Kairos Minerals completes sale agreement with Pilbara Minerals

Kairos Minerals Limited (ASX:KAI) has successfully completed the sale of six non-core prospecting licences and the overlying mining licence application (M45/1307) to Pilbara Minerals Ltd (ASX:PLS) for $20,000,000. The company has received the first $10M from Pilbara Minerals Ltd and is expecting a further $10M in PLS shares or cash upon the grant of M45/1307 application or other agreed tenure over the same area.

Executive Commentary on Sale Agreement Completion

Kairos Managing Director, Dr Peter Turner, expressed satisfaction with the completion of the sale agreement, stating, 'We are pleased to have banked the first $10M payment under the $20M sale agreement, adding to our approximately $5M cash on hand. We look forward to working with the Pilbara team to enter an agreement for all mineral rights (except lithium and tantalum) to the additional 367sqkm of prospective land package with known gold occurrences.' Kairos Chairman Zane Lewis emphasized the financial flexibility gained from the cash payment, stating, 'The cash payment provides Kairos with significant flexibility going forward to evaluate additional opportunities whilst systematically growing the Mt York gold resource and complete required development studies which are well advanced.'

Summary of Sale Agreement and Future Plans

Kairos Minerals has successfully completed the sale agreement with Pilbara Minerals, receiving the first $10M and expecting a further $10M in PLS shares or cash. The company retains mining lease application M45/1306, hosting the 'Main Trend' of the Mt York Gold Project, and plans to target the 'Main Trend' strike extension for accelerated resource growth. Additionally, a scoping study on the Mt York Gold Project has commenced, indicating strong potential for a high-value, robust gold mine. Kairos intends to negotiate a mineral rights agreement with Pilbara Minerals for the neighboring exploration tenements and applications, aiming to drive resource growth through an upcoming drilling program. The company also plans to commence negotiations with Nyamal Aboriginal Corporation for a mining agreement over Mt York and undertake field mapping and sampling on the additional 'Gold Tenements' once a mineral rights agreement is in place.