Kainantu Resources Ltd (TSX-V:KRL) (KRL) has announced the appointment of mining veteran Nick Franey as its chief geologist.
KRL noted that Franey has over 40 years of exploration and project development experience, having served in senior roles with a number of well-established mining companies such as Anglo American PLC (LSE:AAL) and OceanaGold Corporation (TSX:OGC), and other successful small-cap juniors.
"Nick Franey will bring extensive experience and a track record of success in identifying and developing exploration projects in Asia-Pacific,” KRL CEO Matthew Salthouse said in a statement. “His experience will complement the already strong body of skills within the company as we move towards defining a drilling program at Kainantu.”
READ: Kainantu Resources sees 4Q 2021 results show prudent management of balance sheet and capital resources
The Asia-Pacific-focused junior gold mining company noted that Franey oversaw activities leading to Anglo American's discovery of a SEDEX zinc deposit near McArthur River, a high-grade nickel deposit in Australia. He was also a driving force behind Anglo American's targeting of Cu-Au porphyry projects in Papua New Guinea (PNG).
“In recent years, he has worked as an exploration management consultant, and has been part of the teaching faculty at James Cook University, delivering the Business and Financial Management module as part of the Master of Ore Deposit Geology,” it added.
Separately, KRL said it expects to release its management discussion and analysis (MD&A) and financial statements for the quarter ended March 31, 2022 by May 30, 2022.
It said the company's closing cash position plus non-trade receivables on March 31, 2022 was C$2.07 million, constituting cash at bank of C$1.78 million and non-trade receivables of C$0.29 million, adding that “cash reserves remain in line with the company's forecasts”.
KRL successfully completed a private placement of C$2.77 million in January 2022.
Commenting on the progress of its planned acquisition of 100% ownership of the Kili Teke Gold-Copper Project, KRL said it continues to work co-operatively with Harmony Gold (NYSE:HMY) (PNG) Exploration Limited and regulators in PNG and Canada to complete the acquisition.
Amongst other customary conditions and at KRL's discretion, closing is subject to the company raising the initial consideration due to Harmony of up to US$1 million, the company said.
“In this regard, the acquisition does not complete until KRL, at its absolute discretion, is of the view that it has sourced sufficient funding to close the transaction and advance other business activities,” it added.
KRL has three highly prospective gold-copper projects located in premier mining regions in PNG: KRL South, KRL North and the May River Project. Both KRL North and KRL South show potential to host high-grade epithermal and porphyry mineralisation, while the May River project is in close proximity to the world-renowned Frieda River Copper-Gold Project, with historical drilling indicating the potential for significant copper-gold projects.
Contact the author at jon.hopkins@proactiveinvestors.com