BonTerra Resources Inc.
TSX VENTURE : BTR

BonTerra Resources Inc.

June 13, 2012 12:05 ET

BonTerra Defines A NI 43-101 Compliant Inferred Gold Resource of 492,000 Ounces on Its Eastern Extension Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - June 13, 2012) - BonTerra Resources Inc. (TSX:BNE) (the "Company", "BonTerra") is pleased to announce the release of a National Instrument 43-101 ("NI 43-101") compliant inferred resource estimate for its 100% owned Quebec gold property, the Eastern Extension (the "Property"). The mineral resource estimate includes the results of 12,543 metres of core drilling completed on the Property in 2011. The resource estimate, completed by Snowden Mining Industry Consultants Inc. ("Snowden") of Vancouver, British Columbia is constrained by geologic domains consisting of ten vein structures. Using a 1.0 g/t cutoff, the Property contains inferred gold resources of 4,337,000 tonnes grading 3.53 g/t for 492,000 ounces. BonTerra has been able to define this resource with the drilling performed in the past two years. The Company intends to file a complete Technical Report on SEDAR within 45 days of this release as required by NI 43-101. The inferred resource estimate is set out in Table 1 below and reported as a series of cut off grades.

Table 1: Inferred Resource Estimate for the Eastern Extension Property

Cut off Grade (grams/tonne) Metric
Tonnes
Gold Grade
(grams/tonne
) Gold Grams (000 ) Gold Ounces
1.0 4,337,000 3.53 15,314 492,000
2.0 2,266,000 5.29 11,976 385,000
3.0 1,170,000 7.97 9,328 300,000
4.0 905,000 9.37 8,479 273,000
5.0 863,000 9.50 8,200 264,000
6.0 778,000 9.94 7,735 249,000
7.0 673,000 10.46 7,036 226,000
8.0 513,000 11.44 5,870 189,000
9.0 409,000 12.27 5,018 161,000

Highlights of the NI 43-101 Compliant Inferred Resource Estimate:

  1. BonTerra has defined the resource by spending approximately $3.5 million in under two years and drilling 13,919 metres of core. This has resulted in an inferred gold resource of 4,337,000 tonnes grading 3.53 g/t (1.0 g/t cut off) for 492,000 ounces of gold.
  1. With a very high cutoff grade of 6.0 g/t, there is an inferred gold resource of 249,000 ounces with an average grade of 9.94 g/t. This demonstrates grade stability.
  1. The inferred resource estimate was completed by Snowden, amongst the most respected of global mining consulting firms.
  1. Management believes there is potential for expansion with further drilling as the existing inferred resource is open to the northeast, southwest and down dip. In addition, BonTerra's Rivage Zone was not included in the existing resource estimate.
  1. The Urban-Barry gold camp additionally hosts two other gold projects with NI 43-101 compliant resources. These consist of Windfall Lake and the Barry Deposit.

The 5,917 metres of drilling BonTerra completed in 2012, which includes the Rivage Zone ("Rivage"), is not included in the existing inferred resource estimate. There are assays pending for six holes. The highlight of this 2012 drilling was the Rivage which assayed 73.82 g/t gold over 3.0 metres in BA-12-10, which included 1.0 metre of 220.0 g/t gold. This drill hole at the Rivage was collared approximately 120 metres from the Rivage discovery outcrop. A chip sample taken from this outcrop in the fall of 2011 assayed 204 g/t gold.

Navjit Dhaliwal, President states, "BonTerra is very proud to have received such a great first ever resource estimate from Snowden for our gold property. It is not common for a junior company like BonTerra Resources to develop an asset of such high potential in such a short period of time. We feel this resource estimate completed by Snowden solidifies BonTerra as a leading junior gold explorer in Quebec's Abitibi Greenstone Belt. This also speaks volumes about the high quality of the Property as well as all of our team in Vancouver and Val d'Or."

Inferred Mineral Resource Estimate:

Information in this news release that relates to the inferred mineral resource estimate has been reviewed and approved by Walter A Dzick CPG, AIPG, who is a Qualified Person under the definitions established by NI 43-101. He is independent of BonTerra and an employee of Snowden Mining Industry Consultants Inc., Vancouver, British Columbia.

This technical content of this press release has been reviewed and accepted by Thomas Clarke, Pr.Sci.Nat., a Director of BonTerra. Mr. Clarke is a Qualified Person under NI 43-101.

The Property is situated approximately 170 kilometres northeast of Val d'Or, Quebec in the Abitibi Greenstone Belt. Snowden conducted the gold resource estimate on behalf of BonTerra. Through the end of 2011, the Property has had a total of 108 diamond drill holes totaling 23,165 metres of diamond drilling as shown in Table 2 which includes historical drilling. BonTerra has also completed 15 diamond drill holes for 5,917 metres in 2012. These drill holes were not utilized for the current resource estimation.

Table 2: Summary of All Drilling on the Eastern Extension Property

Company
Responsible
Years
Drilled
Total Metres Total Holes Description With Relation to Inclusion in the Resource Estimate
BonTerra 2010 1,346 9 Included in the resource estimate
BonTerra 2011 12,573 40 Included in the resource estimate
Xemac Various 9,246 59 Included in the resource estimate area
Total Drilling BonTerra 19,836 64
Total Drilling Xemac 9,246 59
Grand Total all Drilling 23,165 108

As previously reported, BonTerra has focused its geological program on assessment of the quartz veins that appear to be spatially associated with syenite porphyry dykes in the Eastern Extension area. The dyke and several associated gold bearing quartz veins have been defined over a strike length of 1,000 metres, to a depth of 700 metres.

The database used by Snowden contains 108 surface diamond drill holes (total of 23,165 metres; average length 215 metres). Fourty drill holes were completed in 2011. Geological information from all drill cores was used to develop the geological interpretation.

A Vulcan block model with cell dimensions of 2 metres (X), 2 metres (Y), 2 metres (Z) was coded to reflect surface topography, syenite porphyry dykes, and the quartz vein domain solids.

Gold grades were estimated from 1 metre length weighted composited into the interpreted mineralized blocks by ordinary kriging using parameters established from analysis of the variography within each domain. Based on the variographic analysis search ellipses were created to enable a three pass approach to interpolate gold grades into the blocks. Minimum and maximum numbers of composites were set to 2 and 12 per block respectively utilizing a top cut of 58 grams per ton. Discretization was set to 2 x 2 x 1. Density factor of 2.78 grams/cc were assigned to the mineralized veins based on 10 measurements of specific gravity performed by BonTerra.

Snowden has applied an inferred classification to all blocks in the mineral resource. Snowden has not classified any measured blocks after considering the relatively short ranges of gold grade continuity, the current drill hole spacing, the relatively high nugget environment, and use of assigned densities.

Mineral resources are not mineral reserves and do not have demonstrated economic viability. There is no certainty that all or any part of the mineral resource will be converted into mineral reserves. In the above mineral resource table there may be inconsistencies due to rounding. Estimates are rounded since the figures are not precise calculations.

About BonTerra Resources

BonTerra is a Canadian gold exploration company based in Vancouver, BC. BonTerra is focused on continuing to expand the drill defined gold zones on its Eastern Extension property, part of the world famous Abitibi Greenstone Belt in mining friendly Quebec. BonTerra has a total of three gold properties in the Urban-Barry belt, the Eastern Extension, Lavoie and Urban-Barry properties which are all located approximately 170 km NE of Val-d'Or and 125 km SW of Chibougamau in the Urban, Barry and Bailly townships in Québec.

The Company owns 100% of the Property subject to a 2% NSR which is held by three individuals, 1% of this NSR can be purchased for a sum of $500,000.

ON BEHALF OF THE BOARD

BONTERRA RESOURCES INC.

Thomas Clarke, Director

This press release contains projections and forward-looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company, such as the statement that: (i) the Company intends to file a NI 43-101 Technical Report with respect to the inferred resource calculation within 45 days of the press release; (ii) the Company intends to undertake additional drilling to upgrade the existing inferred resource calculation into the indicated category and to increase the existing inferred mineral resource; and (iii) management believes there is potential for expansion with further drilling as the resource is open to the northeast, southwest and down dip. There are numerous risks and uncertainties that could cause actual results and the Company's plans and objectives to differ materially from those expressed in the forward-looking information, including: (i) adverse market conditions; (ii) delays with respect to drilling and receipt of drill results; (iii) delays with respect to finalizing the Technical Report for filing on SEDAR and regulatory reviews and comments related to same; and (iv) general uncertainties with respect to mineral exploration in general. Actual results and future events could differ materially from those anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and are expressly qualified in their entirety by this notice. Except as required by law, the Company does not intend to update these forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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