TSXV: MTA
OTCQB: MTAFF
VANCOUVER, July 17, 2019 /CNW/ - Metalla Royalty
& Streaming Ltd. ("Metalla" or the
"Company") (TSXV: MTA) (OTCQB: MTAFF) (FRANKFURT: X9CP) is
pleased to report an update on its portfolio of royalties and
streams.
NLGM SILVER STREAM
Shanta Gold Limited announced on July
15th, 2019 an updated resource estimate at its
New Luika Gold Mine ("NLGM") which is expected to extend the
mine life.
Highlights include:
- Drilling at Bauhinia Creek ("BC") Central, conducted in April
and May, has converted 126,787 ounces of Inferred Resources grading
3.15 g/t into 83,543 ounces of Indicated Resources grading 7.85
g/t, a suitable level of confidence for these ounces to be
incorporated into the Mine Plan;
- A further 58,553 ounces of new Inferred Resources grading 4.79
g/t have been added to the Mineral Resource;
- These new high grades, underground Indicated Resources are
expected to be supplemented with medium/low-grade ounces to match
the historically blended feed grade of 4.3g/t;
- Incorporation of the additional Resource ounces is expected to
extend the current Life of Mine to at least 2025;
- Shanta's strategy is to maintain a rolling 5-8-year life of
mineable ounces which balances the cost of exploration with
visibility on future production;
- The next phase of drilling on the mining licenses over the next
12 months will target conversion of a further 220,300 ounces of
Inferred Resources into Indicated Resources at BC as well as other
deposits, namely: the Ilunga, Luika and Elizabeth Hill orebodies;
Metalla holds a 15% silver stream on NLGM with the right to
purchase silver at 10% of the prevailing spot price at
delivery.
Source: see news release from Shanta
Gold dated July 15, 2019.
ENDEAVOR SILVER STREAM
CBH Resources Limited ("CBH"), the operator of the
Endeavor Mine in Cobar Australia, announced on July 17th, 2019 they will scale back
production from 25,000t/month to 17,000t/month and staff for the
remainder of 2019 while focusing on infill drilling of the new Deep
Zinc Lode Resource to better appraise its future viability. A
production decision on the Deep Zinc Lode is expected in Q4 2019
with the potential to add 3-5 years of production.
Management will continue to monitor production at the Endeavor
Mine. Metalla has the right to buy 100% of the silver production up
to 20 million ounces from the Endeavor Mine for an operating cost
contribution of USD$1/Oz for each
ounce of payable silver, indexed annually for inflation, plus a
further increment of 50% of the silver price over USD $7/Oz.
Brett Heath, President, and CEO
of Metalla commented, "The Endeavor Silver stream has provided a
meaningful return for shareholders in the two years since it was
acquired with further upside potential remaining. It has already
generated over 850,000 ounces of silver to Metalla's account,
providing a payback and return on capital invested. The scaled-back
production at Endeavor through the second half of this year is
expected to be partially offset by the Joaquin and COSE royalties
currently in development by Pan American Silver Corp. Both
are expected to enter production during the coinciding period.
Metalla's current portfolio of 43 royalties and streams covers a
robust pipeline of development assets being advanced by some of the
top operators in the gold industry and is expected to significantly
increase our cash flow profile over the following years while we
continue to add accretive assets to the portfolio."
FIFTEEN MILE STREAM
Atlantic Gold reported on July
15th, 2019 that security holders approved
the plan of arrangement with St. Barbara Limited, following the
approval, Atlantic obtained a final order from the Supreme
Court of British Columbia with
respect to the Arrangement on July 17,
2019. The Arrangement is expected to close on July 19, 2019, subject to the satisfaction of
customary conditions.
Metalla views this as a positive step for our Fifteen Mile
Stream royalty as the much larger, new operator of the mine will
significantly reduce any financing risk on development capital
needed to push forward to production on time.
Metalla holds a 1% NSR royalty on the Fifteen Mile Stream.
COSE/JOAQUIN ROYALTY
Pan American Silver Corp. announced their second-quarter 2019
results will be released after market close on August 7, 2019. We expect updated guidance on the
approximate timeline for the two royalties to start producing.
Previous guidance has been the second half of 2019.
Metalla holds a 1.5% NSR on COSE and 2% NSR on Joaquin.
SANTA GERTRUDIS/EL REALITO/AKASABA WEST
Agnico Eagle Mines Limited announced their second-quarter 2019
results will be released on Wednesday, July
24th after market close. Metalla expects further
updates on the drilling from the increased budget at Santa
Gertrudis following the discovery of new high-grade structures at
Trinidad and follow up drilling on
the back of ongoing successful exploration and infill at the
recently acquired El Realito project which is part of the operating
La India mine.
Metalla holds a 2% NSR royalty on Santa Gertrudis, El Realito,
and Akasaba West.
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
ON BEHALF OF METALLA ROYALTY & STREAMING LTD.
(signed) "Brett Heath"
President and CEO
Neither the TSXV nor it's Regulation Services Provider (as
that term is defined in the policies of the Exchange) accept
responsibility for the adequacy or accuracy of this
release.
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 statements
and information include, but are not limited to, the future
production at the Endeavor Mine,, anticipated cash flows from the
Endeavor Mine, future financial reporting by Metalla, the receipt
of payments from Metalla's mining royalty and streaming portfolio,
the requirement for regulatory approvals and third-party consents,
the Company's financial guidance, outlook, proposed plans for
acquiring additional stream and royalty interests and the potential
of such streams and royalty interests to provide returns and the
completion of mine expansion under construction phases at the mines
or properties that the Company holds an interest in.
Forward-looking statements and information are based on forecasts
of future results, estimates of amounts not yet determinable and
assumptions that, while believed by management to be reasonable,
are inherently subject to significant business, economic and
competitive uncertainties, and contingencies.
Forward-looking statements and information are subject to various
known and unknown risks and uncertainties, many of which are beyond
the ability of Metalla to control or predict, that may cause
Metalla's actual results, performance or achievements to be
materially different from those expressed or implied thereby, and
are developed based on assumptions about such risks, uncertainties
and other factors set out herein, including but not limited to: the
requirement for regulatory approvals and third party consents, the
impact of general business and economic conditions, the absence of
control over the mining operations from which Metalla will purchase
gold and receive royalties, including risks related to
international operations, government relations and environmental
regulation, the inherent risks involved in the exploration and
development of mineral properties; the uncertainties involved in
interpreting exploration data; the potential for delays in
exploration or development activities; the geology, grade and
continuity of mineral deposits; the possibility that future
exploration, development or mining results will not be consistent
with Metalla's expectations; accidents, equipment breakdowns, title
matters, labor disputes or other unanticipated difficulties or
interruptions in operations; fluctuating metal prices;
unanticipated costs and expenses; uncertainties relating to the
availability and costs of financing needed in the future; the
inherent uncertainty of production and cost estimates and the
potential for unexpected costs and expenses, commodity price
fluctuations; currency fluctuations; regulatory restrictions,
including environmental regulatory restrictions; liability,
competition, loss of key employees and other related risks and
uncertainties. Metalla undertakes no obligation to update
forward-looking information except as required by applicable law.
Such forward-looking information represents management's best
judgment based on information currently available. No
forward-looking statement can be guaranteed, and actual future
results may vary materially. Accordingly, readers are advised not
to place undue reliance on forward-looking statements or
information. Some of the disclosure in this press release is based
on information publicly disclosed by the owners or operators of
these properties and information/data available in the public
domain as at the date hereof, and none of this information has been
independently verified by Metalla.
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.
SOURCE Metalla Royalty and Streaming Ltd.
