Member Info for StokieGuy

Extract from Oracle Power RNS :

Riversgold Exercises 80% Option over the Northern Zone Project

Oracle Power PLC (AIM:ORCP), an international project developer, is pleased to announce that further to its announcement of 9 May 2023 regarding the binding Heads of Agreement ("HOA") with ASX-listed Riversgold Limited ("Riversgold"), Riversgold has advised that it has now surpassed the minimum expenditure required to earn up to an 80% beneficial interest in the Northern Zone Project, located 25km east of Kalgoorlie in Western Australia (the "Northern Zone" or the "Project"). As a result, Riversgold has exercised its option to acquire the 80% interest in the Project. Oracle will retain a 20% interest and will receive a free carry until the joint venture agreements are formalised and signed (the "Joint Venture" or "JV"), which is expected by 31 December 2025.

Actually you could say that Oracle's chances of making money have increased massively by having Riversgold as the majority shareholder in the mine. Oracle does indeed now have a free ride in the Northern Zone and can only benefit by having Riversgold doing all the work from now on.

I understand your point but you are quoting the funding strategy as it was.

The funding strategy has now changed because Riversgold won't mess about. As soon as they can they will be digging. They are the ones on site and have nothing to do but to dig for gold.

I have held Oracle Power shares since December and am sitting on a loss at the moment. I've been entertained by the arguments on here and finally decided to join.

I know there are other projects ongoing but I am looking just at the Northern Zone gold. As 20% shareholders we are very much riding on the tail of Riversgold. They are the driving force there particularly now they are paying for it all. As soon as they can start mining I'm positive they will. That's obvious, surely. Oracle could sell it's share in Northern Zone to finance other projects as has been suggested here but why would they. I would have thought a steady income stream, probably quite a substantial one, would be preferable. Keeping 20% ownership adds value to the Balance Sheet in case they want to borrow money for other projects as well. Raising future funds doesn't then have to be achieved by issuing more shares.

I don't know but I would imagine the Directors own shares as well so share dilution is not in their personal interest. Another reason to keep hold of Northern Zone.

Those running Oracle Power have had a lot of criticism which may or may not be justified. I'm new to Oracle Power so I have no right to say one way or another. As I said though we are in the hands of Riversgold. Oracle Power aren't going to turn up and start digging are they. I am confident Riversgold will start mining as soon as they can. Didn't someone say He had bought shares in Oracle Power the other week as well ?

I'm not worried one bit.