Northern Zone Clears Path to Final Mining Permit

Oracle Power clears final regulatory hurdle for Northern Zone haul road licences.

What the company is saying

Oracle Power PLC announces that all remaining objections to the haul road Miscellaneous Licences L25/75 and L25/77 for the Northern Zone Gold Project have been resolved, allowing these licences to proceed to grant. The company frames this as a critical milestone, emphasizing that it removes the last regulatory barrier to ore haulage and site access, and positions the project for the submission of its Mine Development and Closure Proposal (MDCP) later in September 2026. CEO Naheed Memon highlights the importance of this step in creating a corridor to main roads and third-party processing facilities, and underscores ongoing collaboration with funding partner Mega Resources on mine planning and scheduling. The announcement stresses that the project is fully funded by Mega Resources under a 50/50 Mining and Co-operation Agreement, and reiterates the ownership structure: 80% Riversgold, 20% Oracle Power. The company also notes recent submission of its Native Vegetation Clearing Permit and the July 2026 grant of the 21-year Mining Lease (M25/389) to Riversgold. The tone is confident and forward-looking, focusing on regulatory progress and imminent permitting milestones.

What the data suggests

The announcement confirms that all objections to haul road Miscellaneous Licences L25/75 and L25/77 have been resolved, clearing the way for these licences to be formally granted. This is a necessary step for establishing legal ore haulage routes from the Northern Zone pit to main roads and third-party processing facilities. The Northern Zone Gold Project is 80% owned by Riversgold and 20% by Oracle Power, with Mega Resources committed to full project funding under a 50/50 Mining and Co-operation Agreement announced in September 2025. The Mining Lease (M25/389) covering the pit was granted to Riversgold in July 2026 for a 21-year renewable term, expiring July 2047. The company has recently submitted its Native Vegetation Clearing Permit and plans to submit the MDCP, the final operating approval, later in September 2026. No financial amounts, capital expenditure figures, or operational metrics are disclosed. The data demonstrates regulatory progress but does not provide evidence of construction, operational readiness, or financial performance.

Analysis

The announcement is upbeat, highlighting the removal of regulatory objections and progress toward permitting for the Northern Zone Gold Project. While the resolution of objections and submission of permits are concrete steps, the majority of key claims are forward-looking, including the anticipated grant of licences, future site access, and the commencement of mining. The benefits described (site access, ore haulage, mining start) are contingent on further approvals and are not imminent, placing execution in the long-term category. The project is described as 'fully funded by Mega Resources,' but no financial figures, timelines for capital deployment, or operational milestones are disclosed. The language inflates the significance of regulatory progress by implying that mining is now imminent, when in fact several steps remain. The data supports regulatory advancement but not operational or financial outcomes.

Risk flags

• ●Permitting risk remains, as the Mine Development and Closure Proposal (MDCP) still requires submission and approval by the Department of Mines, Petroleum and Exploration. Any delays or additional regulatory requirements could postpone the start of mining.
• ●Operational execution risk is present because, despite regulatory progress, the project has not yet commenced construction or mining activities. The transition from permitting to operational readiness often reveals new technical and logistical challenges.
• ●Funding risk is partially mitigated by the statement that Mega Resources will fully fund the project, but no binding funding schedule, capital commitment amounts, or disbursement timelines are disclosed. The absence of these details leaves open the possibility of future financing delays or renegotiations.
• ●Disclosure risk is evident as the announcement provides no quantitative financial data, cost estimates, or operational milestones beyond permitting. Investors lack visibility into project economics, timelines for first production, or expected cash flows.
• ●Stakeholder alignment risk exists due to the project's split ownership (80% Riversgold, 20% Oracle Power) and reliance on third-party processing facilities. Coordination between parties and external processors could introduce delays or cost overruns.

Bottom line

This announcement removes the final regulatory obstacle to granting haul road licences for the Northern Zone Gold Project, a prerequisite for site access and ore transport. The project is 80% owned by Riversgold and 20% by Oracle Power, with Mega Resources committed to full funding under a 50/50 Mining and Co-operation Agreement. While the company is on track to submit its final operating permit (MDCP) later this month, actual mining cannot begin until all approvals are granted. No financial figures, capital expenditure details, or operational milestones are disclosed, limiting visibility into project economics and timelines. The regulatory progress is real, but the project remains pre-operational and subject to permitting, funding, and execution risks. The most important takeaway is that Oracle Power has cleared a key hurdle, but investors should expect further updates before any revenue or production is realized.

Announcement summary

(AIM:ORCP) Oracle Power PLC announced that an agreement has been reached for the removal of the remaining objections to the haul road Miscellaneous Licences L25/75 and L25/77 for the Northern Zone Gold Project, allowing the licences to proceed to grant. The company remains on track to lodge its Mine Development and Closure Proposal (MDCP) for the Project with the Department of Mines, Petroleum and Exploration (DMPE) later this month. Once granted, these licences will provide site access and ore haulage road links to gazetted roads and highways. The Northern Zone Gold Project is located approximately 25 km east of Kalgoorlie in Western Australia. The company recently submitted its Native Vegetation Clearing Permit (NVCP) to the Department of Water and Environmental Regulation (DWER). The MDCP is the last permit needed to commence mining operations and is still on schedule for submission to WA's DMPE this month. Northern Zone is a planned open pit project, 80% owned by Riversgold and 20% by Oracle Power Plc, which will be fully funded by Mega Resources under a 50/50 Mining and Co-operation Agreement as announced in September 2025. Riversgold secured the Mining Lease (M25/389) over the site in July, with the mining lease being granted for a 21-year term to July 2047 and is renewable. All objections to L25/75 and L25/77 have been resolved, clearing the path to the start of mining.

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