Business
Kenorland Minerals Options the Tanacross Project to Antofagasta
Vancouver, British Columbia--(Newsfile Corp. - July 20, 2022) - Kenorland Minerals Ltd. ( T...
About this update from Kenorland Minerals Ltd.
[{"type":"text","content":"Kenorland Minerals Options the Tanacross Project to AntofagastaVancouver, British Columbia--(Newsfile Corp. - July 20, 2022) - Kenorland Minerals Ltd. (TSXV: KLD) (OTCQX: NWRCF) (FSE: 3WQ0) (\"Kenorland\" or \"the Company\") is pleased to announce it has signed an earn-in agreement (the \"Agreement\") with Antofagasta Minerals S.A. (\"Antofagasta\"), a wholly-owned subsidiary of Antofagasta PLC (LSE: ANTO), on the Tanacross copper-gold project (\"Tanacross\" or the \"Project\"), located in eastern Alaska, USA (see Figure 1). The Agreement grants Antofagasta an option to acquire a 70% interest in the Project by spending US$30,000,000 on exploration over 8 years and delivering a NI 43-101 compliant preliminary economic assessment report (the \"Report\"). Zach Flood, CEO of Kenorland, commented, \"We're very excited to be working with Antofagasta on the Tanacross Project. The property, which covers numerous mineralised systems and target areas, warrants significant exploration to unlock the discovery potential that we believe exists. We look forward to getting back on the ground as soon as possible to begin work which will lead towards drill-target definition.\"Agreement TermsAntofagasta can earn a 70% interest in Tanacross by making cash payments in an aggregate amount of US$1,000,000 plus a success payment of US$4,000,000 upon exercise of the option and spending US$30,000,000 on exploration over eight years, with a firm commitment to spend US$1,000,000 in year one, and delivering the Report. During the option period, Antofagasta will fund all exploration and Kenorland will be the initial operator.Once Antofagasta has earned its 70% interest, Kenorland and Antofagasta will form a 30:70 joint venture. If either party's interest in the joint venture falls below 10%, that party's interest will be converted to a 2% NSR, one quarter of which can be purchased by the other party for US$2,000,000.About the Tanacross Project The Tanacross Project covers 45,000 hectares of Alaska state-owned land, approximately 70 kilometers northeast of Tok, along the Alaska Highway. The project hosts a cluster of late Cretaceous (68-73Ma) porphyry copper (+/- gold, molybdenum) occurrences including East Taurus, West Taurus, and Bluff. This age of mineralisation is similar to the giant Casino porphyry copper system (Western Copper and Gold Corp.), which is...