BonTerra Resources Inc.
TSX VENTURE : BTR
FRANKFURT : 9BR

BonTerra Resources Inc.

November 08, 2010 11:20 ET

BonTerra Increases Stake in Urban-Barry, Arranges Financing

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 8, 2010) - BonTerra Resources Inc. (TSX VENTURE:BTR) (FRANKFURT:9BR) (the "Company") announces that it has entered into an option agreement with an arm's length vendor to acquire a 100 percent interest in a property package. The property is composed of 37 claims totaling 2,094 hectares.

These new claims are on strike with Glen Eagle Resources Nubar Deposit (current estimated resource of 564,000 tonnes at 6.2 grams per tonne gold). Historic government magnetic data shows a large magnetic anomaly which runs in the same parallel NE-SW trend as seen on both the Urban Barry and the Eastern extension properties. The new claims are also southwest of Metanor's claim group which hosts the NI 43-101 compliant Barry Deposit (269,000 tonnes @ 4.10g/t gold indicated & 450,000 tonnes @ 4.68 g/t gold inferred). Metanor recently announced the commencement of a 25,000 metre drill program.

President, Mitchell Adam states, "This is a period of rapid growth for BonTerra. Our current drill program has been met with successs and we are very excited to be receiving our rush assays any day now. We envision building a winter camp and continuing to drill all winter on our properties in the Urban-Barry segment of the Abitibi Greenstone Belt of Quebec."

Terms of the transaction are as follows:

-Paying the Optionor $5,000 on the Closing Date;

-Paying the Optionor $5,000 on the date that is twelve (12) months from the Closing Date;

-Issuing the Optionor 2,000,000 Common Shares on the Closing Date;

-Issuing the Optionor an additional 1,000,000 Common Shares on the date that is within twelve (12) months from the Closing Date;

-Incurring $200,000 in Exploration Expenditures prior to the date that is twelve (12) months from the Closing Date; and

-Incurring $200,000 in Exploration Expenditures prior to the date that is twenty-four (24) months from the Closing Date.

The property is subject to a (2%) NSR (1% can be purchased by the Company for $1,000,000).

The forgoing is all subject to the prior approval of the TSX. In addition, this transaction may be subject to a finder's fee under exchange rules and guidelines.

Additionally, the Company announces that at that it has arranged, subject to TSX Venture Exchange approval, a private placement of 4,000,000 units at $0.18 per unit for total gross proceeds of $720,000. Each unit will consist of one common share and one transferable share purchase warrant, each warrant exercisable into one additional common share at a price of $0.23 per share for a period of two years from the date of closing.

The forgoing is all subject to the prior approval of the TSX. In addition, this transaction may be subject to a finder's fee under exchange rules and guidelines.

The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed on behalf of the Company by Thomas Clarke, Pr.Sci.Nat, a qualified person.

ON BEHALF OF THE BOARD

BONTERRA RESOURCES INC.

Mitchell Adam, President, Director

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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