Metalla Reports Financial Results For the First Quarter of Fiscal 2019
Metalla Reports Financial Results For
the First Quarter of Fiscal 2019
TSXV: MTA
OTCQX: MTAFF
Frankfurt: X9CP
VANCOUVER, Oct. 25, 2018 /CNW/ - Metalla Royalty & Streaming
Ltd. ("Metalla" or the "Company") (TSXV: MTA) (OTCQX: MTAFF)
(FRANKFURT: X9CP) announces its financial results for the first
quarter of fiscal 2019. For complete details of the condensed interim
consolidated financial statements and accompanying management's
discussion and analysis for the three months ended August 31, 2018,
please see the Company's filings on SEDAR or the Company's
website (http://www.metallaroyalty.com/).
"Metalla had a strong first quarter of fiscal 2019 highlighted by record
revenue from our streaming interests" commented Brett Heath,
President and CEO of Metalla "We were also pleased to complete the
acquisition of the Garrison royalty which complements our portfolio of
high-quality assets with strong counterparties."
FIRST QUARTER FINANCIAL HIGHLIGHTS
During the three months ended August 31, 2018, the Company:
shipped and provisionally invoiced 221,433 attributable silver
ounces ("oz.") at an average realized price of US$15.48 (2017 -
US$16.78) and average cash cost of US$6.52 (2017 - US$7.09)
per oz. (see non-IFRS Financial Measures);
recognized revenue from stream interest of $3,900,301 (2017 -
$672,078), income from operations of $244,313 (2017 - loss of
$954,719), net loss of $312,031 (2017 - $1,013,686), and
adjusted EBITDA of $1,731,581 (2017 - $79,270) (see non-IFRS
Financial Measures);
recorded cash flow from operating activities, before net change
in non-cash working capital items, of $1,322,771 (2017 -
negative $38,794), resulting in working capital of $5,990,000
(May 31, 2018 - $4,661,792);
had 41,415 attributable silver oz. remaining and to be sold in
subsequent periods;
generated operating cash margin of US$8.96 (2017- US$9.69)
per attributable silver oz. from the Endeavor silver stream and
New Luika Gold Mine ("NLGM") stream held by Silverback Ltd.
("Silverback") (see non-IFRS Financial Measures);
completed the acquisition, through a plan of arrangement, of
ValGold Resources Ltd. ("ValGold") for a 2.0% NSR royalty on
certain claims of Osisko Mining Inc.'s Garrison Project; and
increased the monthly dividend rate effective June 2018 to
$0.0015 per share to the shareholders of the Company (please
see news release dated March 19, 2018 for further information).
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
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSXV) accepts
responsibility for the adequacy or accuracy of this release.
No securities regulatory authority has either approved or disapproved
of the contents of this news release. The securities being offered have
not been, and will not be, registered under the United States
Securities Act of 1933, as amended (the ''U.S. Securities Act''), or any
state securities laws, and may not be offered or sold in the United
States, or to, or for the account or benefit of, a "U.S. person" (as
defined in Regulation S of the U.S. Securities Act) unless pursuant to
an exemption therefrom. This press release is for information
purposes only and does not constitute an offer to sell or a solicitation
of an offer to buy any securities of the Company in any jurisdiction.
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 information in this press release includes, but is not
limited to, statements with respect to future events or future
performance of Metalla, disclosure regarding the precious metal
purchase agreements and royalty payments to be paid to Metalla by
property owners or operators of mining projects pursuant to net
smelter returns and other royalty agreements of Metalla, continued
ramp-up at the Endeavor Mine, management's expectations regarding
Metalla's growth, results of operations, estimated future revenues,
carrying value of assets, future dividends, and requirements for
additional capital, production estimates, production costs and revenue,
future demand for and prices of commodities, expected mining
sequences, business prospects and opportunities. Such forward-
looking statements reflect management's current beliefs and are
based on information currently available to management.
Forward-looking statements involve known and unknown risks,
uncertainties and other factors, which may cause the actual results,
performance or achievements of the Company to be materially
different from any future results, performance, or achievements
expressed or implied by the forward-looking statements. The forward-
looking statements contained in this press release are based on
reasonable assumptions that have been made by management as at
the date of such information and is subject to unknown risks,
uncertainties and other factors that may cause the actual actions,
events or results to be materially different from those expressed or
implied by such forward-looking information, including, without
limitation: the impact of general business and economic conditions;
the ongoing operation of the properties in which the Company holds a
royalty, stream, or other production-base interest by the owners or
operators of such properties in a manner consistent with past practice;
absence of control over mining operations; the accuracy of public
statements and disclosures made by the owners or operators of such
underlying properties; no material adverse change in the market price
of the commodities that underlie the asset portfolio; and other risks
and uncertainties disclosed under the heading "Risk Factors" in the
Management's Discussion and Analysis of the Company dated
January 23, 2018 filed with the Canadian securities regulatory
authorities on the SEDAR website at www.sedar.com.
Although Metalla has attempted to identify important factors that could
cause actual actions, events or results to differ materially from those
contained in forward-looking information, there may be other factors
that cause actions, events or results not to be as anticipated,
estimated or intended. There can be no assurance that such
information will prove to be accurate, as actual results and future
events could differ materially from those anticipated in such
information. Investors are cautioned that forward-looking statements
are not guarantees of future performance. The Company cannot
assure investors that actual results will be consistent with these
forward-looking statements. Accordingly, investors should not 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.
Non-IFRS Financial Measures
The items marked with a "(1)" are alternative performance measures
and readers should refer to non-international financial reporting
standards ("IFRS") financial measures in the Company's
Management's Discussion and Analysis for the three months ended
August 31, 2018 as filed on SEDAR and as available on the
Company's website for further details. Metalla has included certain
performance measures in this press release that do not have any
standardized meaning prescribed by IFRS including average cash
cost per ounce of attributable silver, average realized price per ounce
of attributable silver, and cash margin. Average cost per ounce of
attributable silver is calculated by dividing the cash cost of sales, plus
applicable selling charges, by the attributable ounces sold. In the
precious metals mining industry, this is a common performance
measure but does not have any standardized meaning. The Company
believes that, in addition to conventional measures prepared in
accordance with IFRS, certain investors use this information to
evaluate the Company's performance and ability to generate cash
flow. Cash margin is calculated by subtracting the average cash cost
per ounce of attributable silver from the average realized price per
ounce of attributable silver. The Company presents cash margin as it
believes that certain investors use this information to evaluate the
Company's performance in comparison to other companies in the
precious metals mining industry who present results on a similar
basis. The presentation of these non-IFRS measures is intended to
provide additional information and should not be considered in
isolation or as a substitute for measures of performance prepared in
accordance with IFRS. Other companies may calculate these non-
IFRS measures differently.
SOURCE Metalla Royalty and Streaming Ltd.
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%SEDAR: 00005157E
For further information: Contact Information: Metalla Royalty &
Streaming Ltd., Brett Heath, President & CEO, Phone: 604-696-0741,
Email: [email protected], Website: www.metallaroyalty.com
CO: Metalla Royalty and Streaming Ltd.
CNW 20:05e 25-OCT-18