Benton Resources arranges $1.7M private placement to resume drilling at Great Burnt deposit, Newfoundland
Benton Resources Inc. [TSXV: BEX] reported that it has arranged, subject to TSXV approval, a non-brokered private placement financing on a best-efforts basis for gross proceeds of up to $1.7 million. The company intends to issue up to 30,909,091 units at a price of $0.055 per unit, each unit consisting of one common share of the company and one common share purchase warrant, each warrant entitling the holder to acquire an additional common share of the company at $0.10 for a period of 5 years from the date of issue. The company will use the proceeds from the private placement to advance its Newfoundland projects and for general working capital purposes.
Benton intends to resume drilling this week, with plans to expand both South Pond and the Great Burnt deposit. Benton has identified multiple high priority drill targets on the project and will aim to test several of these targets in the upcoming drill campaign.
Benton has a diversified, prospective property portfolio and holds large equity positions in other mining companies that are advancing high-quality assets. Whenever possible, BEX retains net smelter return (NSR) royalties with potential long-term cash flow.
Benton is focused on advancing its high-grade Copper-Gold Great Burnt Project in central Newfoundland, which has a Mineral Resource estimate of 667,000 tonnes at 3.21% Cu Indicated and 482,000 at 2.35% Cu Inferred. The project has an excellent geological setting covering 25km of strike and boasts six known Cu-Au-Ag zones over 15km that are all open for expansion.
Further potential for discovery is excellent given the extensive number of untested geophysical targets and Cu-Au soil anomalies. Phase 1 and 2 drill programs returned impressive results, including 25.42 metres of 5.51% Cu, including 9.78 metres of 8.31% Cu, and 1.00 metre of 12.70% Cu.
Drilling at the South Pond Gold Zone, approximately 7.5 km north of the Great Burnt Copper-Gold Zone, has confirmed a robust gold-mineralized system over 2.5 km with results of 74.20 metres of 1.43 g/t gold and 43.75 metres of 1.62 g/t gold and is open for expansion in all directions.
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