Ann: Annual Report to shareholders, page-2

seems we are in breach of the Choice Investments loan and they have the right to sell Solg shares..


Covenants

During the year ended 30 June 2024, DGR was in breach of the monthly reporting covenant and, subsequent to year end, was in breach

of the minimum cash balance financial covenant, in relation to the Choice Loan Facility. The Directors note the following regarding the

breaches:

(a) The non-compliance with the monthly reporting covenant is not an Event of Default unless Choice were to first give 5 business

days’ notice to DGR to remedy the non-compliance, failing which, if not remedied, Choice could then consider an Event of Default

had arisen and demand repayment of all moneys owing under the loan agreement.

(b) The non-compliance post 30 June 2024 with the minimum cash balance requirement under the loan agreement is an Event of

Default which allows Choice to demand repayment of all moneys owing under the loan agreement.

(c) Choice has not issued any formal notice under the loan agreement in respect of non-compliance with covenants under that

agreement. Accordingly, it is presently unable to exercise any rights with respect to dealing in the SolGold plc shares subject to the

Deed of Security given by DGR to Choice.

If demand for repayment was made by Choice, it has the following rights:

(a) it can exercise its rights as a mortgagee to sell such number of Solgold plc shares as required to repay the moneys owing; and

(b) it can, inter alia , use the power of attorney contained in the Deed of Security to sell the SolGold plc shares in the name of DGR

Global Ltd.