Bonterra Focused on Uncovering the Next Major Gold Discovery in Quebec's Prolific Urban Barry Camp

Marc-Andre Pelletier, President and CEO of Bonterra Resources, recently spoke about the junior gold exploration company's projects and strategy in Quebec. Bonterra has a large portfolio of exploration properties and infrastructure in the region, including a fully permitted mill.

The company is located north of Quebec near what could become a new mining district in the Urban Barry camp. There are currently around 10 million ounces of gold resources discovered in the camp so far, but the region remains underexplored. Bonterra is hopeful more million-ounce deposits can be found.

Earlier this year Bonterra renewed its exploration focus with two diamond drill rigs in the Urban Barry camp. One drill is at the Panache property and another is at the Barry deposit doing greenfield exploration. The geology team is evaluating the most promising drill targets based on geophysics and previous surveys. The goal is to potentially uncover a major new high-grade discovery in the region.

In terms of project economics, Bonterra recognizes that costs have likely changed over the past 6 months. The company plans to re-test current market conditions related to energy, labour, and contractors to update cost estimates. Access to lower-cost power will be a key factor, with new power infrastructure coming online in the region soon from the nearby Windfall project. Optimizing project costs and economics is an important focus.

Regarding corporate strategy, Bonterra is open to exploring partnerships or joint ventures to advance its projects while conserving cash in the current market environment. The company is watching for consolidation opportunities but remains focused on exploration, with the dream of unlocking a major new discovery to catalyze the share price.

Risks & Opportunities for Investors

Risks

• Exploration is inherently risky, the company may not discover a significant new deposit
• Gold prices could remain suppressed, negatively impacting project economics
• Obtaining permits and financing for development can face challenges

Opportunities

• Significant upside if a major new high-grade gold discovery is made
• Infrastructure improvements in the region could benefit Bonterra's projects
• Strong local support and stable mining jurisdiction in Quebec
• Potential for consolidation or partnerships to advance projects
• Gold prices are expected to rise over long term, improving economics
• Underexplored region could hold multi-million ounce deposits
• Experienced management team with a track record in the region

The main risk is that exploration does not lead to an economic deposit discovery. However, success could result in substantial returns. The projects benefit from proximity to improving infrastructure and Quebec's stable mining policies. While financing and permits carry risks, the experienced team knows the local environment. Upside potential remains high in this emerging camp.

5 Takeaways for Investors

1. Bonterra Resources is focused on exploring its large land package in Quebec's underexplored yet prolific Urban Barry gold camp.
2. The company aims to make a major new high-grade gold discovery to catalyze its share price.
3. Improving infrastructure like power lines coming online in the region could benefit Bonterra's projects.
4. Optimization of costs and project economics is a priority given the challenging markets.
5. Bonterra is open to partnerships and consolidation opportunities to advance its assets in a capital efficient manner.

The main investment thesis is that Bonterra controls highly prospective exploration ground in an emerging gold district, and success with the drill bit could lead to substantial upside. The experienced team is taking sensible steps to manage costs and risks, while leveraging infrastructure improvements happening around them. Their methodical approach could potentially reward shareholders through new discoveries or consolidation.

Conclusion

With strong local support and Quebec being a top global mining jurisdiction, Bonterra sees continued upside in the underexplored Urban Barry camp. The company is controlling costs it can, while waiting for the gold price to eventually turn in its favour. Patience and persistence are key for junior explorers like Bonterra in the current market.