REG - Oracle Power PLC - Northern Zone Project Development Update

Oracle PowerAnnouncement

11/01/2024 07:00

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RNS Number : 3182Z  Oracle Power PLC  11 January 2024

11 January 2024

Oracle Power PLC

("Oracle" or the "Company")

 

Northern Zone Project Development Update

 

Oracle Power PLC (AIM:ORCP), an international project developer, is pleased to
update shareholders on the farm-in by Riversgold Ltd (ASX:RGL) ("Riversgold"
or "RGL"), on the Northern Zone Intrusive Hosted Gold Project, which is
located 25km east of Kalgoorlie in Western Australia ("Northern Zone" or the
"Project"). Refer to Figure 1 for location.

 

Highlights:

o  Riversgold has spent AUD273,299.26 to date on the exploratory works
undertaken post farm in agreement.

o  Heritage survey assessment is to be completed shortly and a programme of
works ("PoW") is ready to be submitted thereafter.

o  Further RC drilling is planned to expand the target cross section and
advance the Project towards a targeted maiden Mineral Resource Estimate
("MRE") in 2024.

o  Riversgold now has the option to withdraw as it has spent in excess of
AUD200,000 but is not expected to do so.

o  The planned POW will move RGL towards the aggregate AUD600,000 expenditure
trigger, whereby the intended 80:20 joint venture structure between RGL and
Oracle (the "Proposed JV") will be activated.

o  Once the Proposed JV is in place, Oracle intends to fund its share of
exploration and development costs in order to maintain its 20% interest in the
potential prospect.

o  Previously announced Exploration Target of 200Mt - 250Mt at a grade of 0.4
g/t Au - 0.6 g/t Au for an exploration target of 2.5Moz - 4.8Moz of gold.

 

Naheed Memon, CEO of Oracle, commented:

 

"Riversgold continues to push exploration efforts forward at Northern Zone
with the target of declaring a maiden MRE this year.  The impressive size and
scale of Northern Zone has been demonstrated through the previously declared
Exploration Target of 2.5Moz-4.8Moz of gold, and we are eager to see
Riversgold begin to prove this up whilst retaining our 20% interest in the
Project.

 

"Riversgold have now invested approximately AUD275,000 in drilling and
associated exploration activities to date, meaning that the upcoming MRE
drilling campaign will be largely, or entirely, funded by Riversgold, as we
advance towards a confirmed resource.

 

"This is a highly exciting prospect and our development strategy exemplifies
the project development generator strategy that Oracle pursues.  We aim to
provide investors exposure to multiple potential high value assets, thereby
eliminating single-asset risk, and an opportunity to participate in the
potentially significant upside that can be delivered to shareholders through
the exploration."

 

 

Figure 1: Northern Zone Project Map showing proximity to the Kalgoorlie "Super
Pit".

Key Transaction Details:

About North Zone Gold Project:

 

The Northern Zone Project is located 25km, east-south-east of the Kalgoorlie
Super Pit and is readily accessed from the Bulong road, which is paved to
within 9km of the prospect site.  The last 9km consists of 4km of a
high-quality haul road with the last 5km on a station road.  The topography
is flat lying, open scrub with several historical remnant gold and nickel
excavation pits less than 5km from the prospect site.

 

As announced in December 2023, drilling Contractor DDH1 completed the drilling
at Northern Zone using a combination of HQ3 and NQ2 diamond drilling. The core
was logged by contract geologists in Kalgoorlie, with oversight from RGL
geologists. The detailed logging has shown that a gold mineralisation event
has introduced significant micro-fracturing and quartz veining, with
significant thicknesses of alteration also observed. A central cross section
completed as proof of model has validated a portion of the project, with
multiple untested areas.

On 9 May 2023, RGL and Oracle announced the potential 80% earn-in to the
Northern Zone Gold Project by Riversgold.  RGL undertook a 4-hole diamond
drill programme for 1,379m (with orientated core) to specifically test the
exploration model of +100m wide gold mineralisation. Riversgold completed the
drilling on 21 August 2023 and all of the core was sent to ALS in Perth for
core photographs, cutting and assaying. Assays results were received and
interpreted by Riversgold and the work confirms the original mineralisation
model, style, widths and grades.

 

Located 175km due north of Northern Zone, Saturn Metals Limited has released a
Preliminary Economic Assessment on the Apollo Hill Gold project that has a
resource of 105Mt @ 0.54 g/t gold for 1.839Moz. RGL views the Apollo project
as an example of what we are looking to achieve at Northern Zone, albeit with
Northern Zone being a potentially larger project.

 

Conceptually, Riversgold sees similarities between Northern Zone and Saturn
Metals' Apollo Hill project, based on the information in the PEA statement
(ASX announcement dated 17 August 2023) of a large low grade heap leach
operation, to further develop the concept the plans to:

 

·    Undertake further metallurgical test work to confirm the amenability
of the mineralization to leaching and develop initial estimates of reagent
consumption.

·    Undertake further drilling towards defining a resource at Northern
Zone, with step out drilling on 100m cross-sections especially towards the
untested southeast areas.

-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, Matthew Chandler, Rob
Patrick
+44 (0) 20 7409 3494

 

Global Investment Strategy UK Limited (Joint Broker)

Samantha Esqulant
 
+44 (0) 20 7048 9432

 

St Brides Partners Limited (Financial PR)

Susie Geliher, Isabel de
Salis
+44 (0) 20 7236 1177

 

 

 

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