Metalla to acquire silver focused royalty portfolio from First Majestic Silver

Highlights:

• Immediate cash flow: The addition of the producing La Encantada gold royalty will provide immediate cash flow to Metalla.
• Near term development: The portfolio adds four near term silver development royalties, most of which are fully permitted, have existing infrastructure and mine development for a lower capex and faster timeline to restart production.
• Highly prospective properties: The combined land package covers more than 175 000 ha. across some of the most prolific silver camps in Mexico.
• Accretive Growth and increased size and scale: The addition of eight royalties from First Majestic will expand Metalla’s portfolio to 79 royalties and streams, increase cash flow, and significantly enhance Metalla’s industry leading development pipeline.
• Counterparty Diversification: Counterparties include First Majestic, Sierra Madre Gold and Silver Ltd. (Sierra Madre), GR Silver Mining Ltd. (GR Silver) and Silver Dollar Resources Inc. (Silver Dollar).
• Substantial leverage to silver: The royalty portfolio is predominantly silver and will add approximately 1.7 million oz of attributable silver in the measured and indicated categories, and 5.2 million oz of attributable silver in the inferred category to Metalla.

Brett Heath, President, and CEO of Metalla, commented:

“This transaction marks another important milestone in our continued growth at Metalla. It provides shareholders with eight new royalties that have a significant amount of exposure and leverage to silver. It adds immediate cash flow from one producing royalty, bolsters our near-term development pipeline with four development royalties, and three advanced exploration royalties. It also adds a significant amount of exploration upside with over 175 000 ha. of royalty coverage across the most prolific silver trends in Mexico. We want to thank First Majestic for entrusting the Metalla team with unlocking additional value from their royalty assets and welcome them to our registry.”

"The portfolio comprises of a total of eight royalties, including one producing gold royalty, four development silver royalties, and three advanced exploration silver royalties. The royalties cover 100% of all the concessions on the eight properties."

Read the article online at: https://www.globalminingreview.com/mining/29112022/metalla-to-acquire-silver-focused-royalty-portfolio-from-first-majestic-silver/