Bonterra Resources (TSXV: BTR) (OTC: BONXF) has closed its previously announced brokered private placement of flow-through and common shares to raise gross proceeds of $25 million.
About 6.4 million common shares priced at $1.21 each and 8.38 million flow-through shares priced at $2.06 were issued under the offering. Certain funds managed by Wexford Capital LP, an insider of the company, acquired approximately 2.99 million of the common shares (for a total of $3.61 million).
Proceeds from the sale of flow-through shares will be used to advance Bonterra's portfolio of exploration projects in Quebec, which includes the Gladiator, Barry and Moroy deposits. The company is also undergoing regional exploration in the Urban Barry mining camp, where it holds over 38,000 hectares of mining rights.
Earlier this month, Bonterra's regional drilling campaign confirmed the existence of multiple high-grade gold veins at the Panache South property. One of the highlighted drill holes returned 23.1 g/t gold over 2.3 metres, including 62.3 g/t gold over 0.8 metre and 30.6 g/t gold over 1.5 metres.
These results follow up on the bonanza grades drilled late last year at company's Gladiator gold project, where 139.5 g/t gold over 0.5 metre within a wider intersection of 1.4 metres grading 50 g/t was encountered.
More details can be found at www.btrgold.com.