Kodiak Copper expands MPD project through acquisition

Executive Summary

• Kodiak Copper Corp. has entered into a purchase agreement with Eagle Plains Resources Ltd. to acquire a 13.1 square kilometre claim package adjacent to its 100%-owned MPD project in Southern British Columbia, expanding the total landholdings to 357 square kilometres.
• The acquisition includes the Ketch claim block, located immediately north and along the trend of the Ketchan deposit, which is a large mineralized zone drilled over 1,800 by 500 metres.
• A soil geochemical program consisting of 2,000 samples has been initiated on the newly acquired MPD Northwest claims to investigate historical showings, Vrify AI targets, and the area around the Ketchan deposit, with completion expected in November.

Key Details

• Transaction Structure: Kodiak acquired a 100% interest in the claim package subject to TSX Venture Exchange approval and customary conditions.
• Consideration: The deal consists of 300,000 Kodiak shares upon closing and a net smelter return (NSR) royalty of 2%.
• Buyback Option: Kodiak retains the right to buy back 1% of the NSR for $1.75 million at any time.
• Acquired Area: The claims comprise 13.1 square kilometres, including the 12.1-square-kilometre Ketch claim block.
• Strategic Context: The Ketchan deposit is associated with a northwesterly geophysical trend continuing onto the Ketch claim package; further work is required to determine if an extension to the Ketchan deposit exists along this trend.
• Exploration Targets: The newly acquired claims allow expansion into other prospective areas at MPD Northwest, which hosts 24 known mineral occurrences, including six with significant porphyry-related copper-gold mineralization.
• Soil Program Details: The program involves 2,000 samples focusing on advancing promising targets on the MPD Northwest area.
• Technical Verification: Dave Skelton, PGeo (Alberta), vice-president of exploration and Qualified Person under NI 43-101, has approved the technical information.

Notable Quotes

• "Kodiak's strategy to consolidate the MPD district over the past seven years has been key in generating the critical mass to bring this project to fruition and demonstrate that it has the potential to become a major mine in the future. The acquisition of the Ketch claim package is a logical next step, and I am glad we were able to secure these strategically located claims which could potentially host an extension of our Ketchan deposit. I am looking forward to the results of the current soil program which focuses on advancing several promising targets on the prospective MPD Northwest area." — Claudia Tornquist, President and CEO