BonTerra Advances Larder Lake Gold Property and Completes Initial 3D Geological Model
Vancouver, BC – July 26, 2016: BonTerra Resources Inc. (TSX-V: BTR, US: BONXF, FSE: 9BR1) (the “Company” or “BonTerra”) is pleased to provide a review its 100% controlled Larder Lake Property, located in the McVittie and McGarry Townships of Ontario, Canada.
“The Larder Lake Property is another key strategic asset, with millions of exploration and development dollars spent over many years, most recently in 2012/13, when Gold Fields previously completed an extensive drill program in a multi-million-dollar option. The Larder Lake asset contains a significant large historical gold resource that BonTerra will be advancing over the next year and will also be examining its 9 km exploration land package along the world famous Cadillac-Larder Lake Break Fault structure, which has already produced millions of ounces of gold,” commented Nav Dhaliwal, President and CEO. “We have recently completed an initial general 3D geological model highlighting the historical drilling and zones outlined to date and have now placed the new information on BonTerra’s website.”
- The Larder Lake Property, encompassing 9 km of the Cadillac-Larder Lake break between Kirkland Lake and Virginiatown, includes historical resource estimates at the Bear Lake deposit of inferred mineral resource totalling 3,750,000 tonnes at 5.7 g/t (683,000 oz). and at the Cheminis deposit consisting of indicated mineral resources of 335,000 tonnes at 4.1 g/t (43,800 oz) and inferred of 1,391,000 tonnes at 5.2 g/t (233,400 oz) (2011, P&E Mining report, see not on disclosure of historical resource estimates below);
- BonTerra paid less than $6 per ounce of gold based on the historical gold resource estimates and transaction costs; and, in addition, management of property vendor Kerr Mines Inc. is required to vote with BonTerra management for the next two years from the date of the transaction;
- Gold Fields entered into an option in 2012 to earn a 60% interest in the Bear Lake properties by spending $40 million in exploration and development. After 3 years of work, they terminated their option last year when Gold Fields terminated all exploration activities worldwide. A total of 59 holes (25,017 meters) was drilled in 2012 and 2013 by Gold Fields mainly on the Bear Lake Deposit. BonTerra is now in possession of their results and data;
- The Bear Lake deposit is open at depth with over 100,000 metres of historical diamond drilling completed by various groups;
- Historical gold production and mine development at Bear Lake extends to 1,085 feet, with two shafts and underground workings on site;
- Strategic 2,165-hectare land position along prolific Cadillac/Larder Lake Break where over 13 Million ounces of production has been recorded; located 7 km west of the Kerr Addison Mine, which produced 11 million ounces of gold;
- Approximately $6M in assessment credits can be applied to the Larder Property based on recently completed work programs, allowing BonTerra to manage future programs in an effective and prudent manner;
- Extensive infrastructure including a paved highway which crosses the length of the property, easy access to various areas of the project by truck or all-terrain vehicles on non-serviced roads and trails, and an Ontario Hydro power line which also runs along the length of the property.
"BonTerra brings previous experience on the project and is now compiling all historical data at the Larder Lake Gold Project, which will include the recent 25,017 meters completed by Gold Fields in 2012/13 into an updated geological model. Based on our due diligence to-date and the significant amount of data not incorporated into a NI 43-101 Technical Report, we anticipate being able to interpret this new data, design a focused fall drill campaign, and potentially a new 43-101 mineral resource estimate at Larder by 2017,” commented Dale Ginn, Vice President of Exploration.
Disclosure of Historical Estimates*:
The Larder Lake Project contains a historical resource estimate completed for Bear Lake Gold Ltd. by P&E Mining Consultants Inc. and reported in a NI 43-101 Technical report titled “Technical Report and Updated Resource Estimates on the Larder Lake Property, Larder Lake, Ontario” The effective date of the report is June 15, 2011. A qualified person has not done sufficient work to classify the historical resource estimate as current and BonTerra is not treating the historical estimate as a current mineral resource estimate. The results of the historical estimate, along with some key assumptions used, are summarized in the table below. The Company will be evaluating the historical 2011 resource estimate in conjunction with project wide compilation and interpretation including the 59 drill holes (25,017 metres) completed by Gold Fields during 2012 and 2013.
|*2011 Total Resource Estimate @ 2.5 g/t Au Cut-Off Utilizing Gold Price of US$1,207/oz|
|August 15, 2011 – P&E Mining Consultants NI 43-101 Technical Report|
Please visit www.bonterraresources.com for information on the Larder Lake Property, its location, and other general information.
The new general 3D geological model can be viewed at:
BonTerra Resources Quick Facts:
- 7,563-hectare (Gladiator Project) in the Urban-Barry Camp in Québec:
- Using a 4 g/t Au cut-off grade, the project currently contains an inferred resource of 905,000 tonnes, grading 9.37 g/t Au for 273,000 ounces of gold. Of note, ~90% of the world’s operating mines have an average gold grade less than 8 g/t. Mineral Resource Estimate and technical report filed July 27, 2012, Snowden Mining Consultants.
- 2016 Exploration Program underway – up to 25,000 meters utilizing minimum of two drill rigs at its 100% owned Gladiator Gold Project to expand current gold resource.
- 2,165-hectare (Larder Property) in the Cadillac-Larder Break camp in Ontario.
Dale Ginn, P.Geo. has approved the information contained in this release. Mr. Ginn is a Director and Vice-President of Exploration for BonTerra and is a Qualified Person as defined by NI 43-101.
ON BEHALF OF THE BOARD OF DIRECTORS,
Nav Dhaliwal, President & CEO
BonTerra Resources Inc.
For additional information, please contact:
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This press release contains "forward-looking information" that is based on Bonterra’’s current expectations, estimates, forecasts and projections. This forward-looking information includes, among other things, statements with respect to Bonterra’s exploration and development plans. The words "will", "anticipated", "plans" or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause Bonterra’s actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related exploration and development; the ability to raise sufficient capital to fund exploration and development; changes in economic conditions or financial markets; increases in input costs; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; technological or operational difficulties or inability to obtain permits encountered in connection with exploration activities; and labour relations matters. This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. Bonterra disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise.