(All dollar amounts are in United States dollars unless otherwise
indicated)
TSXV: MTA
NYSE American: MTA
VANCOUVER, BC, Nov. 10,
2022 /PRNewswire/ - Metalla Royalty &
Streaming Ltd. ("Metalla" or the "Company")
(TSXV: MTA) (NYSE American: MTA) announces its operating and
financial results for the three and nine months ended September 30, 2022. For complete details of the
condensed interim consolidated financial statements and
accompanying management's discussion and analysis for the three and
nine months ended September 30, 2022,
please see the Company's filings on SEDAR (www.sedar.com) or EDGAR
(www.sec.gov). Shareholders are encouraged to visit the Company's
website at www.metallaroyalty.com.
Brett Heath, President, and
CEO of Metalla, commented, "In the third quarter of 2022, we
received our first royalty payments from Agnico Eagle on our
El Realito royalty which is part
of the La India mine in Mexico. We
also recently added a new royalty on the Lac Pelletier project that is adjacent to
our royalty on the Wasamac project, expanding our exposure to
further potential production growth. As we move into 2023, we look
forward to building our portfolio, increasing near-term
growth, and long-term optionality."
FINANCIAL HIGHLIGHTS
During the nine months ended September
30, 2022, and the subsequent period up to the date of this
news release, the Company:
- Noted the following key milestones announced by operators and
acquisitions of certain properties in its portfolio of royalties
and streams (please see the 'Asset Updates' section of this press
release for the details of these announcements):
-
- Acquired a 1.0% NSR royalty on the Lac Pelletier project owned by Maritime
Resources Corp. from an arm's length seller for total consideration
of C$0.3 million in cash. The
Lac Pelletier project is located
in Rouyn Noranda, Quebec and is
within ten kilometers of the Yamana Gold Inc. ("Yamana")
Wasamac project where Metalla holds a 1.5% NSR royalty;
- Received the first payment from Agnico Eagle Mines Limited
("Agnico") on the El
Realito royalty;
- G Mining Ventures Corp. ("G Mining") announced a
$481 million financing package to
fully fund the construction of the Tocantinzinho ("TZ") Gold
Project (0.75% Gross Value Return ("GVR") royalty),
targeting production for the second half of 2024;
- Yamana announced its second increase in the projected annual
output from its Wasamac Mine (1.5% NSR royalty) since acquiring the
project in 2021. Originally slated to produce 169 Koz annually when
acquired by Yamana, the projected output has subsequently been
raised to 250 Koz annually until at least 2030 and over 200 Koz
annually over the initial 15 years. Bulk sample permit approvals
are expected in early 2023 and ramp development could begin in
spring 2023;
- Moneta Gold Inc. ("Moneta") announced a new discovery at
the Garrison project (2.0% NSR royalty), where drilling to the west
of the Garrcon Starter pit hit 50.09 g/t gold over 5.05 meters,
highlighting the continued potential to significantly expand the
Garrcon resource base and support an underground operation at the
mine. Moneta expects to release an updated Preliminary Economic
Assessment in the second half of 2022;
- Yamana recently reported that the Canadian Malartic partnership
had identified a porphyry-hosted gold mineralization that could
potentially be mined via an open pit from the Camflo property (1.0%
NSR royalty); and
- Amended an existing 1.0% NSR royalty on Monarch Mining
Corporation's ("Monarch") Beaufor Mine. In consideration for
$1.0 million paid in cash to Monarch,
Monarch agreed to waive a clause stipulating that payments under
the NSR royalty were only payable after 100 Koz of gold have been
produced by Monarch following its acquisition of Beaufor Mine.
- For the three months ended September 30,
2022, received or accrued payments on 714 attributable Gold
Equivalent Ounces ("GEOs") at an average realized price of
$1,714 and an average cash cost of
$7 per attributable GEO (see non-IFRS
Financial Measures). For the nine months ended September 30, 2022, received or accrued payments
on 1,998 attributable GEOs at an average realized price of
$1,794 and an average cash cost of
$7 per attributable GEO (see non-IFRS
Financial Measures);
- For the three months ended September 30,
2022, recognized revenue from royalty and stream interests,
including fixed royalty payments, of $0.7
million, net loss of $2.5
million, and adjusted EBITDA of less than $0.1 million (see non-IFRS Financial Measures).
For the nine months ended September 30,
2022, recognized revenue from royalty and stream interests,
including fixed royalty payments, of $1.8
million, net loss of $6.1
million, and adjusted EBITDA of negative $0.2 million (see non-IFRS Financial
Measures);
- For the three months ended September 30,
2022, generated operating cash margin of $1,707 per attributable GEO, and for the nine
months ended September 30, 2022,
generated operating cash margin of $1,787 per attributable GEO, from the Wharf,
El Realito, Joaquin, and COSE
royalties, the New Luika Gold Mine ("NLGM") stream held by
Silverback Ltd. ("Silverback"), the Higginsville derivative
royalty asset, and other royalty interests (see non-IFRS Financial
Measures);
- For the three months ended September 30,
2022, recognized payments due or received (not included in
revenue) from the Higginsville derivative royalty asset of
$0.6 million, and for the nine months
ended September 30, 2022, recognized
payments due or received from the Higginsville derivative royalty
asset of $1.8 million (see non-IFRS
Financial Measures);
- On May 12, 2022, the Company
filed a new final short form base shelf prospectus and a
corresponding registration statement on Form F-10 that replaced the
base shelf prospectus and Form F-10 registration statement
previously filed by the Company in 2020, and to enhance the
Company's financial flexibility. In connection with this
transition, the Company terminated its At-The-Market ("ATM")
program announced on May 14, 2021
(the "2021 ATM Program"). From inception on May 14, 2021, to the termination on May 12, 2022, the Company distributed 1,990,778
common shares under the 2021 ATM program at an average price of
$8.18 per share for gross proceeds of
$16.3 million; and
- On May 27, 2022, the Company
announced that it had entered into a new equity distribution
agreement with a syndicate of agents to establish an ATM equity
program (the "2022 ATM Program") under which the Company may
distribute up to $50.0 million (or
the equivalent in Canadian Dollars) in common shares of the
Company. From inception to the date of this press release, the
Company distributed 98,871 common shares under the 2022 ATM Program
at an average price of $4.76 per
share for gross proceeds of $0.5
million, of which no common shares were sold during the
three months ended September 30,
2022.
ASSET UPDATES
El Realito
On October 26, 2022, Agnico
reported that pre-stripping of the El
Realito pit was completed in the third quarter of 2022.
Mining activities transitioned from the Main Zone pit to the La
India and El Realito pits.
Production from the La India complex during the third quarter
totalled 16,285 ounces at 0.72 g/t gold. The gold production for
the quarter was affected by the lower than forecasted quantity of
ore tons placed on the heap leach pad, lower productivity and heavy
rains affecting the stacking system. On August 11, 2022, Agnico reported further infill
drilling at the La Chipriona project which is currently open along
strike with the El Realito royalty
boundary. Drilling is ongoing at several other early stage
exploration targets including La Rocossa, Los Pinos, Ramona, and Tres de Mayo.
During the third quarter of 2022, the Company received its first
payments from Agnico on the El
Realito royalty. The payments included ore that was
processed from the El Realito pit
from January to September of 2022 during the pre-stripping
activities. The total amount received was $0.3 million, representing 143 GEOs.
Metalla holds a 2.0% NSR royalty on the El Realito deposit which is subject to a 1.0%
buyback right for $4.0 million.
Wharf Royalty
On August 3, 2022, Coeur Mining
Inc. ("Coeur") reported second quarter production of 20.4
Koz gold at 0.47 g/t, in line with the 70-80 Koz full year guidance
for Wharf disclosed by Wharf on February 16,
2022. During the quarter, one reverse circulation
("RC") drill rig had completed a resource conversion program
at the Portland-Ridge-Boston claim group and at the Flossie
area.
Metalla holds a 1.0% GVR royalty on the Wharf mine.
New Luika Silver Stream
On October 26, 2022, Shanta Gold
Limited ("Shanta") reported that it produced 19.5 Koz of
gold at its NLGM in Tanzania in
the third quarter of 2022, in line with full year production
guidance of 68-76 Koz gold. On July 19,
2021, Shanta announced a new mine plan for NLGM, where
average annual production is expected to be 73.6 Koz gold with the
potential to extend mine life beyond 2026 through conversion of
significant known resources and the expanded 2,450 tpd mill
throughput. Shanta expects total gold production from NLGM for the
five-year plan to total 368 Koz from both open pit and underground
mine sources from the mining license.
Metalla holds a 15% interest in Silverback, whose sole business
is receipt and distribution of a 100% silver stream on NLGM at an
ongoing cost of 10% of the spot silver price.
Joaquin and COSE
On August 10, 2022, Pan American
Silver Corporation ("Pan American"), reported its estimated
mineral Reserves and Resources at Joaquin as at June 30, 2022. The Reserves and Resources at
Joaquin were reduced significantly compared to previously reported
amounts, the Company considered this reduction a potential
indicator of impairment and conducted an impairment analysis to
estimate the recoverable amount. As a result of the analysis the
Company recorded an impairment charge of $1.6 million on the Joaquin royalty as at
September 30, 2022. The Company
believes there is significant value that remains at the Joaquin
project based on historical NI 43-101 compliant Resources that were
excluded from the Pan American mine plan. This has the potential to
reverse the impairment in the future subject to metal prices
and further exploration success.
On May 11, 2022, Pan American
reported in its first quarter results that Pan American expected to
complete mining operations at COSE in the second quarter of
2022. At the end of the second quarter of 2022 the Company
had net book value of $0.2 million
for the COSE royalty, and considered the decision to complete
mining operations as an indicator of impairment and conducted an
impairment analysis to estimate the recoverable amount. The
Company estimated the recoverable amount using a discounted cash
flow model and concluded that an impairment was not required.
Given the completion of mining activities, the Company has
reclassified the COSE royalty from a producing asset to a
development asset until further activities resume on COSE.
Metalla holds a 2.0% NSR royalty on Joaquin and holds a 1.5% NSR
royalty on COSE.
Côté-Gosselin
On November 8, 2022, IAMGOLD
Corporation ("IAMGOLD") reported that construction had
reached 64.2% completion at the Côté Gold Project. It also reported
completion in the third quarter of 2022 of approximately 15,000
meters of the 16,000 meter drill program planned in 2022 to further
delineate and expand the Gosselin mineral resources and test
selected targets along the deposit corridor. Results received thus
far had confirmed expected grades within the modelled resource, and
in some cases, the extension of the mineralization zone outside the
resource boundaries of the mineralization model. Additional
technical studies are planned to complete metallurgical test work
and mining and infrastructure studies to review alternatives to
optimize the inclusion of Gosselin into future Côté life-of-mine
plans.
In addition, on August 3, 2022,
IAMGOLD completed a project update to the Côté life-of-mine plans
where the update proposes an 18-year mine life with initial
production expected in early 2024. Average annual production during
the first six years is expected to be 495 Koz gold and 365 Koz over
the life-of-mine.
Figure 1: Table showing updating Gold Production Profile for
the Côté Gold Project. (Source: IAMGOLD Corporation. Announces
Results of Côté Gold Project Update, issued August 3, 2022)
Metalla holds a 1.35% NSR royalty that covers less than 10% of
the Côté Reserves and Resources estimate and covers all of the
Gosselin Resource estimate.
Castle Mountain
Castle Mountain is slated to become one of Equinox Gold's
("Equinox") largest assets. Metalla's 5.0% NSR royalty
covers the South Domes portion of the deposit which will be part of
the Phase 2 expansion slated to begin in 2026.
On November 2, 2022, Equinox
reported production in the third quarter of 5,093 ounces of gold
and exploration expenditure in the second quarter of $0.1 million at the Castle Mountain property.
This was in addition to the exploration announced on May 3, 2022, where drilling in the first quarter
included 7,948 meters of RC drilling across the South dump area to
assess the continuity and distribution of grade. Equinox also
completed 1,448 meters of RC drilling in the area between the JSLA
and South Domes pits.
Equinox also announced that in March
2022 it had submitted applications to amend existing permits
to accommodate the Phase 2 expansion. The San Bernardino County and
the state level, California Department of Conservation, division of
Mine Reclamation, have determined the Mine and Reclamation Plan for
Phase 2 were complete and there were no further comments. Equinox
expects the U.S. Bureau of Land management application reviews to
run through to the end of 2022. Both agencies will determine the
appropriate level of state and federal environmental review
required with the resulting review process anticipated to begin by
early 2023.
Metalla holds a 5.0% NSR royalty on the South Domes area of the
Castle Mountain mine.
Santa
Gertrudis
On August 11, 2022, Agnico
provided an update on the Santa
Gertrudis project near Hermosillo,
Mexico where Agnico expects to spend $13.9 million for 43,150 meters of drilling in
2022. Significant shallow oxide infill drilling occurred at the
Cristina, Zona Central, Corridor Corral, Escondida and Greta
deposits to advance scenarios to initiate mining in the oxide
mineralization. Intercepts in the Cristina zone include 1.1 g/t
gold over 54.8 meters and 0.8 g/t gold over 34 meters. At another
oxide deposit called Santa Teresa,
highlights from expansion drilling include 1.4 g/t gold over
9.6 m and 1.2 g/t gold over 9.7
meters. At the high-grade Amelia deposit, exploration on the
eastern, western, and deep fringes of the deposit continued with
highlight results of 5.3 g/t gold over 6.1 meters and 4.3 g/t gold
over 6.8 meters. Elsewhere, exploration continued to investigate
for high-grade feeder systems below several shallow deposits
including Toro, Centauro and Bertha with a highlight of 10 g/t gold
over 6.1 meters at 72 meters depth in the Toro deposit, 4.1 g/t
gold over 10.2 meters at Centauro and 6.1 g/t gold over 4.2 meters
at Bertha.
Metalla holds a 2% NSR royalty on the Santa Gertrudis project.
Garrison
On September 7, 2022, Moneta
announced positive results for the Preliminary Economic Assessment
for the Tower Gold Project envisioning a 19,200 tpd combined open
pit and underground mining operation with strong economics. Average
annual gold production over the first eleven years is expected to
be 368 Koz gold with the majority of the ounces in the first five
to six years sourced from the Garrison Open pit.
On May 11, 2022, Moneta released
an updated resource estimate for the Tower Gold project, including
4.27 Moz gold in the Indicated category and 7.5 Moz gold in the
Inferred category. The Garrison deposit forms part of the Tower
project and is comprised of three zones, Garrcon, Jonpol, and 903.
At Garrcon, the open pit Indicated Resource is 841 Koz at 1.02 g/t
gold with an Inferred Resource of 15Koz at 0.67 g/t gold, the
underground portion has an Indicated Resource of 87 Koz at 5.08 g/t
gold with an Inferred Resource of 120 Koz at 4.98 g/t gold. The
Jonpol zone has an Indicated Resource of 297 Koz at 1.4 g/t gold
and an Inferred Resource of 114 Koz at 0.99 g/t gold. The 903 zone
has an Indicated Resource of 610 Koz at 1.01 g/t gold and an
Inferred Resource of 600 Koz at 0.74 g/t gold. The Garrison starter
pit now has an Indicated Resource of 1.75 Moz at 1.07 g/t gold.
Figure 2: Table showing production profile of the Tower Gold
Project over the Life of Mine. (Source: Moneta Gold Inc. press
release on PEA for Tower Gold, issued September 7, 2022)
Metalla holds a 2.0% NSR royalty on the Garrison project.
Wasamac
On July 7, 2022, Yamana announced
the approval of the Wasamac bulk sample program, providing for
earlier access to the deposit and to increase the level of
confidence in the future mining of the project. Permit approvals
are expected in early 2023 with ramp development potentially
beginning in Spring 2023. A reassessment of the Wasamac project
highlighted an improved gold production profile compared to the
feasibility study with new projections of ramp-up to 200 Koz in
2027 and up to 250 Koz in 2028. Ongoing mine design and sequence
optimizations could position Wasamac with the option for future
incremental expansion of the mill to 9,000 tpd from 7,000 tpd in
year 3 of operations which will extend the gold production profile
of 250 Koz per year until at least 2030. Yamana also highlighted
additional opportunities not included in the strategic plan which
include processing flow sheet optimization to increase
metallurgical recoveries by approximately 3%, optimized
configuration of the tailings filter plant and paste backfill
plant. Yamana also announced that bulk sample permits are scheduled
for submission in the third quarter of 2022, with the approval
expected in early 2023 and ramp development could begin in spring
2023.
On July 27, 2022, Yamana announced
positive results from infill drilling at the Wasamac project where
grades continue to exceed expectations with significant results
include 5.05 g/t gold over 54.06 meters and 5.45 g/t gold over 16.8
meters. Exploration drilling at the Wildcat South target continued
to expand on the discovery with a significant intercept of 7.31 g/t
gold over 3.37 meters and 1.46 g/t gold over 12.3 meters.
Figure 3: Chart showing projected production profile of the
Wasamac project (Source: Yamana Gold Inc. Second Quarter
Operating Results, issued July 7,
2022)
Metalla holds a 1.5% NSR royalty on the Wasamac project subject
to a buy back of 0.5% for C$7.5
million.
Amalgamated Kirkland Property
On October 26, 2022, Agnico
reported that extension of the development ramp from Macassa to the
Amalgamated Kirkland deposit is now complete. Two underground
drills are operating in the ramp, one focused on infill drilling
near the proposed bulk sample. Agnico believes ore could be sourced
for the Macassa mill as soon as 2024. Recent results include a
highlight intercept of 30.7 g/t gold over 3.6 meters and highlight
results from Agnico's August 11,
2022, press release include 8.1 g/t gold over 13.8 meters
and 18.3 g/t gold over 2.4 meters at a deeper portion of the
deposit. Further expansion potential of the deposit is now being
assessed as the historical boundaries preventing exploration of the
deposit to the east have been removed from the merger.
On February 23, 2022, Agnico
reported that in 2022 it plans to spend $8.6
million on a 1.3-kilometre exploration ramp from the Macassa
near surface zones, designed to carry out infill drilling and a
bulk sample of the higher-grade regions of the Amalgamated Kirkland
deposit. On April 28, 2022, Agnico
reported that the Amalgamated Kirkland deposit hosts an Indicated
Resource estimate of 265 Koz gold at 6.51 g/t gold and an Inferred
Resource of 406 Koz at 5.32 g/t gold. The deposit remains open at
depth and extends laterally.
Metalla holds a 0.45% NSR royalty on the Amalgamated Kirkland
property.
Fifteen Mile
Stream
On October 18, 2022, St Barbara
Limited reported that permitting for the Fifteen Mile Stream was
approved under the Federal Canadian Environmental Assessment Act
2012 (CEAA2012) permitting process. A revised permitting timeline
for Fifteen Mile Stream will be provided in the upcoming quarter.
On July 27, 2022, St. Barbara Limited
reported that the Fifteen Mile Stream project has been extended to
include all four identified resource open pits and enable
development of the full potential of the project.
Metalla holds a 1.0% NSR royalty on the Fifteen Mile Stream
project, and 3.0% NSR royalty on the Plenty and Seloam Brook
deposits.
Tocantinzinho
On October 18, 2022, G Mining
provided an update on its recently concluded drill program at the
TZ project in Pará, Brazil. Infill
drilling within the Feasibility Study pit shell returned
significant results of 1.48 g/t gold over 193.6 meters and 1.7 g/t
gold over 144.7 meters. Drilling outside of the feasibility study
pit shell confirmed mineralization with significant intercepts of
1.05 g/t gold over 72.1 meters and 0.98 g/t gold over 10.4 meters.
In addition, G Mining identified new targets for Greenfield
exploration around the TZ project. The high priority target called
Castor is located directly southeast of the TZ deposit. Early
exploration on the target has returned significant intercepts of
2.2 g/t gold over 8.4 meters and 1.66 g/t gold over 8 meters. A
follow up drill program is planned for Q4 2022 and 2023. On
September 12, 2022, G Mining
announced a positive construction decision for the TZ project.
On July 18, 2022, G Mining
announced a $481 million financing
package, which included a gold stream, term-loan, and equity
placement from Franco-Nevada Corporation for $353 million, for the development of the TZ Gold
Project located in Para State, Brazil, providing for full financing required
for the project. In addition, Eldorado Gold and La Mancha participated for $89 million in equity placements. Project
financing is now in place for full construction to begin in Q3 2023
and targeting production for the second half of 2024.
Metalla holds a 0.75% GVR royalty on the Tocantinzinho
project.
Fosterville
On October 26, 2022, Agnico
reported that gold production from Fosterville for the first nine months of 2022
totalled 295 Koz gold. During the quarter, significant progress was
made on exploration down plunge of the Lower Phoenix system and the
newly discovered Cardinal splay zone with significant highlights of
365.5 g/t gold over 1.1 meters, approximately 100 meters down
plunge of the Lower Phoenix Mineral Resource, 226.2 g/t gold over
1.4 meters with visible gold and 168.2 g/t gold over 2.9 meters. In
addition, significant intercepts further down plunge the Lower
Phoenix Mineral Resources returned 14.6 g/t gold over 10.6 meters
and 5.5 g/t gold over 21.9 meters. Further to an exploration update
by Agnico on August 11, 2022,
expansion drilling in the Lower Phoenix returned significant
results of 31.5 g/t gold over 8 meters and 226.2 g/t gold over 1.4
meters.
Management has estimated the Metalla royalty boundary is
approximately 650-800 meters down dip from the reported drill
intercepts in the Lower Phoenix zone.
Figure 4: Composite longitudinal section of Fosterville mine (Source: Agnico press
release dated August 11, 2022)
Metalla holds a 2.5% GVR royalty on the Northern and Southern
extensions of the Fosterville
mining license and other areas in the land package.
CentroGold
On October 24, 2022, Oz Minerals
stated that the relocation plan required for progressing the court
injunction removal for CentroGold was still in review with the
Federal body of the National Institute of Colonization and Agrarian
Reform (INCRA) after receiving state level endorsement during the
quarter. In addition, exploration expenses of $1.7 million were spent on the project for the
quarter.
Metalla holds a 1.0-2.0% NSR royalty on the CentroGold
project.
Akasaba West
On October 26, 2022, Agnico
announced that work commenced on the approved Akasaba West project
in September 2022 with clearing
activities ongoing and the removal of overburden and the
installation of surface infrastructure to be slated to commence in
the fourth quarter of 2022.
Metalla holds a 2.0% NSR royalty on the Akasaba West project
subject to a 210 Koz gold exemption.
Beaufor Mine
On September 27, 2022, Monarch
announced that it had suspended operations at the Beaufor Mine due
to financial and operational changes, and that the mine will be
placed on care and maintenance for an indetermined period of
time. Monarch is planning to start a complete review of
identified issues, including stockpile management and its mining
methods in finding solutions to resolve the issues. As the
project is currently not producing the Company has chosen to
classify the Beaufor NSR royalty as development stage until the
operations at the mine are restarted.
Metalla holds a 1.0% NSR royalty on the Beaufor mine.
Camflo
On July 27, 2022, Yamana reported
the Canadian Malartic partnership has identified porphyry hosted
gold mineralization that could potentially be mined via an open pit
at the Camflo property and provide tonnage to the Canadian Malartic
operation. Additional studies are underway to fully evaluate the
mineralization and additional potential in adjacent rock types. An
aggressive drill program is planned in 2023. The Camflo property
covers the past producing Camflo mine which had historical
production of approximately 1.6 Moz of gold.
Metalla holds a 1.0% NSR royalty on the Camflo mine, located
~1km northeast of the Canadian Malartic operation.
Montclerg
On November 2, 2022, GFG Resources
Inc. ("GFG") reported high grade intervals at the Montclerg
Gold Project located 48 km east of the Timmins Gold District.
Significant intercepts include 4.98 g/t gold over 7.1 meters and
3.4 g/t gold over 15 meters. GFG is planning to complete an
additional 4,000 to 6,000 meter drill program for the remainder of
2022.
Metalla holds a 1.0% NSR royalty on the Montclerg property.
Detour DNA
On October 26, 2022, Agnico
reported the results form step out drilling approximately 2 km west
of the Detour West pit where a significant drill hole intercepted
6.1 g/t gold over 12.2 meters. On July 28,
2022, Agnico reported that exploration plans will
investigate the Sunday Lake deformation zone along strike to the
west and east of the mine. In addition, step out drilling two
kilometres west of the current pit out has encountered significant
intersections including 32.3 g/t gold over 4.8 meters outlining the
potential for an underground operation.
Metalla holds a 2.0% NSR royalty on the Detour DNA property
which is ~7km west of the Detour West reserve pit margin.
Green Springs
Through press releases dated September 6,
2022, August 16, 2022, and
August 9, 2022, Contact Gold reported
the results from its 2022 exploration program. At the Tango Zone,
significant intercepts include 0.51 g/t gold over 30.48 meters and
0.7 g/t gold over 16.76 meters near surface. At the X-Ray zone,
significant intercepts include 1.66 g/t gold over 28.96 meters and
1.95 g/t gold over 41.15 meters.
Metalla holds a 2.0% NSR royalty on the Green Springs
project.
QUALIFIED PERSON
The technical information contained in this news release has
been reviewed and approved by Charles
Beaudry, geologist M.Sc., member of the Association of
Professional Geoscientists of Ontario and of the Ordre des Géologues du
Québec and a director of Metalla. Mr. Beaudry is a QP as defined in
National Instrument 43-101 Standards of Disclosure for Mineral
Projects.
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.
Non-IFRS Financial Measures
The items marked above 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 and nine months ended
September 30, 2022, 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 (a) attributable gold equivalent ounces (GEOs), (b)
average cash cost per attributable GEO, (c) average realized price
per attributable GEO, (d) operating cash margin per attributable
GEO, which is based on the two preceding measures, and (e) adjusted
EBITDA. 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. The presentation of these non-IFRS financial
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 financial measures differently.
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) 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 interests. 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.
Unless otherwise indicated, the technical and scientific
disclosure contained or referenced in this press release,
including any references to mineral
resources or mineral reserves, was prepared in accordance with
Canadian National Instrument 43-101
("NI 43-101"), which differs significantly from the
requirements of the U.S. Securities and Exchange
Commission (the "SEC")
applicable to U.S. domestic issuers. Accordingly, the
scientific and technical information contained or
referenced in this press release may not be
comparable to similar information made public by
U.S. companies subject to the reporting and
disclosure requirements of the SEC.
"Inferred mineral resources" have a
great amount of uncertainty as to their existence and great
uncertainty as to their economic and
legal feasibility. It cannot be assumed that all or any part of an
inferred mineral resource will ever be
upgraded to a higher category. Historical results or
feasibility models presented herein are not guarantees
or expectations of future
performance.
Cautionary Note Regarding Forward-Looking
Statements
This press release contains "forward-looking information" and
"forward-looking statements" (collectively, "forward-looking
statements") within the meaning of applicable securities
legislation. The forward-looking statements herein are made as of
the date of this press release only and the Company does not intend
to and does not assume any obligation to update or revise them
except as required by applicable law.
All statements included herein that address events or
developments that we expect to occur in the future
are forward-looking statements. Generally,
forward-looking statements can be identified by the use of
forward-looking terminology 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 in this press release include, but are not limited to,
statements regarding: future events or future performance of
Metalla; the Company's plans and objections; the effectiveness, and
potential use and benefit, of the Company's final short form base
shelf prospectus and Form F-10 registration statement; the future
sales of common shares under the 2022 ATM program and the value of
the gross proceeds to be raised; the completion by property owners
of announced drilling programs, capital expenditures, and other
planned activities in relation to properties on which the Company
and its subsidiaries hold a royalty or streaming interest and the
expected timing thereof; production and life of mine estimates
or forecasts at the properties on which the Company and its
subsidiaries hold a royalty or streaming interest; future
disclosure by property owners and the expected timing thereof; the
completion by property owners of announced capital expenditure
programs; the new mine plan at NLGM and the expected average annual
production thereunder; the expected value remaining at the Joaquin
project; the achievement of production at the Côté Gold Project and
the anticipated timing thereof; the completion
of the drill program to further delineate and expand the Gosselin
mineral resources and test selected targets along the deposit
corridor; additional technical studies planned to
complete test work and studies to optimize inclusion of Gosselin
into future Côté life-of-mine plans; the expected timing of
Phase 2 permit application for Castle
Mountain; the potential for Castle Mountain
mine to become one of Equinox Gold's largest assets; Preliminary
Economic Assessment for the Tower Gold project by Moneta
envisioning a 19,200 tpd combined open bit and
underground mining operation with strong
economics; the completion of the follow up
drill program at Tocantinzinho and the anticipated timing thereof;
the expectation that G Mining's $481
million financing package will fully fund the construction
of the TZ Gold Project, and the anticipated timing thereof; the
potential for production at the TZ Gold Project and the timing
thereof; timing of a revised permitting timeline for Fifteen Mile
Stream; the potential production at the Wasamac project; the
anticipated timing of the bulk sample approvals in respect to the
Wasamac Mine; engaging in ramp development at the Wasamac Mine and
the timing thereof; the potential to significantly expand the
Garrcon resource base and support an underground operation at the
mine; the release of an updated Preliminary Economic
Assessment by Moneta with respect to the Garrison Project, and
the anticipated timing
thereof; the availability of ore for Macassa
mill and anticipated timing thereof; the
anticipating timing of the installation of surface infrastructure
at the Akasaba West project;the potential that the
porphyry hosted gold mineralization identified by the
Canadian Malartic partnership may be mined via an open pit from the
Camflo property; investigation of the Sunday Lake deformation, and
anticipated results thereof; the future production at the
Amalgamated Kirkland deposit and the anticipated timing
thereof; Monarch's plan to start a complete
review of identified issues relating to the Beaufor
Mine; the amount and timing of the
attributable GEOs expected by the Company in 2022; future
expectations regarding the royalties and streams of
Metalla; royalty payments to be paid to Metalla by
property owners or operators of mining projects pursuant to
each royalty; the mineral reserves and resource
estimates for the properties with respect to which the Company
has or proposes to acquire an
interest; future gold and silver
prices; other potential developments relating
to, or achievements by the counterparties for Metalla's stream
and royalty agreements, and with respect to the
mines and other properties in which Metalla has, or may
acquire, a stream or royalty
interest; and estimates of future
production, costs and other financial or economic
measures.
Such forward-looking statements reflect management's current
beliefs and are based on information currently available to
management. Forward-looking statements 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 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: risks associated
with the impact of general business and economic conditions; the
absence of control over mining operations from which Metalla will
purchase precious metals or from which it will receive stream or
royalty payments and risks related to those mining operations,
including risks related to international operations, government and
environmental regulation, delays in mine development, construction
and operations, actual results of mining and current exploration
activities, conclusions of economic evaluations and changes in
project parameters as plans are refined; problems related to the
ability to market precious metals or other metals; industry
conditions, including commodity price fluctuations, interest and
exchange rate fluctuations; interpretation by government entities
of tax laws or the implementation of new tax laws; regulatory,
political or economic developments in any of the countries where
properties in which Metalla holds a royalty, stream or other
interest are located or through which they are held; risks related
to the operators of the properties in which Metalla holds a royalty
or stream or other interest, including changes in the ownership and
control of such operators; risks related to global pandemics,
including the novel coronavirus (COVID-19) global health pandemic,
and the spread of other viruses or pathogens; influence of
macroeconomic developments; business opportunities that become
available to, or are pursued by Metalla; reduced access to debt and
equity capital; litigation; title, permit or license disputes
related to interests on any of the properties in which Metalla
holds a royalty, stream or other interest; the volatility of the
stock market; competition; future sales or issuances of debt or
equity securities; inability to obtain stock exchange approvals or
otherwise satisfy the conditions to close the Loan Extension; use
of proceeds; dividend policy and future payment of dividends;
liquidity; market for securities; enforcement of civil judgments;
and risks relating to Metalla potentially being a passive foreign
investment company within the meaning of U.S. federal tax laws, as
the 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.
Although we have attempted to identify important factors that
could cause actual actions, events or results to differ materially
from those described in forward-looking statements, 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
forward-looking statements will prove to be accurate, as actual
results and future events could differ materially from those
anticipated in such statements. Accordingly, readers should not
place undue reliance on forward-looking statements. We are under no
obligation to update or alter any forward-looking statements except
as required under applicable securities laws. For the reasons set
forth above, undue reliance should not be placed on forward-looking
statements.
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SOURCE Metalla Royalty and Streaming Ltd.