Business
Kenorland Enters Definitive Agreement to Sell the South Thompson Project to Evolution Nickel
Vancouver, British Columbia--(Newsfile Corp. - July 30, 2024) - Kenorland Minerals Ltd. (TSXV: ...
About this update from Kenorland Minerals Ltd.
[{"type":"text","content":"\nKenorland Enters Definitive Agreement to Sell the South Thompson Project to Evolution NickelVancouver, British Columbia--(Newsfile Corp. - July 30, 2024) - Kenorland Minerals Ltd. (TSXV: KLD) (OTCQX: KLDCF) (FSE: 3WQ0) (\"Kenorland\" or the \"Company\") is pleased to announce it has entered into a definitive purchase and sale agreement (the \"Agreement\") with Evolution Nickel Corporation (\"Evolution\") pursuant to which Evolution will acquire 100% of the South Thompson Nickel Project (the \"Project\"). Pursuant to the terms of the Agreement, Evolution has agreed to issue Kenorland 26,000,000 common shares of Evolution (for a 50% equity ownership interest prior to the closing of the Financing (as defined below)) and grant Kenorland a 2% net smelter return royalty (the \"Royalty\") over the entirety of the South Thompson Project at closing of the transaction (\"Closing\").At Closing, Kenorland and Evolution will enter into: (i) a definitive agreement in respect of the Royalty; (ii) an investor rights agreement giving Kenorland the right to appoint a director to Evolution's board of directors and a pre-emptive right to maintain Kenorland's pro-rata ownership interest; and (iii) an operator services agreement providing for Kenorland's continued operation of the Project post-Closing. Closing is expected to occur prior to December 31, 2024.In addition to customary conditions precedent for a transaction of this nature, including the prior approval of the TSX Venture Exchange, Closing is conditional upon Evolution completing an equity financing for gross proceeds of not less than C$4,000,000 (the \"Financing\").About the South Thompson ProjectThe South Thompson Project covers 307,753 hectares of land located approximately 200km south of the town of Thompson, Manitoba, and 80km west of the town The Pas, Manitoba. The licences cover the southern extension of the Thompson Nickel Belt, which is predominately covered by Phanerozoic cover sequences. Compilation and digitization of historical exploration data, including 337 drillholes, have been completed along with re-processing of historical airborne magnetics and electromagnetic surveys. The Project is adjacent to the Minago and Williams Lake nickel sulphide projects and the regional wide spaced drilling has indicated anomalous Ni assays and sulphide mineralisation in ultramafics within...