REG - Caracal Gold PLC - Tanzania Completion Update

Caracal GoldAnnouncement

22/06/2023 12:30

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RNS Number : 6178D  Caracal Gold PLC  22 June 2023

22 June 2023

Caracal Gold plc

('Caracal' or the 'Company')

Tanzania Completion Update

Caracal Gold PLC, the expanding East African gold producer with over
1,300,000oz JORC compliant gold resources, makes the following updates.

On 22 May 2022 the Company signed an acquisition agreement (the "Acquisition
Agreement") with Mr. John Mark Stanley and Mr. Nicholas Clarke (the "Vendors")
for the purchase of the Nyakafuru Gold Project in Tanzania.

The Acquisition Agreement contained consideration terms including certain
deferred payments and a net smelter royalty, (the "Consideration") as set out
in the Company's announcement of 31 May 2022.

On 21 June 2023 it was agreed to settle all outstanding amounts due to the
Vendors under the Acquisition Agreement through the issuance of 133,333,334
shares in full and final settlement of the Consideration, the ("Consideration
Shares").

It should be noted that the Consideration Shares, when issued, will be fully
paid and will rank pari passu in all respects with the existing ordinary
shares. On 15 May 2023, the Company announced that it had submitted a draft
prospectus to the Financial Conduct Authority for approval. The Company
continues to work with its advisers to seek approval of the prospectus by the
Financial Conduct Authority. It is intended that the Subscription Shares will
be admitted to trading on the Standard Segment of the Main Market of the
London Stock Exchange ("Admission") conditional only on the publication of the
Company's prospectus. Further details of Admission will be included in the
Company's prospectus when it is published.

Robert McCrae, Chief Executive commented:

"Closing out the acquisition of the Nyakafuru project is a key step to allow
us to finalize the Joint Venture for the development of the project, we look
forward to providing the details of the Joint Venture to the market in the
near future."

 

This announcement contains inside information for the purposes of Article 7 of
the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law
by virtue of the European Union (Withdrawal) Act 2018 ("MAR") and is disclosed
in accordance with the Company's obligations under Article 17 of MAR.

* * ENDS * *

For further information visit www.caracalgold.com or contact the following:

 Caracal Gold plc

 Robbie McCrae                                       robbie@kilimapesa.com (mailto:robbie@kilimapesa.com)
 VSA Capital Ltd                                     +44 203 005 5000

 Financial Adviser and Broker

 Andrew Raca (Corporate Finance)
 DGWA, the German Institute for Asset and            info@dgwa.org

 Equity Allocation and Valuation

 European Investor and Corporate Relations Advisor

 Katharina Löckinger

 

Notes:

Caracal Gold plc is an expanding East African focused gold producer with a
clear path to grow production and resources both organically and through
strategic acquisitions. Its aim is to rapidly increase production to
+50,000ozs p.a. and build a JORC compliant resource base of +3Moz. The company
is progressing a well-defined mine optimisation strategy at its 100% owned
Kilimapesa Gold Mine in Kenya, where there is significant mid-term expansion
potential and the ability to increase gold production to 24,000oz p.a. and the
resource to +2Moz (current JORC compliant resources of approx. 706,000oz).
Alongside this, Caracal is undertaking a targeted exploration programme at the
Nyakafuru Project in Tanzania, which has an established high-grade shallow
gold resource of 658,751oz at 2.08g/t contained within four deposits over 280
km2 and appears amenable to development as a large scale conventional open pit
operation.

Caracal's experienced team has a proven track record in successfully
developing and operating mining projects throughout Africa.

The Company is a responsible mining and exploration company and supports the
positive social and economic change that it contributes to the communities in
the regions that it operates. It is a proudly East African-focused company: it
buys locally, employs locally, and protects the environment and its employees
and their families' health, safety, and wellbeing.

 

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