Kingsrose Mining Limited announced that it has entered into a transaction implementation agreement (Transaction Implementation Agreement) with Scandinavian Resource Holdings Pty Ltd. (SRH) and Global Energy Metals Corporation (GEMC) for a staged investment into the brownfield Råna Nickel-Copper-Cobalt (Ni-Cu-Co) project (Project) and formation of a joint venture for the development and operation of the Project (Transaction). The Transaction Implementation Agreement provides for the establishment of a new Norwegian joint venture company (JV Company) and for the Company to offset expenditure on the Project as consideration for shares in JV Company. The Company has paid a pre-completion deposit of AUD 25,000 to SRH, additionally, Kingsrose will make payments in cash and Kingsrose shares to SRH on earn-in milestones.

Completion of the Transaction: is not subject to the approval of the Company's shareholders (accordingly the KRM Shares will be issued pursuant to the Company's Listing Rule 7.1 placement capacity); and will occur in four stages, with each completion and payment and/or issuance of consideration subject to satisfaction of certain milestones on the terms set out in the Schedule to this announcement. GEMC shall be free carried to completion of the Second Milestone, thereafter GEMC shall be required to contribute pro-rata (10%) to expenditure on the Project in accordance with a work program and budget to be determined by Kingsrose as Manager of the Project. In the event GEMC elects not to contribute its funding share, Kingsrose has the first right to provide such funding and acquire additional shares in JV Company.

The Project is subject to three net smelter royalty deeds of 1% payable by JV Company to each of GEMC, Electric Royalties Corp., and Chincherinchee Pty. The Transaction Implementation Agreement requires SRH and GEMC to enter into a right of first refusal deed granting the Company a right of first refusal to acquire the right, title and interest in the Chincherinchee Royalty and the 0.5% buyback option in the GEMC royalty. Exploration Potential and Work Program: Initial field observations by Kingsrose indicate that Råna is a mafic-ultramafic chonolith comprising multiple complex magmatic phases, with internal characteristics that are consistent with a conduit-style of emplacement.

The basal ultramafic intrusive units occur mostly at the northwestern part of the intrusion which is controlled by SRH, and is the most prospective horizon for high tenor, massive sulphide nickel mineralisation. Kingsrose interprets the mineralised intrusions at Bruvann and Rånbogen to be chonoliths forming part of a larger, multi-phase intrusive complex. Chonoliths are pipe like intrusions which may have short lateral but long down dip continuity.

Massive sulphide mineralisation typically occurs at the base of a chonolith and in the immediate footwall as `offset' bodies of massive sulphide mineralisation. Exploration for these styles of mineralisation has not been systematically undertaken historically at Råna and these may be blind at surface, compromising detection by traditional methods. Historical work focused predominantly on near mine exploration of outcropping mineralisation at Bruvann with limited to no application of modern exploration models for chonolith hosted magmatic sulphide deposits.

Deep penetrating AMT (Audio Magnetotelluric) geophysical surveys are planned to explore for conductive bodies from surface to more than 600 metres deep, which may host massive sulphide mineralisation. Airborne magnetic geophysical surveys will be used to model intrusion morphology. Detailed mapping, core logging and XRF measurements for lithogeochemical characterisation will be used to generate a three dimensional geological model and identify prospective intrusive units.

Drilling is expected to commence later in the Norwegian summer. Massive sulphide outcrops with high nickel tenors at Bruvann and Rånbogen demonstrate fertility and, with 8 kilometres of largely untested strike along the northern intrusion margin, Kingsrose considers that there is scope for a significant scale discovery.