, and exploring other potential opportunities in the region.

About Osino Resources

Osino Resources Corp. (OSI) is a Canadian-listed gold mining, exploration and development company focused on advancing its flagship Twin Hills gold project in central Namibia. The company made a significant discovery at Twin Hills in 2019 and has been working to fast-track the project to production over the past couple years. Osino is led by founder and CEO Heye Daun, who brings extensive mining engineering and project development expertise.

Interview with Heye Daun, CEO of Osino Resources

Feasibility Study and Resource Update On Track for June

Osino remains on schedule to publish a definitive feasibility study (DFS) for Twin Hills in mid-June 2022, according to Daun. The DFS will incorporate an updated mineral resource model, with new indicated and inferred resource figures. Most of Osino's recent drilling has focused on converting inferred resources to indicated, in order to include more resources in the DFS. While the company is still finalizing details, Daun indicated the new resource model may reflect a modest increase in ounces from new mineralized zones discovered through expansion drilling.

Overall, the Twin Hills project layout and process design remains similar to that outlined in the September 2021 pre-feasibility study (PFS). Some optimizations have been made, such as removing a high pressure grinding roll from the comminution circuit and adding a filtration stage for the dry stacked tailings. These changes are expected to maintain a similar capital cost estimate as the PFS, which estimated initial capex at $375M. Annual production is projected at 175,000 ounces over a 13 year mine life.

Front-End Engineering and Project Financing Plans

Following release of the DFS, Osino plans to immediately commence a 3-5 month front-end engineering and design (FEED) phase. According to Daun, the FEED study will allow the company to begin ordering long-lead equipment and advance detailed engineering. Concurrently, Osino will work to build out its project execution team by hiring key positions like a Project Director and contacting firms to provide EPCM services during construction.

On the financing side, Osino has identified a lead project financier that may provide 60-70% of the initial capex requirement through a combination of debt and a streaming agreement. The remainder would need to be raised through an equity financing, likely in Q4 2022 following the FEED study and execution of final loan agreements. Daun emphasized evaluating a range of strategic options, including potential partnerships, to determine the optimal development path and capital structure for Twin Hills.

Exploration Upside Beyond Twin Hills

While the current development focus is on Twin Hills, Osino controls a significant regional exploration portfolio with numerous targets beyond the main deposit area. The company plans to increase exploration spending over the coming year, both through self-funded work and by securing partnerships to advance projects and crystallize value. Continued exploration success could provide significant upside beyond the initial Twin Hills mine plan.

Conclusion

With permitting largely in place, a DFS and FEED study imminent, and financing plans progressing, Osino remains firmly on the path towards gold production at Twin Hills by 2024/2025. The company offers investors exposure to a sizable project with exploration upside in a stable, mining-friendly jurisdiction like Namibia. Execution risks remain, as they do with any development project, but the Osino team has the experience and drive to overcome the remaining hurdles. The next few months promise to be an exciting period, with several potential catalysts that could demonstrate the value proposition for investors.