Acquisition Date

2022 / May / 02

Terms

2.0% NSR

Operator

Canterra Minerals Corporation

The South Tally Pond property is located 110 km southwest of the town of Grand Falls-Windsor and 35 km south of the community of Millertown in Newfoundland, Canada. The property consists of three contiguous mineral licenses (498 claims) covering 12,450 ha immediately southwest of the past producing Duck Pond Mine.

The Lemarchant zinc-lead-copper-goldsilver deposit is contained within the South Tally Pond property, which consists of two stratiform semi-massive to massive sulphide+barite zones and underlying stringer zones. The Lemarchant deposit was discovered in 2007 and has been expanded through drilling programs and exploration over the years.

The Indicated Mineral Resource Estimate for the Lemarchant deposit as of September 2018 is 2.4 Mt grading 6.2% zinc, 1.6% lead, 0.7% copper, 1.2 g/t gold, 64.0 g/t silver, and 23.5% barite. Inferred Resources is 0.56 Mt grading 4.7% zinc, 1.1% lead, 0.5% copper, 1.1 g/t gold, 44.7 g/t silver, and 13.1% barite (both Indicated and Inferred Resources at 4.0% zinc-equivalent cut-off ).

The South Tally Pond property is hosted within a volcanogenic massive sulfide (VMS) system that has significant expansion potential and numerous untested targets.

Agreement terms are subject to the closing of the Transactions as defined in the Company's press release dated May 2, 2022.

See press release for more details.