TORONTO, Nov. 15, 2017 /CNW/ - Enforcer Gold Corp. ("Enforcer" or the "Company") (TSX-V: VEIN – FSE: N071) is pleased to announce it has signed an amendment agreement (the "Amendment Agreement") with Globex Mining Enterprises Inc. ("Globex") (TSX: GMX) amending the terms of the option agreement on the Montalembert Gold Property dated November 16, 2016 (the "Option Agreement").
The Amendment Agreement provides for a $100,000 reduction in the cash payment on the second-year anniversary date of the Option Agreement, a $100,000 increase in the cash payment on the third-year anniversary date and a $5,000,000 reduction in the aggregate exploration expenditures on the property over the five-year term of the Option Agreement. The Effective Date of the Amendment Agreement is November 10, 2017.
Pursuant to the Amendment Agreement, the Company must pay the following cash payments to Globex:
- $500,000 on or before 24 months of the Effective Date of the Option Agreement;
- $1,600,000 on or before 36 months of the Effective Date of the Option Agreement;
and, incur aggregate exploration expenditures of $10,000,000 on the Montalembert Property as follows:
- $1,000,000 in exploration expenditures to be completed on or before the 1st anniversary of the Effective Date of the Option Agreement;
- an additional $1,000,000 in exploration expenditures to be completed on or before the 2nd anniversary of the Effective Date of the Option Agreement;
- an additional $1,000,000 in exploration expenditures to be completed on or before the 3rd anniversary of the Effective Date of the Option Agreement;
- an additional $2,000,000 in exploration expenditures to be completed on or before the 4th anniversary of the Effective Date of the Option Agreement; and
- an additional $5,000,000 in exploration expenditures to be completed on or before the 5th anniversary of the Effective Date of the Option Agreement.
Except as provided above, all other terms and conditions of the Option Agreement shall continue to have the same effect and force as though the parties had not entered into this Amendment Agreement.
Enforcer has paid the first-year anniversary cash payment of $300,000 to Globex and is issuing 2,000,000 common shares of Enforcer to Globex pursuant to the Agreement.
About Enforcer Gold Corp
Enforcer Gold Corp is earning a 100% interest in the Montalembert Gold Project from Globex Mining Enterprises Inc. (TSX: GMX, FSE: GIMN, OTCQX: GLBXF). The 7,300-hectare property is located 125 km west of Chibougamau in Quebec's prolific Abitibi greenstone belt. The property lies 5 km from a paved highway and hydro-electric power and has easy access to skilled labour, fuel, accommodation and other industry-related services, allowing for relatively low exploration costs.
