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Bonterra Executes Definitive Option Agreement with Osisko Mining on Bonterra's Urban-Barry Property
Option Agreement Provides Osisko Mining an Option to Earn-In a 70% Interest in Bonterra's Gladiat...
About this update from Bonterra Resources, Inc.
[{"type":"text","content":"Bonterra Executes Definitive Option Agreement with Osisko Mining on Bonterra's Urban-Barry PropertyOption Agreement Provides Osisko Mining an Option to Earn-In a 70% Interest in Bonterra's Gladiator and Barry Projects, and Adjoining Duke and Lac Barry PropertiesVal-d'Or, Quebec--(Newsfile Corp. - November 28, 2023) - Bonterra Resources Inc. (TSXV: BTR) (OTCQX: BONXF) (FSE: 9BR2) (\"Bonterra\" or the \"Company\") is pleased to announce that it has executed a definitive earn-in and joint venture agreement (the \"Agreement\") with Osisko Mining Inc. (\"Osisko\"), further to the news release of Bonterra dated September 25, 2023 and entitled \"Bonterra Announces Binding Letter Agreement for Joint Venture with Osisko Mining\". Under the Agreement, Osisko has the right to acquire up to a 70% interest in the Company's Gladiator and Barry projects, in addition to the adjoining Duke and Lac Barry properties held through joint venture agreements with Osisko and Gold Royalty Corp., respectively (collectively, the \"Properties\"), all located in Quebec's Eeyou Istchee James Bay region and consisting of an aggregate of 496 claims over 22,508 hectares, as shown on the accompanying map.To view an enhanced version of this graphic, please visit:https://images.newsfilecorp.com/files/1528/188935_2b781bbca4f3e874_001full.jpgPursuant to the terms of the Agreement, Osisko has paid the Company initial up-front payments totalling $5 million. Osisko can earn a 70% interest in the Properties, reducing the Company's interest in the Gladiator, Barry and Duke Properties to 30% and its interest in the Lac Barry joint venture to 15%, by expending $30 million dollars on qualifying expenditures on the Properties over the next three years. Specific terms of the Agreement include:Completion of $30 million in work expenditures on the properties, with a minimum spending commitment of $10 million per year over the three year period following the execution of the Agreement;Osisko will have the right to carry over work expenditures from year to year, and to pay cash in lieu of expenditures in the event of a shortfall;Osisko will be the operator for the Properties during the exploration earn-in period;Once a 70% interest in the Properties is earned by Osisko, the Properties will be operated as a joint venture (the \"Joint Venture\"), with Osisko as the operator, and eac...