SOURCE: Benton Resources Corp.

March 02, 2007 10:18 ET

Benton Joint Ventures Nipigon Uranium Claim Blocks to Grandcru

THUNDER BAY, ON -- (MARKET WIRE) -- March 2, 2007 -- Benton Resources Corp. (TSX-V: BTC) (the "Company") is pleased to report that, subject to regulatory approval, it has entered into an agreement (the "Agreement") with Grandcru Resources Corporation ("Grandcru") whereby Grandcru has the right to earn an initial 50% interest (the "Initial Option") in the mineral claims consisting of the South Sibley Block, Block "B" and Block "D" (collectively the "Property") in the Sibley Basin area (commonly referred to as the Nipigon Basin). The claim blocks are located less than 100km north east of Thunder Bay, Ontario. Once Grandcru has exercised the Initial Option, it will have an option to earn a further 10% interest in the Property (the "Second Option").

Under the terms of the Agreement, in order to exercise the Initial Option, Grandcru shall spend $500,000 in respect to the Property by: (i) reimbursing Benton for the costs of staking the claims comprising the Property; and (ii) conducting, by the first anniversary of the Agreement, exploration work on the Property in an amount equal to $500,000 less the costs incurred pursuant to (i) above. Provided the Initial Option is exercised, Grandcru may exercise the Second Option by: (a) giving notice to Benton, within 30 days of exercising the Initial Option, that Grandcru wishes to exercise the Second Option; and (b) by spending an additional $500,000 on exploration within 12 months of giving such notice.

Upon Grandcru having exercised the Initial Option, if Grandcru elects not to exercise the Second Option, the parties will form a 50/50 joint venture for the further development of the Property. Upon Grandcru exercising the Second Option, the parties will form a joint venture for the further development of the Property with Grandcru having a 60% interest and Benton having a 40% interest.

About the Nipigon Basin

The Nipigon Basin is considered to have a very similar geological setting to that of Saskatchewan's Athabasca Basin, which hosts most of the world's highest grading uranium deposits. Excellent geological potential combined with significant historical uranium occurrences have led geologists to view the Nipigon Basin as highly prospective for new uranium deposits. Recent ongoing exploration by adjacent companies has led to the discovery of very high-grade uranium up to 27%U308 in grabs and 2.99% U3O8 over 1.5 metres in drilling (Rampart Ventures Ltd P.R October 31, 2005). The Benton/Grandcru Joint Venture Property is highly prospective and includes the presence of radiometric anomalies associated with Sibley Group mid-Proterozoic sediments that coincide with underlying structures in the metamorphosed Archean-aged basement, a setting similar to the uranium-rich Athabasca Basin. Historical exploration in the area has uncovered numerous showings of uranium, copper, and iron oxide (hematite) suggesting that potential also exists for Olympic Dam-type (IOCG) deposits. In the past few years more than 140,000 hectares has been staked for uranium in the Nipigon basin area.

Clinton Barr (P.Geo.), V.P. Exploration for Benton Resources Corp., is the qualified person responsible for this release.

On behalf of the Board of Directors of Benton Resources Corp.

"Stephen Stares"
Stephen Stares, President

Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities.

Contact Information

  • For further information contact
    Stephen Stares
    3290 Willard Ave
    Thunder Bay, Ontario, P7E 6J7
    Phone (807) 475-7474
    Fax (807) 475-7200

    Investor relations:

    In Canada:
    First Canadian Capital
    Daniel Boase
    Phone (416) 742 5600
    Fax (416) 742 6410

    In U.S.A:
    The Windward Agency
    Kelly Boatright
    Phone (704) 588 8600