LCL Resources secures major Rio Tinto partnership for PNG exploration. Junior miner LCL Resources has signed a binding earn-in and joint venture agreement with mining giant Rio Tinto for the Ono project in Papua New Guinea. Rio Tinto will provide up to $1.5 million in cash payments and fund minimum $8 million in exploration expenditure to earn an initial 51% stake. The agreement allows Rio Tinto to increase its interest to 80% through additional $40 million funding or by defining a JORC-compliant mineral resource. Recent exploration at Ono returned high-grade gold and silver results. The partnership validates the project's prospectivity and provides LCL with world-class exploration capability that would otherwise be unavailable for a junior miner. LCL shareholders retain significant exposure to any discoveries funded by Rio Tinto's exploration activities.
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