Alkane Resources secured shareholder approval at Nagambie’s general meeting to subscribe for 166.7 million fully paid ordinary shares at A$0.015 each, raising A$2.5 million. This subscription triggers the start of Alkane’s 12-month option to undertake exploration, evaluation and related studies on tenements MIN 5412 and EL 5511.

Under the earn-in agreement, Alkane must solely fund A$12.5 million in aggregate exploration expenditure within three years to earn a 60% interest. To increase its stake to 80%, Alkane can fund an additional A$15 million, bringing total committed spend to A$27.5 million over five years.

Once Alkane reaches 80% interest or opts not to continue after 60%, a formal unincorporated joint venture will be formed with Alkane as manager. If Nagambie’s interest drops below 10%, it converts to a 2% net smelter return royalty capped at A$20 million under standard industry terms.