Kennecott options ground

Junior White Knight Resources (WKR-V) has optioned an interest in its Lone Mountain gold property in Nevada’s Elko Cty. to Kennecott Exploration.

The Rio Tinto (RTP-N) subsidiary can earn an initial 51% joint-venture interest by spending US$2 million on exploration and paying US$375,000 over five years. Kennecott can earn a further 19% by spending an additional US$15 million or paying all costs up to a production decision.

Past work has identified two prospective drill targets that display the geological markings for Carlin-style gold mineralization. Kennecott has budgeted a US$200,000 summer program of exploration, including drilling.