La Teko gives nod to Kinross merger

Shareholders of La Teko Resources (LAO-T) have voted 99% in favour of a proposed merger with Kinross Gold (K-T).

Stockholders will receive 0.4 of a Kinross share in return for each La Teko share.

La Teko’s flagship property, True North, which it shares with Newmont Mining (NEM-N), is near Fairbanks, Alaska. Newmont, as operator, is earning a 65% interest in the gold project by spending US$21 million on exploration and development.

True North contains a resource of 18.2 million tons grading 0.072 oz. per ton, equivalent to 1.3 million contained ounces.

Kinross’s Fort Knox mine, which produces 350,000 oz. gold per year, is only 10 miles from True North.

La Teko’s other advanced project is the past-producing Ryan Lode deposit, 8 miles west of Fairbanks, where proven and probable reserves are estimated 14.5 million tons grading 0.056 oz. gold at a stripping ratio of 3.8-to-1, equivalent to 822,200 contained ounces. (The figure includes estimates for the adjacent Curlew shear.)

La Teko also controls more than 75,000 acres of early-to-mid-stage gold exploration properties in the region.