Completion of Second Option Period at Senala

Oriole Resources (AIM: ORR), the AIM-quoted gold exploration company focussed on West Africa, provides an update on its Senala gold project in Senegal ('Senala' or the 'Project'), where AGEM Senegal Exploration Suarl ('AGEM'), a wholly-owned subsidiary of Managem Group ('Managem'), has now completed a six-year earn-in period at the Project. Oriole's interest in Senala is held via its 85% interest in Stratex-EMC Sarl ('Stratex-EMC'), the holding vehicle for the Senala Exploration Licence.

Managem has confirmed to the Company that, since the 2018 Option Agreement was signed (announcement dated 1 March 2018), AGEM has spent approximately US$5.8 million on the Project. Accordingly, AGEM's beneficial ownership position in the Senala Exploration Licence is estimated to be 59%, and Oriole will shortly be undertaking a review of expenditure to confirm this percentage ownership.

Discussion on the next steps are underway, which would include:

• the formation of a joint-venture company and associated technical committee;
• the submission of a work plan and budget by Managem; and
• a decision by Stratex-EMC on whether to contribute to the work costs or dilute its percentage ownership.

On the basis that Stratex-EMC does not contribute, it is estimated that Managem would need to spend a further US$31 million at the Project to dilute Stratex-EMC below 10%, after which its interest would convert to a 2.5% net smelter returns ('NSR') royalty. It should be noted that there exists a mutual right of first refusal should either party look to sell its interest in Senala.

As previously reported, a renewal application has also been submitted, under the existing holding entity of Stratex-EMC, for a further three-year term (announcement dated 2 January 2024). A decision on this renewal is awaited.