Metalla Provides Corporate Update
Metalla Provides Corporate Update
TSXV: MTA
NYSE AMERICAN: MTA
VANCOUVER
,
March 24, 2020
/CNW/ -
Metalla Royalty & Streaming Ltd.
("
Metalla
", "
we
" or the
"
Company
") (TSXV: MTA) (NYSE American: MTA) is providing an update with respect to the
unpredictable impacts and evolving news related to the COVID-19 pandemic, and on the Company's
cash dividend program.
ARGENTINA
ROYALTIES
As disclosed by Pan American Silver Corp. ("
Pan American
") by news release on
March 23, 2020
,
operations at Pan American's COSE and Joaquin mines in
Argentina
have been temporarily
suspended in order to comply with a mandatory national quarantine. The government
of Argentina imposed the quarantine in response to the COVID-19 pandemic and stated that it will
be in effect until March 31, 2020.
The impact of these suspensions on mining production levels and resulting cash flow to Metalla is
difficult to predict. COSE and Joaquin were both expected to be ramping up production in the first
half of 2020. While we expect near-term cash flow on Metalla's royalties on these assets to be
lighter than previously anticipated, we believe the Company's balance sheet is more than adequate
to sustain any extended suspension at the COSE and Joaquin mines.
While Metalla has not received any notification of closures at any of the other mine sites on which
we hold royalties, we believe it is reasonable to expect that actions taken to reduce the spread of
the COVID-19 pandemic will affect global mining production levels during 2020.
Metalla will continue to monitor the situation and update the market if additional information is
available.
DIVIDEND SCHEDULE
Declared dividends will continue for April and
May 2020
(as set out in the schedule in the Company's
news release dated
February 20, 2020
). Going forward, the board will continue to monitor the
impact of the COVID-19 pandemic and assess whether or not any future dividend declarations will
be made during this period of disruption to global mining production. Declarations of dividends will
continue to be based on our dividend policy of paying out a target rate of 50% of the operating cash
flow.
Brett Heath
, President and CEO of Metalla commented, "The dividend policy is a central part of
our philosophy. As cash flow increases, so will the dividend, if cash flow decreases temporarily, it
will also have the same effect. We believe Metalla has one of the most attractive development
pipelines with some of the strongest counterparties that will continue to advance their operations
even through volatile markets. Although we can't predict the long-term impact of the COVID-19
situation, we believe Metalla is best positioned to add more accretive transactions in the future to
further diversify and grow our Company."
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 it's Regulation Services Provider (as that term is defined in the policies of the
Exchange) accept responsibility for the adequacy or accuracy of this release.
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, the expected timeframe
for a mandatory quarantine in
Argentina
, the potential impact on cash flow, the disruption of mining
or development activities at other properties on which the Company holds royalties or streams, the
potential for Metalla to become one of the leading precious metal royalty and streaming
companies. 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 potential impact of epidemics, pandemics or other public health crises, including the
current outbreak of the novel coronavirus known as COVID-19 on Metalla's business, operations
and financial condition, the impact of general business and economic conditions and other related
risks and uncertainties including other risks and uncertainties disclosed under the heading "Risk
Factors" in the Company's most recent annual information form, annual report on Form 40-F and
other documents filed with or submitted to the Canadian securities regulatory authorities on the
SEDAR website at
www.sedar.com
and the U.S. Securities and Exchange Commission on the
EDGAR website at
www.sec.gov
. 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.
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.
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%SEDAR: 00005157E
For further 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 17:00e 24-MAR-20