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Gladiator and Larder Lake Projects become key assets of Bonterra Resources

By Gregory Reynolds, Mining Life

Oct 23, 2017

Bonterra Resources Inc. feels 2016 was a banner year for it as two highly prospective gold projects created excitement.

It has the 7,563-hectare Gladiator Project is located in the Urban-Barry Greenstone Belt within the Abitibi Subprovince in Quebec and the Larder Lake Project near the Kirkland Lake Gold Camp in Northeastern Ontario.

Bonterra has arranged two offerings to raise $14.99 million. In March of 2016, Bonterra announced that it had entered into an acquisition agreement, pursuant which Bonterra acquired a 100% interest in the Larder Lake Property from Kerr Mines Inc. and its wholly-owned subsidiary, Bear Lake Gold Ltd., located in the McVittie and McGarry Townships in Northeastern Ontario.

The Larder Lake Property, running along 9 km of the Cadillac- Larder break between Kirkland Lake and Virginiatown, consists of two historic deposits.

The Bear Lake Deposit hosts a historic estimate of 3,750,000 tonnes at 5.7 g/t (683,000 oz.) (Inferred). The Cheminis Deposit contains a historic estimate (2011, of Indicated 335,000 tonnes at 4.1 g/t (43,800 oz.) and Inferred 1,391,000 tonnes at 5.2 g/t (233,400 oz.).

--Larder Lake is open at depth with over 100,000 metres of historical diamond drilling completed;

--Historical gold production and mine development to 1,085 feet, with two shafts and underground workings on site;

--Strategic 2,165-hectare land position along prolific Cadillac/ Larder Fault Break where over 13 Million ounces of production has been recorded; located 7km west of the Kerr Addison Mine, which produced 11 million ounces of gold;

--Extensive infrastructure and access (highway and power).


Nav Dhaliwal, president and CEO, said “The acquisition of the Larder Lake Property is key to Bonterra and its shareholders. The transaction elevates Bonterra’s position amongst its peers with a significant gold resource portfolio contained at the Gladiator Gold Project, and now the Larder Lake Project.

We continue to identify key projects within the Abitibi Gold Belt, and once again advance our strategy of becoming a significant gold exploration company and building value for our shareholders.

I would like to welcome Kerr Mines as a new shareholder of Bonterra.” Commented Greg Gibson, then CEO of Kerr:“Kerr Mines will continue to actively participate in the Larder Lake Project through its ownership stake in Bonterra.

Bonterra continues to demonstrate excellent exploration work and commitment in the Abitibi Gold Belt of Quebec, and now Ontario, and are providing excellent returns to their shareholders. This transaction allows Kerr to continue to focus on our development plans for our Copperstone Mine in Arizona and move the Larder Lake Project forward in partnership with Bonterra.” Bonterra’s Gladiator Project is in major regional crustal shear zones that cross the Abitibi Subprovince and is considered the plumbing system for these significant gold deposits.

A related splay of a major shear zones crosses this Greenstone Belt, which helped fertilize the area with gold. Bonterra’s Gladiator Project is comprised of three properties: West Arena, East Arena, and Coliseum Properties. These properties are contiguous or in close proximity to each other.

The project is located approximately 170 km NE of Val d’Or and 125 km SW of Chibougamau in the Urban, Barry and Bailly townships. The Larder Lake Project contains a historic estimate. In August 15, 2011, P&E Mining Consultants prepared for Kerr Mines a resource estimate as reported in a technical report titled “43-101 Technical Report and Updated Resource Estimates on the Larder Lake Property, Larder Lake, Ontario for Bear Lake Gold Ltd.” Bonterra considers the historical estimate to be relevant and reliable given that it was prepared under NI 43-101 standards. Bonterra considers this resource estimate to be historical; it has not independently

verified it, and therefore it cannot be relied upon as a current mineral resource for Bonterra.

A qualified person of Bonterra has not done sufficient work to classify the historical estimate as current mineral resources or mineral reserves, and Bonterra is not treating the historical estimate as current mineral resources.

On Feb. 13 Bonterra announced that it has entered into an amended agreement with Sprott Capital Partners, a division of Sprott Private Wealth LP to act as lead underwriter and INFOR Financial Inc. (collectively, the Underwriters), and has agreed to increase the offering size of purchased securities from $12,902,400 to $13,974,800 in gross proceeds.

Also, the company was to complete a non-brokered private placement of 3,660,000 common shares at a price of $0.28 per share.

The non-brokered offering was to be completed on the same terms as the offering.