Canterra Minerals Corp. [CTM-TSXV, CTMCF-OTCQB, DXZB-FSE, A2P9X3-WKN] is upsizing a previously announced non-brokered private placement financing, which is now expected to generate up to $4.6 million, money that will be used to fund exploration at the company’s Newfoundland properties. That’s up from an earlier $3.5 million target.
The private placement consists of units priced at 10 cents each and flow-through shares issued at 12 cents each. The units will each consist of one common share and one half of one common share purchase warrant, each of which will entitle the holder to purchase one common share of Canterra for 15 cents at any time on or before that date which is 36 months after the closing date of the private placement.
The non-brokered private placement is scheduled to close by December 19, 2024, subject to regulatory approvals.
Canterra shares were unchanged at $0.095 and trade in a 52-week range of 15.5 cents and $0.04.
Canterra is a diversified minerals exploration company with a focus on critical minerals and gold in central Newfoundland. The company’s projects include six mineral deposits located in close proximity to the past-producing Buchans mine and Teck Resources Ltd.’s (TECK.B-TSX, TECK.A-TSX, TECK-NYSE) Duck Pond mine, which collectively produced copper, zinc, lead, silver and gold.
Canterra’s gold projects are located on trend with Calibre Mining Corp.’s [CXB-TSX, CXBMF-OTC] Valentine mine, which is currently under construction and cover an approximately 60-kilometre extension of the same structural corridor that hosts mineralization within Calibre’s mine project. Past drilling by Canterra and others within company’s gold projects intersected multiple occurrences or orogenic-style gold mineralization within a a large land position that remains underexplored.
The company has been using VRIFY Technology and its AI-assisted mineral discovery platform (“VRIFY AI “) to generate drill targets at the Buchans property, which hosts a NI 43-101-compliant indicated resource of 16.7 million tonnes, grading 1.5% zinc, 0.4% copper, 0.6% lead, 0.07 g/t gold and 5.7 g/t silver.
In a press release on October 1, 2024, Canterra said it has struck an option deal with Teck Resources, granting Teck the option to acquire a 100% interest in Canterra’s Ring of Fire property in northern Ontario, subject to a 1.5% net smelter royalty to be retained by Canterra.
“We are very pleased to monetize this recently staked property within our portfolio,’’ said Canterra President and CEO Chris Pennimpede. “Given Teck’s expertise and commitment to mineral exploration, we are confident they are well-positioned to unlock the full potential of the Ring of Fire Project.’’
The Ring of Fire property is a 3,011-hectare land package acquired through staking in 2023 and is located 40 kilometres southwest of the Eagle’s Nest nickel-platinum group elements project. The company said this underexplored area of the James Bay Lowlands is highly prospective for critical minerals, including nickel and platinum group elements and remains largely unexplored due to limited bedrock exposure.
