Electric Royalties Announces C$1 Million Drawdown Under Convertible Credit Facility
ELECTRIC ROYALTIES ANNOUNCES C$1 MILLION DRAWDOWN UNDER
CONVERTIBLE CREDIT FACILITY
VANCOUVER, BRITISH COLUMBIA – January 19, 2023 – Electric Royalties Ltd. (TSXV: ELEC) (OTCQB: ELECF)
(“Electric Royalties” or the “Company”) is pleased to announce , further to its November 1 5, 2022 press
release, that it has elected to draw down C$1,000,000 (the “Loan”) under the C$2,000,000 convertible
credit facility with Gleason & Sons LLC (the “Lender”), which is controlled by a significant shareholder.
The Loan has a term of 3 years and bears interest (“Interest”) at 15%, with Interest payments capitalized
into the principal amount and due at the end of the Loan term. At the discretion of the Lender, after six
months from the initial drawdown date, the Loan plus accrued Interest is convertible into common shares
of Electric Royalties as follows: (a) for the Loan at the greater of C$0.50 ; a 100% premium above the 30 -
day VWAP (C$0.62) of Company’s shares on the TSX Venture Exchange (the “TSXV”) at the advance; and
the minimum price acceptable to the TSXV, per share; and (b) for Interest at the Market Price (as defined
under Exchange policy 1.1) at the time of settlement, subject to the Market Price not being less than the
Conversion Price without prior Exchange approval, per share. The funds will be used for the acquisition of
the produc ing Penouta royalty. Th e Loan is subject to the approval of the T SXV and other customary
closing conditions.
About Electric Royalties Ltd.
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 feed the electric revolution.
Electric Royalties has a growing portfolio of 20 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 locat ed 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.
For further information, please contact:
Brendan Yurik
CEO, Electric Royalties Ltd.
Phone: (604) 364‐3540
Email: [email protected]
www.electricroyalties.com
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.
Cautionary Statements Regarding Forward-Looking Information and Other Company Information
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, inten d, 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, objecti ves, 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 legisl ative 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 Covi d-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.