Canterra Minerals completes acquisition in Central Newfoundland

The projects were acquired from NorZinc Ltd. and its affiliate NorZinc-Newfoundland Ltd., arm’s length parties to the company, for $250 000 in cash and 6.625 million common shares of Canterra, representing an approximate 9.1% ownership interest, together representing a total consideration value of approximately $2.23 million based on a deemed price of $0.30 per share.

Following the completion of this transaction, the company’s total property position in the central Newfoundland gold belt is approximately 352 km², allowing for expansion of exploration efforts across this new gold district. The company will begin targeting work on the properties following completion of the Fall 2021 drilling program, which is currently underway at the company’s Wilding Gold Property, which is contiguous with Marathon Gold’s Valentine Lake Project.

Highlights:

• Underexplored property package in prolific volcanogenic massive sulfide (VMS) district, which hosts the past producing Duck Pond Mine (Teck Resources) and Buchans Mine (ASARCO).
• Strong average gold grades greater than 1.0 g/t at the Lemarchant and Boomerang deposits.
• VMS systems defined on all projects with significant expansion potential and numerous untested targets.

Chris Pennimpede, CEO & President of Canterra, comments:

“Canterra’s goal is to find mineral deposits in central Newfoundland. These four assets will bolster our mineral rights position in the central Newfoundland corridor and will provide further opportunity to make a major discovery in the belt. Our current property position around the former Duck Pond Mine has provided us with VMS exploration opportunities in addition to our already established orogenic gold deposit opportunities. These new acquisitions further that VMS exploration potential. As the age-old industry saying goes, ‘the best place to look for deposits/mines is next to deposits/mines’; Canterra will now be positioned next to Marathon’s Valentine Lake Deposits, Teck’s Duck Pond Mine and will have a suite of deposits with significant exploration upside. With $4.0 million in cash, and a 352 km² land position covering mineral rights encompassing existing deposits, we expect to be well positioned to make the next mineral discovery in central Newfoundland.”

The four properties acquired are the South Tally Pond property (hosting the Lemarchant deposit), the Tulks South property (hosting the Boomerang-Domino and Tulks East deposits), the Long Lake property (hosting the Long Lake ‘Main Zone’ deposit), and the Victoria Mine property (host to a historical copper mine).

Read the article online at: https://www.globalminingreview.com/mining/17112021/canterra-minerals-completes-acquisition-in-central-newfoundland/