Teck options Canterra project in Ring of Fire

Teck Resources (TSX: TECK.A, TECK.B; NYSE: TCK) is jumping into the action in Ontario’s Ring of Fire. Canada’s biggest diversified miner has entered into an option agreement with Canterra Minerals (TSXV: CRM) to acquire 100% of Canterra’s property in the region.

Teck will pay a total of C$275,000 cash over the next two years, and Canterra will retain a 1.5% net smelter royalty. The NSR can be reduced to 0.5% upon the exercise of a buy-back right by Teck for a further C$2 million to Canterra.

Canterra’s Ring of Fire Property covers approximately 30 sq. km. of land acquired through staking in 2023. It is located 40 km from the Eagle’s Nest nickel-platinum group metals deposit, owned by Australian Wyloo Pty.

Canterra calls this area of the James Bay Lowlands ‘largely unexplored’ due to limited bedrock exposure. The property is known to host several strong VTEM anomalies identified as high-priority drill targets.

The property covers several geophysical targets within bedrock units, that based upon their geophysical attributes, are inferred to be similar to host rocks to the Eagle’s Nest deposit, including mafic to ultramafic intrusive rocks prospective for magmatic nickel sulphide deposits.