ELECTRIC ROYALTIES PROVIDES DEVELOPMENT UPDATE ON ROYALTY PORTFOLIO
VANCOUVER, BC, May 30, 2022 /CNW/ - Electric Royalties Ltd. (TSXV: ELEC) (OTCQB: ELECF) ("Electric Royalties" or the "Company") is pleased to announce closing of the previously announced Sleitat Tin-Silver Royalty acquisition (see news release dated March 10, 2022) with a wholly-owned subsidiary of Cornish Metals Inc. (TSXV: CUSN) (AIM: CUSN) to acquire a 1% Net Smelter Royalty (the "1% NSR") on mining claims comprising core strategic tenure at the Sleitat Mountain Tin-Silver deposit in Southwestern Alaska (the "Sleitat Project" or "Sleitat").
The Sleitat Project was originally discovered by Cominco American Inc. in 1983 and is comprised of claims totalling 1,425 hectares. The greisen bodies which host the mineralization at Sleitat are divided into a north and a south zone. The north zone has been investigated by a total of 14 holes in three drill campaigns and has demonstrated that the tin mineralization is shallow thus potentially amenable to open pit mining. The north zone is open laterally and at depth while the south greisen remains completely untested to date.
The Company has issued 1,000,000 common shares of the Company ("Consideration Shares") and made a cash payment of $100,000. The Consideration Shares will be subject to a voluntary lock-up agreement which provides that 50% of the Consideration Shares will be subject to a hold period of 6 months and 50% of the Considerations Shares being subject to a hold period of 12 months.
Electric Royalties also announces that it has retained the services of Renmark Financial Communications Inc. to assist with its investor outreach and investor relations activities for a period of five months beginning June 1, 2022, and monthly thereafter. In consideration of the services to be provided, monthly fees of C$9,000 will be incurred.
David Gaunt, P.Geo., a qualified person who is not independent of Electric Royalties, has reviewed and approved the technical information in this release.
Electric Royalties is a royalty company established to take advantage of the demand for a wide range of commodities (lithium, vanadium, manganese, tin, graphite, cobalt, nickel, zinc and copper) that will benefit from the drive toward electrification of a variety of consumer products: cars, rechargeable batteries, large scale energy storage, renewable energy generation and other applications.
Electric vehicle sales, battery production capacity and renewable energy generation are slated to increase significantly over the next several years and with it, the demand for these targeted commodities. This creates a unique opportunity to invest in and acquire royalties over the mines and projects that will supply the materials needed to fuel the electric revolution.
Electric Royalties has a growing portfolio of 19 royalties, including one royalty that currently generates revenue. The Company is focused predominantly on acquiring royalties on advanced stage and operating projects to build a diversified portfolio located in jurisdictions with low geopolitical risk, which offers investors exposure to the clean energy transition via the underlying commodities required to rebuild the global infrastructure over the next several decades towards a decarbonized global economy.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange), nor any other regulatory body or securities exchange platform, accepts responsibility for the adequacy or accuracy of this release.
This news release includes forward-looking information and forward-looking statements (collectively, "forward-looking information") with respect to the Company within the meaning of Canadian securities laws. This news release includes information regarding other companies and projects owned by such other companies in which the Company holds a royalty interest, based on previously disclosed public information disclosed by those companies and the Company is not responsible for the accuracy of that information, and that all information provided herein is subject to this Cautionary Statement Regarding Forward-Looking Information and Other Company Information. Forward looking information is typically identified by words such as: believe, expect, anticipate, intend, estimate, postulate and similar expressions, or are those, which, by their nature, refer to future events. This information represents predictions and actual events or results may differ materially. Forward-looking information may relate to the Company's future outlook and anticipated events and may include statements regarding the financial results, future financial position, expected growth of cash flows, business strategy, budgets, projected costs, projected capital expenditures, taxes, plans, objectives, industry trends and growth opportunities of the Company and the projects in which it holds royalty interests.
While management considers these assumptions to be reasonable, based on information available, they may prove to be incorrect. Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company or these projects to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors include, but are not limited to risks associated with general economic conditions; adverse industry events; marketing costs; loss of markets; future legislative and regulatory developments involving the renewable energy industry; inability to access sufficient capital from internal and external sources, and/or inability to access sufficient capital on favourable terms; the mining industry generally, the Covid-19 pandemic, recent market volatility, income tax and regulatory matters; the ability of the Company or the owners of these projects to implement their business strategies including expansion plans; competition; currency and interest rate fluctuations, and the other risks.
The reader is referred to the Company's most recent filings on SEDAR as well as other information filed with the OTC Markets for a more complete discussion of all applicable risk factors and their potential effects, copies of which may be accessed through the Company's profile page at www.sedar.com and at otcmarkets.com.
SOURCE Electric Royalties Ltd.
Brendan Yurik, Phone: (604) 364‐3540, Email: [email protected]
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