A day after saying it paid $77 million in stock to take over Metanor Resources (TSX-V:MTO) (OTCPK:MEAOF), BonTerra Resources (TSX-V:BTR) (OTCQX:BONXF) announced yet another strong gold discovery at it Gladiator Gold Project.
The 10,541-acre property is situated in the Abitibi Subprovince in Quebec and has produced a string of compelling data sets across 60,000 metres of drilling in 2017 and what is planned to be 70,000 metres of drilling this year.
The acquisition of Metanor gave BonTerra not only the adjacent Barry gold deposit, but also the only mill within 110 kilometres.
The Vancouver-based company said that is intersected 27.4 grams per tonne (g/t) gold over 7.0 meters at a depth of roughly 100 metres in an area just 200 meters north of the most northernly known spot in the North Zone.
Akin to other intersects, the mineralization is similar to the rest of the Gladiator deposit and fits into BonTerra's geological model of parallel veins or zones. Drilling in the area is ongoing to evaluate down dip and strike continuity.
The drill hole (officially BA-18-60) also cut 14.8 g/t gold over 7.0 metres in the Main Zone at a depth of 600 meters below surface.
The deposit is currently outlined to a depth of more than 1,000 metres and a strike length of 1,300 meters. The latest discovery expands the known high-grade mineralized zones to six, with mineralization remaining open in all directions.
BonTerra recently optioned adjacent land known as the "Duke claims," which is providing an opportunity to further extend the new zone to the northeast and southwest.
BonTerra expects to have an updated 43-101 resource estimate completed on its Gladiator Gold Deposit during the fourth quarter of this year.
All drilling to be included in the updated report has now been completed, although three rigs are still drilling at the project to better define Gladiator's resources in the future. BonTerra is aiming to prove its projects (Gladiator and Larder Lake to the southwest) are the latest in a region of Canada littered with multi-million-ounce gold discoveries.
Gold prices limping along to hit their lowest price in about 20 months in August hasn't provided a lot of support for miners and explorers in 2018, but shares of BTR have gotten their legs under them to a degree lately.
After touching 30 cents last month, the stock has climbed to as high as 47 cents (its 200-day moving average) this week, including touching that point before closing at 45 cents on Tuesday for a gain of 1.12% on the day.
