The exploration camp at the Gladiator gold project. (Image: Bonterra Resources)
VANCOUVER – Bonterra Resources has engaged Sprott Capital Partners to act as lead agent for a private placement expected to gross slightly more than $20 million. Before the offering closes, Bonterra will consolidate its outstanding shares at a 10-to-1 ratio. All securities issued in this offering are priced on a post-consolidation basis.
The offering consists of two parts. First will be the issuance of 1.97 million flow-through shares priced at $3.80 each. Then, the company will issue 3.79 million common shares at a price of $3.30 each. The agents will receive a cash fee equal to 6% of the gross proceeds. They may also subscribe for share warrants equal to 4% of the original offering.
Bonterra has several exploration projects in Quebec on which it could spend the flow-through share revenue. The most advanced are the Gladiator and the Barry gold projects. The company is preparing updated resource estimates for both projects, and a bulk sampling program is to begin at Barry early next year. The company also owns the Urban-Barry mill.
Learn more at www.BonterraResources.com.