Alterra Resources Inc. - Announcement.

TORONTO--(BUSINESS WIRE)--June 27, 1996--ALTERRA RESOURCES INC.(CANADIAN DEALING NETWORK: ALRI ) Alterra Resources Inc. is pleased to announce commencement of its Nova Scotia properties 1996 mineral exploration program, wherein the company will assess several promising, large gold properties, described as follows:

Copper Lake, Guysburough County: Alterra Res. Inc. holds a 50 percent interest in this property. Phase 2 (phase 1 completed in 1995) exploration near an old copper mine exploration geologists advise hold excellent potential for low-grade, disseminated, bulk tonnage gold deposits.

Work on the property will include: detailed geochemical analysis, along with trenching and drilling to expand on previously found highly anomalous gold contents in stream alluvium and tills. In this anomalous terrain, angular floats of Horton age black shales containing gold showings have been found.

Jed Lake, Halifax County: Alterra Res. Inc. has signed a joint venture (J.V.) agreement with a consortium of local private investors to fund assessment of a gold property known as Jed Lake, Halifax County, Nova Scotia. Under the terms of the J.V. agreement a total of $90,000 CAD exploration program will be affected, of which the private consortium will fund $40,000 to earn 44.5 percent collectively and Alterra $50,000 to earn 55.5 percent interest.

The Jed Lake claim group (58 claims) lies just east of the old Moose River gold district. Alterra will be evaluating black shale (slate) horizons in a dome structure of Ordovician age for bedded gold deposits. In these terrain, highly anomalous stream alluvium and till samples for gold also exist near float blocks of sedimentary origin that contain elevated concentrations of gold.

Work on the property will include: basic exploration followed up by drilling to establish the gold content of thick, carbonaceous, sulphide black slate beds.

Collingwood, Cumberland County: Alterra Res. Inc. has signed an agreement with Remoscan Ltd. of Nova Scotia, which owns a 100 percent interest in the Collingwood Gold Property. Under the terms of the agreement Alterra Res. Inc. will fund a total of $1,150,000 CAD over a period of 3 years to earn a 50 percent interest in the 3 stage exploration program, Stage 1 (1996 Program) of which will begin immediately, and cost $150,000 CAD for a 20 percent interest; $500,000 for a 15 percent interest in Stage 2 (1997 Program), and $500,000 for a 15 percent interest in Stage 3 (1997 Program).

The Collingwood Property (88 claims) is located on the north slope of the Cobequid Highlands where highly anomalous gold values in stream alluvium, soils and heavy mineral separates from streams will be assessed. Excellent gold targets exist in and adjacent to a terrain underlain by a late, Carboniferous age, granitic complex. Many high gold anomalies exist near pronounced fault zones which may contain structurally-controlled, hydrothermal gold deposits.

Work on the property will include: basic exploration and diamond drilling.

Funding of $300,000 CAD has been allocated by Alterra Res. Inc. to carry out the 1996 mineral exploration program, $150,000 of which will be raised through a private placement financing consisting of one common share at $0.65 and one warrant to purchase an additional common share at $0.80 for a period of two years. The remaining $150,000 will be raised through flow funding, the details of which will be announced at a later date.

A finder's fee will be paid with respect to the Collingwood and Jed Lake properties.

The above matters are subject to regulatory approval. Canadian Dealing Network Inc. (CDN) does not take responsibility for the adequacy or accuracy of this release.

CONTACT: Alterra Resources Inc.

Greg Muzzatti, 902/527-1353, 902/527-1354 (fax)