Kennecott joins JNR Resources in Saskatchewan

Kennecott will earn a 65% interest in up to eight uranium concessions held by JNR Resources (JNN-V) in the Athabasca Basin of northern Saskatchewan.

To do so, Kennecott must spend $1.5 million on exploration by Jan. 31, 1999, and $1 million each year thereafter until a maximum of $25 million is reached or a production decision is made.

For its part, JNR will commit $1.9 million to the joint venture and act as operator.

As part of the deal, Kennecott can buy up to 9.9% of JNR’s fully diluted shares. The agreement is still subject to due diligence and regulatory approval.