TSXV: MTA
OTCQX: MTAFF
Frankfurt: X9CP
VANCOUVER, Oct. 25, 2018 /CNW/ - Metalla Royalty &
Streaming Ltd. ("Metalla" or the "Company")
(TSXV: MTA) (OTCQX: MTAFF) (FRANKFURT: X9CP) announces its
financial results for the first quarter of fiscal 2019. For
complete details of the condensed interim consolidated financial
statements and accompanying management's discussion and analysis
for the three months ended August 31,
2018, please see the Company's filings on SEDAR or the
Company's website (http://www.metallaroyalty.com/).
"Metalla had a strong first quarter of fiscal 2019 highlighted
by record revenue from our streaming interests" commented
Brett Heath, President and CEO of
Metalla "We were also pleased to complete the acquisition of the
Garrison royalty which complements our portfolio of high-quality
assets with strong counterparties."
FIRST QUARTER FINANCIAL HIGHLIGHTS
During the three months ended August 31,
2018, the Company:
- shipped and provisionally invoiced 221,433 attributable
silver ounces ("oz.") at an average realized price of US$15.48 (2017 - US$16.78) and average cash cost of US$6.52 (2017 - US$7.09) per oz. (see non-IFRS Financial
Measures);
- recognized revenue from stream interest of $3,900,301 (2017 - $672,078), income from operations of $244,313 (2017 - loss of $954,719), net loss of $312,031 (2017 - $1,013,686), and adjusted EBITDA of $1,731,581 (2017 - $79,270) (see non-IFRS Financial Measures);
- recorded cash flow from operating activities, before net change
in non-cash working capital items, of $1,322,771 (2017 - negative $38,794), resulting in working capital of
$5,990,000 (May 31, 2018 - $4,661,792);
- had 41,415 attributable silver oz. remaining and to be sold in
subsequent periods;
- generated operating cash margin of US$8.96 (2017- US$9.69) per attributable silver oz. from the
Endeavor silver stream and New Luika Gold Mine ("NLGM") stream held
by Silverback Ltd. ("Silverback") (see non-IFRS Financial
Measures);
- completed the acquisition, through a plan of arrangement, of
ValGold Resources Ltd. ("ValGold") for a 2.0% NSR royalty on
certain claims of Osisko Mining Inc.'s Garrison Project; and
- increased the monthly dividend rate effective June 2018 to $0.0015 per share to the shareholders of the
Company (please see news release dated March 19, 2018 for further
information).
About Metalla
Metalla is a precious metals royalty and streaming company.
Metalla provides shareholders with leveraged precious metal
exposure through a diversified and growing portfolio of royalties
and streams. Our strong foundation of current and future cash
generating asset base, combined with an experienced team gives
Metalla a path to become one of the leading gold and silver
companies for the next commodities cycle.
For further information please visit our website at
www.metallaroyalty.com
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSXV)
accepts responsibility for the adequacy or accuracy of this
release.
No securities regulatory authority has either approved or
disapproved of the contents of this news release. The securities
being offered have not been, and will not be, registered under the
United States Securities Act of 1933, as amended (the ''U.S.
Securities Act''), or any state securities laws, and may not be
offered or sold in the United
States, or to, or for the account or benefit of, a "U.S.
person" (as defined in Regulation S of the U.S. Securities Act)
unless pursuant to an exemption therefrom. This press release is
for information purposes only and does not constitute an offer to
sell or a solicitation of an offer to buy any securities of the
Company in any jurisdiction.
Cautionary Note Regarding Forward-Looking
Statements
This press release contains "forward-looking information" and
"forward-looking statements" within the meaning of applicable
Canadian and U.S. securities legislation. The forward-looking
statements herein are made as of the date of this press release
only and the Company does not assume any obligation to update or
revise them to reflect new information, estimates or opinions,
future events or results or otherwise, except as required by
applicable law. Often, but not always, forward-looking statements
can be identified by the use of words such as "plans", "expects",
"is expected", "budgets", "scheduled", "estimates", "forecasts",
"predicts", "projects", "intends", "targets", "aims", "anticipates"
or "believes" or variations (including negative variations) of such
words and phrases or may be identified by statements to the effect
that certain actions "may", "could", "should", "would", "might" or
"will" be taken, occur or be achieved. Forward-looking information
in this press release includes, but is not limited to, statements
with respect to future events or future performance of Metalla,
disclosure regarding the precious metal purchase agreements and
royalty payments to be paid to Metalla by property owners or
operators of mining projects pursuant to net smelter returns and
other royalty agreements of Metalla, continued ramp-up at the
Endeavor Mine, management's expectations regarding Metalla's
growth, results of operations, estimated future revenues, carrying
value of assets, future dividends, and requirements for additional
capital, production estimates, production costs and revenue, future
demand for and prices of commodities, expected mining sequences,
business prospects and opportunities. Such forward-looking
statements reflect management's current beliefs and are based on
information currently available to management.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors, which may cause the actual
results, performance or achievements of the Company to be
materially different from any future results, performance, or
achievements expressed or implied by the forward-looking
statements. The forward-looking statements contained in this press
release are based on reasonable assumptions that have been made by
management as at the date of such information and is subject to
unknown risks, uncertainties and other factors that may cause the
actual actions, events or results to be materially different from
those expressed or implied by such forward-looking information,
including, without limitation: the impact of general business and
economic conditions; the ongoing operation of the properties in
which the Company holds a royalty, stream, or other production-base
interest by the owners or operators of such properties in a manner
consistent with past practice; absence of control over mining
operations; the accuracy of public statements and disclosures made
by the owners or operators of such underlying properties; no
material adverse change in the market price of the commodities that
underlie the asset portfolio; and other risks and uncertainties
disclosed under the heading "Risk Factors" in the Management's
Discussion and Analysis of the Company dated January 23, 2018 filed with the Canadian
securities regulatory authorities on the SEDAR website at
www.sedar.com.
Although Metalla has attempted to identify important factors
that could cause actual actions, events or results to differ
materially from those contained in forward-looking information,
there may be other factors that cause actions, events or results
not to be as anticipated, estimated or intended. There can be no
assurance that such information will prove to be accurate, as
actual results and future events could differ materially from those
anticipated in such information. Investors are cautioned that
forward-looking statements are not guarantees of future
performance. The Company cannot assure investors that actual
results will be consistent with these forward-looking statements.
Accordingly, investors should not place undue reliance on
forward-looking statements or information.
Readers are cautioned that forward-looking statements are not
guarantees of future performance. All of the forward-looking
statements made in this press release are qualified by these
cautionary statements.
Non-IFRS Financial Measures
The items marked with a "(1)" are alternative
performance measures and readers should refer to non-international
financial reporting standards ("IFRS") financial measures in the
Company's Management's Discussion and Analysis for the three months
ended August 31, 2018 as filed on
SEDAR and as available on the Company's website for further
details. Metalla has included certain performance measures in this
press release that do not have any standardized meaning prescribed
by IFRS including average cash cost per ounce of attributable
silver, average realized price per ounce of attributable silver,
and cash margin. Average cost per ounce of attributable silver is
calculated by dividing the cash cost of sales, plus applicable
selling charges, by the attributable ounces sold. In the precious
metals mining industry, this is a common performance measure but
does not have any standardized meaning. The Company believes that,
in addition to conventional measures prepared in accordance with
IFRS, certain investors use this information to evaluate the
Company's performance and ability to generate cash flow. Cash
margin is calculated by subtracting the average cash cost per ounce
of attributable silver from the average realized price per ounce of
attributable silver. The Company presents cash margin as it
believes that certain investors use this information to evaluate
the Company's performance in comparison to other companies in the
precious metals mining industry who present results on a similar
basis. The presentation of these non-IFRS measures is intended to
provide additional information and should not be considered in
isolation or as a substitute for measures of performance prepared
in accordance with IFRS. Other companies may calculate these
non-IFRS measures differently.
SOURCE Metalla Royalty and Streaming Ltd.
