REG - Oracle Power PLC - Northern Zone: Improved Gold Recovery up to 94.7%

Oracle PowerAnnouncement

13/06/2022 07:00

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RNS Number : 5623O  Oracle Power PLC  13 June 2022

13 June 2022

Oracle Power PLC

("Oracle" or the "Company")

 

 

Improved Gold Recovery of up to 94.7% Received from Further Positive
Metallurgical Results

Northern Zone Gold Project

 

 

Oracle Power PLC (AIM:ORCP), the international natural resources project
developer, is pleased to announce that further positive metallurgical results
have been returned from the three samples from its 100% owned Northern Zone
Gold Project, located 25km east of Kalgoorlie in Western Australia ("Northern
Zone" or the "Project"). The samples were submitted to Nagrom in Perth for
cyanidation bottle roll tests. The results indicate that an average gold
recovery of 88% over 12 hours and 92.9% on average over 24 hours can be
achieved from the three samples. The positive metallurgical results to date
form the basis for a drill programme to define a maiden inferred JORC
resource.

 

Highlights:

·    Metallurgy results from the three samples include:

o  Drill head grade (average) of 0.79g/t Au

o  92.9% (average) of gold extraction after 24hr bottle roll from three
samples

o  Very low copper content of 2ppm into solution

·    An Exploration Target of 200-250Mt at 0.4-0.6g/t Au for 2.5-4.8Moz
gold, has been generated based on results to date.

·    Northern Zone is an Intrusion Related Gold System (IRGS) with wide
gold mineralised felsic porphyry intrusions. This type of system can host
significant ounces of gold, such as Boddington Goldmine (WA), Fort Knox
(Alaska), Dublin Gulch (Yukon) and Timbarra (NSW).

·    Diamond and reverse circulation drilling programme to define a maiden
inferred JORC resource has been designed and is expected to be finalised in
the coming weeks.

 

 

The first set of results previously announced (9 June 2022) indicated that
good gold recoveries can be achieved within 6 hours of 83.3%, and up to 90.4%
gold recovery over 72 hours. The results announced today (Table 1) utilise a
set of conditions/parameters (Kinetics) based on the previous result, but
changed to improve recoveries, with a maximum individual recovery from sample
2 of 94.7% after 24 hours, with an average recovery of 92.9% after 24 hours.
Based on the previously announced Exploration Target of 200-250Mt at
0.4-0.6g/t Au for 2.5 to 4.8Moz Gold, these further positive metallurgical
results form the basis for moving forward with drilling to define a maiden
inferred JORC resource.

 

Naheed Memon, CEO of Oracle, commented:

 

"Further positive metallurgy and improved recovery results at Northern Zone
from refining metallurgical conditions is a great result, with average gold
recovery of 88% over 12 hours and 92.9% over 24 hours from the three samples
submitted to Nagrom.

 

"As previously stated, we have defined a large exploration target of 2.5 to
4.8Moz gold and, with excellent potential gold recovery, this gives us the
confidence to progress to the next step of confirming our belief in the tonnes
and grade of the gold deposit. Northern Zone is a priority for the Company and
is currently the main focus in Australia."

 

About Northern Zone Project:

The Northern Zone is comprised of one granted prospecting licence (P25/2651)
which covers an area of 82 hectares. The Project is 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.

 

Northern Zone Metallurgy Interpretation:

The first set of results previously announced (9 June 2022) indicated that
gold recoveries can be achieved within 6 hours at 83.3%, and up to 90.4% gold
recovery over 72 hours. The results announced today (Table 1) utilise a set of
conditions/parameters (Kinetics) based on the previous result, but changed to
improve recoveries, with a maximum individual recovery from sample 2 of 94.7%
after 24 hours.

 

 Extraction (%) Cyanidation Bottle Roll
 Time               Sample 1 Gold  Sample 2 Gold  Sample 3 Gold  Average Gold Recovery
 2 Hours            24.0%          12.8%          20.3%          19.0%
 4 Hours            41.3%          30.7%          49.9%          40.6%
 6 Hours            62.6%          51.2%          76.4%          63.4%
 12 Hours           86.5%          87.0%          90.5%          88.0%
 24 Hours           91.8%          94.7%          92.0%          92.9%
 Sample Head Grade  0.9 g/t Au     0.54 g/t Au    0.93 g/t Au    Average Head Grade

                                                                 0.79 g/t Au

Table 1: Metallurgical Cyanide Bottle Roll Test Results based on parameters
and conditions selected from the first test results announced on 9 June 2022.

 

Geological Model and Exploration Target

The results of the drilling confirm the presence of gold mineralisation
predominately within felsic units. The very low/subdued geochemical character
of Northern Zone, with most elements below detection, (apart from gold) is
consistent with other Intrusion Related Gold System (IRGS) deposits

 

At Northern Zone, based on drilling data and the multiple porphyry units
interpreted over about 350 metres, with true widths up to ~150 metres, and
depth extents greater than 250 metres, an Exploration Target(*) of 200-250Mt
at 0.4-0.6g/t Au, with a range in gold ounces of 2.5Moz to 4.8Moz, has been
identified.

 

(*) The potential quantity and grade of the Exploration Target is conceptual
in nature and is therefore an approximation. There has been insufficient
exploration drilling to estimate a Mineral Resource and it is uncertain if
further exploration will result in the estimation of a Mineral Resource.

 

Competent Persons Statement

The Information in this report that relates to exploration results, mineral
resources or ore reserves is based on information compiled by Mr Edward Mead,
who is a Member of the Australasian Institute of Mining and Metallurgy. Mr
Mead is a consultant to the company and employed by Doraleda Pty Ltd. Mr Mead
has sufficient experience which is relevant to the style of mineralisation and
type of deposits under consideration and to the activity that he is
undertaking to qualify as a Competent Person as defined in the 2012 edition of
the `Australian Code for Reporting Exploration Results, Mineral Resources and
Ore Reserves' (the JORC Code). Mr Mead consents to the inclusion of this
information in the form and context in which it appears in this report.

 

**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 & Joint Broker)

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

 

St Brides Partners Limited (Financial PR)

Susie Geliher, Catherine Leftley
                                  +44 (0) 20 7236 1177

 

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).

 

About Oracle Power PLC:

 

Oracle Power PLC is an international natural resource and power project
developer quoted on London's AIM market.  The Company currently has two areas
of focus: Western Australia and Pakistan.  In Australia, its primary focus is
the Northern Zone Gold Project, located 25km east of the major gold mining
centre of Kalgoorlie, the home of the 'Super Pit' mine, the second largest
gold mine in Australia.  Northern Zone has a current Exploration Target of
200-250Mt at 0.4-0.6g/t Au for between 2.5 - 4.8Moz gold, with drilling being
planned to define a maiden inferred JORC resource.

 

The Company is also active in the power industry in Pakistan and is working to
establish a green hydrogen production facility through Oracle Energy Limited,
a joint venture with His Highness Shaikh Ahmed Dalmook Al Maktoum.  The
Company's initial project is the Thar Block VI Project in south-east Pakistan
where the Company is advancing plans for a combined lignite coal mine, a
1,320MW mine mouth power plant and a proposed coal gasification to urea
project.

 

Glossary of Technical Terms:

 

 Au                chemical symbol for gold
 Bottle roll test  the industry standard first step in assessing the gold recovery possible by
                   cyanide leaching.
 g/t               grams per tonne
 JORC              the Australasian Joint Ore Reserves Committee Code for Reporting of
                   Exploration Results, Mineral Resources and Ore Reserves 2012, which sets out
                   minimum standards, recommendations and guidelines for Public Reporting in
                   Australasia of Exploration Results, Mineral Resources and Ore Reserves
 Felsic            Igneous rocks that are relatively rich in elements that include feldspar and
                   quartz
 Moz               million ounces
 Mt                million tonnes
 oz                troy ounce (= 31.103477 grams)

 

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