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DJ Tectonic Gold Plc Option Agreement and Audit Update

18 December 2019 
                               TECTONIC GOLD PLC 
                      ("Tectonic Gold" or the "Company") 
Tectonic Gold plc (TDIM: TTAU) is pleased to announce that, having secured an 
independent mining contract as announced on 16 December 2019, the Company has 
executed an option agreement with a private investor for the purchase of a 
majority interest in Tectonic South Africa Pty Ltd ("Tectonic SA"), its wholly 
owned subsidiary. Under the terms of the agreement, Tectonic will retain a 
non-diluting 10% interest in Tectonic SA alongside the 26% holding of Black 
Economic Empowerment ("BEE") partner RMTE Pty Ltd. The new investor will hold a 
64% interest and fully fund all future project development. 
The execution of the option agreement follows extensive due diligence conducted 
on the project by the investor and affiliated parties, including an independent 
expert review of the project. 
The terms of the acquisition include a GBP100,000 payment in cash to Tectonic 
Gold on completion. 
The option agreement has been executed to provide the investor with 120 days to 
complete corporate and legal preparations for funding. 
The Board of Tectonic Gold has decided to postpone the annual audit until the 
completion of the transaction. This is expected to be after 31 December 2019, 
the deadline by which, under the NEX Exchange Growth Market - Rules for 
Issuers, the Company is required to announce audited results for the year ended 
30 June 2019. Accordingly, the Company has requested that trading in its 
ordinary shares on the NEX Exchange Growth Market be suspended, pending 
completion of the audit. 
If the transaction is completed, the project will continue to be managed by the 
existing Board and Management of Tectonic SA with on-going technical support 
from Tectonic Gold. 
Mr. Brett Boynton, Managing Director - Tectonic Gold plc 
This transaction provides the Company with a pathway to fully fund the 
diamond-mining operation and retains for shareholders a meaningful economic 
interest. Tectonic Gold will continue to be actively involved and incentivised 
with the non-diluting equity interest in Tectonic SA. We hope to close this 
transaction quickly and move forward with follow up plans on our Australian 
gold projects in 2020. Delaying the audit until completion of the transaction 
has allowed the team to be fully focused on completing the deal and we will 
report in detail once we have closed it. 
The Directors of the Company accept responsibility for the contents of this 
For further information, please contact: 
Tectonic Gold plc                                             +61 2 9241 7665 
Brett Boynton 
Sam Quinn 
NEX Exchange Corporate Adviser and 
Broker                                                       +44 20 7469 0930 
Peterhouse Capital Limited 
Mark Anwyl 
Financial Adviser and Broker 
VSA Capital Limited                                          +44 20 3005 5004 
Andrew Raca - Corporate Finance 
Andrew Monk - Corporate Broking 
The information contained within this announcement is deemed by the Company to 
constitute inside information as stipulated under the Market Abuse Regulations 
(EU) No. 596/2014. Upon the publication of this announcement via a Regulatory 
Information Service, this inside information is now considered to be in the 
public domain. 

(END) Dow Jones Newswires

December 18, 2019 04:31 ET (09:31 GMT)