REG - SolGold PLC - US$33.3M Second Advance Under Stream Financing

SolGoldAnnouncement

10/07/2025 07:00

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RNS Number : 5235Q  SolGold PLC  10 July 2025

10 July 2025

SolGold plc

("SolGold" or the "Company")

Announces Approval of US$33.3 Million Second Advance

Under US$750 Million Stream Financing

SolGold plc (LSE: SOLG) is pleased to announce that it has satisfied all
conditions precedent, subject to the execution of certain waivers, for the
release of the second US$33.3 million advance under the US$100 million initial
deposit component of its US$750 million syndicated gold stream agreement with
Franco-Nevada (Barbados) Corporation and OR Royalties International Ltd.
(formerly Osisko Bermuda Limited) (the "Streamers").(1)

The proceeds from this second advance, expected in 10 business days, will
contribute directly to advancing the Company's flagship Cascabel Copper-Gold
Project in northern Ecuador. The advance follows the successful completion of
technical and permitting milestones, including the submission and approval of
the Project Execution Plan.

This funding milestone marks a further step forward as SolGold accelerates the
transition from planning to development at Cascabel, where the G Mining
Services Construction Manager and engineering leads met this week for the
initiation of early works at site.

Dan Vujcic, Chief Executive Officer of SolGold, commented:

"This second advance is a strong endorsement from our stream partners and
demonstrates our progress at Cascabel. These funds are being deployed to
accelerate the advancement of priority infrastructure, de-risk the development
path, and make real progress on the ground - not just on paper. Franco-Nevada
and OR Royalties continue to be outstanding partners as we advance what we
believe is one of the most undervalued and strategically important copper-gold
projects in the world."

Under the terms of the gold stream agreement announced on 15 July 2024,
SolGold will receive US$100 million in three tranches as pre-construction
funding, subject to certain conditions, with a further US$650 million
contingent upon completion of the feasibility study, permitting, full project
financing, and other customary conditions.(1)

CONTACTS

 Dan Vujcic

 Chief Executive Officer   Tel: +61 461 304 393

ENDNOTES:

1.   Refer to News Release: Dated 15 July 2024, SolGold plc Announces US$750
Million Financing Package for the Cascabel Project: Stream News Release
(https://polaris.brighterir.com/public/solgold/news/rns/story/rndkknx)

ABOUT SOLGOLD

SolGold is a leading resources company focused on the discovery, definition
and development of world-class copper and gold deposits and continues to
strive to deliver objectives efficiently and in the interests of shareholders.

SolGold completed and released a staged development plan, Pre-Feasibility
Study on 16 February 2024. The study, completed at US$1750/oz gold, US$3.85/lb
copper and US$22.50/oz for silver, delivered an NPV (based on a discount rate
of 8%) of US$3.22bn on a capex of US$1.55bn for an initial 12 Mtpa underground
block caving operation. The evaluation also showed an after-tax IRR of 24% and
a first 10-year free cash flow generation of US$7.1bn. The PFS assessed
Mineral Reserves 539.7 Mt tonnes, which represents only 18% of the total
resource over an initial 28-year project life.

On 15 July 2024, SolGold announced a gold stream agreement with the Streamers
pursuant to which the Streamers would pay US$100m as pre-development funding
in three tranches, conditional on achieving various technical and permitting
milestones. The first US$33.3m was received on signing. A further US$650m
contribution to development expenditure will be provided on completion of the
feasibility study, permitting and financing, subject to CPs, acceptable
financing packages for the balance funding required. SolGold has agreed, in
consideration for this funding, a life of mine stream priced at 20% of the
spot gold price at the time for 20% of gold production until 750 koz have been
delivered and 12% thereafter. The stream represents approximately 5% of total
revenue for the project and provides some 42% of currently estimated capital
development costs. SolGold retains change of control buyback options on the
stream to the extent of 50% within 3 years and 33 1/3 % for a further two
years.

SolGold continues to advance de-risking programs, permitting and financing
discussions and to reevaluate the Project at recent consensus prices for
copper and gold.

On 28 October 2024, SolGold appointed G-Mining Services to be the Project
Manager for the Feasibility Study.

The Company operates with transparency and in accordance with international
best practices. SolGold is committed to delivering value to its shareholders
while simultaneously providing economic and social benefits to impacted
communities, fostering a healthy and safe workplace, and minimizing
environmental impact.

SolGold is listed on the London Stock Exchange and Toronto Stock Exchange
(LSE/TSX: SOLG).

See www.solgold.com.au (http://www.solgold.com.au) for more information.
Follow us on X @SolGold_plc.

 

CAUTIONARY NOTICE

News releases, presentations and public commentary made by SolGold plc (the
"Company") and its Officers may contain certain statements and expressions of
belief, expectation or opinion which are forward looking statements, and which
relate, inter alia, to interpretations of exploration results to date and the
Company's proposed strategy, plans and objectives or to the expectations or
intentions of the Company's Directors, including the plan for developing the
Project currently being studied as well as the expectations of the Company as
to the forward price of copper. Such forward-looking and interpretative
statements involve known and unknown risks, uncertainties, and other important
factors beyond the control of the Company that could cause the actual
performance or achievements of the Company to be materially different from
such interpretations and forward-looking statements.

Accordingly, the reader should not rely on any interpretations or
forward-looking statements, and save as required by the exchange rules of the
TSX and LSE or by applicable laws, the Company does not accept any obligation
to disseminate any updates or revisions to such interpretations or
forward-looking statements. The Company may reinterpret results to date as the
status of its assets and projects changes with time, expenditure, metals
prices and other affecting circumstances.

This release may contain "forward looking information". Forward looking
information includes, but is not limited to, statements regarding the
Company's plans for developing its properties. Generally, forward looking
information can be identified by the use of forward-looking terminology such
as "plans", "expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates" or "does not
anticipate", or "believes", or variations of such words and phrases or state
that certain actions, events or results "may", "could", "would", "might" or
"will be taken", "occur" or "be achieved".

Forward looking information is subject to known and unknown risks,
uncertainties and other factors that may cause the actual results, level of
activity, performance or achievements of the Company to be materially
different from those expressed or implied by such forward looking information,
including but not limited to: transaction risks; general business, economic,
competitive, political and social uncertainties; future prices of mineral
prices; accidents, labour disputes and shortages and other risks of the mining
industry. Although the Company has attempted to identify important factors
that could cause actual results to differ materially from those contained in
forward-looking information, there may be other factors that cause results not
to be as anticipated, estimated or intended.  There can be no assurance that
such information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such statements.
Factors that could cause actual results to differ materially from such
forward-looking information include, but are not limited to, risks relating to
the ability of exploration activities (including assay results) to accurately
predict mineralization; errors in management's geological modelling and/or
mine development plan; capital and operating costs varying significantly from
estimates; the preliminary nature of visual assessments; delays in obtaining
or failures to obtain required governmental, environmental or other required
approvals; uncertainties relating to the availability and costs of financing
needed in the future; changes in equity markets; inflation; the global
economic climate; fluctuations in commodity prices; the ability of the Company
to complete further exploration activities, including drilling; delays in the
development of projects; environmental risks; community and non-governmental
actions; other risks involved in the mineral exploration and development
industry; the ability of the Company to retain its key management employees
and skilled and experienced personnel; and those risks set out in the
Company's public documents filed on SEDAR+ at www.sedarplus.ca. Accordingly,
readers should not place undue reliance on forward looking information. The
Company does not undertake to update any forward-looking information, except
in accordance with applicable securities laws.

The Company and its officers do not endorse, or reject or otherwise comment on
the conclusions, interpretations or views expressed in press articles or
third-party analysis.

SolGold plc UK Company No. 5449516 ARBN 117 169
856 Email: info@solgold.com.au (mailto:info@solgold.com.au)
 Website: www.solgold.com.au (http://www.solgold.com.au)

Head office: Level Level 5/191 St Georges Terrace, Perth WA
6000Australia Postal address: PO Box 7059, Cloisters Square PO Perth WA 6850
Australia

Registered office: 1 Cornhill, London, EC3V 3ND, UK Phone: +44 (0) 20 3807
6996

 

 

 

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