BonTerra Resources Announces Acquisition of Red Mountain Gold Deposit
25 Juin 2009 - 9:01AM
Marketwired
BonTerra Resources Inc. (TSX-V: BTR) (the "Company" or "BTR") is
pleased to announce that it has executed a letter of intent and
provided a notice to proceed with Seabridge Gold Inc. ("Seabridge")
(TSX: SEA) (NYSE Amex: SA) to acquire 100% of Seabridge's interest
in the Red Mountain Property consisting of 47 claims totaling
17,125.2 hectares located near Stewart, British Columbia.
Highlights of Seabridge's Red Mountain Property include:
-- High-grade deposit ( > 0.25 opt) of 400,000 ounces in the measured and
indicated categories plus an additional 248,000 ounces in the inferred
resource category;
-- Approximately US$40 million spent by previous owners; Diamond drilling
on the property has totaled 134,800 metres in 466 holes. In addition, 2,000
metres of underground workings have been excavated, including a 1,000-metre
production-sized decline.
-- Large complement of mining equipment included in the proposed sale;
and
-- An independent engineering study.
(See 43-101 Technical Report and the independent engineering
study filed on SEDAR by Seabridge for more information)
BonTerra President and CEO Mitch Adam said, "This acquisition
brings a known, high-grade deposit together with the promising
high-grade exploration results we have obtained from our
immediately adjacent Willoughby property. We think this combination
creates the opportunity to develop a sustainable and profitable
mining operation within a low-risk political jurisdiction."
Terms of the Transaction
Pursuant to the terms of the letter of intent, BTR has paid a
non-refundable deposit of Cdn$50,000 to Seabridge, following which
Seabridge has granted an exclusive option to BTR to enter into a
binding purchase agreement to acquire the Red Mountain Property
from Seabridge. The parties have agreed that the terms of the
purchase agreement will provide for the transfer of the Red
Mountain Property from Seabridge to BTR, in consideration for BTR
agreeing to pay Seabridge Cdn$11,950,000, comprised of
Cdn$6,950,000 in cash and Cdn$5,000,000 pursuant to the issuance of
a secured three year 3% convertible debenture, with interest
payments due semi-annually. Seabridge may elect to convert any
portion of the principal amount of the convertible debenture into
common shares of BTR at a conversion price equal to the offering
price of the financing as described below. At maturity, any portion
of the convertible debenture not converted into common shares of
BTR will be paid in cash. Repayment of the convertible debenture
will be secured against BTR's interest in the Red Mountain
Property.
Closing of the Transaction
Closing of the proposed transaction is subject to approval by
the TSX Venture Exchange, completion of a financing in an amount
necessary to cover the cash consideration of the transaction at a
price of not less than Cdn$0.50 per share and receipt by Seabridge
of all necessary consents, agreements and waivers of rights of
first refusal required to transfer the Red Mountain Property to
BTR.
In addition, BTR has agreed to replace the Cdn$1,000,000
reclamation deposit plus accrued interest currently held in trust
in favour of the BC Ministry of Mines and Energy or, subject to
Seabridge's agreement, to reimburse Seabridge with respect to the
reclamation deposit and to enter into a standard assignment and
assumption agreement with respect to the reclamation deposit.
Willoughby Property
BonTerra currently has an option to earn up to a 65% interest in
the Willoughby property. The property sits within Seabridge's Red
Mountain claim group. Highlights of historical drilling on the
property include:
-- 11.7 m grading 39.8 gpt gold in hole 94-15 (gpt = grams per tonne);
-- 12.2 m grading 10.8 gpt gold, including 3.0 m grading 32.9 gpt gold in
hole 94-27;
-- 2.9 m grading 398 gpt gold in hole 95-36;
-- 5.9 m grading 16.2 gpt gold in hole 95-51; and
-- 13.0 m grading 13.3 gpt gold, including 3.0 m grading 31.1 gpt gold in
hole 95-53.
(See 43-101 Technical Report filed on SEDAR for more
information)
Information with respect to the Willoughby property contained in
this press release is approved by Gerald Carlson, P. Geo.,
Qualified Person for BonTerra.
Finder
Subject to approval from the TSX Venture Exchange, the Company
intends to issue common shares to one finder upon the closing of
the definitive agreement in consideration for services provided by
the finder with respect to the transaction. The finder is not a
non-arm's-length party and such common shares will be issued
pursuant to an exemption under applicable securities laws and will
be subject to a hold period as required by applicable securities
laws.
Financing
The Company would like to further announce a non-brokered unit
financing in the amount of Cdn$12,000,000 at a price of Cdn$0.50
per unit, each unit consisting of one share and one share purchase
warrant. Each warrant is exercisable into one common share at a
price of Cdn$0.75 per share. The securities issued in the proposed
financing will be subject to a hold period as required by
applicable securities laws.
Additional Acquisition
In addition, BonTerra has executed an acquisition agreement and
acquired a 100% undivided interest in 9 claim units (approximately
2,917.337 Ha) located adjacent and contiguous to the Willoughby
propertry and the Red Mountain Property. The company feels that
this constitutes a strategic acquistion as Bonterra now owns or has
an interest in a large area adjacent to the Red Mountain
Property.
Appointment of New Director
BonTerra would like to announce the appointment of Graeme Sewell
to the Board of Directors effective June 25, 2009 and the
resignation of Robert Coltura, effective June 25, 2009.
ON BEHALF OF THE BOARD
BONTERRA RESOURCES INC.
/s/ Mitchell Adam
-----------------
Mitchell Adam
President, Director
This press release contains projections and forward-looking
information that involve various risks and uncertainties regarding
future events. Such forward-looking information can include without
limitation statements based on current expectations involving a
number of risks and uncertainties and are not guarantees of future
performance of BonTerra such as the statement that: (i) the closing
of the transaction may occur; and (ii) the combination creates the
opportunity to develop a sustainable and profitable mining
operation within a low-risk political jurisdiction. There are
numerous risks and uncertainties that could cause actual results
and BonTerra's plans and objectives to differ materially from those
expressed in the forward-looking information, including (i) the
inability to close the transaction for any reason; (ii) the
inability to close the financing; (iii) the inability to obtain
exchange approval (iv) a continued downturn in general economic
conditions; (v) decreased demand for minerals and lower mineral
prices; (vi) the inherent uncertainties and speculative nature
associated with mineral exploration; (vii) any number of events or
causes which may delay or cease exploration and development of
BonTerra's property interests; (viii) the risk that BonTerra does
not execute its business plan; (ix) inability to finance operations
and growth; and (x) other factors beyond BonTerra's control. Actual
results and future events could differ materially from those
anticipated in such information. These and all subsequent written
and oral forward-looking information are based on estimates and
opinions of management on the dates they are made and are expressly
qualified in their entirety by this notice. Except as required by
law, BonTerra assumes no obligation to update forward-looking
information should circumstances or management's estimates or
opinions change.
Neither TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
For further information contact: Mitchell Adam
mitchellgadam@shaw.ca www.bonterraresources.com Tel: (604)
669-9330
BonTerra Resources (TSXV:BTR)
Graphique Historique de l'Action
De Juin 2024 à Juil 2024
BonTerra Resources (TSXV:BTR)
Graphique Historique de l'Action
De Juil 2023 à Juil 2024