Our client Krait Critical Minerals Corp. (CSE: KRIT) (FSE: U0S) has entered into an option agreement with Sierra Antimony Corp. granting Krait the exclusive option to acquire a 100% interest in 17 contiguous unpatented federal mining claims covering approximately 354 acres in Humboldt County, Nevada, United States.
The proposed acquisition represents a further expansion of Krait's U.S. critical minerals portfolio, complementing its existing antimony exploration interests in Washington State and supporting the company's strategy of identifying and evaluating mineral opportunities across North America.
Property Highlights:
Historical production:
1927: 30 tons of ore grading 50% antimony (Sb).
1941: 1.5 tons of ore grading 41% antimony (Sb).
1942: 2 tons of ore grading 54% antimony (Sb).
1942: An additional 5 tons of ore produced; grade not reported.
Historical workings occur along a 2.25-kilometre trend with trenching, adits and stope work dating back to the First World War.
Prolific jurisdiction with district-scale exploration potential.
Road accessible, approximately a four-hour drive north of Reno, Nevada.
Premier U.S. mining jurisdiction: Nevada, ranked the world's most attractive jurisdiction for mining investment according to Fraser Institute's 2025 Annual Survey of Mining Companies.
These historical figures relate to selectively mined, high-grade material and are not representative of in-situ mineralisation. The historical information has not been independently verified by the Company's Qualified Person and may not be representative of mineralisation remaining on the property. No current mineral resources or mineral reserves have been defined for the property.
The business
Krait Critical Minerals Corp. is a Canadian mineral exploration company focused on advancing its Goldbar Spider Lake Project in Ontario while evaluating additional mineral opportunities in North America. The company's strategy is to combine disciplined project evaluation, modern exploration technologies and responsible field programmes to identify and advance high-quality exploration opportunities with the potential to create long-term shareholder value.
Krait's flagship asset is the Goldbar Spider Lake Project in Ontario's Thunder Bay Mining Division, approximately 20 kilometres east of Terrace Bay and 30 kilometres west-northwest of Marathon. The 3,636-hectare (approximately 8,985-acre) property comprises 148 mining claims and 171 claim units, and Krait has an option to earn a 100% interest, subject to a 3% net smelter return royalty. Located within the western Schreiber-Hemlo Greenstone Belt, the Project benefits from year-round access via Highway 17, nearby rail and power infrastructure, and proximity to established mining communities and service providers.
Krait acquired Nevada Hills Antimony on 16th September this year. Through Nevada Hills, Krait holds contractual interests relating to the Bales Antimony Project, together with interests in the Antimony Bell Project and other related assets in Washington State. The acquisition expanded Krait's critical-minerals portfolio to include U.S.-based antimony exploration opportunities.
Nevada Antimony Property
Covering approximately 354 acres within 17 contiguous mineral claims, the road-accessible project is documented to have historically produced antimony ore from the 1920s through to the 1940s, which was sought after due to its high-grade, at-surface mineralisation. Historical records compiled in the U.S. Geological Survey's (USGS) Mineral Resources Data System describe workings at the Nevada King Mine comprising four adits, two shafts and open cuts.
Historical reports describe stibnite mineralisation in high-grade shear veins, occurring in intrusive quartz veins that have been traced "over 3,000 feet" within a metasedimentary package. Mineralisation is reported as narrow veins, pods and lenses up to approximately two feet wide, with lower grade, disseminated mineralisation observed in the altered country rock.
Historic Production
According to historical government records, the property reportedly produced 30 tons of ore grading 50% antimony (Sb) in 1927, followed by 1.5 tons grading 41% Sb in 1941. In 1942, an additional two tons of ore grading 54% Sb were produced, followed by a further five tons for which no grade was reported. These historical production figures have not been independently verified by the Company's Qualified Person and may not be representative of mineralisation remaining on the property.
Historical reports published by the United States Geological Survey and the Defense Minerals Administration include chip-sampling results, with eleven samples reporting gold (Au) values ranging from 0.003 to 0.718 parts per million (ppm) and silver (Ag) values ranging from 0.36 to 8.3 ppm. Seventeen samples returned antimony (Sb) values ranging from 10.6 to 9,800 ppm, while molybdenum (Mo) values reached up to 50 ppm.
Workings Include:
Approximately 300 linear feet of shaft workings.
Approximately 210 linear feet of drifts and crosscuts.
Approximately 25 linear feet of tunnels or adits, plus numerous open cuts.
The property is not currently in production and has no buildings, equipment or on-site power infrastructure.
Krait cautions that historical shipment grades of 50%, 41% and 54% antimony (Sb) reflect selectively mined, high-grade material and are not representative of in-situ mineralisation. Government reports describe predominantly lower-grade material, generally below 3% Sb, with narrow mineralised widths and localised high-grade pockets. All historical production, geological and assay information is derived from government records and has not been independently verified by the Company's Qualified Person. Historical results do not guarantee future exploration success or the discovery of economically significant mineralisation, mineral resources or mineral reserves.
Terms of the Option Agreement
Under the terms of the agreement, dated 19th October 2026, Krait may acquire a 100% interest in the property by making the cash payments and issuing the common shares described below to Sierra:
Cash Consideration
US$5,000 within seven business days of the effective date; and
US$20,000 within 30 days of the effective date; and
US$25,000 within one year of the effective date; and
US$25,000 within two years of the effective date.
Total cash consideration is US$75,000.
Share Consideration
Krait will also issue 150,000 common shares within 30 days of the effective date, and common shares valued at CAD$200,000 on each of the first and second anniversaries of the effective date.
The number of shares issued for each of these subsequent payments will be determined using the greater of the 20-day volume-weighted average trading price of Krait's common shares or the minimum price permitted under applicable Canadian Securities Exchange policies.
Upon completion of the required payments and share issuances, Krait will have exercised its option to acquire a 100% interest in the property, subject to the net smelter return royalty and permitted encumbrances.
The agreement provides Sierra with a 2.5% NSR commencing upon commercial production. Krait retains the right to reduce the royalty to 1.0% by making a payment of US$2,000,000.
Krait may accelerate the option payments and share issuances at its discretion. The Agreement does not prescribe a minimum exploration expenditure requirement as a condition of exercising the option.
The transaction and issuance of securities remain subject to applicable regulatory requirements and CSE policies.
Planned Exploration and Evaluation
Krait expects to begin its assessment of the property through a review of available geological and technical information, with the objective of identifying prospective areas for further investigation.
Any future exploration activities, including field mapping, prospecting, geochemical sampling or geophysical surveys, will be subject to satisfactory technical evaluation, appropriate access and permitting, and management approval.
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Krait Critical Minerals is a client of Optimo Capital Limited and Optimo Research Limited.
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