Val-d'Or, Quebec--(Newsfile Corp. - March 6, 2023) - Bonterra Resources Inc. (TSXV: BTR) (OTCQX: BONXF) (FSE: 9BR2) ("Bonterra" or the "Company") a Canadian gold exploration company with a large portfolio of advanced exploration assets anchored by a central milling facility in northern Quebec, Canada, provides the following operational updates:
Inflation and further Cost Saving Initiatives
In response to the challenging inflationary pressures related to project development, specifically in northern Quebec, the Company continues to significantly reduce its fixed expenses. In addition to the cost saving initiatives announced in November 2022 (see press release dated November 23, 2022), the Company has completed the transition from processing most assays at its wholly owned laboratory to an external laboratory.
Bonterra has also entered into an agreement for the rental of the Bachelor camp with the main contractor in charge of the construction of the proposed Kuikuhaacheu hydroelectric power transmission line from the Waswanipi substation to the Windfall gold project. The Company is also evaluating other cost-saving initiatives.
Infill Drill Program at Barry
On September 7, 2022, the Company began a 125,000 metres ("m") drill program at the Barry underground deposit, which holds 0.5 million ounces of Measured and Indicated Mineral resources and 0.7 million ounces of Inferred Mineral resources according to the last mineral resources estimate (the "2021 MRE", see press release dated June 23, 2021). To date, 31,350 m of infill drilling (107 holes) has been completed, mainly in the upper half of the deposit.
The challenging inflationary pressures related to project development have also led the Company to pause the infill drill program and engineering work related to the Barry underground deposit. However, geological interpretation work will continue at both the Barry and Gladiator deposits throughout the year.
The two rigs formerly used for infill drilling will now be utilized for a targeted regional exploration program across the Company's 38,050 hectares land package, averaging about 1,400 m per month. This drill program will be focused primarily in the Urban-Barry property and to a lesser extent, the Bachelor property. An airborne geophysical survey will also be conducted at Bachelor to identify optimal exploration targets.
Renewed Focus on Regional Exploration
The Company is pleased to announce the launch of an exploration program at the Duke property ("Duke" or the "Property"), a joint venture with Osisko Mining Inc. ("Osisko" or the "Partner"). The Property consists of 81 mineral claims totaling 3,590 hectares, adjacent to the Company's Gladiator deposit and Osisko's Windfall gold project (Figure 1). Bonterra and Osisko are joint venture partners with a 70% and 30% working interest, respectively, to explore Duke (see press release dated July 13, 2021). This program is part of the Company's renewed focus on regional exploration.
The exploration program for Duke comprises ten holes, totaling 3,300 m in the corridor of volcanic rocks bounded by the Rouleau and St Çyr faults which contains the lac Rouleau deposit that comprises Zones 18, 17 and 14. Seven holes will be drilled northeast of the Lac Rouleau deposit, where the litho-structural trend abruptly shifts from N80 to N45 degrees related to the emplacement of intrusive bodies creating potential traps for mineralizing fluids, while three holes will be drilled on the west side of the Lac Rouleau deposit, directly south of the Rouleau fault to test N60 degrees trending structures that connects the St Çyr and Rouleau faults (Figure 2).
Known gold mineralization at Duke are, like the Barry and Gladiator deposits, controlled by N60 to N80 degrees trending shear zones located on, or proximal to major regional litho-stratigraphical contacts such as the Rouleau or the St Çyr faults. Gold occurrences are often associated with the lithological complexity created by mafic to felsic intrusions. It is to be noted that the Gladiator deposit contains 0.4 million ounces of Measured and Indicated Mineral resources and 1.0 million ounces of Inferred Mineral resources, as stated in the 2021 MRE.
Marc André Pelletier, President and CEO commented: "As part of our ongoing commitment to cost reduction and optimizing capital allocation for the benefit of our shareholders, we have made the decision to pause the infill drilling campaign at the Barry deposit. We are mindful of the challenging market conditions faced by junior mining companies like Bonterra, as well as inflationary pressures such as higher energy costs for underground operations without access to the hydroelectric grid. We are pleased to note the forthcoming construction of the hydroelectrical transmission line near our projects by Miyuukaa Corporation, and we are contributing to this project by providing a camp to the main contractor. In addition, we are excited to launch a regional exploration program in collaboration with Osisko as part of our joint venture on Duke, with the goal of targeting untested ground along the Rouleau fault using two drill rigs. This program supports our view of the significant exploration potential in the Urban-Barry camp."
Figure 1 - Duke Property - Regional Map
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/1528/157282_eadca91a748c28a1_001full.jpg
Geology
The Duke Property covers three litho-stratigraphical units of the Urban-Barry greenstone belt. The Lacroix formation composed of ultramafic to mafic volcanics which hosts the Gladiator deposit, the Chanceux formation mostly composed of volcano sedimentary units and mafic volcanics which host the Cominco, showing #4 and Centaur showing as well as occurrences of volcanogenic sulfides mineralization such as the Lac Morissette showing, finally the Macho formation composed of mafic volcanics with felsic volcanics centers which host the Barry and Windfall deposits. These three litho-stratigraphical units are bounded by two majors kilometric N60 degrees trending
sub-vertical faults: the Barry fault occurs between the Lacroix and Chanceux formation where the Gladiator deposit is located; the St Çyr fault occurs at the contact between the Chanceux and Macho Formation where the Lac Rouleau deposit is situated. The Rouleau fault parallel to St Cyr and Barry Faults delineates a strong magnetic contrast in the Macho formation creating a highly prospective area to discover new deposits. The mineralization on the Duke property varies in style. The Lac Rouleau deposit consists of a strongly altered sheared diorite at the contact between mafic flows and intermediate tuffs with pyrite mineralization and smoky quartz veining. The Cominco showing #4 and Centaur showing are hosted by sheared gabbro and its sheared contact with the volcanics it is composed of white quartz breccias associated with strong carbonate sericite and fuchsite alteration and minor pyritization. The Lac Morissette showing is formed by a massive sulfide lens in a quartz felspathic porphyry. The exploration drilling program is designed to test new targets along the corridor between the St Çyr and the Rouleau faults as well as to test the extension along strike of known mineralization.
Figure 2 - Duke Exploration Program and Airborne Magnetic field Survey Results - Diamond drill holes targets location
To view an enhanced version of this graphic, please visit:
https://images.newsfilecorp.com/files/1528/157282_eadca91a748c28a1_002full.jpg
Quality Control and Reporting Protocols
The Company's drill core gold analyses are performed at Activation Laboratories Ltd ("Actlabs") based in Ste-Germaine-Boulé, Quebec. The analyses are carried out by fire assay (A.A.) with atomic absorption finish and with gravimetric finish for assay above 10 g/t Au. Samples with visible gold are assayed by a metallic sieving method. Bonterra applies industry standard Quality Assurance/Quality Control ("QA/QC"). The geological team inserts blank certified samples and pulps duplicates in every batch of 20 samples. Actlabs routinely inserts certified samples
(2 standards for gold, one duplicate and one blank) and results are reported in certificates of analysis. Approximately 5% of sample pulps grading more than 0.5 g/t are sent to secondary laboratories for check assay. Standards, blanks, and duplicates used by Bonterra and Actlabs are in compliance with QA/QC associated to a project at early exploration stage. A review of results is performed by Qualified Persons.
Qualified Person
Donald Trudel, P.Geo., (OGQ # 813) Director of Geology of the Company oversees all exploration activities on the Bonterra's properties and has compiled and approved the information contained in this press release. Mr. Trudel is a qualified person as defined by National Instrument 43-101
on standards of disclosure for mineral projects.
About Bonterra Resources Inc.
Bonterra is a Canadian gold exploration company with a large portfolio of advanced exploration assets anchored by a central milling facility in Quebec, Canada. The Company has four main assets, Gladiator, Barry, Moroy, and Bachelor that collectively have a total of 1.24 million ounces in Measured and Indicated categories, and 1.78 million ounces in Inferred category. Importantly, the Company owns the only permitted and operational gold mill in the region. Bonterra is focused on graduating from advanced exploration to a development company to deliver shareholder value.
FOR ADDITIONAL INFORMATION
Marc-André Pelletier, President & CEO
ir@btrgold.com
2872 Sullivan Road, Suite 2, Val d'Or, Quebec J9P 0B9
819-279-9304 | Website: www.btrgold.com
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.
Cautionary and Forward-Looking Statements
Caution regarding forward-looking statements
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 and placing the Bachelor-Moroy deposit under long-term care and maintenance. The words "will", "anticipated", "plans" or other similar words and phrases are intended to identify forward-looking information. This forward-looking information includes namely information with respect to the planned exploration programs and the potential growth in mineral resources. Exploration results that include drill results on wide spacings may not be indicative of the occurrence of a mineral deposit and such results do not provide assurance that further work will establish sufficient grade, continuity, metallurgical characteristics and economic potential to be classed as a category of mineral resource. The potential quantities and grades of drilling targets are conceptual in nature and, there has been insufficient exploration to define a mineral resource, and it is uncertain if further exploration will result in the targets being delineated as mineral resources. 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, 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.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/157282
