/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES
OR FOR DISSEMINATION IN THE UNITED
STATES/
TORONTO, Aug. 24, 2020 /CNW/ - Vox Royalty
Corp. (TSXV: VOX) ("Vox" or the
"Company") is pleased to announce that it has entered
into a binding agreement with an Ottawa-based corporation pursuant to which Vox
will acquire a 0.5% gross sales royalty interest on Lipari
Mineração Ltda.'s ("Minera
Lipari") producing Brauna Diamond Mine
("Brauna"). Total consideration for the transaction is
C$330,000, which is comprised of
C$165,000 in cash and C$165,000 in Vox shares (the
"Transaction"). The seller will be issued 55,158 Vox shares
for the C$165,000 stock portion of
the consideration. The Transaction remains conditional upon
customary approval by the TSX Venture Exchange.
Brauna is South America's
largest operating diamond mine and is in the state of Bahia,
Brazil. According to Minera Lipari disclosure, Brauna is an open-pit
mining operation using an owner-operated fleet which feeds
kimberlite ore to a 2,000 tonne per day processing plant. Open-pit
mining is currently focused on the Brauna 3 kimberlite deposit, one
of 21 kimberlite occurrences being explored and developed by
Minera Lipari. For more information
on Brauna, please visit http://lipari.com.br/.
Transaction Highlights
- Exposure to South America's
largest operating diamond mine.
- Immediate royalty revenue attributable to Vox.
- Exploration upside from an additional 21 kimberlite occurrences
being explored by Minera
Lipari.
Simon Cooper, Vice President of
Corporate Development stated: "Vox is excited to add another
revenue-generating royalty to our portfolio, particularly over
South America's largest operating
diamond mine. This deal brings immediate cash flow to the Company
and represents our 6th royalty transaction within 3
months of having listed on the TSX Venture Exchange."
Figure 1: Processing and open-pit mining facilities at the
Brauna Diamond Mine. (Source: http://lipari.com.br/).
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1 According to disclosure from Lipari
Mineração Ltda on their website
(http://lipari.com.br/?lang=en#about, August 2020).
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This royalty is unrelated to the 1.0% gross revenue royalty
acquired by Osisko Gold Royalties Ltd (TSX: OR) over the same
Brauna diamond mine in 2017 (Source:
https://osiskogr.com/en/redevance/brauna-diamonds/).
Transaction Closing
Closing of the Transaction is expected to occur before the end
of August 2020. Closing of the
Transaction will occur following satisfaction of customary
conditions including the approval of the TSX Venture Exchange as
well as execution of standard transaction documentation. Vox will
use current cash on hand to fund the payment of the cash
consideration for the Transaction.
Qualified Person
Timothy J. Strong, MIMMM, of
Kangari Consulting Limited and a "Qualified Person" under National
Instrument 43-101 – Standards of Disclosure for Mineral Projects,
has reviewed and approved the scientific and technical disclosure
contained in this press release.
About Vox
Vox is a growth and precious metals focused mining royalty and
streaming company. Vox holds a portfolio of 42 royalties and
streaming assets and 1 royalty option. Vox's interests span eight
jurisdictions, including Australia, Canada, Peru,
Brazil, Mexico, the United
States, Madagascar and
Nigeria. Vox has been the fastest
growing publicly listed royalty & streaming acquisition company
since January 2019, announcing 17
separate royalty transactions. Further information on Vox can be
found at www.voxroyalty.com.
Technical and Third-Party Information
Except where otherwise stated, the disclosure in this press
release relating to the Brauna Diamond Mine is based on information
publicly disclosed by Minera Lipari
and based on the information and data available in the public
domain as at the date hereof. None of such information or data has
been independently verified by Vox. Specifically, as a royalty
investor, Vox has limited, if any, access to the Brauna Diamond
Mine. Although Vox does not have any knowledge that such
information may not be accurate, there can be no assurance that
such information from Minera Lipari
is complete or accurate.
Cautionary Note Regarding Forward Looking Information
This news release contains certain forward-looking
statements. Any statements that express or involve discussions with
respect to predictions, expectations, beliefs, plans, projections,
objectives, assumptions or future events or performance (often, but
not always, using words or phrases such as "expects" or "does not
expect", "is expected", "anticipates" or "does not anticipate"
"plans", "estimates" or "intends" or stating that certain actions,
events or results " may", "could", "would", "might" or "will" be
taken, occur or be achieved) are not statements of historical fact
and may be "forward-looking statements". Forward-looking
statements are subject to a variety of risks and uncertainties
which could cause actual events or results to materially differ
from those reflected in the forward-looking statements.
The forward-looking statements and information in this press
release include, but are not limited to, information relating to a
potential royalty acquisition, the ability of Vox to continue to
complete acquisitions and the ability of the Vox management team to
continue to focus on acquisitions. Such statements and information
reflect the current view of Vox. By their nature, forward-looking
statements involve known and unknown risks, uncertainties and other
factors which may cause Vox's actual results, performance or
achievements or other future events, to be materially different
from any future results, performance or achievements expressed or
implied by such forward-looking statements. Such factors include,
among others, the following risks:
- there is no assurance that the Brauna Royalty acquisition
will be completed;
- there is no assurance that the required approvals for the
Brauna Royalty acquisition, including the approval of the TSX
Venture Exchange will be obtained;
- there is no assurance that Vox will be able to use current
cash on hand to fund the acquisition of the Brauna
Royalty;
- there is no assurance that production from the Brauna will
continue on an ongoing basis;
- there is no assurance that Vox will be able to continue to
successfully negotiate the purchase of royalties; and
- new laws or regulations could adversely affect the Company's
business and results of operations; and
- the stock markets have experienced volatility that often has
been unrelated to the performance of companies, and these
fluctuations may adversely affect the price of the Company's
securities, regardless of its operating performance.
Should one or more of these risks, uncertainties or other
factors materialize, or should assumptions underlying the
forward-looking information or statement prove incorrect, actual
results may vary materially from those described herein as
intended, planned, anticipated, believed, estimated or expected.
Vox cautions that the foregoing list of material factors is not
exhaustive. When relying on the Company's forward-looking
statements and information to make decisions, investors and others
should carefully consider the foregoing factors and other
uncertainties and potential events.
Vox has assumed that the material factors referred to in the
previous paragraph will not cause such forward-looking statements
and information to differ materially from actual results or events.
However, the list of these factors is not exhaustive and is subject
to change and there can be no assurance that such assumptions will
reflect the actual outcome of such items or factors. The
forward-looking information contained in this press release
represents the expectations of Vox as of the date of this press
release and, accordingly, is subject to change after such date.
Readers should not place undue importance on forward looking
information and should not rely upon this information as of any
other date. While Vox may elect to do so, Vox does not undertake to
update this information at any particular time except as required
in accordance with applicable laws.
Not for distribution to United
States newswire services or for dissemination in
the United States. This press
release does not constitute an offer to sell or a solicitation of
an offer to buy any of the securities in the United States. The securities 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 within
the United States or to U.S.
Persons unless registered under the U.S. Securities Act and
applicable state securities laws or an exemption from such
registration is available.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of
this release.
SOURCE Vox Royalty Corp.