Buchans sells Newfoundland assets to Canterra

Buchans Resources has sold its assets in central Newfoundland to Canterra Minerals (TSXV:CTM; OTCQB:CTMCF) in exchange for an equity position in Canterra. Common shares and special warrants of Canterra worth $7.5 million or $0.116 per share will be issued to Buchans.

Buchans says it will distribute at least 80% of the common shares of Canterra to its shareholders.

Canterra will find itself in control of a district-scale portfolio of seven resource-stage critical mineral projects. Indicated and inferred resources have been calculated for the Lundberg, Bobby’s Pond, Daniel’s Pond, and Tulks Hill zinc-copper deposits. The area contains several potential satellite deposits, as well.

Buchans’ central Newfoundland assets include the former Buchans zinc-copper mine that operated for over 50 years. Effective March 1, 2019, the property has 16.7 million indicated tonnes grading 1.53% zinc, 0.42% copper, plus payable lead, silver, and gold (4.46% zinc equivalent). The inferred category included 380,000 tonnes at 2.03 % zinc 0.36% copper, plus payable lead, silver, and gold (5.49% zinc equivalent).

Drilling in 2018 at the Buchans mine returned 1.8 metres grading 5.57% zinc, 0.76% copper, 3.14% lead, 90.5 g/t silver, and 0.37 g/t gold, including 1 metre of 8.70% zinc, 1.26% copper, 4.87% lead, 133.2 g/t silver, and 0.47 g/t gold.

Canterra is actively engaged in the hunt for gold, critical minerals, and diamonds in Newfoundland. Visit www.CanterraMinerals.com.