Admiralty Resources NL announced that the Company has renegotiated the previously announced Chilean Mining Cooperation Agreement with Hainan Xinlei Mining Management Co Ltd. and has now entered into a binding term sheet that has the effect of repositioning the relationship between Hainan and ADY The existing arrangement under the Co-op Agreement saw Hainan fund and operate the Mariposa project exclusively, with the Company receiving a royalty payment on success of the project Having reviewed the Company's overall portfolio and in particular the strategy around the commercialisation of the Group's Chilean mining assets, it was determined that in the current iron ore market and based on the Groups significant historical expenditure on the project, that receiving a royalty payment was not the best commercial pathway for the Group to monetise its interest in the Mariposa project. In renegotiating the Co-op Agreement, the Company's focus was to restructure the arrangement such that the Company's shareholders would receive a more significant return in consideration for reverting to being a direct participant in the development of the Mariposa project The effect of the Term Sheet is to terminate the existing Co Op Agreement in favour of the terms newly negotiated which mean that the Company will revert to being an operator of the Mariposa Project and that Hainan and Admiralty would jointly seek to provide the capital and resources required to develop an operating mine. Accordingly, the Company has entered into the Term Sheet which provides that: Subject to ADY completing a capital raising (to demonstrate an ability to fund an initial capital contribution that would allow participation in the Joint Venture), Hainan agrees to terminate the existing Co-op Agreement and to work in good faith towards the execution of a joint venture agreement (the Joint Venture Agreement); The Joint Venture Agreement would allow for joint capital contributions from ADY and Hainan, and joint participation in the mineral rights and profits from operating Mariposa; ADY and Hainan have agreed to execute a Joint Venture Agreement within one month of the completion of a capital raising by ADY Further, during the period between the capital raising being conducted and the Joint Venture Agreement being finalised, Hainan have agreed to maintain operational management of Mariposa, however no further expenditure is to be incurred without the Company's consent given the broader intentions of the Joint Venture Agreement.