Globex Mining Enterprises (GMX) has closed its sale of the company's Mid-Tennessee Zinc Mine royalty.
The Toronto-based mining company sold the zinc royalty to an assignee of Electric Royalties Ltd.
The cash-and-stock deal is worth more than $14 million.
In the event that the zinc price per pound received by the owner of the Mid-Tennessee Zinc Mine exceeds US$2.00 for any continuous three-month period commencing after the closing of the transaction, Electric Royalties’ assignee will make anadditional cash payment of $1 million to Globex.
Globex also announced it has closed the sale of a 1-per-cent Gross Metal Royalty created on the company's 100-per-cent-owned Glassville, New Brunswick manganese exploration property.
The sale is also to Electric Royalties.
As a result of the two transactions, Globex has become the largest shareholder of Electric Royalties, holding a total of 12,000,000 shares and 5,500,000 warrants.
Globex is an exploration and holding company with more than 200 exploration property assets and royalties, more than $30,000,000 in cash and shares of other companies, including the cash and shares received from Electric Royalties, and no debt.
Globex Mining is up 8.18 per cent, trading at $1.19 at 12:20 pm ET.