21 July 2025
SolGold plc
("SolGold" or the "Company")
SolGold Confirms Receipt of US$33.3 Million
from Franco-Nevada and OR Royalties
SolGold (LSE: SOLG) is pleased to confirm that late last week, the Company received the second US$33.3 million of funds under its US$100 million initial deposit from the streaming agreement ("Agreement") with Franco-Nevada (Barbados) Corporation and OR Royalties International Ltd. (formerly Osisko Bermuda Limited).
The funds were released following the delivery of key technical milestones, including the completion and approval of the Cascabel Project Execution Plan, and form part of the broader US$750 million syndicated Gold Stream Agreement .1 As of 30 June 2025, SolGold's unaudited financial statements reflected a cash balance of approximately US$12 million, prior to the receipt of this additional funding.
Multiple high-priority workstreams will be advanced, including early works mobilization, land access, permitting activities, the feasibility study, and continued drilling at the Tandayama-Ameríca deposit. G Mining Services, SolGold's engineering partner, is preparing for field mobilization later this quarter as the Company continues toward its target of first production in Q4 2028.
Dan Vujcic, Chief Executive Officer of SolGold, commented:
"With this funding milestone complete, we're well-positioned to unlock the further funding we require to get things moving on the project with speed and intent. Our optimal path to production has been communicated, and we want to now move decisively to build one of the most significant new copper projects not only in the Americas but also around the globe. SolGold is grossly undervalued by the market, and we are fixated on changing this, continuing to speak to a raft of institutions to encourage buying in the story."
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
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 in the interests of its shareholders.
SolGold completed and released a staged development plan, including a Pre-Feasibility Study, on 16 February 2024. The study, completed at US$1,750/oz gold, US$3.85/lb copper, and US$22.50/oz silver, delivered an NPV (based on an 8% discount rate) 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 Resources 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 Franco-Nevada (Barbados) Corporation and OR Royalties International Ltd. (formerly Osisko Bermuda Limited) (the "Streamers"), pursuant to which the Streamers would pay US$100 million as pre-development funding in three tranches, conditional upon achieving various technical and permitting milestones. The first US$33.3 million was received upon signing, with a further US$33.3 million approved by the Streamers on 9 July 2025. 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 for the first 10 years 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 (LSE: SOLG).
See 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".
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