Spanish Mountain Gold Announces Sale of a 1.5% Royalty to Wheaton Precious Metals for US$55 Million
Spanish Mountain Gold Announces Sale of a 1.5% Royalty to Wheaton
Precious Metals for US$55 Million
VANCOUVER, British Columbia--(BUSINESS WIRE)--April 21, 2026--Spanish Mountain
Gold Ltd. (the “Company” or “Spanish Mountain Gold”) (TSX-V: SPA) (FSE: S3Y)
(OTCQB: SPAUF) is pleased to announce that it has entered into a royalty agreement (the
“Royalty Agreement”) with Wheaton Precious Metals Corp. (“Wheaton”), pursuant to which
Wheaton will acquire a 1.5% net smelter returns royalty (“NSR”) on gold and silver production
from the Spanish Mountain Gold Project (the “Project”) for aggregate cash proceeds of US$55
million, to be paid in three installments (the “Transaction”).
Spanish Mountain Gold, President, Chief Executive Officer & Director, Peter Mah, commented:
“We are thrilled to partner with Wheaton. Entering into the definitive financing agreement
propels the Spanish Mountain Gold project feasibility study forward, which the Company aims
to complete in 18 months, enabling a build decision in 2028. This financing secures the
Company’s vision and strategy as an emerging precious metals developer in the Tier 1 Cariboo
District, BC Canada.”
Wheaton Precious Metals, President & Chief Executive Officer, Haytham Hodaly, commented:
“Wheaton is pleased to support the advancement of Spanish Mountain, a long-life gold project in
British Columbia, a jurisdiction we know well. The project’s scale and long-term potential align
with our disciplined approach to growth in established mining jurisdictions.”
Key Transaction Terms
The first installment of US$22.5 million is expected to be received by Spanish Mountain Gold in
the next few weeks. The second installment of US$12.5 million is payable to Spanish Mountain
Gold following the completion of 60,000 metres of drilling at the Project. The third installment
of US$20 million is payable to Spanish Mountain Gold on the receipt of approvals under the
Environmental Assessment Act (British Columbia) for the construction, development, and
operation of a mine at the Project.
The Company may buy-back one third of the NSR if the Company undergoes a change of control
prior to the earlier of December 31, 2030 and achievement of a completion test based on actual
throughput at the Mine compared to the target. Further, if the Company has not fully achieved
the completion test on or before April 1, 2030 (the “Outside Date”), the percentage of the NSR
will increase up to 0.15%, with the adjustment depending on actual throughput at the Mine
compared to the target, unless, at the Company’s election, in lieu of such adjustment, the
Company pays Wheaton US$6 million. If the completion test is not fully achieved by the
anniversary of the Outside Date or subsequent anniversaries, the same NSR adjustment, or
payment in lieu, will apply until the completion test is achieved.
National Bank Financial has acted as a financial advisor to the Company with respect to the
Transaction.
About Spanish Mountain Gold Ltd.
Spanish Mountain Gold Ltd. is focused on advancing its 100%-owned Spanish Mountain Gold
Project towards its goal to build the next gold mine in the Cariboo Gold Corridor, British
Columbia. On August 18, 2025, the Company filed an NI 43-101 Technical Report on SEDAR+
that sets out the Project’s de-risked and optimized Preliminary Economic Assessment (PEA),
with an updated Mineral Resource Estimate (MRE). We will continue to advance the Project to
position the Company to make a construction decision in 2028. We are striving to be a leader in
community and Indigenous relations by leveraging technology and innovation to build the
'greenest' gold mine in Canada. The Relentless Pursuit for Better Gold means seeking new ways
to achieve optimal financial outcomes that are safer, minimize environmental impact and create
meaningful sustainability for communities. Details on the Company are available on
www.sedarplus.ca and on the Company's website: www.spanishmountaingold.com.
On Behalf of the Board,
“Peter Mah”
President, Chief Executive Officer and Director
Spanish Mountain Gold Ltd.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for the
adequacy or accuracy of this release.
FORWARD-LOOKING INFORMATION:
Certain of the statements and information in this press release constitute "forward-looking
information". Any statements or information that express or involve discussions with respect to
predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or
performance (often, but not always, using words or phrases such as "expects", "anticipates",
"believes", "plans", "estimates", "intends", "targets", "goals", "forecasts", "objectives",
"potential" or variations thereof or stating that certain actions, events or results "may", "could",
"would", "might" or "will" be taken, occur or be achieved, or the negative of any of these terms
and similar expressions) are not statements of historical fact and may be considered forward-
looking information. The Company's forward-looking information is based on the assumptions,
beliefs, expectations and opinions of management as of the date of this press release, which
include the Company’s ability to satisfy the instalment conditions to the Transaction; the
Company’s ability to complete its planned exploration programs; the absence of adverse
conditions at mineral properties; any unforeseen operational delays; any material delays in
obtaining necessary permits; the price of gold remaining at levels that render mineral properties
economic; the Company’s ability to continue raising necessary capital to finance operations;
and the ability to realize on the mineral resource and reserve estimates. Other than as required
by applicable securities laws, the Company does not assume any obligation to update forward-
looking information if circumstances or management's assumptions, beliefs, expectations or
opinions should change, or changes in any other events affecting such statements or information.
For the reasons set forth above, investors should not place undue reliance on forward-looking
information.
Contacts
For more information, contact:
Peter Mah
(604) 601-3651