Business
Melkior Announces $110 Million Option/JV Agreement with Kirkland Lake Gold to Earn up to 75% of Carscallen
(TheNewswire) September 2 9 , 2020 - TheN...
About this update from Melkior Resources Inc.
[{"type":"text","content":"Melkior Announces $110 Million Option/JV Agreement with Kirkland Lake Gold to Earn up to 75% of Carscallen\n \n \n (TheNewswire)\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n September 2\n \n \n 9\n \n \n ,\n2020 -\n \n \n TheNewswire -\n \n \n Timmins, Ontario -\n \n Melkior Resources Inc. (\"\n \n Melkior\n \n \" or the \"\n \n Company\n \n \") (TSXV:MKR)\n \n (OTC:\n \n MKRIF\n \n )\n \n is pleased to\nannounce the closing of a strategic partnership with Kirkland Lake\nGold Ltd. (\"\n \n Kirkland\n \n \"). Under the terms of an option agreement\nentered into between the Company and Kirkland (the \"\n \n Option Agreement\n \n \"), Melkior has\ngranted Kirkland the right to earn-in up to a 75% interest in the\nCarscallen Project located 25 kilometres west of Timmins (the\n\"\n \n Property\n \n \").\nKirkland will also be granted the right to acquire up to 1,250,000\nUnits of the Company on a private placement basis.\n \n \n \n \n \n \n \n \n \n \n To view the video, click the link below:\n \n \n \n \n VIDEO: Melkior Resources CEO\nUpdate\n \n \n \n \n \n \n \n \n \n Option to Earn-In and Joint\nVenture\n \n \n \n Under the terms of the Option Agreement, Kirkland has an option to\nearn a 50% interest in the Property in consideration for completing\n$10 million in exploration expenditures over a period of five years\n(the \"\n \n Phase 1\nExpenditures\n \n \"). Kirkland has a minimum commitment of $3\nmillion during the first two years of the Option Period (the\n\"\n \n Minimum\nCommitment\n \n \"), which includes $1.5 million and a minimum of\n3000 meters of drilling to be completed in the first year. Kirkland\nwill act as the Operator of the Property during the Option Period. All\nexpenditures beyond the Minimum Commitment are optional. Should\nKirkland fail to incur the Phase 1 Expenditures during the Option\nPeriod, Kirkland's option to acquire the 50% interest shall expire.\n \n \n Upon Kirkland completing the Phase 1 Expenditures and earning its 50%\ninterest, the parties shall enter into a joint venture agreement to\ncarry on operations with respect to the Property (the \"Joint\nVenture\"). Upon the formation of a Joint Venture, Kirkland will\nhave the right to earn an additional 25% interest in the Property by\nincurring exploration expenditures of $100 million within the first\nfive years of t...