Globex Mining says optionee Richmont reports significant gold intercepts in new zone

Globex Mining (TSE:GMX)(OTCQX:GLBXF) announced Tuesday a drilling update on its claims being optioned by Richmont Mines (TSE:RIC) as per an agreement signed in May of last year.

The claims being optioned by Richmont from Globex are located adjacent to Richmont's Wasmac property, 15 kilometres west of Richmont's headquarters in Rouyn-Noranda, Quebec, in the heart of the Abitibi gold mining district.

As of December 31, 2011, the Wasamac property had estimated measured and indicated resources of 6.7 million tonnes grading 2.56 g/t gold for 556,385 ounces of gold, and inferred resources of 25.6 million tonnes grading 2.58 g/t gold for 2.13 million ounces of gold.

Richmont said today that to date, 4,222 metres of drilling has been completed in 5 holes on the Globex claims.

The miner also said that three drill holes indicated a new gold discovery at the western boundary of the Globex-optioned claims.

Richmont said it hit 7.09 grams per tonne (g/t) gold over 5.22 metres, 1.87 g/t gold over 9.24 metres and 4.07 g/t gold over 4.44 metres in the newly discovered Zone 4, "which is located on the boundary of the Wasamac property and Globex option".
               
The newly discovered Zone 4 is open to the east and depth down dip and plunge on the Globex claims, Richmont said.

Richmont further stated in its statement that the company's 2012 drilling program will include approximately 55,000 metres, and will now focus "primarily on the Main Zone, Zone 3 extension and the optioned Globex claims."
               
Richmont also said Tuesday that it drilled 6.40 g/t gold over 52.8 metres on the Main Zone at Wasamac, as well as 2.83 g/t gold over 71.76 metres and 4.61 g/t gold over 34.94 metres.

Under the deal with Richmont, Globex received a $500,000 cash payment upon signing. Richmont has the right to make additional payments of $500,000 by November 2012, and $2.0 million plus 500,000 Richmont shares by May 2014, in order to secure a 100 percent interest in the Globex claims.

Should Richmont acquire the full stake, Globex will maintain a three percent Gross Metal Royalty (GMR) on all production from the property.

Richmont will also pay Globex an annual advance royalty of $50,000 per year until commercial production.

Globex said Tuesday it is "pleased" with the results obtained to date and "looks forward to further results from the continuing drill program."