Electric Royalties Provides Update ON Royalty Portfolio
ELECTRIC ROYALTIES PROVIDES UPDATE
ON ROYALTY PORTFOLIO
VANCOUVER, BC
,
June 16, 2022
/CNW/ - Electric Royalties Ltd. (TSXV: ELEC) (OTCQB: ELECF)
("Electric Royalties" or the "Company") is pleased to provide an asset update on its current royalty
portfolio.
Brendan Yurik
, CEO of Electric Royalties
, commented:
"
A tremendous first half of 2022 has
seen 24 exciting developments across 11 assets within our royalty portfolio. Drilling is underway at
the high-grade copper-cobalt Millennium project in
Australia
with assays expected later this year.
Drill results have been received on the promising Seymour Lake lithium project in
Ontario
and the
operator has announced that a resource estimate is imminent. Metallurgical development
milestones are being advanced at our Battery Hill manganese royalty as Manganese X Energy
Corp. kicks off a pilot plant program after years of rigorous test work in partnership with Kemetco.
Initial processing test results at the Cancet lithium project are promising, showcasing a fairly
simple process and indicating potential to produce a 6% lithium spodumene concentrate suitable
for the battery market. And lastly, Sayona Mining has been very busy as operator of our
Authier
lithium royalty, having raised over
$150 million
this past month alone and announcing a pre-
feasibility study incorporating the
Authier
lithium project into a combined production scenario with
the nearby North American Lithium mine, located 60 km north of
Val-d'Or, Quebec
.
"Investors are rightly concerned about ongoing inflation levels, but as a royalty company, we're
protected from capital cost inflation as when the time comes to build mines, Electric Royalties has
no required contribution to any inflated costs. We're also largely protected against mine operating
cost inflation, other than treatment and smelting charges for net smelter royalties. The value of our
royalties is directly proportional to the price of the metals we are targeting and prices have been
rising steadily with lithium alone increasing substantially this past year."
Highlights since the Company's previous development update on
May 11, 2022
:
Millennium Copper-Cobalt Royalty
– Global Energy Metals Corp. (TSXV: GEMC) announced
on
June 2, 2022
, the completion of Phase 1 reverse circulation drilling at the Millennium cobalt-
copper-gold project in
Queensland, Australia
, with 1,580 metres of drilling conducted
predominantly in the South and Central resource areas. This campaign infilled existing
mineralization, targeted both shallow and deep extensions to the existing mineralization, and
completed several pre-collars in preparation for diamond drilling.
Global Energy Metals reported encouraging visual observations with copper oxide and/or
sulphides noted in all holes and mineralization noted in all host rocks. Moreover, chalcopyrite
and cobaltite have been observed within broad alteration halos not within the current resource
envelope.
Phase 2 of the reverse circulation drill program in the North resource area, along with
metallurgical and deeper diamond drilling in the South and Central resource areas, is scheduled
mid June for approximately 1,600 metres. Metallurgical and deeper diamond drilling work is the
first priority of the drill program, which will then expand into the northern parts of the Central
resource area and some scoping of the Northern resource area. All drilling assay results are
expected by late September, with metallurgical test work planned following the completion of
Phase 2 drilling.
Seymour Lake Lithium Royalty
– Green Technology Metals Limited (ASX: GT1) announced
on
May 19, 2022
the assay results for the remaining seven holes from its Phase 1 step-out
drilling at the Seymour Lake Project's North Aubry deposit in
Ontario, Canada
. The Phase 1
drilling program was designed to evaluate potential along-strike and down-dip extensions of the
North Aubry deposit that were open and untested. The program consisted of 16 holes drilled
over 5,826 metres.
Results to date from Phase 1 drilling at North Aubry suggest continuous mineralization to depth
and both the northern and down-dip extents of the pegmatite are open to further expansion. As
a result of the Phase 1 drilling success at North Aubry, Green Technology Metals has
commenced further step-out drilling to test the on-strike and down-dip potential of the
pegmatites. Logging from these holes demonstrates host pegmatites occur a substantial
distance down-dip from the nearest previous pegmatite intercept.
All announced results from the Phase 1 program are planned to be incorporated in an updated
Mineral Resource estimate for Seymour Lake, which remains on track for completion during Q2
2022. Observations from the current, ongoing drill program indicate substantial potential upside
to the Seymour Lake Mineral Resource estimate.
Phase 2 (Central Aubry zone) and Phase 3 (Pye prospect) diamond drilling at Seymour Lake
are underway. There is currently no Mineral Resource estimate at either the Central Aubry zone
or Pye prospect, with the existing Seymour Lake Mineral Resource estimate comprised solely
of the North and South Aubry deposits. At Central Aubry, seven holes have been completed to
date for approximately 1,292 metres. At the Pye prospect (located approximately 1 km east of
the Aubry complex), six holes have been completed to date for approximately 1,383 metres.
Results from the first five holes at Central Aubry and Pye did not include significant lithium
intercepts. Initial drilling at Pye identified lithium-cesium-tantalum type pegmatites with
geological continuity of over 250 metres and remains a target for further exploration. Drilling will
continue at Pye and Central Aubry once the ground conditions improve sufficiently to allow rig
movements.
Battery Hill Manganese Royalty
– Manganese X Energy Corp. (TSXV: MN) announced on
May 17, 2022
, that it has initiated a number of ongoing discussions with potential strategic
partners seeking high-purity manganese products. Furthermore, the company announced that it
has started the development of the pilot plant program for the Battery Hill manganese project in
New Brunswick, Canada
. Manganese X intends to engage an engineering firm to design the
work for its field pilot plant, which will utilize its innovative solution to produce high-purity
manganese sulphate without the use of selenium. The goal of the field pilot plant is to
demonstrate Manganese X's proprietary process under near commercial-scale operating
conditions incorporating a modular design.
Cancet Lithium Royalty
– Winsome Resources Limited (ASX: WR1) announced on
June 1,
2022
, that it has received metallurgical results from test work on two lithium-bearing composite
samples from the Cancet lithium project in
Quebec, Canada
. Samples were sourced from split
drill core from the Phase 1 drilling campaign which was previously completed at Cancet. The
recoveries point to the potential for the mineralized material from Cancet to be beneficiated to a
6% lithium oxide concentrate using just dense media separation. Winsome expects these high
recoveries to result in a lower environmental impact for the project due to less comminution
(crushing), and a reduction in power and chemical requirements. This may result in lower
capital costs and potentially quicker approvals for the project.
Authier Lithium Royalty
– Sayona Mining Limited (ASX: SYA) announced a pre
feasibility
study (PFS) for its flagship North American Lithium (NAL) Project in Québec,
Canada
on
May
23, 2022
. The PFS integrates the Authier Lithium Project with the NAL operation into Sayona's
Abitibi Lithium Hub. Long-lead equipment has been pre-ordered in anticipation of the restoration
of operations at NAL and in an effort to launch production ahead of other North American lithium
projects. Sayona Mining plans to release an updated feasibility study for the Authier Project in
Q2 2022. Electric Royalties holds a 0.5% gross revenue royalty on the Authier Project.
David Gaunt
, P.Geo., a qualified person who is not independent of Electric Royalties, has reviewed
and approved the technical information in this release.
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 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.
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, 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.
www.electricroyalties.com
www.renmarkfinancial.com
SOURCE
Electric Royalties Ltd.
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For further information:
Brendan Yurik, CEO, Electric Royalties Ltd., Phone: (604) 364
3540,
Email: [email protected]; Scott Logan, Renmark Financial Communications Inc.,
Phone: (416) 644-2020 or (212) 812-7680, Email: [email protected]
CO: Electric Royalties Ltd.
CNW 07:45e 16-JUN-22