(All dollar amounts are in thousands of
United States dollars unless
otherwise indicated, except for shares, per ounce, and per share
amounts)
TSXV: MTA
NYSE American: MTA
VANCOUVER, BC, May 15, 2024
/CNW/ - Metalla Royalty & Streaming
Ltd. ("Metalla" or the "Company") (TSXV:
MTA) (NYSE American: MTA) announces its operating and financial
results for the three months ended March 31,
2024. For complete details of the condensed interim
consolidated financial statements and accompanying management's
discussion and analysis for the three months ended March 31, 2024, please see the Company's filings
on SEDAR+ (www.sedarplus.ca) or EDGAR (www.sec.gov). Shareholders
are encouraged to visit the Company's website at
www.metallaroyalty.com.
Brett Heath, President, and
CEO of Metalla, commented, "In the first quarter of 2024 we focused
on integrating and streamlining our business following the
completion of the merger with Nova
Royalty in December 2023. Now
we will continue to seek acquisitions that will be accretive to
shareholders and look for ways to refine our current portfolio of
royalties to maximize value."
FINANCIAL HIGHLIGHTS
During the three months ended March
31, 2024, the Company:
- Received or accrued payments on 624 attributable Gold
Equivalent Ounces ("GEOs") at an average realized price of
$2,069 and an average cash cost of
$8 per attributable GEO (see
Non-IFRS Financial Measures);
- Recognized revenue from royalty and stream interests, including
fixed royalty payments, of $1.3
million, net loss of $1.7
million, and Adjusted EBITDA of $0.1
million (see Non-IFRS Financial Measures);
- Generated operating cash margin of $2,061 per attributable GEO from the Wharf, El
Realito, Aranzazu, La Encantada, the New Luika Gold Mine
("NLGM") stream held by Silverback Ltd.
("Silverback"), and other royalty interests (see Non-IFRS
Financial Measures); and
- On February 20, 2024, Beedie
Investments Ltd. ("Beedie") elected to convert C$1.5 million of the accrued and unpaid interest
under the existing convertible loan facility between Metalla and
Beedie (the "Convertible Loan Facility") into Common Shares
at a conversion price of C$3.49 per
share, being the closing price of the shares of Metalla on the
TSX-V on February 20, 2024, for a
total of 429,800 Common Shares which were issued on March 19, 2024.
ASSET UPDATES
Below are updates during the three months ended March 31, 2024, and subsequent period to certain
of the Company's assets, based on information publicly filed by the
applicable project owner:
La Encantada
On April 16, 2024, First Majestic
Silver Corp. ("First Majestic") announced production of 33
oz of gold and 0.5 Moz of silver from La Encantada in the first
quarter of 2024. First Majestic also announced a recent water well
was drilled identifying a significant water resource to combat
drought conditions at the mine site. First Majestic anticipates
improved ore throughput rates in Q2, projected to return to
historic levels in Q3.
Metalla accrued 48 GEOs from La Encantada for the first quarter
of 2024.
Metalla holds a 100% GVR royalty on gold produced at the La
Encantada mine limited to 1.0 Koz annually.
El Realito
On April 25, 2024, Agnico Eagle
Mines Ltd. ("Agnico") reported that gold production from La
India totaled 10.6 Koz for the first quarter of 2024. Agnico also
reiterated its previously provided 2024 guidance, which it had
disclosed on February 15, 2024, for
La India of 25-30 Koz gold. Agnico stated that production is
expected to come from residual leaching of the heap leach pads and
is expected to continue through year-end 2024.
Metalla accrued 177 GEOs from El Realito for the first quarter
of 2024.
Metalla holds a 2.0% NSR royalty on the El Realito deposit which
is subject to a 1.0% buyback right for $4.0
million.
Wharf
On May 1, 2024, Coeur Mining Inc.
("Coeur") reported 2024 first quarter production of 20.4 Koz
gold and continues to reiterate the full year guidance for 2024 at
Wharf of 86 – 96 Koz gold. Exploration efforts in 2024 will aim to
add additional mineral reserves at Wharf through expansion and
infill drilling at the Juno deposit.
Metalla accrued 173 GEOs from Wharf for the first quarter of
2024.
Metalla holds a 1.0% GVR royalty on the Wharf mine.
Aranzazu
On April 8, 2024, Aura Minerals
Inc. ("Aura") announced the first quarter 2024 production at
Aranzazu totaled 25,001 GEOs (as defined by Aranzazu), while
continuing to reiterate 2024 guidance for Aranzazu, which it had
disclosed on February 20, 2024, of
94-108 Koz GEOs (as defined by Aranzazu). Additionally, in their
corporate presentation dated March
2024, Aura stated a 29,400-meter drilling campaign is
underway testing the continuity of the GH and Cabrestante
connection with the goal of increasing mineral reserves and
resources, along with drilling in El Cobre and Aranzazu extensions.
On April 1, 2024, Aura announced a
total of 24,841 meters of drilling were completed at Aranzazu, with
the aim to convert known inferred resources to indicated.
Metalla accrued 200 GEOs from Aranzazu for the first quarter of
2024.
Metalla holds a 1.0% NSR royalty on the Aranzazu mine.
New Luika
On April 25, 2024, Shanta Gold
Limited ("Shanta") reported that it produced 13.0 Koz of
gold and 20.7 Koz of silver at the NLGM in Tanzania in the first quarter of 2024. Shanta
also reiterated their 2024 guidance, which it disclosed on
January 22, 2024, for NLGM of 70 – 74
Koz of gold.
Metalla accrued 26 GEOs from NLGM for the first quarter of
2024.
Metalla holds a 15% interest in Silverback, whose sole business
is receipt and distribution of a 100% silver stream on NLGM at an
ongoing cost of 10% of the spot silver price.
Côté-Gosselin
In a news release dated March 31,
2024, IAMGOLD Corporation ("IAMGOLD") announced the
first gold pour at Côté with commissioning activities progressing
well and within expectations, including performance achieved in the
crushing, HPGR and processing circuits. IAMGOLD stated that the
next step at Côté is to focus on the ramp up on the operation to
commercial production in the third quarter towards the goal of
exiting the year at a 90% throughput rate. IAMGOLD also stated that
production guidance from Côté in 2024 is unchanged at 220 – 290 Koz
gold.
On its news release dated February 15,
2024, IAMGOLD also announced that the Gosselin Mineral
Resource estimate increased, for a total of 4.4 million Indicated
Resource gold ounces in 161.3 million tonnes at 0.85 g/t Au, and
3.0 million Inferred Resource gold ounces in 123.9 Mt at 0.75 g/t
Au. Technical studies are planned to advance metallurgical testing,
conduct mining and infrastructure study to review options for the
potential inclusion of Gosselin into the future Côté life of mine
plan. IAMGOLD announced planned exploration expenditures at
Gosselin of $5.0 million on a
resource delineation drilling program and in their corporate
presentation dated February 2024,
IAMGOLD also stated that it expects to complete 35,000 meters of
exploration drilling at Gosselin in 2024. Please see Figure 1 for
the Côté and Gosselin Longitudinal Section outlining the current
extent of mineral resources and opportunities for resource
expansion.
Metalla holds a 1.35% NSR royalty that covers less than 10% of
the Côté Reserves and Resources estimate and covers all of the
Gosselin Resource estimate.
Taca Taca
On April 24, 2024, First Quantum
Minerals Ltd. ("First Quantum") stated in their Q1 2024
MD&A that the Environmental and Social Impact Assessment for
the Taca Taca project continues to be reviewed by the Salta
Province Secretariat of Mining. First Quantum remains optimistic
the approval will be received in 2024. First Quantum also noted the
Argentinian President, Javier Milei,
has pushed a new bill to congress offering special incentives for
large investments in certain sectors including mining.
Metalla holds a 0.42% NSR royalty on Taca Taca subject to a
buyback based on the amount of proven reserves in a feasibility
study multiplied by the prevailing market prices of all applicable
commodities.
Fosterville
On February 15, 2024, Agnico
reported the results of the 2023 drill program completed at the
Fosterville mine. Significant
highlights within the Phoenix area
include 69.1 g/t gold over 3.7 meters including 120 g/t gold over
2.1 meters in the Cardinal structure. Also, within the Phoenix area, a highlight drill hole in the
newly identified mineralized trend named the Peregrine Zone
intersected 17.3 g/t gold over 8.3 meters. Please see Figure 2 for
an estimate of the royalty boundary proximity to mineralization on
Agnico's Fosterville Longitudinal section.
In 2024, Agnico also stated it expects to spend $10.9 million for 38,700 meters of drilling
focused on extensions of mineral reserves and mineral resources at
Lower Phoenix and Robbins Hill. An additional $11.7 million is budgeted for 36,500 meters of
drilling to test new geological targets, including underground
extensional exploration at Harrier.
Metalla holds a 2.5% GVR royalty on the northern and southern
extensions of the Fosterville
mining license and other areas in the land package.
Endeavor
On April 11, 2024, Polymetals
Resources Inc. ("Polymetals") announced that ongoing
optimization of the Endeavor mine plan has identified additional
ore sources that may be added to the ore reserves. In addition,
project financing and strategic partnership discussions are
progressing for the development of the mine.
On October 16, 2023, Polymetals
released a robust mine restart study at Endeavor. Polymetals
declared an initial 10-year mine life producing 9.8 Moz silver, 210
kt zinc and 62 kt lead over life of mine with first concentrate
production targeted for H2-2024. The study produced A$201 million in pre-tax net present value at an
8% discount rate and an internal rate of return of 91%, with
expenditures estimated to be A$23.7
million.
Metalla holds a 4.0% NSR royalty on lead, zinc and silver
produced from Endeavor.
Amalgamated Kirkland and
North AK
On April 25, 2024, Agnico
announced production for the Near Surface deposit continued in the
first quarter of 2024, while the development for the AK deposit is
on track for initial production in the fourth quarter of 2024.
Infill drilling at the AK deposit intersected a highlight intercept
of 11.8 g/t gold over 5.0 meters in the eastern shallow portion of
the AK deposit.
On February 15, 2024, Agnico
announced that production from the Near Surface deposits is planned
to be processed at the Macassa mill in the first half of 2024 and
at the La Ronde Zone 5 mill in the second half of 2024. Production
from the AK deposit, which is expected to begin in the second half
of 2024 is planned to be processed at the La Ronde facility.
Production from the two deposits is forecast by Agnico to be ~19
Koz in 2024 and between 35 – 50 Koz gold from 2025 to 2028 and
Agnico believes that the AK area remains prospective for future
mineral resource growth. Additionally, Agnico reported an updated
Mineral Reserve estimates of 160 Koz of Probable Reserves at 6.69
g/t gold and updated Mineral Resource estimates of 37 Koz of
Indicated Resources at 6.95 g/t gold, and 52 Koz of Inferred
Resources at 5.69 g/t gold.
Metalla holds a 0.45% NSR royalty on the Amalgamated Kirkland
and North AK properties.
Tocantinzinho
On April 11, 2024, G Mining
Ventures Corp. ("G Mining") reported the Tocantinzinho
project is 87% complete and remains on track and on budget for
commercial production in H2-2024. G Mining also stated that
pre-production activities have exceeded 50 kt per day with a total
of 11.4 Mt of material having been excavated from the starter pit,
and commissioning activities commenced in April, starting with the
primary crusher and ore reclaim system.
Metalla holds a 0.75% GVR royalty on Tocantinzinho.
Wasamac
On April 25, 2024, Agnico reported
that stakeholder engagement initiatives continue to advance, while
assessing the optimal mining rate and processing options for
Wasamac. On February 15, 2024, Agnico
reported the results of the 2023 infill and conversion drilling
completed at Wasamac with highlight intercepts of 4.9 g/t gold over
13.4 meters, 2.8 g/t gold over 18.8 meters and 4.4 g/t gold over
3.9 meters in the main zone. At the Wildcat zone, significant
highlights include 3.6 g/t gold over 20.6 meters and 5.6 g/t golds
over 4.1 meters. Agnico plans to spend $2.8
million for 16,700 meters of drilling at Wasamac in 2024 and
continues to assess various scenarios to define the optimal mining
rate and milling strategy for Wasamac.
Metalla holds a 1.5% NSR royalty on the Wasamac project subject
to a buyback of 0.5% for C$7.5
million.
Castle Mountain
On May 8, 2024, Equinox Gold Corp.
("Equinox") reported in their Q1 2024 MD&A that a
surface exploration program of geological mapping and channel
sampling at Castle Mountain is expected to commence in Q3 2024,
with the primary goal to sample previously identified
mineralization exposed on surface such that data can be used in
future mineral resource estimation. Equinox also reported that the
mine permitting amendment plan was submitted to the lead county and
BLM agencies which reviewed the plan for completeness in early
2023. Equinox received the BLM determination that the plan was
complete in Q1 2024. Work on the preliminary draft Environmental
Impact Statement will occur throughout 2024 and 2025 upon creation
of a memorandum of understanding with the BLM, San Bernardino
County and Castle Mountain.
Metalla holds a 5.0% NSR royalty on the South Domes area of the
Castle Mountain mine.
Akasaba West
On April 25, 2024, Agnico
announced Akasaba West achieved commercial production on
February 1, 2024. Akasaba West is
expected to provide flexibility at the Goldex complex, contributing
1,750 tpd grading 0.84 g/t gold and 0.48% copper. On February 15, 2024, Agnico announced that Akasaba
West is expected to contribute approximately 12 Koz of gold and 2.3
Kt of copper per year.
Metalla holds a 2.0% NSR royalty on the Akasaba West project
subject to a 210 Koz gold exemption.
La Guitarra
On February 8, 2024, Sierra Madre Gold & Silver Ltd
("Sierra Madre") provided an
update on development progress at La Guitarra, including positive
progress on a mine restart study which is due for completion in the
second quarter of 2024. In addition, Sierra
Madre received a renewal of an explosives permit and all
other operating permits remain current and in good standing. The
mine restart study will focus on an initial production level of 350
tonnes per day with an evaluation of increasing the circuit to
greater than 500 tpd. On May 8, 2024,
Sierra Madre announced that First
Majestic had provided them a $5.0
million loan to be used for lead orders for critical mining
equipment, processing facility upgrades, mill repairs, full
staffing arrangements, and final underground development readied
for operational restart.
Metalla holds a 2.0% NSR Royalty on La Guitarra, subject to a
1.0% buyback for $2.0
million.
La Parrilla
Through multiple press releases dated December 5, 2023, January
4, 2024, January 29, 2024, and
February 22, 2024, Silver Storm
Mining Ltd. ("Silver Storm") released highlighted intercepts
from drilling at La Parrilla of 500 g/t AgEq over 14.8 meters,
1,810 g/t AgEq over 14.6 meters, 1000 g/t AgEq over 5.25 meters and
911 g/t AgEq over 13.05 meters, respectively.
Silver Storm also announced its plan to release a technical
study and mine plan to support future restart of mining and
processing with a target of mid-2025.
Metalla holds a 2.0% NSR royalty on La Parrilla.
Fifteen Mile
Stream
On April 24, 2024, St. Barbara
Limited ("St. Barbara") reported that significant progress
was made in updating the environmental and social impact studies
for Fifteen Mile Stream, with community consultations progressing.
On October 10, 2023, St. Barbara
reported results of an updated Pre-Feasibility Study ("PFS")
for Fifteen Mile Stream. The PFS proposes an eleven-year mine life
producing an average of 55-60 Koz per annum at a cash cost of
$992/oz. St. Barbara has stated that
development could begin as early as 2026.
Metalla holds a 1.0% NSR royalty on the Fifteen Mile Stream
project, and 3.0% NSR royalty on the Plenty and Seloam Brook
deposits.
Montclerg
On December 5, 2023, and
January 17, 2024, GFG Resources Inc.
reported highlight intercepts of 4.79 g/t gold over 12.8 meters and
3.09 g/t gold over 12.8 meters at the Montclerg deposit in
Timmins, Ontario.
Metalla holds a 1.0% NSR royalty on the Montclerg property.
Camflo
On October 26, 2023, Agnico
reported that the next phase of exploration drilling began at the
Camflo property. On June 20, 2023,
Agnico reported that it completed more than 14,000 meters of
drilling, which marks the first exploration drill program since the
1.6 Moz past-producing deposit was closed in 1992. Significant
results reported over multiple zones include 1.5 g/t gold over 81
meters, 3.3 g/t gold over 38.7 meters, 3.2 g/t gold over 16.2
meters, 3.7 g/t gold over 7.1 meters, and 1.6 g/t gold over 20.3
meters. The second phase of exploration drilling at Camflo will
test for potential lateral extensions of mineralization and infill
known zones. Agnico believes the mineralization could be mined via
an open-pit and processed at the Canadian Malartic Mill, 4 Km away.
Metalla holds a 1.0% NSR royalty on the Camflo mine, located
~4km northeast of the Canadian Malartic operation.
Detour DNA
On February 15, 2024, Agnico
reported underground drilling at Detour over a 2.5 km strike length
west of the Detour West reserve pit margin. Highlights include 18.3
g/t gold over 12.6 meters, 7.8 g/t gold over 2.7 meters, and 6 g/t
gold over 22.4 meters.
Metalla holds a 2.0% NSR royalty on the Detour DNA property
which is approximately 7 km west of the Detour West reserve pit
margin.
QUALIFIED PERSON
The technical information contained in this news release has
been reviewed and approved by Charles
Beaudry, geologist M.Sc., member of the Association of
Professional Geoscientists of Ontario and of the Ordre des Géologues du
Québec. Mr. Beaudry is a QP as defined in National Instrument
43-101 - Standards of Disclosure for Mineral Projects
("NI 43-101").
ABOUT METALLA
Metalla is a precious and base metals royalty and streaming
company with a focus on gold, silver, and copper royalties and
streams. Metalla provides shareholders with leveraged 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, silver, and
copper 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
Website: www.metallaroyalty.com
Neither the TSXV nor its Regulation Services Provider (as
that term is defined in the policies of the TSXV) accept
responsibility for the adequacy or accuracy of this
release.
Non-IFRS Financial Measures
Metalla has included certain performance measures in this
press release that do not have any standardized meaning prescribed
by International Financial Reporting Standards (IFRS) including (a)
attributable gold equivalent ounces (GEOs), (b) average cash cost
per attributable GEO, (c) average realized price per attributable
GEO, (d) operating cash margin per attributable GEO, and (e)
adjusted EBITDA. 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.
(a) Attributable GEOs
Attributable GEOs are
a non-IFRS financial measure that is composed of gold ounces
attributable to the Company, calculated by taking the revenue
earned by the Company in the period from payable gold, silver,
copper and other metal ounces attributable to the Company divided
by the average London fix price of
gold for the relevant period. In prior periods the GEOs included an
amount calculated by taking the cash received or accrued by the
Company in the period from the derivative royalty asset divided by
the average London fix gold price
for the relevant period. The Company presents attributable GEOs as
it believes that certain investors use this information to evaluate
the Company's performance in comparison to other streaming and
royalty companies in the precious metals mining industry who
present results on a similar basis. The Company's attributable GEOs
for the three months ended March 31,
2024, were:
|
Attributable GEOs
during the period from:
|
|
|
Wharf
|
173
|
|
El
Realito
|
177
|
|
La
Encantada
|
48
|
|
Aranzazu
|
200
|
|
NLGM
|
26
|
|
Total attributable
GEOs
|
624
|
(b) Average cash cost per attributable
GEO
Average cash cost per attributable GEO is a
non-IFRS financial measure that is calculated by dividing the
Company's total cash cost of sales, excluding depletion by the
number of attributable GEOs. The Company presents average
cash cost per attributable GEO as it believes that certain
investors use this information to evaluate the Company's
performance in comparison to other streaming and royalty companies
in the precious metals mining industry who present results on a
similar basis. The Company's average cash cost per attributable GEO
for the three months ended March 31,
2024, was:
|
Cost of sales for
NLGM
|
$5
|
|
Total cash cost of
sales
|
5
|
|
Total attributable
GEOs
|
624
|
|
Average cash cost
per attributable GEO
|
$8
|
(c) Average realized price per attributable
GEO
Average realized price per attributable GEO is a
non-IFRS financial measure that is calculated by dividing the
Company's revenue, excluding any revenue earned from fixed royalty
payments, by the number of attributable GEOs. The Company presents
average realized price per attributable GEO as it believes that
certain investors use this information to evaluate the Company's
performance in comparison to other streaming and royalty companies
in the precious metals mining industry that present results on a
similar basis. The Company's average realized price per
attributable GEO for three months ended March 31, 2024,
was:
|
Royalty revenue
(excluding fixed royalty payments)
|
$1,238
|
|
Revenue from
NLGM
|
54
|
|
Sales from stream
and royalty interests
|
1,292
|
|
Total attributable
GEOs sold
|
624
|
|
Average realized
price per attributable GEO
|
$2,069
|
(d) Operating cash margin per attributable
GEO
Operating cash margin per attributable GEO is a
non-IFRS financial measure that is calculated by subtracting the
average cast cost price per attributable GEO from the average
realized price per attributable GEO. The Company presents operating
cash margin per attributable GEO as it believes that certain
investors use this information to evaluate the Company's
performance in comparison to other streaming and royalty companies
in the precious metals mining industry that present results on a
similar basis.
(e) Adjusted EBITDA
Adjusted EBITDA is a
non-IFRS financial measure which excludes from net income taxes,
finance costs, depletion, impairment charges, foreign currency
gains/losses, share based payments, and non-recurring items.
Management uses Adjusted EBITDA to evaluate the Company's
operating performance, to plan and forecast its operations, and
assess leverage levels and liquidity measures. The Company presents
Adjusted EBITDA as it believes that certain investors use this
information to evaluate the Company's performance in comparison to
other streaming and royalty companies in the precious metals mining
industry who present results on a similar basis. However, Adjusted
EBITDA does not represent, and should not be considered an
alternative to net income (loss) or cash flow provided by operating
activities as determined under IFRS. The Company's adjusted EBITDA
for three months ended March 31,
2024, was:
|
Net
loss
|
$(1,732)
|
|
Adjusted
for:
|
|
|
Interest
expense
|
504
|
|
Finance
charges
|
85
|
|
Income tax
provision
|
10
|
|
Depletion
|
763
|
|
Foreign exchange
gain
|
(101)
|
|
Share-based
payments
|
549
|
|
Adjusted
EBITDA
|
$78
|
(e) Adjusted working capital
Adjusted
working capital is a non-IFRS measure which is calculated by taking
the Company's current assets less its current liabilities,
excluding the Convertible Loan Facility. The Company presents
working capital, adjusted for the Convertible Loan Facility, as the
classification of the Convertible Loan Facility as a current
liability is driven by changes in classification requirements under
IFRS and not because the Company expects that liability to be
settled in cash within the next twelve months. The Company believes
that the exclusion of the Convertible Loan Facility from adjusted
working capital gives a more accurate picture of the liquidity of
the Company. Adjusted working capital is not a standardized
financial measure under IFRS and therefore may not be comparable to
similar measures presented by other companies. The Company's
adjusted working capital as at March 31,
2024, was:
|
Total current
assets
|
$13,022
|
|
Less:
|
|
|
Total current
liabilities
|
(15,183)
|
|
Working
capital
|
(2,161)
|
|
Adjusted
for:
|
|
|
Convertible Loan
Facility
|
12,510
|
|
Adjusted working
capital
|
$10,349
|
Refer the Company's MD&A for the three months ended
March 31, 2024, which is available on
SEDAR+ at www.sedarplus.ca, for a numerical reconciliation of the
non-IFRS financial measures described above. The presentation of
these non-IFRS financial 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 financial
measures differently.
Technical and Third-Party Information
Metalla has limited, if any, access to the properties on
which Metalla(or any of its subsidiaries) holds a royalty, stream
or other interest. Metalla is dependent on (i) the operators of the
mines or properties and their qualified persons to provide
technical or other information to Metalla, or (ii) publicly
available information to prepare disclosure pertaining to
properties and operations on the mines or properties on which
Metalla holds a royalty, stream or other interest, and generally
has limited or no ability to independently verify such information.
Although Metalla does not have any knowledge that such information
may not be accurate, there can be no assurance that such
third-party information is complete or accurate. Some information
publicly reported by operators may relate to a larger property than
the area covered by Metalla's royalty, stream or other interests.
Metalla's royalty, stream or other interests can cover less than
100% and sometimes only a portion of the publicly reported mineral
reserves, resources and production of a property.
Unless otherwise indicated, the technical and scientific
disclosure contained or referenced in this press release,
including any references to mineral
resources or mineral reserves, was prepared in accordance with
Canadian NI 43-101, which differs
significantly from the requirements of the U.S. Securities and
Exchange Commission (the
"SEC") applicable to U.S.
domestic issuers. Accordingly, the scientific and technical
information contained or referenced in this press
release may not be comparable to similar information
made public by U.S. companies subject to the
reporting and disclosure requirements of the
SEC.
"Inferred mineral resources" have a
great amount of uncertainty as to their existence and great
uncertainty as to their economic and
legal feasibility. It cannot be assumed that all or any part of an
inferred mineral resource will ever be
upgraded to a higher category. Historical results or
feasibility models presented herein are not guarantees
or expectations of future
performance.
Cautionary Note Regarding Forward-Looking
Statements
This press release contains "forward-looking information" and
"forward-looking statements" (collectively, "forward-looking
statements") within the meaning of applicable securities
legislation. The forward-looking statements herein are made as of
the date of this press release only and the Company does not intend
to and does not assume any obligation to update or revise them
except as required by applicable law.
All statements included herein that address events or
developments that we expect to occur in the
future are forward-looking
statements. Generally, forward-looking statements can be identified
by the use of forward-looking terminology 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 in this press
release include, but are not limited to, statements
regarding: future events or future
performance of Metalla; the completion of the
Company's royalty purchase transactions;
the Company's plans and objectives; the
Company's future financial and operational
performance; expectations regarding stream and royalty
interests owned by the Company; the satisfaction of
future payment obligations, contractual commitments and contingent
commitments by Metalla; the
future achievement of any milestones in respect of the payment or
satisfaction of contingent consideration by
Metalla; the future
availability of funds, including drawdowns pursuant
to the Convertible Loan Facility (as amended or
supplemented); the effective
interest rate of drawdowns under the Convertible Loan
Facility (as amended or supplemented) and the
life expectancy thereof; the future
conversion of funds drawn down by Metalla under
the Convertible Loan Facility (as amended or
supplemented); the amount that
Metalla has to pay under the Convertible Loan Facility
and the applicable exchange rate; the
completion by property owners of announced drilling programs,
capital expenditures, and other planned
activities in relation to properties on
which the Company and its subsidiaries hold a
royalty or streaming interest and the
expected timing thereof; production and
life of mine estimates or forecasts at the
properties on which the Company and its subsidiaries hold a
royalty or streaming
interest; future
disclosure by property owners and the expected
timing thereof; the completion by
property owners of announced capital expenditure
programs; the improvement of ore throughput rates at La Encantada
and the timing thereof; the expected 2024 production
guidance at the La India deposit at El Realito; that
production at El Realito will come from residual leaching of heap
leach pads and will continue through year-end
2024; the expected 2024 production guidance at
Wharf; the focus of the exploration efforts at
Wharf in 2024; the expansion and infill drilling at the Juno
deposit at Wharf; the drilling campaign in
Aranzazu and the goal of increasing mineral reserves and
resources; the expected 2024 production
guidance at NLGM; the ramp up on the operation to commercial
production at the Côté Gold
Project; the expected 2024
production guidance at the Côté Gold
Project; the technical studies
planned to complete test work and studies to optimize inclusion of
Gosselin into future Côté life-of-mine
plans; the planned drilling program for 2024 at
Gosselin and related expenditures; the receipt of
approval for the Environmental and Social Impact Assessment at Taca
Taca and the anticipated timing
thereof; the planned drilling programs for 2024
at Fosterville and related
expenditures; the expected start of production
at Endeavor and the anticipated timing
thereof; the expected expenditures at
Endeavor; the expected mine life and production at
Endeavor; the expected start of production at the AK deposit and
the anticipated timing thereof; the production
processing at the AK deposit and the anticipated timing
thereof; the start of commercial production at
Tocantinzinho and the anticipated funding and timing thereof; the
start of commissioning activities at Tocantinzinho and the timing
thereof; the planned drilling program for 2024
for Wasamac and related expenditures; the
assessment by Agnico of optimal mining rate and milling strategy
for Wasamac; the start and the focus of the
surface exploration program of geological mapping and channel
sampling at Castle Mountain and the
timing thereof; the work on the preliminary
draft Environmental Impact Statement for Castle Mountain throughout
2024 and 2025; the creation of a memorandum of understanding with
the BLM, San Bernardino County and Castle
Mountain; the expectation that Akasaba West
will provide flexibility at the Goldex complex; the
expected production at Akasaba West; the completion
and focus of a mine restart study on the La Guitarra mine and the
anticipated timing thereof; the anticipated use of the
loan proceeds received by Sierra
Madre from First Majestic for use at La
Guitarra; the release of a mine restart study
and plan for La Parrilla and the anticipated timing
thereof; the expected mine life, production and cash
costs for Fifteen Mile Stream; the start of
development of Fifteen Mile Stream and anticipated timing
thereof; the second phase of exploration
drilling at Camflo, and test for potential lateral extensions of
mineralization and infill known zones;
Agnico's belief regarding open-pit mining and location
of processing at Camflo; royalty
payments to be paid to Metalla by property owners or operators of
mining projects pursuant to each
royalty interest; the future outlook
of Metalla and the mineral reserves and resource
estimates for the properties with respect to which
the Metalla has or proposes to acquire an
interest; future gold, silver and
copper prices; other potential developments
relating to, or achievements by, the counterparties
for the Company's stream and royalty agreements,
and with respect to the mines and other properties
in which the Company has, or may acquire, a stream
or royalty interest; costs and other
financial or economic
measures; prospective transactions;
growth and achievements; financing
and adequacy of capital; future
payment of dividends; future public and/or private
placements of equity, debt or hybrids thereof;
and the Company's ability to fund its current
operational requirements and capital
projects.
Such forward-looking statements reflect management's current
beliefs and are based on information currently
available to management. Forward-looking statements
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 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: risks related to commodity price
fluctuations; the absence of control over mining
operations from which Metalla will
purchase precious metals pursuant to gold
streams, silver streams and other agreements or from which it will
receive royalty payments pursuant to
net smelter returns, gross overriding royalties, gross
value royalties and other royalty
agreements or interests and risks related
to those mining operations, including risks related to
international operations, government and
environmental regulation, delays in mine construction
and operations, actual results of mining and
current exploration activities, conclusions of
economic evaluations and changes in project
parameters as plans are refined; risks related to
exchange rate fluctuations; that
payments in respect of streams and royalties may be delayed or may
never be made; risks
related to Metalla's reliance on public disclosure and
other information regarding the mines or
projects underlying its streams
and royalties; that some
royalties or streams may be subject to
confidentiality arrangements that limit or prohibit
disclosure regarding
those royalties and
streams; business opportunities that
become available to, or are pursued by, Metalla;
that Metalla's cash flow is
dependent on the activities of others;
that Metalla has had negative cash flow from
operating activities in
the past; that some royalty and stream
interests are subject to rights of other
interest-holders; that
Metalla's royalties and streams may have
unknown defects; risks related to
Metalla's two material assets,
the Côté property and the Taca Taca
property; risks related to general
business and economic
conditions; risks related to global
financial conditions, geopolitical events and other
uncertainties; risks
related to epidemics, pandemics or
other public health crises, including COVID-19 global
health pandemic, and the spread of
other viruses or pathogens, and
the potential impact thereof on Metalla's
business, operations and financial
condition; that Metalla is dependent on
its key personnel; risks
related to Metalla's financial
controls; dividend
policy and future payment of
dividends; competition;
that project operators may not respect
contractual obligations; that
Metalla's royalties and streams may be
unenforceable; risks related to
conflicts of interest of Metalla's directors and
officers; that Metalla may
not be able to obtain adequate financing
in the future; risks related to
Metalla's current credit facility and financing
agreements; litigation; title,
permit or license disputes related to
interests on any of the properties in which Metalla
holds, or may acquire, a royalty,
stream or other interest;
interpretation by government entities of tax laws
or the implementation of new tax
laws; changes in tax laws impacting
Metalla; risks related to
anti-bribery and anti-corruption laws;
credit and liquidity risk; risks related to
Metalla's information systems and cyber
security; risks posed by
activist
shareholders; that Metalla
may suffer reputational damage in the ordinary course of
business; risks
related to acquiring, investing in or developing
resource projects; risks applicable
to owners and operators of properties
in which Metalla holds an
interest; exploration, development
and operating
risks; risks related to climate
change; environmental
risks; that the exploration and
development activities related to mine
operations are subject to extensive laws and
regulations; that the
operation of a mine or project is subject
to the receipt and maintenance of permits from
governmental
authorities; risks
associated with the acquisition and maintenance of
mining infrastructure; that
Metalla's success is dependent on
the efforts of operators'
employees; risks related to mineral
resource and mineral reserve
estimates; that mining
depletion may not be replaced by the discovery of new mineral
reserves; that operators'
mining operations are subject to
risks that may not be able to be insured
against; risks
related to land title; risks related
to international operations; risks
related to operating in countries with
developing economies; risks
related to the construction, development and
expansion of mines or
projects; risks associated with operating
in areas that are presently, or were formerly, inhabited
or used by indigenous
peoples; that Metalla is required, in certain
jurisdictions, to allow individuals from that
jurisdiction to hold nominal interests
in Metalla's subsidiaries in that
jurisdiction; the volatility of the
stock
market; that existing
securityholders may be
diluted; risks related to Metalla's
public disclosure
obligations; risks
associated with future sales or issuances of debt or
equity securities; risks associated with
the Company's loan facility; that there can be
no assurance that an active trading market for
Metalla's securities will be
sustained; risks related to the enforcement of
civil judgments against Metalla; risks
relating to Metalla potentially being a passive "foreign
investment company" within the meaning of
U.S. federal tax laws; and the other
risks and uncertainties disclosed under the heading "Risk Factors"
in the Company's most recent Annual
Information Form, annual report on Form 40-F and other
documents filed with or submitted to the Canadian
securities regulatory authorities on the SEDAR+
website at www.sedarplus.ca and the U.S. Securities
and Exchange Commission on the EDGAR website at
www.sec.gov. Although we have attempted to identify
important factors that could cause actual actions,
events or results to differ materially from those
described in forward-looking statements, 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 forward-looking
statements will prove to be accurate, as actual results
and future events could differ materially from those
anticipated in such statements. Accordingly,
readers should not place undue reliance on
forward-looking statements. We are under no obligation
to update or alter any forward-looking
statements except as required under applicable securities laws. For
the reasons set forth above, undue
reliance should not be placed on forward-looking
statements.
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SOURCE Metalla Royalty & Streaming Ltd.