Oracle Power PLC (AIM:ORCP), the international natural resources project developer, announces that, further to its announcements of 30 March 2022 and 1 April 2022, Oracle and Kaheel Energy FZE (“Kaheel Energy”) (a wholly owned company of the Private Office of His Highness Shaikh Ahmed Dalmook Al Maktoum (“HH Private Office”)) advanced to their joint venture company, Oracle Energy Limited (“Oracle Energy” or the “JV”)), on 6 July 2022, in aggregate, approximately a further £390,000, at a price of 10 Pakistani Rupees per share, to further capitalise Oracle Energy and to progress the development of its green hydrogen project in Pakistan. The JV is being funded on a 70:30 basis by Kaheel Energy and Oracle, respectively.
The Joint Venture
The JV agreement (the “JV Agreement”), entered into on 29 March 2022 by Kaheel Energy, Oracle and Oracle Energy provides that Kaheel Energy and Oracle provide funding to the JV on a 70:30 basis (respectively) to develop the green hydrogen project in Pakistan. Refer to the Company’s announcement of 30 March 2022 for further information on the JV Agreement.
Related Party Transaction
HH Private Office is a substantial shareholder of the Company, as defined by the AIM Rules for Companies (“AIM Rules”). Accordingly, Kaheel Energy’s advance to the JV of approximately £273,000 (its 70% share of the c. £390,000 total advance to the JV), aggregated with its initial contributions to the JV, constitutes a related party transaction pursuant to AIM Rule 13. The Directors of the Company, having consulted with the Company’s Nominated Adviser, Strand Hanson Limited, consider this advance and the terms of the JV Agreement to be fair and reasonable insofar as the Company’s shareholders are concerned.
About Oracle Power PLC:
Oracle Power PLC is an international natural resource and power project developer quoted on London’s AIM market. The Company currently has two areas of focus: Western Australia and Pakistan. The Company is active in the energy industry in Pakistan and is working to establish a green hydrogen production facility through Oracle Energy Limited, a joint venture with His Highness Shaikh Ahmed Dalmook Al Maktoum. The Company’s initial project is the Thar Block VI Project in south-east Pakistan where the Company is advancing plans for a combined lignite coal mine, a 1,320MW mine mouth power plant and a proposed coal gasification to urea project.
In Australia, its primary focus is the Northern Zone Gold Project, located 25km east of the major gold mining centre of Kalgoorlie, the home of the ‘Super Pit’ mine, the second largest gold mine in Australia. Northern Zone has a current Exploration Target of 200-250Mt at 0.4-0.6g/t Au for between 2.5 – 4.8Moz gold, with drilling being planned to define a maiden inferred JORC resource.
Read the most up to date Fuel Cell and Hydrogen Industry news at FuelCellsWorks
