Without restricting the breeding to the lab the sale of worms or eggs is asking for a problem with theft.
That tells me that Kim would need a breeder to breed and harvest worms under the KBLB banner and we would sell raw silk or we agree to let a company like 3m "buy" the rights to them and collect a small royalty per ton.
I would not doubt there is a clause in the contract for future textiles as well. Considering if Kim did have pure SS now and held it till after selling a few million bucks worth of silk and then release a better silk the company would want first pick on any new product that might be used for their product. Like Mike said. This is a very complex agreement and will take time