Canarc Resource Corp. said Sept. 27 that a subsidiary of ASX-listed PanTerra Gold Ltd. has decided to withdraw from the current option agreement on the New Polaris gold project in British Columbia.

PanTerra has informed Canarc that the commercial objectives of the agreement between the parties will not be achieved based on the current negative attitude of the Ministry of Energy and Mines of the Dominican Republic regarding allowing imports of New Polaris gold concentrate into the country for processing.

PanTerra was earning up to a 51% stake in the project under an option agreement signed in February 2015.

Canarc said it continues to focus on advancing the project to feasibility and plans to seek expressions of interest from possible joint venture partners.