RGN | Bonterra Resources

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MINING | Bonterra Resources

BONTERRA

Fast tracking multiple gold deposits in


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RESOURCES

n the Abitibi greenstone belt of QuĂŠbec


MINING | Bonterra Resources

Throughout the first decade of its existence, Bonterra Resources operated as a small gold exploration company in the Abitibi greenstone belt in Québec, slowly building its land position in this highly prospective geological region of Canada. Like many exploration juniors, the firm relied on a series of small placements across international exchanges to keep exploration drills in the ground. This changed around three years ago when the potential of Bonterra’s flagship deposit was recognised by notable Canadian resources investor and long-time gold bull Eric Sprott. He and his partowned mining firm Kirkland Lake Gold subsequently came in with significant investments into the company. Then, in June 2018 Bonterra announced the acquisition of neighbouring firm Metanor Resources, giving it access to the only permitted processing mill in the heart of the Urban Barry Camp.

but few can claim to hold a larger contiguous

The Urban Barry Camp, located

In addition, the company plans to expand the

approximately 225 km Northeast of the city

mill from 800 to 2,400 tonnes per day in the

of Val-d’Or, contains several exploration

near term. The mill upgrade includes removal

licences owned by various junior miners,

of the existing rod mill, ball mills and 40’

land package than Bonterra following its merger with Metanor.

A commanding position The combined entity now controls three high grade gold deposits in the form of the Gladiator, Barry and Moroy deposits, a permitted processing mill as well as significant regional exploration targets with resource upside potential. Bonterra’s executive chairman and interim CEO Greg Gibson tells RGN that the merger with Metanor significantly derisks the company’s flagship Gladiator deposit by providing a processing facility along with the two additional deposits in close proximity that can generate a pipeline to production. “In a short period of around two and a half years, Bonterra has really catapulted itself to a level that most juniors would struggle to get to,” he states. “I don’t think there is another junior in the region that has a comparable portfolio of projects, including processing facilities, to match Bonterra right now.” The Urban-Barry Mill adds a huge amount of value to Bonterra’s position not least because it eliminates the requirement for up to $400 million in capex that would be spent on constructing a new mill.


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MINING | Bonterra Resources

thickener and the addition of a SAG mill, two

grow its resource base through clever deals

ball mills, gravity circuit, 75’ thickener and five

with companies that own smaller deposits

tanks for leaching-adsorption.

in the Urban Barry Camp, and also through further exploration,” Gibson reveals.

“I would expect that before the end of the year the company would be well into the

Three-pronged portfolio

expansion of that mill and at the same time

Returning to its current portfolio in the Urban

be in a position to start production while that

Barry Camp, Bonterra’s flagship project is the

expansion is going on.”

Gladiator deposit, which is currently defined over a 1.6 km strike length and to a vertical

This expansion will give Bonterra greater

depth of over 1.1 km. Crucially, the deposit

capacity to process ore from its own potential

remains open in all directions.

mine sites further down the track, while also potentially taking feed from nearby deposits

At the end of May, Bonterra was able to

in the region. There are 14 known properties

produce a NI 43-101 mineral resource

with historical resources within a 100 km

estimate for the Gladiator deposit, as part

radius of the Urban-Barry Mill.

of a wider estimate for all three deposits in the Urban Barry Camp, which confirmed the

“I believe that the company can significantly

potential scale of the deposit.


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The company estimated a contained

vertical and subparallel shear zones and

indicated resource of 743,000 tonnes at

approximately 10 secondary more shallow-

an average grade of 8.46 g/t Au, totalling

dipping tension veins. Like Gladiator, these

202,000 ounces Au and inferred resources of

structures are open in all directions.

3,065,000 tonnes at an average grade of 9.10 g/t, totalling 897,000 ounces Au.

Despite being only lightly drilled to date, the Barry deposit was included in the company’s

Recent drilling at Gladiator has focused on

May mineral resource estimate, which

the Northeast and Southwest extensions

calculated indicated resources of 2,052,000

along strike of known mineralised zones.

tonnes at 5.8 g/t Au for 385,000 ounces Au

This work culminated in an exciting grade

and inferred resources of 2,740,000 tonnes at

return of 101.1 g/t over 3.9 metres from the

5.1 g/t for 453,000 oz Au.

Barbeau zone about 50 metres down plunge of the known mineralisation. In the Northeast

Finally, the Moroy deposit has delivered

zone, a second hole returned 8.1 g/t over 1.8

surprisingly strong exploration drilling results

metres.

thus far according to Gibson, including one hole from February which returned 7.9 g/t

Then there is the Barry deposit, where

Au over 12.1 metres, and another which

Bonterra has identified five main sub-

returned 15.5 g/t Au over 4.1 metres.


MINING | Bonterra Resources

“We always had a vision that it was going

The next phases

to turn into something, but it has been

The completion of the mineral resource

surprising as to what our exploration efforts

estimate for the three deposits in the Urban

have given us, in terms of turning Moroy into

Barry Camp resembles a major milestone for

a mineable resource,” says Bonterra’s interim

Bonterra as it looks to certify the success of

CEO.

its continued exploration work.

The Moroy deposit was estimated to have

“We are pleased with the current mineral

indicated resources of 365,000 tonnes at

resource estimates on our three Urban

4.77 g/t Au for 56,000 ounces Au and inferred

Barry gold deposits,” said Gibson after the

resources of 396,000 tonnes at 4.32 g/t Au for estimates were published. “The mineral 453,000 ounces Au.

resources delineated to date are a mere snapshot in time with further indications of

“When you look at the three deposits, they

continued expansion potential along strike

all have equal benefits to being developed.

and at depth for the three deposits,” he

Gladiator is first in line to offer significant

continued.

ounce production on an annual basis. In as early as 24 months, we could have a very

After closing a $36.7 million private

significant mining operation which is in the

placement in March, Bonterra is well

middle of a low cost camp.”

positioned to carry out its near-term goals which include the next phase of exploration


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drilling across the Urban Barry Camp, where

“The investment by Eric Sprott and Kirkland

the company has five rigs working on the

Lake gives Bonterra the credibility it was

three sites.

looking for. It also attracts other investors, which you need especially in this market

Following the publication of the mineral

where there are so little funds being put into

resource estimates for the Gladiator, Barry

the junior exploration market.

and Moroy deposits, the company hopes to quickly develop a preliminary economic

“Bonterra was also very lucky to be able to

assessment which would confirm the

put the Metanor deal together. Having that

economic viability of the estimated mineral

infrastructure adds a huge amount of value

resources of all three deposits.

for Bonterra. That includes permitting, water treatment facilities and more. I think it sets

In a final summary of the company’s progress

the company ahead of a lot of other juniors

over the last three years, Gibson highlights

in the space.”

the importance of Bonterra’s corporate shareholder backing, along with the transformative impact of the Metanor deal.

TSXV:BTR OTCQX: BONXF FSE:9BR2

a bj


Published by Anderson Murray Media Ltd

To tell the resource market your story, contact: editorial@resourceglobalnetwork.com

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