Kermode enters LOI to acquire Copper King B.C. project
2022-08-04 16:18 ET - News Release
Mr. Peter Bell reports
KERMODE SIGNS LOI FOR COPPER KING BC PROJECT ON VANCOUVER ISLAND
Kermode Resources Ltd. has entered into a non-binding letter of intent to acquire the Copper King B.C. project in British Columbia from a group of private individuals. The Project includes exploration claims covering the claims with the following license numbers 1096661, 1096665, 1096831, 1096832, and 109683 with total area of 1,199 hectares.
The LOI provides for a due diligence period extending to December 31st, 2022. During this period, KLM can elect to enter into a definitive agreement which will formalize the Transaction. Either party can conduct any activities during the LOI.
TERMS OF THE PURCHASE OPTION: Cash Securities Exploration Exchange $0 0 $0 Approval Year 1 $50,000 at or 0 $0 before 18 months Year 2 $0 0 $0
WORK COMMITMENTS: None.
OTHER TERMS & CONDITIONS:
- Net Smelter Return (NSR) 5% royalty.
- Future Sales Interest (FSI) 50% of the gross proceeds of any future transaction where KLM sells the property in the next five years.
Peter Bell, CEO, "This is an unusual deal. I designed it this way so that it could be the most bullish for KLM shareholders. It is an exempt transaction under the TSXV policy, which means it doesn't require exchange approval and can be done simply. I offered the vendor group to take fifty percent of the value of a future sale of the property any time in the next five years because I believe this group can help make a successful transaction happen, and I want to incentivize them to make it a win."
About Kermode Resources Ltd.
Kermode is a junior mining company hunting for exploration opportunities around the world.
We seek Safe Harbor.
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