Aim-listed Karelian Diamonds said on Wednesday that a confidentiality agreement that it entered into with Rio Tinto Mining and Exploration in 2010, had lapsed.
Under the agreement, Rio Tinto has been disclosing to Karelian confidential information relating to exploration in Finland for the purpose of Karelian considering that information in relation to the company’s potential and existing exploration programmes in the country.
In consideration of Rio Tinto disclosing the confidential information to it, Karelian had agreed that the major would have the option to earn a 51% interest in any project identified by Karelian in Finland.
“As of today’s date, Karelian Diamonds and Rio Tinto have not entered into a further extension on the agreement and as a result the agreement, including the back-in rights, has subsequently lapsed as of today,” the exploration company said in a statement.
Karelian Diamonds is considering the best means to progress its exploration programme and in particular progress operations at Lahtojoki and Kuhmo.