Globex Mining Enterprises Inc announced that its 50% owned company Duparquet Assets Ltd has, subject to exchange approval, optioned the Duquesne West/Ottoman gold project located in Duparquet Township, Quebec, to Emperor Metals Inc.
The company said the terms of the option include cash payments totalling $10 million payable over a five-year period and share payments totalling 15 million shares payable over a five-year period at a minimum share price of $0.20 per share.
Further, it includes work expenditures totalling $12 million during the five-year option period, with Emperor to undertake a NI 43-101 Resource Estimate.
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Should the result of the exploration efforts by Emperor indicate a gold or gold-equivalent resource in all categories (measured, indicated, and inferred) of at least 1 million troy ounces, Emperor will issue an additional 2.5 million Emperor shares to Duparquet.
Per Globex, Duparquet will retain a 3% gross metals royalty, 1% of which Emperor may purchase at any time for $1 million.
“Globex looks forward to the efforts of Emperor to advance this property toward potential economic viability,” the company stated.
The full details of the option agreement can be found here.
The Duquesne West/Ottoman property consists of 38 cells totalling 1,389 hectares and straddles the gold localizing Porcupine-Destor Break. Previous exploration has indicated a number of gold zones along the strike length of the property, according to Globex.
Globex has more than 210 assets, including 89 royalties, principally located in Quebec and eastern Canada. Its portfolio is diversified, featuring royalties and precious metal, base metal, and industrial mineral properties.
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