Dec 8 2010
Canterra Minerals Corporation (TSX VENTURE:CTM) has announced that it has entered into three separate option agreements to acquire a 100% interest in a total of 74 unpatented mineral claims located in the Kenora and Patricia Mining Divisions of Ontario.
Drake & Essex Properties
Pursuant to the terms of the first option agreement, the Company can acquire a 100% interest in 43 claims located in the Patricia Mining Division, subject to a 2% percent net smelter return royalty ("NSR"), by making aggregate cash payments of $195,000 and issuing a total of 400,000 common shares over a three year period. At any time, after exercising the option, the Company may purchase one-half of the NSR for a cash consideration of $1 million.
Hornet Property
Pursuant to the terms of the second option agreement, the Company can acquire a 100% interest in 26 claims located in the Kenora Mining Division, subject to a 2% percent net smelter return royalty ("NSR"), by making aggregate cash payments of $121,000 and issuing a total of 200,000 common shares over a four year period. At any time, after exercising the option, the Company may purchase one-half of the NSR for a cash consideration of $1 million.
Boxer Property
Pursuant to the terms of the third option agreement, the Company can acquire a 100% interest in 5 claims located in the Kenora Mining Division, subject to a 1.5% percent net smelter return royalty ("NSR"), by making aggregate cash payments of $96,000 and issuing a total of 200,000 common shares over a four year period. At any time, after exercising the option, the Company may purchase one-half of the NSR for a cash consideration of $750,000.
These option agreements are subject to regulatory acceptance. All securities issued pursuant to these agreements are subject to a four month hold period trading restriction.
Source:
Canterra Minerals Corporation