Kingsrose Mining Expands Portfolio with Strategic Acquisition of Jakon Nickel-Copper-Cobalt Project in Finland

About Kingsrose Mining Limited

Kingsrose Mining Limited (ASX: KRM) is an Australian exploration company focused on discovering and developing high-value mineral deposits, particularly nickel, copper, and cobalt. With a strong presence in Scandinavia, Kingsrose leverages strategic alliances to expand its portfolio in resource-rich regions. The company’s latest acquisition of the Jakon project in Finland underscores its commitment to securing assets critical to the global energy transition. This move positions Kingsrose as a key player in the battery metals market, aligning with the growing demand for materials essential to electric vehicles and renewable energy storage.

A Strategic Leap Forward

Kingsrose’s acquisition of the Jakon project marks a significant step in its growth strategy, expanding its footprint in the Kotalahti Nickel-Copper-Cobalt Belt. Spanning 205 km², the project is strategically located near the past-producing Hitura Ni-Cu mine, a region renowned for its rich mineral endowment. The acquisition increases Kingsrose’s total landholding in Central Finland to 1,198 km² under its Exploration Alliance with BHP, strengthening its position in a globally significant mining district. Given its geological setting, the Jakon project presents a high potential for high-grade nickel, copper, and cobalt discoveries, reinforcing Kingsrose’s commitment to unlocking new resources in key mining regions.

The Jakon project remains largely underexplored, with considerable potential for sulphide mineralisation in keel zones and mafic-ultramafic intrusions. Historical drilling by Rio Tinto between 2019 and 2022 has already yielded promising intercepts, including 64.7 metres at 0.4% nickel and 0.2% copper, as well as 110.1 metres at 0.4% nickel and 0.2% copper. These results highlight the presence of widespread mineralisation and indicate that further exploration could reveal additional high-grade zones. By leveraging advanced exploration techniques and Rio Tinto’s extensive datasets, Kingsrose aims to identify and prioritise key targets for drilling. The company’s strategy involves deploying modern geological modelling and geophysical surveys to refine exploration efforts, ensuring that resources are directed towards the most prospective areas.

Financially, the acquisition is structured to minimise upfront costs, with Kingsrose benefiting from funding through its partnership with BHP under the Exploration Alliance. The payment structure is milestone-based, reducing financial risk while aligning investments with project progress. Kingsrose will pay an initial €37,500 upon signing, followed by another €37,500 on the one-year anniversary. A major milestone payment of €5 million will be triggered within 90 days of a positive final investment decision (FID) to construct a mine, ensuring capital is only deployed once the project reaches a significant development stage. Additionally, Kingsrose will pay a 1% net smelter royalty to Rio Tinto, with an option to buy back 0.25% of the royalty for €5 million. This flexible financing model allows Kingsrose to maintain focus on exploration while mitigating financial exposure, reinforcing its long-term growth trajectory.

The Jakon project represents a transformative opportunity for Kingsrose to advance its exploration and development ambitions within a proven mining jurisdiction. Managing Director Fabian Baker underscored the strategic importance of the acquisition, stating how the Jakon acquisition strengthens their position within the Kotalahti Nickel-Copper Belt and provides a pipeline of exploration opportunities. The project’s proximity to existing infrastructure and its alignment with the global push for sustainable energy solutions make it an attractive target for rapid advancement. Kingsrose’s focus on nickel and cobalt supports the increasing demand for battery metals, positioning the company at the forefront of the energy transition. While the local team in Scandinavia has successfully finalised the acquisition, Kingsrose’s broader business development team continues to evaluate additional global opportunities, ensuring a steady pipeline of future projects. This approach underscores the company’s commitment to delivering long-term value to shareholders while expanding its presence in the critical minerals sector.

Future Outlook

Kingsrose Mining’s acquisition of the Jakon nickel-copper-cobalt project is a strategic move that underscores its commitment to growth and innovation in the mining sector. By leveraging its Exploration Alliance with BHP and targeting high-potential regions like the Kotalahti Belt, Kingsrose is well-positioned to capitalise on the growing demand for battery metals. This acquisition not only strengthens the company’s portfolio but also highlights its potential to deliver significant value to shareholders and the broader market. With a clear focus on exploration and development, Kingsrose is poised for long-term success in the dynamic and rapidly evolving mining industry.