Globex Mining Enterprises (GMX.TO) has released the results of an updated resource estimate, completed by Chalice Gold Mines (CXN.TO, ASX:CHN). As a reminder, Chalice can acquire a 100% stake in the property by making C$590,000 in cash payments (C$470,000 to go), give Globex Mining as optionor a 3% royalty (Gross Metal Royalty) and incur C$2.5M in exploration expenditures within the first four years after entering into the earn-in deal.
The current resource was based on in excess of 41,000 meters of drilling in 121 drill holes and has outlined a total resource of 177,000 ounces of gold at an average grade of 4.1 g/t. Approximately 20% of the resource is part of an indicated resource, with the remaining 146,000 ounces belonging to the inferred category.
Chalice will now start an additional 2,000 meter drill program to drill-test the property along strike and let’s hope this step-out drill program might identify some additional mineralized extensions of the main gold zone.