Friday, September 12, 2025

Latest

Melkior Enters Option And Joint Venture Agreement With Kirkland Lake Valued At $110 Million

Melkior Resources (TSXV: MKR) this evening announced a blockbuster deal with that of Kirkland Lake Gold (TSX: KL). The deal will see the two parties enter into an option and joint venture arrangement with a total value of up to $110 million over the next several years, with Kirkland earning up to a 75% interest in Melkior’s Carscallen property.

The Carscallen property, which previously was 100% owned by Melkior, is located in the Timmins Gold camp, 25 kilometres west of the town of Timmins, Ontario. The property consists of 295 claim units, measuring 47 square kilometres in size. Over 36,000 metres of drilling has previously been completed on the property, with highlights from the recent drill program including 23.5 grams per tonne gold over 8.0 metres at a depth of 426 metres.

Under the terms of the arrangement, Kirkland has the option to acquire a 50% interest in the Carscallen property by completing $10 million in expenditures on the property over the next five years. The first year of the agreement requires minimum spend of $1.5 million and 3,000 metres of drilling, while an addition $1.5 million must be spent on the property in the second year of the option arrangement.

Upon Kirkland earning the 50% interest in the property, the two firms will form a joint venture to conduct operations on the property. At this point, an additional 25% interest can be earned in the property through the expenditure of $100 million in exploration on the property within the first five years of the venture forming. After this figure, any additional amounts will be funded by the two firms on a proportional basis.

During the course of the option period, Kirkland Lake will act as the operator of the property.

Additionally, Melkior has closed a private placement of $1.0 million in which Kirkland was the sole investor. The placement saw the issuance of 1,250,000 units at a price of $0.80 per unit. Each unit contains one common share and one common share purchase warrant with an exercise price of $1.20 and an expiry of two years. Kirkland also retains the right to acquire up to a 19.9% interest in Melkior following the placement.

Melkior Resources last traded at $0.86 on the TSX Venture, with a market capitalization of $17.24 million.


Information for this briefing was found via Sedar and Kirkland Lake Gold Ltd. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

Video Articles

Avino Q2 Earnings: Steady As She Goes

MEG Energy: Cenovus Comes In With $7.9 BILLION Offer

Orla Mining Q2 Earnings: Musselwhite Changes Everything

Recommended

Northern Superior Expands Philibert With 350 Metre Step Out Testing 1.10 g/t Gold Over 25.5 Metres

Goliath Resources Hits 18.58 g/t Gold Over 5.00 Metres At Surebet

Related News

Great Bear Reports First Deep Drill Results For Dixie Project

Great Bear Resources (TSXV: GBR) today announced further results from its currently ongoing 2020 drill...

Monday, May 11, 2020, 05:59:08 PM

Missouri, Oklahoma Propose Bills to Make Gold & Silver Legal Tender

In a move aimed at redefining the status of gold and silver as money rather...

Wednesday, December 27, 2023, 10:47:00 AM

Grande Portage Hits 1.78 Metres Of 4.15 G/T Gold In New Vein At Herbert, 18.29 G/T Gold In Goat Vein

Grande Portage Resources (TSXV: GPG) this morning released further results from its 2020 drill program...

Monday, December 14, 2020, 09:01:30 AM

Alamos Gold Makes US$1.0 Billion Claim Against Turkey, Takes $215 Million Impairment Charge

Alamos Gold (TSX: AGI) this morning announced that it is making a US$1.0 billion investment...

Tuesday, April 20, 2021, 09:07:06 AM

Tarachi Gold Begins Second Phase Of Drilling At Historic Mine

Tarachi Gold (CSE: TRG) has begun the second phase of its underground drill program at...

Friday, March 5, 2021, 07:52:46 AM