Kodiak Copper (TSX-V:KDK) has filed an initial TSX-V listing application for Kay Copper as it progresses the creation of a US-focused copper explorer.
The transaction with Teck Resources (NYSE:TECK) will combine Kodiak’s Mohave Project with Teck’s Copper Hill Project, two copper porphyry assets in Arizona, US.
The parties executed definitive agreements on 18 September and completed a concurrent financing of 21.479 million subscription receipts at C$0.25 ($0.25) each, raising C$5.37 million.
President and CEO Claudia Tornquist says the application marks an important step towards establishing Kay Copper.
“Combining our Mohave Project with Teck’s Copper Hill Project gives Kay Copper two quality, drill-ready copper porphyry assets in Arizona and the opportunity to generate significant shareholder value,” Tornquist says.
Incoming Kay Copper CEO Adam Schatzker says the latest developments provide a clearer path towards closing.
“We now have a clear line of sight to closing this transaction and building Kay Copper into a well-funded, US-focused copper exploration company,” Schatzker says.
Kodiak and Teck will contribute their projects to a new entity that will amalgamate with a Kay Copper subsidiary.
Kay Copper is expected to have approximately 75.8 million shares outstanding after completion, with Kodiak and Teck each holding 20 million shares, representing 26.4% apiece.
Completion is targeted for October 2026 but remains subject to TSX-V acceptance and other closing conditions.
Kodiak Copper continues to advance its MPD Copper-Gold Porphyry Project in British Columbia, Canada, where it recently reported Ketchan’s ‘best’ copper intersection to date.
Write to France Pinzon at Mining.com.au
Main image: Kodiak Copper
