FMG have less than 5 months to make up their mind to increase...

FMG have less than 5 months to make up their mind to increase their holding to 80%?

`https://stocknessmonster.com/announcements/tas.asx-6A933631/
ACN 009 253 187
1
AUSTRALIAN SECURITIES EXCHANGE ANNOUNCEMENT
14 JUNE 2019
Fortescue and Tasman sign conditional Farm-in and Joint Venture
Agreement over Tasman’s Vulcan Exploration Licence 5499
adjoining BHP’s Olympic Dam tenement in South Australia.
Tasman Resources Ltd (“Tasman” and FMG Resources Pty Ltd, a subsidiary of Fortescue
Metals Group Limited (ASX:FMG Fortescue ” have executed a conditional, formal Farm-in
and Joint Venture Agreement (“Agreement” over Tasman’s wholly owned Exploration
Licence 5499 that hosts the Vulcan iron oxide-copper-gold-uranium (“IOCGU” prospect,
approximately 30km north of BHP’s Olympic Dam mine in South Australia.
A brief summary of the key commercial points of the Agreement follows:
• The Agreement is conditional on South Australian ministerial approval.
• Fortescue may earn a 51% beneficial interest by sole funding A$4 million plus GST on
exploration expenditure within a 3 year period.
• Fortescue must expend a minimum of A$1 million before it can withdraw. If
Fortescue withdraws before expending A$4 million it will earn no interest.
• After earning a 51% interest, Fortescue may at its election, increase its Joint Venture
interest to 80% by sole funding a further A$7 million plus GST on exploration
expenditure within a further 5 year period. If Fortescue withdraws before expending
the further A$7 million its interest will remain at 51%.
• After Fortescue has ceased to sole fund the exploration expenditure, all parties must
contribute to Joint Venture expenditure proportionally to their Joint Venture
interests from time to time or may elect to not contribute, in which case its Joint
Venture interest will be diluted in accordance with standard industry dilution
provision.
• If the interest of either party in the Joint Venture falls below 10%, the other party has
the right to purchase all of that interest at 90% of its then fair market value.
• Fortescue will be the manager both while earning its interest and during the Joint
Venture