Royalty Holder…….....Globex Mining
Revenue……………..…..…………....$1.8m
Mine Life...……………..…..undisclosed
Commodity………………..................Zinc
Operator…….............................Nyrstar

#13 Globex Mining

Globex is a cash-strapped prospect generator, with early-stage properties and royalties, predominantly in Quebec.

The company is valued at C$21m ($16m) and one of its royalties is about to go into the money. Globex has a gross royalty over the Tennessee zinc mine in the US, owned by Belgian zinc group, Nyrstar. The mine shut two years ago, but with zinc prices flying, Nyrstar has committed $14m to restarting operations quickly, with projected annual output of 50,000 tonnes.

The royalty rises with zinc prices, lifting the royalty rate from 1.0 to 1.4 per cent. If Tennesse stays in production, the royalty would generate around $2m per annum at current prices. Alternatively, Globex could package it up with some of its other royalty assets and sell the revenue on.

 

 

BACK                                             NEXT >