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Gold/Mining/Energy : Kensington Resources Ltd. (V.KRT) * Diamond in the rough! -- Ignore unavailable to you. Want to Upgrade?

To: I_C_Deadpeople who wrote (5036)	2/20/2001 7:35:20 PM
From: average joe	Read Replies (2) \| Respond to of 5206

Yes that is precisely the way a JV operates. I imagine there is some provision that says the junior partner has 90 days to pay up before it suffers dilution of their current interest. Under a JV nobody owns anything except an interest that is subject to change. If DeBeers was not to advance FALC by announcing a 2001 program most JV's would have a provision where KRT could force them to advance a program or likewise take over the JV and become operator themselves. In most deals initiated by a junior at some point it would usually say carried to positive bankable feasibility study or carried to a mining decision. Which means if the junior partner cannot carry the financing or get financed the major partner would act as bank for the junior. In this case KRT did not initiate the deal but is earning their interest from De Beers et al so I doubt they have that provision in the deal. I heard one very positive story about the sample results from #122 on the west side of the FALC field.