Shares of Dual-Listed Miner Up on News of Options on Uranium Properties

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Thursday, April 18, 2024

Growing concerns about climate change and energy security are driving a potential increase in nuclear power generation, which could lead to higher uranium prices.

Globex Mining Enterprises Inc. (TSX:GMX) (OTCQX: GLBXF) announced in a press release today that it entered into an option agreement wherein Victory Battery Metals Corp. (CSE:VR) (OTC:VRCFF) can earn 100% interest in four Globex claim groupings in the Sept Iles region of Quebec. 

Covering the Kachiwiss Uranium deposit, which is reported to have a historical, non-compliant resource estimate of 16.6 million tonnes grading 0.016% U3O8. The zone, as currently defined, measures 975 meters long by 610 meters to 760 meters wide and is open. Metallurgical test work suggests recoveries of up to 92.9% can be achieved.  

The option includes a large package of claims covering lake bottom sediment sample uranium anomalies farther to the north, for a total of 156 mining claims, with Globex retaining a 10-kilometre area of mutual interest surrounding the current claim blocks. 

Globex will receive $400,000 in cash and 1,500,000 Victory shares over three years, with Victory undertaking $3,000,000 of work on the claims over a four-year period. Globex also retains a 3% Gross Metal Royalty on all metals, minerals, elements or compounds, including but not limited to uranium, thorium or any other marketable product from the claims. Victory may, at any time, purchase 1% GMR from Globex for a single cash payment of $1,000,000.

Globex Mining is a diversified North American portfolio of mid-stage exploration, development and royalty properties containing precious metals, base metals, specialty metals and minerals and industrial minerals and compounds. Canadian shares were trading at $0.96 in morning trade.

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