Development News: Financial Participation for Magnesium-talc Project

In late May, Rouyn-Noranda-based Globex Mining Enterprises Inc. received a conditional offer from the Qubec government of financial participation in its magnesium-talc project.

Globex has 100% interest in a large open-pittable magnesite-talc-silica deposit 13 km south of Timmins, Ont. A scoping study by Hatch proposed that a bankable feasibility study be undertaken with a view to constructing a $1.5-billion mining, milling and smelting complex, with the mine and mill located near Timmins and the smelter near Rouyn-Noranda. The study would cost about $17.7 million. The Qubec government proposed a non-recourse loan of 25% of this amount, conditional on the federal government matching the provincial government loan. As well, Globex would have to raise the remaining 50% of the funds required.

Jack Stoch, president of Globex, said in mid-August that there are ongoing discussions, but his company expects the federal government’s decision soon.