SolGold Plc

SolGold Plc is a junior copper development company headquartered in Perth, Australia, operating primarily in South America. The company's portfolio consists of 1 development project, in addition to several early-stage exploration prospects. Key assets include Cascabel. The entity's business model is centered on the exploration and development of mineral deposits, with a primary focus on advancing a single, large-scale porphyry asset. The operational approach involves a transition from explorer to developer, guided by a commitment to sustainability and community partnerships. Value creation is driven by de-risking the core asset through comprehensive technical studies, optimizing operations, and maintaining disciplined capital allocation. A key characteristic of the business model is the use of a phased development strategy to mitigate project execution risks and reduce initial capital requirements. The organization leverages strategic partnerships to secure competitive funding and validate its technical and economic assessments. This model is underpinned by a commitment to fostering positive socioeconomic impacts in its operating regions through collaborations with local communities and governments, which reinforces its social license to operate.

Strategic priorities are centered on advancing and de-risking a flagship asset towards a final investment decision and subsequent production. The core of the strategy involves implementing an optimized, phased development plan designed to substantially reduce initial capital requirements and mitigate execution risks. Key near-term objectives include progressing critical technical studies and advancing permitting processes under a long-term exploitation agreement. Management approach involves exploring diverse financing options to secure the remainder of the required capital, building on the foundation of a recently secured transformative financing agreement. Operational priorities emphasize cost optimization and strategic resource allocation aligned with market conditions. The organization also intends to selectively advance its broader exploration portfolio, potentially through joint ventures or earn-in collaborations, while maintaining its primary focus on the main development asset. An ongoing strategic review aims to continually optimize operations and unlock value through potential partnerships and strategic alliances.

The board of directors is composed of 7 members, with 5 classified as independent non-executive directors. In 2024, the board was enhanced with the appointment of 3 new directors, bringing specialized expertise in project development, mine finance, and international markets. The Chief Executive Officer, who has over 40 years of experience in the global mining industry, currently serves as Acting Chair, with an active search underway for a new, independent chair. The governance framework is guided by the UK Corporate Governance Code, with the board considering a transition to the Quoted Companies Alliance Code to better suit the company's current stage of development. Board oversight is structured through several committees, including Audit & Risk, Remuneration, Nomination, and Environmental, Social & Governance. The executive management team includes a Chief Financial Officer with over 20 years of experience managing development-stage assets. Shareholder engagement is a key focus, with management actively seeking feedback on governance and strategic decisions.

The organization's sustainability approach is structured around four pillars: environment, people, health and safety, and communities. Environmental stewardship is demonstrated through specific initiatives such as a "One Million Trees" reforestation program, which planted over 22,000 native plants in 2024, and the implementation of water recycling practices. The company monitors and reports its greenhouse gas emissions consistent with TCFD recommendations, noting a significant reduction in Scope 1 and 2 emissions in the past year due to decreased field activities. Social commitment is evidenced by a workforce comprising 99% local nationals and significant investment in socioeconomic projects, including support for local businesses and community infrastructure. Health and safety performance in 2024 was strong, with zero lost-time injuries and zero significant environmental incidents reported. Governance of sustainability is managed by an Environmental, Social and Governance Management Committee that reports to the board.

A significant structural change occurred in 2023 with the acquisition of SolGold Canada Inc., which consolidated 100% ownership of the entity's flagship development project. In 2024, the company entered into a transformative stream financing agreement with partners Franco-Nevada and Osisko Gold Royalties to secure funding for project advancement and de-risking activities. The ownership structure includes several major institutional shareholders. As of June 2024, BHP Billiton Holdings Limited held a 10.36% interest, and Newcrest International Pty Ltd held a 10.31% interest. Other substantial shareholders include DGR Global Ltd with a 6.80% stake and Jiangxi Copper (Hong Kong) Investment Company Limited with a 6.02% interest. The corporate structure also includes wholly-owned subsidiaries that hold exploration tenements, with management expecting to formally relinquish certain non-core assets as part of its strategic focus.