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Kenorland Minerals Ltd. (TSXV: KLD,OTC:KLDCF) (OTCQX: KLDCF) (FSE: 3WQ0) ("Kenorland" or the "Company") announces that Sumitomo Metal Mining Canada Ltd. ("Sumitomo") has elected to withdraw from the Earn-in and Joint Venture Exploration Agreement dated December 14, 2022 ("JVEA"), for the O'Sullivan Project (the "Project"), located in Quebec. The termination of the JVEA is effective May 9, 2026 and Kenorland will retain 100% ownership in the Project.
Figure 1. Location Map of the O'Sullivan Project
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*Effective May 9, 2026
About the O'Sullivan Project
The O'Sullivan Project covers 27,534 hectares of mineral tenure within the Abitibi greenstone belt along the Casa Berardi Deformation Zone ("CBDZ"). The CBDZ is one of the primary structures that controls orogenic gold mineralisation in the belt and hosts the active Casa Berardi mine that has produced over 2.0 million ounces of gold since 1988, with recent proven and probable reserves of 1.27 million ounces*. Other major deposits along the CBDZ include the Douay gold deposit (2.52 million oz Au inferred and 511,000 oz Au indicated)** as well as the Nelligan gold deposit, having a 5.16 million oz Au inferred and 3.12 million oz gold indicated resource***. The O'Sullivan Project covers approximately 15 kilometres of strike length along the southern margin of the CBDZ where the deformation zone intersects volcanic rocks of the Stoughton-Roquemaure and Kidd-Munro assemblages.
The Project is located approximately 50 kilometres east of the city of Lebel-sur-Quévillon and 150 kilometres northeast of Val-d'Or, Quebec. Local infrastructure includes a power transmission line transecting the property, a railway line approximately 5 kilometres to the north of the Project, and an extensive network of logging roads throughout the property.
*Technical Report Summary on the Casa Berardi Mine, Northwestern Québec, Canada. Prepared for Hecla Mining Company, effective date December 31, 2023.
**Technical Report on the Douay and Joutel Projects Northwestern Québec, Canada. Prepared for Maple Gold Mines Ltd., effective date March 17, 2022.
***NI-43-101 Technical Report, Nelligan Gold Project, Québec. Prepared for IAMGOLD Corporation, effective date December 31, 2024.
The mineral resources and reserves discussed for properties along the CBDZ are not located on the O'Sullivan Project. The Company has not verified this information and it is not being treated as current mineral resources or reserves of the Company. The information is provided for geological context only.
Qualified Person
Cédric Mayer, M.Sc., P.Geo. (OGQ #02385), Senior Project Geologist at Kenorland, a "Qualified Person" under National Instrument 43-101, has reviewed and approved the scientific and technical information in this press release.
Notice of Exercise of Top-up Right
Kenorland also announces that, further to the investor rights agreement dated November 5, 2021 (the "Sumitomo IRA") between the Company and Sumitomo Metal Mining Canada Ltd. ("Sumitomo") and the investor rights agreement dated May 28, 2024 (the "Centerra IRA") between the Company and Centerra Gold Inc. ("Centerra"), each of Sumitomo and Centerra have issued to the Company notice of their respective intentions to exercise their 'top-up right' as it relates to share issuances completed by the Company in relation to the acquisition of the McVicar agreement area (see press release dated March 26, 2026).
An aggregate of 26,596 common shares of the Company will be issued at a price of $2.35 per share for aggregate consideration of $62,500.60, subject to the approval of the TSX Venture Exchange, of which 13,431 Shares will be issued to Sumitomo in order to retain its 10.1% interest in the Company and 13,165 Shares will be issued to Centerra in order to retain its 9.9% interest in the Company. A copy of each the Sumitomo IRA and the Centerra IRA, as well as a three-way acknowledgement agreement between the Company, Sumitomo and Centerra governing procedural matters relative to the exercise of equity participation rights under the Sumitomo IRA and Centerra IRA is available on the Company's SEDAR+ profile.
About Kenorland Minerals
Kenorland Minerals Ltd. (TSXV: KLD,OTC:KLDCF) is a well-financed mineral exploration company focused on project generation and early-stage exploration in North America. Kenorland's exploration strategy is to advance greenfields projects through systematic, property-wide, phased exploration surveys financed primarily through exploration partnerships including option to joint venture agreements. Kenorland holds a 4% net smelter return royalty on the Frotet Project in Quebec, which is owned by Sumitomo Metal Mining Canada Ltd. The Frotet Project hosts the Regnault gold system, a greenfields discovery made by Kenorland and Sumitomo Metal Mining Canada Ltd. in 2020, which contains an Inferred Mineral Resource of 14.5 Mt at 5.47 g/t Au for 2.55 Moz of gold. Kenorland is based in Vancouver, British Columbia, Canada.
Further information can be found on the Company's website www.kenorlandminerals.com
On behalf of the Board of Directors,
Zach Flood
President, CEO & Director
For further information, please contact:
Alex Muir, CFA
Investor Relations Manager
Tel +1 604 568 6005
info@kenorlandminerals.com
Cautionary Statement Regarding Forward Looking Statements
This news release contains forward-looking statements and forward-looking information (together, "forward-looking statements") within the meaning of applicable securities laws. All statements, other than statements of historical facts, are forward-looking statements. Generally, forward-looking statements can be identified by the use of terminology such as "plans", "expects", "estimates", "intends", "anticipates", "believes" or variations of such words, or statements that certain actions, events or results "may", "could", "would", "might", "will be taken", "occur" or "be achieved". Forward looking statements involve risks, uncertainties and other factors disclosed under the heading "Risk Factors" and elsewhere in the Company's filings with Canadian securities regulators, that could cause actual results, performance, prospects and opportunities to differ materially from those expressed or implied by such forward-looking statements. Although the Company believes that the assumptions and factors used in preparing these forward-looking statements are reasonable based upon the information currently available to management as of the date hereof, actual results and developments may differ materially from those contemplated by these statements. Readers are therefore cautioned not to place undue reliance on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed times frames or at all. Except where required by applicable law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
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