Saturday, July 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

Mergers Set the Stage for Uranium’s Growth Cycle | Forum-Baselode Merger

The Goal is Gold Production as Soon as Possible! | Gordon Robb – ESGOLD Corp.

Snowline Gold: The Multi Billion Dollar Valley PEA

Recommended

First Majestic Produces 7.9 Silver Equivalent Ounces In Q2, Lifts Production Guidance

Antimony Resources Drills 4.17% Antimony Over 7.4 Metres At Bald Hill

Related News

SSR Mining Guides To Between 680,000 And 760,000 Gold Equivalent Ounces Of Production For 2020

SSR Mining (TSX: SSRM) (NASDAQ: SSRM) this morning updated the market with its full year...

Friday, September 18, 2020, 08:49:39 AM

Trans Canada Gold: Developing A Red Lake Lookalike In Ontario – The Daily Dive feat Tim Coupland

For our Sunday edition of The Daily Dive, we sit down to discuss gold exploration...

Monday, February 22, 2021, 01:30:00 PM

Pegasus Resources Reports Review Of Several Green Energy Projects

Pegasus Resources (TSXV: PEGA) this morning revealed that it is in the process of reviewing...

Wednesday, February 17, 2021, 09:07:22 AM

Pegasus Resources Enters Option To Acquire Millionara Property In Nevada

Pegasus Resources (TSXV: PEGA) has entered into an option agreement this morning to acquire property...

Wednesday, March 24, 2021, 07:56:32 AM

Great Bear Completes Phase 1 Drilling Of LP Fault, Suspends Ops Due To Forest Fires

Great Bear Resources (TSXV: GBR) this morning indicated that it has finally completed what it...

Wednesday, July 28, 2021, 08:30:51 AM