Update on Memorandum of Understanding

RNS Number : 0963U

Oracle Power PLC

27 March 2019

 

27 March 2019

ORACLE POWER PLC

("Oracle" or the "Company" or the "Group")

Update on Memorandum of Understanding

Oracle Power PLC (AIM:ORCP), the UK energy developer of a combined lignite coal mine and mine mouth power plant located in Block VI of the Thar desert in the south-east of the Sindh Province of Pakistan, announces a revision to the equity holdings as originally agreed in its Memorandum of Understanding ("MOU") announced on 20 December 2018 with Beijing Jingneng Power Company Limited ("BJPC") and PowerChina International Group Limited ("PowerChina") (the "2018 MOU"). Pursuant to an MOU dated 26 March 2019 (the "2019 MOU"), Oracle, BJPC and PowerChina have agreed to a change in the proposed equity holdings of the parties in the project as follows:

	2018 MOU	2019 MOU
BJPC	78%	73%
PowerChina	9.9%	15%
Oracle	12.1%	12%

In all other material respects, the terms of the 2019 MOU remain the same as those contained within the 2018 MOU.

Ms Naheed Memon, CEO of Oracle, commented:

"There is a lot of detailed work at present being undertaken with our Chinese partners to optimise the project, as well as with the authorities in Pakistan.  An increase in the proposed shareholding of PowerChina, who are global investors and developers for power and mining, reflects their belief, confidence and commitment to the project. We would like to thank our principal sponsor, BJPC, for accommodating this request from PowerChina.

"The Company continues to make good progress and we will keep the market updated."

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

For further information please contact:

Oracle Power PLC Naheed Memon	[phone]
Strand Hanson Limited (Nominated Adviser) Rory Murphy, James Harris, Jack Botros	[phone]
Brandon Hill Capital Limited Oliver Stansfield	[phone]
Peterhouse Corporate Finance Charles Goodfellow	[phone]
Blytheweigh                                                   Tim Blythe, Camilla Horsfall, Megan Ray	[phone]

 

END

 

 

UPDLLFLAVRIRFIA