Enforcer Gold Continues to Advance Globex’ Montalembert Gold Project
Enforcer Gold (TSX-V: VEIN), which is earning a 100% stake in the Montalembert project from Globex Mining (TSX: GMX – $0.48 & OTCQX: GLBXF – $0.39 & Fra: G1MN – €0.29), has made a potentially significant new discovery at the property.
The new area of mineralization, named the OR79 zone, is located approximately 1.5 km (1 mile) west‐southwest of the Galena‐No.2 vein. It was discovered in a previously forested area with very low outcrop exposure, which may explain why it was missed by previous explorers.
Assay results from 22 grab samples of isolated outcrops within the area range from 0.50 g/t Au to 9.19 g/t Au. In addition, nine saw‐cut channels returned up to 3.72 g/t Au over 0.4 m width.
OR79 appears to be a new style of mineralization at Montalembert in that there is a clear association of gold mineralization with sulphides in the quartz veining. This is contrary to the Galena‐No.2 area. Consequently, Enforcer’s management felt it was worth to follow‐up this target with an induced polarization (“IP”) geophysical survey and a first pass drilling program.
Early results to date from the ongoing 20 line-km IP survey indicate a 150 m wide by 250 m long area (currently open to north and south) where anomalous results from outcrop sampling are coincident with both high resistivity and high chargeability anomalies, which could potentially correspond with quartz veining and sulphide ± gold mineralization, respectively. A 1,500m diamond drill program, which will test this new area, is set to commence later this month.
Also of interest, in 1985 Northgate Patino Mines, a previous owner of Montalembert, completed an IP survey over an area just east of the new OR79 zone. Several north‐northwest trending chargeability anomalies were reported, including one at the westernmost end of the survey near the location of OR79. In the assessment report, this anomaly is described as the beginning of a good anomalous zone; however, time and budget constraints did not allow for pursuing it further to the west.
In order for Enforcer to earn a 100% interest in Montalembert, it is required to:
• Pay Globex $2.6 million over a four year period;
• Issue Globex 8.5 million shares of Enforcer’s common stock; and
• Undertake $10 million in work.
Moreover, if Enforcer is successful and it earns a 100% interest in the property, Globex retains a 3.5% gross metal royalty, except for the first 150,000 ounces of gold production, where it retains a 6.5% gross metal royalty.
Gold In Each Drill Hole
In other news, Renforth Resources (CSE: RFR), completed its January 2018 drill program at Globex’ Parbec Gold Property. This program was an immediate follow-up to the December 2017 drill campaign, in which Renforth drilled 7 holes, totalling 1,265m, with each drill hole intersecting gold. What makes it even more interesting is that the December drill holes were located outside of the existing Parbec 43-101 resource area, effectively extending the mineralized resource model horizons by 60m on strike to the NW.
In January, another 7 holes were drilled, totalling 1,619m and 886 samples were selected for assay. These results are pending.
Nicole Brewster, President and CEO of Renforth, was quoted saying, “Our December drill program at Parbec extended the mineralization outside of our model, or filled in gaps within our model, with every drillhole. With downdip, updip and strike extensions where our resource model and geological understanding indicated they should be found we have validated our model and increased the known mineralization at Parbec. We now look forward to receiving our assay results for the January drilling, the holes are also outside of our resource model.”
The Parbec property has been subjected to several drill programs by previous owners, which have indicated a series of parallel gold zones. In addition, a 580 metre ramp was excavated to allow bulk sampling of one of the areas of gold mineralization. All this work led to an initial resource estimate, which was updated by Renforth in March 2016.
Total Au (g)
Total Au (oz)
March 2016 Parbec Resource Estimate (0.5 g/t Au Cut-off). Source: Company press release.
Renforth may earn a 100% interest in Globex’s Parbec Gold Property for:
• $550,000 in cash payments over 4 years ($300,000 received);
• 2 million shares of Renforth over 4 years (1.25 million shares received); and
• $4 million in exploration expenditures over 4 years.
In addition, should Renforth earn a 100% interest in the property, Globex will retain a sliding scale Gross Metal Royalty (GMR) of up to 2%.
• 1% GMR at a gold spot price of US$1,000.00/oz or less
• 1.5% GMR at a gold spot price greater than US$1,000.00/oz but less than US$1,200.00/oz
• 2% GMR at a gold spot price equal to or greater than US$1,200.00/oz.
Enforcer Gold and Renforth Resources are just two companies that are currently advancing one of Globex’ properties. Thanks to the cash and/or share payments that Globex receives from its option partners, along with some form of royalty interest payable when projects achieve commercial production, it can advance some of its most exciting projects without having to raise money. This is the heart and soul of Globex’ business model and exactly what makes the Company so attractive. Recommendation BUY.
|Smallcaps.us Advice: Buy||Price Target: $2.87||Latest Company Report (pdf)|
|For important disclosures, please read our disclaimer.|