Thunder Bay, Ontario - July 9, 2018 (Newsfile Corp.) (Investorideas.com Newswire) Benton Resources Inc. (TSXV: BEX) ("Benton" or "the Company") and Quadro Resources Inc (TSXV: QRO) ("Quadro") are pleased to announce that they have entered into an option agreement (the "Option") pursuant to which Quadro has acquired the right to earn Benton's 33.33% interest in the recently staked Conche Property (see Benton PR dated June 22, 2018) on Newfoundland's Great Northern Peninsula. In order to exercise the Option, Quadro is required to issue 1 million Quadro shares to the Company over an eighteen month period with 200,000 shares owed upon receipt of regulatory approval, a further 300,000 shares to be issued within six months of receipt of regulatory approval and the final 500,000 shares within eighteen months of receiving regulatory approval. Upon completion of the share payments, Benton will retain a 1% NSR with Quadro having the right to purchase 50% of the NSR for $500,000. The Option remains subject to approval by the TSX Venture Exchange.
With Benton's already substantial share position in Quadro, the Company believes this was the best path forward to both preserve capital and be in a position to leverage the upside through this share position and retained NSR should the project advance towards development.
Recent grab sample samples taken from the newly discovered zone returned values up to 15.5% Lead (pb) and 192 grams per tonne (g/t) silver. Below is a table of assay results:
The property is located approximately 7km from the southeast boundary of Altius Minerals Corporation's ("Altius") new Sail Pond discovery, where Altius obtained grab samples up to 2,030 g/t Ag, 7.08% Cu, 9.40% Pb, 2.54% Sb, 0.46 g/t Au and 944 g/t Ag, 5.24% Cu, 7.6% Pb, 2.32% Zn, 0.30g/t Au (South Zone) and 803 g/t Ag, 3.58% Cu, 0.11% Pb, 1.04% Zn, 0.92% Sb, 0.17 g/t Au (North Zone)(see Altius web site).
The surface grab samples mentioned in this release are selective by nature and are unlikely to represent average grades of the property.
Wayne Reid, P. Geo., a Qualified Person as defined in National Instrument 43-101, was involved in the collection of the samples, supervised the analytical program and approved the scientific and technical disclosure in the news release.
Analysis reported in this release were completed by Eastern Analytical in Springdale, NL. with ISO 17025 accreditation. Samples were transported, by the Qualified Person, in sealed bags to Eastern and all samples were analyzed using a Au plus 34 element ICP procedure. Over-limits for base metals and silver were assayed using industry-standard assay techniques.
The Option will be effected with Quadro of which Benton is an insider and as such the transaction is a "related party transaction" as such term is defined under Multilateral Instrument 61-101 — Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company is relying on exemptions from the formal valuation and minority approval requirements set out in MI 61-101. The Company is exempt from the formal valuation requirement of MI 61-101 under sections 5.5(a) and (b) of MI 61-101 in respect of the transaction as the fair market value of the transaction, insofar as it involves the interested parties, is not more than 25% of the Company's market capitalization. Additionally, the Company is exempt from minority shareholder approval under sections 5.7(1)(a) and (b) of MI 61-101 as, in addition to the foregoing, (i) neither the fair market value of the transaction nor the consideration to be provided to the interested parties exceeds $2,500,000, (ii) the Company has one or more independent directors who are not employees of the Company, and (iii) all of the independent directors have approved the transaction.
About Benton Resources Inc. (TSXV: BEX)
Benton Resources Inc is a well-funded Canadian-based project generator with a diversified property portfolio in Gold-Silver, Nickel, Copper, and Platinum group elements. Benton holds multiple high grade projects available for option which can be viewed on the company's web site. Most projects has an up to date 43-101 report available. Interested parties can contact Stephen Stares from the contact below.
On behalf of the Board of Directors of Benton Resources Inc.,
Stephen Stares, President
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.
The information contained herein contains "forward-looking statements" within the meaning of applicable securities legislation. Forward-looking statements relate to information that is based on assumptions of management, forecasts of future results, and estimates of amounts not yet determinable. Any statements that express predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance are not statements of historical fact and may be "forward-looking statements."
Forward-looking statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation: risks related to failure to obtain adequate financing on a timely basis and on acceptable terms; risks related to the outcome of legal proceedings; political and regulatory risks associated with mining and exploration; risks related to the maintenance of stock exchange listings; risks related to environmental regulation and liability; the potential for delays in exploration or development activities or the completion of feasibility studies; the uncertainty of profitability; risks and uncertainties relating to the interpretation of drill results, the geology, grade and continuity of mineral deposits; risks related to the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses; results of prefeasibility and feasibility studies, and the possibility that future exploration, development or mining results will not be consistent with the Company's expectations; risks related to gold price and other commodity price fluctuations; and other risks and uncertainties related to the Company's prospects, properties and business detailed elsewhere in the Company's disclosure record. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in forward-looking statements. Investors are cautioned against attributing undue certainty to forward-looking statements. These forward looking statements are made as of the date hereof and the Company does not assume any obligation to update or revise them to reflect new events or circumstances. Actual events or results could differ materially from the Company's expectations or projections.
For further information contact Stephen Stares @:
684 Squier Street,
Thunder Bay, ON
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