Metalla Completes Acquisition of Royalty on Fifteen Mile Stream and Provides Asset Update
Metalla Completes Acquisition of Royalty on
Fifteen Mile Stream and Provides Asset
Update
All amounts expressed in Canadian Dollars unless otherwise noted
TSXV: MTA
OTCQB: MTAFF
VANCOUVER
,
Aug. 16, 2019
/CNW/ -
Metalla Royalty & Streaming Ltd.
("
Metalla
" or the
"
Company
") (TSXV: MTA) (OTCQB: MTAFF) is pleased to announce that the Company has
completed the closing on its previously announced acquisition of a 3.0% NSR royalty on St Barbara
Ltd.'s Fifteen Mile Stream project for
$2 million
from a third party in accordance with a purchase and
sale agreement. As consideration for the transaction, Metalla has made an upfront payment of
$0.5
million
in cash, with an additional payment of up to
$1.5 million
upon the exercise of the royalty
payor's buy-back right to purchase two-thirds of the 3.0% NSR royalty for a period of five years.
PORTFOLIO UPDATE
Santa Gertrudis
(2.0% NSR Royalty)
Agnico Eagle Mines Limited ("
Agnico Eagle
")
reported on
July 24, 2019
that they continue to
expand mineralization at the
Santa Gertrudis
project in
Mexico
. The
Trinidad
zone has been
extended by 800 meters to more than 3 kilometers strike length. Drilling extended the newly
discovered Amelia deposit to a 700-meter strike length and a total depth of 450 meters. Notable
intercepts by Agnico Eagle include 8.2g/t gold over
7.3m
and 8.8g/t gold over
6m
.
Amelia Map (CNW Group/Metalla Royalty and Streaming Ltd.)
Moreover, drilling at the Becarros zone has discovered new mineralization known as the Bertha
target, located
250m
northwest of the Becerros Norte deposit; highlighted by 2.1g/t gold over
9.5m
;
150m
to the south west and 3g/t over
8m
. Half of the 2019 supplementary
11,500m
drill program
continues at
Santa Gertrudis
intending to explore new targets and expand the mineral resources.
Agnico has stated they continue to believe that the
Santa Gertrudis
project has the potential to
eventually be a similar size operation to the La India Mine.
Santa Gertrudis Map (CNW Group/Metalla Royalty and Streaming Ltd.)
El Realito
(2.0% NSR Royalty)
At
El Realito
, Agnico Eagle reported exploration drilling continued to extend the mineralization
laterally and confirm structures to the east. Agnico Eagle increased the drill program at La India in
2019 by an additional 5,000-meters to further expand mineral resources. Drilling in the main
structure has yielded several oxide intercepts including 0.6g/t gold and 4g/t silver over
13.2m
and
0.6g/t gold and 4g/t silver over
8.4m
which were both within
100m
of the surface. Drilling 300 meters
east of the main structure, intersected 0.8g/t gold and 110g/t silver over
11.2m
and 3.1g/t gold and
27g/t silver over
3.4m
which were also within
100m
of the surface. The
El Realito
mineralized
system remains open, and Agnico Eagle expects to increase the year-end resource estimate.
El Realito Map (CNW Group/Metalla Royalty and Streaming Ltd.)
COSE & Joaquin
(1.5% & 2.0% NSR Royalty)
Pan American Silver Corp. ("
Pan American Silver
") disclosed in their
Q2 results
on
August 7, 2019
and related conference call that they spent a combined
US$7.0 million
on the Joaquin and COSE
projects during Q2 2019. Underground development and ground support system implementation is
continuing to advance as they move closer to production.
Development at COSE has extracted 1,500 tonnes at 2600g/t silver and 33g/t gold which is currently
stockpiled on surface. This grade compares favorably with the reserve grade at COSE of 918g/t
silver and 17.7g/t gold. At COSE, Pan American Silver expects that production in late 2019 will be
limited to development material with stope production in Q1 2020.
Metalla expects the timeline for stope production at Joaquin to begin by the end of 2019 as
development will continue after further ground support system implementation in the next few weeks.
QUALIFIED PERSON
The scientific and technical information contained in this press release has been approved by
Charles Beaudry
, M.Sc., P.Geo. and géo., a qualified person within the meaning of NI 43-101.
ABOUT METALLA
Metalla is a precious metals royalty and streaming company. Metalla provides shareholders with
leveraged precious 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 and silver 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
Neither the TSXV nor its Regulation Services Provider (as that term is defined in the policies of the
Exchange) accept responsibility for the adequacy or accuracy of this release.
Technical and Third-Party Information
Metalla has limited, if any, access to the properties on which Metalla 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) on 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 interest. 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.
Cautionary Note Regarding Forward-Looking Statements
This press release contains "forward-looking information" and "forward-looking statements" within
the meaning of applicable Canadian and U.S. securities legislation. The forward-looking
statements herein are made as of the date of this press release only, and the Company does not
assume any obligation to update or revise them to reflect new information, estimates or opinions,
future events or results or otherwise, except as required by applicable law.
Often, but not always, forward-looking statements can be identified by the use of words 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 and information include, but are not limited to, statements with respect to
exploration, development and production at mines on which Metalla holds a royalty and proposed
future transactions Metalla may undertake and their expected timing. Forward-looking statements
and information 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 and information 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: the
requirement for regulatory approvals and third party consents, the impact of general business and
economic conditions, the absence of control over the mining operations from which Metalla will
purchase gold and receive royalties, including risks related to international operations, government
relations and environmental regulation, the inherent risks involved in the exploration and
development of mineral properties; the uncertainties involved in interpreting exploration data; the
potential for delays in exploration or development activities; the geology, grade and continuity of
mineral deposits; the possibility that future exploration, development or mining results will not be
consistent with Metalla's expectations; accidents, equipment breakdowns, title matters, labor
disputes or other unanticipated difficulties or interruptions in operations; fluctuating metal prices;
unanticipated costs and expenses; uncertainties relating to the availability and costs of financing
needed in the future; the inherent uncertainty of production and cost estimates and the potential for
unexpected costs and expenses, commodity price fluctuations; currency fluctuations; regulatory
restrictions, including environmental regulatory restrictions; liability, competition, loss of key
employees and other related risks and uncertainties. Metalla undertakes no obligation to update
forward-looking information except as required by applicable law. Such forward-looking
information represents management's best judgment based on information currently available. No
forward-looking statement can be guaranteed, and actual future results may vary materially.
Accordingly, readers are advised not to place undue reliance on forward-looking statements or
information. Some of the disclosure in this press release is based on information publicly
disclosed by the owners or operators of these properties and information/data available in the
public domain as at the date hereof, and none of this information has been independently verified
by Metalla.
Readers are cautioned that forward-looking statements are not guarantees of future performance.
All of the forward-looking statements made in this press release are qualified by these cautionary
statements.
SOURCE
Metalla Royalty and Streaming Ltd.
View original content to download multimedia:
http://www.newswire.ca/en/releases/archive/August2019/16/c1002.html
%SEDAR: 00005157E
For further information:
CONTACT INFORMATION: METALLA ROYALTY & STREAMING LTD.,
Brett Heath, President & CEO, Phone: 604-696-0741, Email: [email protected]; Kristina
Pillon, Investor Relations, Phone: 604-908-1695, Email: [email protected], Website:
www.metallaroyalty.com
CO: Metalla Royalty and Streaming Ltd.
CNW 08:00e 16-AUG-19