REG - Oracle Power PLC - Farm-out of Northern Zone Gold Project

Oracle PowerAnnouncement

09/05/2023 07:15

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RNS Number : 6739Y  Oracle Power PLC  09 May 2023

9 May 2023

Oracle Power PLC

("Oracle" or the "Company")

 

Farm-out of Northern Zone Gold Project, Kalgoorlie, Western Australia

 

 

Oracle Power PLC (AIM:ORCP), is pleased to announce that it has signed a
binding Heads of Agreement ("HOA") with ASX-listed Riversgold Limited
("Riversgold"), which will farm-in to licence P25/2651, known as the Northern
Zone Gold Project, located 25 km east of Kalgoorlie in Western Australia (the
"Northern Zone Project" or the "Project").

 

The agreement gives Oracle exposure to the upside of potential exploration
success and thereafter development of the Northern Zone Project.

 

Key Terms:

·    Riversgold to farm-in to the Northern Zone Project with the right to
earn up to 80% beneficial interest via:

o  Immediate cash consideration of A$50,000 payable to Oracle

o  Exploration Expenditure (examples of which are set out in the HOA) of not
less than A$600,000 within the next two years.

·    Riversgold has the option to withdraw if it has incurred A$200,000 of
Exploration Expenditure in the first year.

·    Thereafter Oracle to retain 20% interest, which would be funded at
its sole discretion under a joint venture agreement that would be put in
place.

 

Naheed Memon, CEO of Oracle, commented:

 

"I am extremely pleased to have signed this deal with Riversgold, which is
well funded and has a strong presence in Western Australia, with complementary
gold projects nearby at Kurnalpi. The gold system encountered at the Northern
Zone Project has potential scale, with a multi-million-ounce gold exploration
target, identified by Oracle, and substantiated by widths of gold
mineralisation over 100m in drilling. With the gold price moving from
approximately A$2,500 per ounce, to over A$3,000 per ounce, the Northern Zone
Project, as an exploration play, is ever more compelling. Riversgold plans to
be on the ground quickly and is, overall, very well placed to generate value
for Oracle's shareholders."

 

About Northern Zone Project:

The Northern Zone Project is comprised of one granted prospecting licence
(P25/2651) which covers an area of 82 hectares (Figure 1). The Project is
located in an area highly prospective for gold and is approximately 25km east
of Kalgoorlie, the home of the 'Super Pit' mine, the second largest gold mine
in Australia.

 

 

*ENDS*

 

For further information on Oracle Power Plc, visit the Company's website
http://www.oraclepower.co.uk (http://www.oraclepower.co.uk) or contact:

 

Oracle Power PLC

Naheed Memon - CEO
                                 +44 (0) 203 580 4314

 

Strand Hanson Limited (Nominated Adviser)

Rory Murphy, James Harris, Rob Patrick
                 +44 (0) 20 7409 3494

 

 

Buchanan (Financial
PR)
+44 (0) 203 7466 5000

Oonagh Reidy/ Abigail
Gilchrist

 

This announcement contains inside information for the purposes of Article 7 of
EU Regulation No. 596/2014, which forms part of United Kingdom domestic law by
virtue of the European Union (Withdrawal) Act 2018, as amended.

 

Figure 1: Northern Zone Project location map showing proximity to the
Kalgoorlie "Super Pit"

 

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