Vox Royalty to Acquire Producing Royalty over South America’S Largest Diamond MINE1
VOX ROYALTY TO ACQUIRE
PRODUCING ROYALTY OVER
SOUTH AMERICA’S LARGEST
DIAMOND MINE1
PRESS RELEASE
NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES
TORONTO, ONTARIO – August 24, 2020 – Vox Royalty Corp. (TSXV: VOX) (“Vox” or the “Company”) is pleased to announce
that it has entered into a binding agreement with an Ottawa-based corporation pursuant to which Vox will acquire a 0.5% gross sales
royalty interest on Lipari Mineração Ltda.’s (“Minera Lipari”) producing Brauna Diamond Mine (“Brauna”). Total consideration for the
transaction is C$330,000, which is comprised of C$165,000 in cash and C$165,000 in Vox shares (the “Transaction”). The seller will
be issued 55,158 Vox shares for the C$165,000 stock portion of the consideration. The Trans action remains conditional upon
customary approval by the TSX Venture Exchange.
Brauna is South America’s largest operating diamond mine and is in the state of Bahia, Brazil. According to Minera Lipari disclosure,
Brauna is an open-pit mining operation using an owner-operated fleet which feeds kimberlite ore to a 2,000 tonne per day processing
plant. Open-pit mining is currently focused on the Brauna 3 ki mberlite deposit, one of 21 kimber lite occurrences being explored and
developed by Minera Lipari. For more information on Brauna, please visit http://lipari.com.br/.
Transaction Highlights
Exposure to South America’s largest operating diamond mine.
Immediate royalty revenue attributable to Vox.
Exploration upside from an addi tional 21 kimberlite occurrences being explored by Minera Lipari.
Simon Cooper, Vice President of Corporate Development stated: “Vox is excited to add another revenue-generating royalty to our
portfolio, particularly over South America’s largest operating diamond mine. This deal br ings immediate cash flow to the Compan y
and represents our 6th royalty transaction within 3 months of having listed on the TSX Venture Exchange.”
Figure 1: Processing and open-pit mining facilities at the Brauna Diamond Mine. (Source: http://lipari.com.br/).
1 According to disclosure from Lipari Mineração Ltda on their website (http://lipari.com.br/?lang=en#about, August 2020).
This royalty is unrelated to the 1.0% gross revenue royalty acqui red by Osisko Gold Royalties Ltd (TSX: OR) over the same Braun a
diamond mine in 2017 (Source: https://osiskogr.com/en/redevance/brauna-diamonds/).
Transaction Closing
Closing of the Transaction is expected to occur before the end of August 2020. Cl osing of the Transaction will occur following
satisfaction of customary conditions including the approval of the TSX Venture Exchange as well as execution of standard transaction
documentation. Vox will use current cash on hand to fund the payment of the cash consideration for the Transaction.
Qualified Person
Timothy J. Strong, MIMMM, of Kangari Consulting Limited and a “Qualified Person” under National Instrument 43-101 – Standards of
Disclosure for Mineral Projects, has reviewed and approved the scientific and technical disclosure contained in this press release.
About Vox
Vox is a growth and precious metals focused mining royalty and streaming company. Vox holds a portfolio of 42 royalties and
streaming assets and 1 royalty option. Vox’s interests span eight jurisdictions, including Australia, Canada, Peru, Brazil, Mex ico, the
United States, Madagascar and Nigeria. Vox has been the fastest gr owing publicly listed royalty & streaming acquisition company
since January 2019, announcing 17 separate royalty transactions. Further information on Vox can be found at www.voxroyalty.com.
For further information contact:
Simon Cooper
Vox Royalty Corp., Vice President, Corporate Development
Deborah Honig
Adelaide Capital, Investor Relations
Technical and Third-Party Information
Except where otherwise stated, the disclos ure in this press release relating to t he Brauna Diamond Mine is based on information
publicly disclosed by Minera Lipari and based on the information and data available in the public domain as at the date hereof. None
of such information or data has been independently verified by Vox. Specifically, as a royalty investor, Vox has limited, if any, access
to the Brauna Diamond Mine. Although Vox does not have any knowledge that such information may not be accurate, there can be
no assurance that such information from Minera Lipari is complete or accurate.
Cautionary Note Regarding Forward Looking Information
This news release contains certain forward- looking statements. Any statements that expr ess 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” or “does not expect”, “is expected”, “anticipates” or “does not anticipate” “plans”, “estimates”
or “intends” or stating that certain actions, events or results “ may”, “could”, “would”, “might” or “will” be taken, occur or be achieved)
are not statements of historical fact and may be “forward-looking statements”. Forward-looking statements are subject to a variety of
risks and uncertainties which could cause actual events or results to materially differ from those reflected in the forward-loo king
statements.
The forward-looking statements and information in this press release include, but are not limited to, information relating to a potential
royalty acquisition, the ability of Vox to continue to complete acquisitions and the ability of the Vox management team to cont inue to
focus on acquisitions. Such statements and information reflect the cu rrent view of Vox. By their nature, forward-looking statem ents
involve known and unknown risks, uncertainties and other factors which may cause Vox’s actual results, performance or achievements
or other future events, to be materially different from any futu re results, performance or achievements expressed or implied by such
forward-looking statements. Such factors include, among others, the following risks:
there is no assurance that the Brauna Royalty acquisition will be completed;
there is no assurance that the required approvals for the Br auna Royalty acquisition, including the approval of the TSX
Venture Exchange will be obtained;
there is no assurance that Vox will be able to use current cash on hand to fund the acquisition of the Brauna Royalty;
there is no assurance that production from the Brauna will continue on an ongoing basis;
there is no assurance that Vox will be able to continue to successfully negotiate the purchase of royalties; and
new laws or regulations could adversely affect the Company’s business and results of operations; and
the stock markets have experienced volatility that often has been unrelated to the perform ance of companies, and these
fluctuations may adversely affect the price of the Company’s securities, regardless of its operating performance.
Should one or more of these risks, uncertainties or other factor s materialize, or should assu mptions underlying the forward-loo king
information or statement prove incorrect, actual results may vary materially from those de scribed herein as intended, planned,
anticipated, believed, estimated or expect ed. Vox cautions that the foregoing list of material factors is not exhaustive. When relying
on the Company’s forward-looking statements and information to make decisions, investors and others should carefully consider the
foregoing factors and other uncertainties and potential events.
Vox has assumed that the material factors referred to in the previous paragraph will not cause such forward-looking statements and
information to differ materially from actual results or events. However, the list of these factors is not exhaustive and is sub ject to
change and there can be no assurance that such assumptions will re flect the actual outcome of such items or factors. The forwar d-
looking information contained in this press release represents the expectations of Vox as of the date of this press release and ,
accordingly, is subject to change after such date. Readers s hould not place undue importance on forward looking information and
should not rely upon this information as of any other date. While Vox may elect to do so, Vox does not undertake to update this
information at any particular time except as required in accordance with applicable laws.
Not for distribution to United States newswire services or for dissemination in the United States. This press release does not constitute
an offer to sell or a solicitation of an offer to buy any of t he securities in the United Stat es. The securities 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 within the United States or to U.S. Persons unless registered under the U.S. Securities Act and applicable
state securities laws or an exemption from such registration is available.
Neither the TSX Venture Exchange nor its Regul ation Services Provider (as that term is defined in policies of the TSX Venture
Exchange) accepts responsibility for the adequacy or accuracy of this release.