Keras ResourcesPlc subsidiary Keras (Gold) Australia Pty. Ltd. exercised its to restart development atKalNorth Gold Mines Ltd.'sLindsay's gold projectin the Western Australian goldfields.
The companies will now look to formalize the agreement and secureregulatory mining approvals to start mining, according to a May 10 statement.
Keras and KalNorth signed a binding profit share agreement inmid-March that allows the former to mine the Lindsay's project for a share of netrevenues and increases its gold tribute inventory to over 500,000 ounces.
Keras is now required to submit the open pit mining proposalwithin four weeks. It plans to start a 10,000-tonne bulk sample collection at theParrot Feathers deposit.
The mine has total open pit and underground resources of 215,000ounces of gold, of which 77% are in the indicated category. This includes the high-gradeParrot Feathers, which comprises a resource of 401,000 tonnes grading 4.2 g/t ofgold for 54,000 ounces.