http://www.ottawabusinessjournal.com/295106221119336.php

Melkior agrees to let copper-nickel firm earn on mining property
By Krystle Chow, Ottawa Business Journal Staff
Tue, Aug 4, 2009 1:00 PM EST

Melkior Resources Inc. (TSX-V:MKR) has agreed to let a Toronto company earn up to an 80-per-cent interest on a Melkior property in southeastern Ontario.

Ottawa-based Melkior said it has signed an agreement with First Nickel Inc. that allows the latter to earn 50 per cent on Melkior's 100-per-cent owned Henderson property in Raglan Township, by spending $60,000 on exploration. Melkior can then choose whether or not to participate in the project and earn the remaining half-interest.

However, if Melkior doesn't participate, FNI will be able to earn up to 80 per cent by spending an additional $100,000. At that point, Melkior will have to get involved or see its share diluted to a 1.5-per-cent net smelter return royalty, the company said.

Melkior's holdings for the Henderson property comprise 20 claims covering a total area of 4.14 square kilometres. The junior mining firm is exploring for uranium on the project, but FNI is interested in the property's potential for copper-nickel deposits.

As such, under the agreement Melkior will retail a 100-per-cent interest in any discoveries of uranium and other radioactive minerals on the property.

Melkior is currently concentrating on exploring for gold on its 100-per-cent owned Carscallen property in West Timmins, which it recently expanded.