Only the sale agreement with Pilbara Minerals is complete, the mineral rights agreements have not been completed and until they are, Kairos cannot drill on the PLS owned tenements.
Kairos and Pilbara Minerals each have a right to require the parties to negotiate a minerals rights agreement in relation to all mineral rights (except lithium and tantalum) over 367sq km of neighbouring exploration tenements and applications;
this includes an additional 1.4km strike extension of Mt York 'Main Trend'
once an agreement is in place to the neighbouring exploration tenements and applications, Kairos will target this additional 'Main Trend' strike extension.
Following completion of the Sale Agreement, Kairos and Pilbara Minerals Ltd each have a right to require the parties to negotiate a minerals rights agreement in relation to all mineral rights (except lithium and tantalum) over 367sq km of neighbouring exploration tenements and applications;
once an agreement is in place to the neighbouring exploration tenements and applications, Kairos will target this additional 'Main Trend' strike extension.
Drilling at the Main Hill Extension prospect on PLS tenement E45/2241 is the highest priority Stage 1 target. Kairos will commence this drilling programme;
subject to agreeing with a full form mineral rights agreement with PLS and; then
fulfilling relevant terms and conditions thereunder.
Managing Director Turner said: "Mt York is a large, quality gold asset that is set to get bigger - the Main Hill Extension Prospect over which we are currently negotiating access with PLS will add an additional 1,500m strike to the overall mineralisation at Main Trend and all new gold we find over this prospect will add directly to the 1.4Moz that the project currently hosts."
Our negotiations with PLS are continuing.
Subject to agreeing terms for a mineral rights agreement we intend to bring this prospect on-stream,
We hope to announce the signing of the Mineral Rights Agreement in due course, and for our rigs to move onto this large, prospective gold target.
access negotiations to Main Hill Extension Prospect on PLS ground continues
Kairos continues to negotiate access to PLS tenement E45/2241 where the Mt York Gold Deposit extends to the NW for at least 1,500m,
An RC rig will be mobilised once access and permitting to the Main Hill Extension is finalised.
Kairos expects to award a contract for RC drilling in coming weeks.
Managing Director Turner said: With drilling underway Kairos will turn its attention in the next quarters to negotiating and signing two important Company milestones: 1: negotiating the Mineral Rights Agreement (MRA) with PLS 2: continue negotiations through to signing a mining agreement with our traditional owners, the Nyamal People, to fulfill the remaining hurdle in the grant of our mining lease application over Mt York
Over 2 months ago, Turner replied (LinkedIn) with "the delay is not from our side but we do hope to consummate a deal very soon."
Once the PLS agreement is signed, only then can they mobilise a RC drill rig .. .. .. .. ..
It is slightly concerning:
why is PLS delaying the signing of the MRA?, and
what if they pay the 2nd $10m (when MRA signed) in PLS shares instead of cash, and
what impact will it have on the overall Mt York project if they don't sign?
FYI: from LinkedIn (not always accurate or updated) Geologists currently employed by Kairos
Amy Brownass - Exploration Geologist
Emily Boulter - Project Geologist
Jamie Kelly - Exploration Geologist
Mark Falconer - Exploration Manager
William Coussens - Senior Geologist
KAI Price at posting:
3.1¢ Sentiment: Buy Disclosure: Held
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