Newmont and Kirkland Lake Gold Signed New Strategic Alliance

SEATTLE (Scrap Monster): Kirkland Lake Gold has entered into a strategic alliance agreement with Newmont in connection with exploration and development activities in Northern Ontario. The deal, signed on 17^th August, focuses on various properties including the Holt Complex, which was acquired by Kirkland in early-January 2016.

As per the terms of the agreement, the companies will work together to uncover additional exploration and development opportunities around their existing properties in the Northern Ontario region. In addition, Newmont will pay Kirkland Lake Gold, a sum of $75 million towards acquisition of option on certain mining and mineral rights pertaining to the Holt Complex. The option will be applicable only to the Holt mine.

The option could be exercised only upon restart of operations at Holt. It must be noted that the operations were temporarily suspended in April, on account of Covid-19 pandemic. Later in July, the company had announced its decision to extend the shutdown for an indefinite period.

In a press release, Newmont observed that the alliance provides Kirkland Gold with adequate capital to explore the opportunities for the future of Holt mining complex and boost the exploration works around its properties.

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