Over the last quarter century, an evolution of the Explorationists, Developers and mining Producers has been marked by a change of labels… the businesses existed, however the categorizations are new.Project Generators, Royalty and Streaming entities, and Joint Venturers/Optionees are now the common parlance, even though versions of these were here when I started with The Eastfield Group…in ’97.(!)
Classic among the companies we’ve been covering is Globex Mining Enterprises Inc. (GMX: TSX-V, GLBXF: OTCQX G1MN: FSE), now with well over 200 properties in their ‘portfolio of properties with potential’ throughout Quebec, Ontario, some U.S. Eastern Seaboard and now European states.
The key is to employ other companies’ talent and funding to advance the properties, while still retaining some Equity and/or Gross Revenue and/or Net Smelter Royalties…and/or Options.
Newest properties that insist on our curiosity: the Virgin Mountains Rare Earths and Beryllium project(s) in AZ.
1 Location: geology and proximity.
2 Location: infrastructure.
3 Location: jurisdiction.
– The Virgin Mountain rare earth and beryllium property is located in the Arizona portion of the Virgin Mountain range, about 120 km northeast of Las Vegas, Nevada. Globex staked 6 unpatented lode claims (VM-1 to VM-6) in May 2022 and additional 17 unpatented lode claims (VM-7 to VM-23) in December 2022, totalling 23 lode claims.
– Each claim is 457 m (1500 feet) long and 183 m (600 feet) wide (20.66 acres or 8.36 ha), totalling a surface area of 192.28 ha.
– The prospect area is situated in the eastern part of the western Virgin Mountain range, just west of the Lime Kiln Canyon (usually a dry river bed).
– Elevations range between 1050 and 1700m.
– Total driving distance is about 180 km.
Globex Claim Block:
“Preliminary geologic map for the central Virgin Mountains, Arizona depicts areas or continuous structures/zones exhibiting anomalous high radioactivity levels. Also shown on the map are samples collected outside the Hummingbird REE Zone and the Globex claim block (claims VM-1 to VM-23).”www.globexmining.com/Virgin Mountain AZ property 23 02 12
Regarding Globex’s financials, the company generated $2M throughout 2022 compared to $35.2M in 2021, but this data mainly depends if the company decided whether to sell or not properties. The $2M generated is coming from option income and advance royalties.
Regarding Globex’s annual expenses, 43% of its cash (representing $1.8M) is directly put into the ground. Globex’s share structure is also attractive as it counts only 57.8M shares fully diluted, and 11.9% is held by management. Globex Resources trades on the TSXV under GMX, on the FRA under G1MN and on the OTCQX under GLBXF. GMX trades around $0.80 (May 8, 2023) and fluctuated between $0.60 to $1.36 over the last 52 weeks.
Why mining in Ontario and Québec is Important?
The majority of the company’s holdings are situated in Ontario and Quebec. Explorators have a ton of opportunities to find fascinating new minerals because of Ontario’s geology. The variety of mineral resources that have been and continue to be important drivers of the province economy are evidence of this. About Québec, just 1%
of its 1.7 million km2 total area is actively mined, and 5% of it is subject to mining rights. Québec is the ideal site for mineral production due to its favorable economic climate and enormous potential.
About the area where the flagship properties are located, we would learn that Rouyn-Noranda has a very rich mining history that dates back to the 1920s, when Edmund Horne discovered a sizable copper and gold deposit on the edge of Lake Osisko. This deposit later became the Horne Mine, which gave birth to Noranda, one of Canada’s most illustrious companies. The finding proved that the geological fracture connected to Ontario’s prolific gold mines reached all the way into the Abitibi area. Many prospectors flocked to the Rouyn region from all across North America. Together with Granada, 15 more deposits were found in a short period of time.
Just in case you need a primer on beryllium <Be>
Beryllium is a strong, lightweight, and brittle alkaline earth metal with a silvery-gray colour (Be). Its major sources are minerals like beryl and bertrandite. Beryllium is alloyed with copper or nickel to make springs, gyroscopes, electrical contacts, spot-welding electrodes, and non-sparking tools. High flexural stiffness, excellent thermal stability and conductivity, excellent electrical conductivity, low density, and resilience to corrosion and fatigue are only some of its other notable properties. Beryllium has several applications in a range of industries, including aerospace and defense, consumer electronics, transportation, oil & gas, and healthcare. The global beryllium market was worth US$ 163.0 million in 2022. Moving forward, IMARC Group anticipates that the market would develop at a pace of 5.2% CAGR from 2023 to 2028.
What You Should Remember About Globex Mining Enterprises Inc. (GMX: TSX-V, GLBXF: OTCQX G1MN: FSE)
- The company holds over 200 properties in North America and some European states;
- Royalties and NSR provide consistent revenue to the company;
- Québec and Ontario offer great opportunities to discover significant assets;
- The newly acquired Virgin Mountain property shows rare earth and beryllium;
- Throughout 2022, 43% of its cash was directly put into the ground.