AuKing Mining (ASX:AKN) has announced a new joint venture with Cobalt Blue (ASX:COB) for the Koongie Park Copper/Zinc Project in northeastern Western Australia.
The agreement allows Cobalt Blue to secure a 75% interest in Koongie Park by spending $2 million over three years.
The collaboration promises to leverage Cobalt Blue's metallurgical expertise to advance the project to feasibility studies.
As part of the agreement, Cobalt Blue will also issue $200,000 in shares to AuKing.
Paul Williams, AuKing's Managing Director, remarked, "This is a very good time to introduce COB to the Koongie Park Project. Not only will they bring significant funding to the project but their metallurgical experience and expertise will provide considerable benefits at this stage of the project’s development."
Additional benefits of the venture include maintaining the project tenures and allowing AuKing to redirect financial resources to other pursuits like Cloncurry and Mkuju.
Even if Cobalt Blue progresses fully with its earn-in rights, AuKing will retain at least a 25% interest in Koongie Park.
The joint venture underscores both companies' commitment to developing the potential of Koongie Park, harnessing both funding and technical expertise to drive the project's success.
At the time of reporting, Auking Mining's share price was $0.0060.
