Electric Royalties Ltd (TSX-V:ELEC, OTC:ELECF) has updated on half of its royalty portfolio, which includes a graphite mine project in Madagascar, which is advancing towards a resumption of output, amid the backdrop of rising clean energy metal prices.
The company has a growing portfolio of 18 royalties, including one that currently generates revenue. The firm was established to take advantage of the demand for a wide range of commodities, which will benefit from the drive toward electrification.
The company has a royalty on the Graphmada mine in Madagascar, which was in continuous production for 20 months before being placed on care and maintenance during the outbreak of the pandemic.
"Exploration work completed during the past year indicates a renewed focus and intention to bring the mine back into production. Moreover, clean energy metal prices have jumped significantly over the past year and we expect that trend to continue as additional countries commit to net zero policies. With all of the capital being invested in our assets this year and metal prices as they are, we believe that it should be an eventful year in terms of progress," Electric Royalties CEO Brendan Yurik said in a statement.
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Elsewhere, at the Authier lithium project in Quebec, where it has a royalty, owner Sayona Mining recently completed the acquisition of North American Lithium (NAL) and plans to release a study on restarting this historical producer with the Authier asset forming an integral part of production, the company also noted.
"Drilling is underway on our Cancet, Seymour Lake and Chubb lithium assets," added Yurik.
"Excellent final metallurgical results have been received for the Battery Hill manganese royalty, and we are very keen to see the results of the upcoming PEA, as we believe this may be a very significant royalty for Electric Royalties," he said.
Electric Royalties is a royalty company established to take advantage of the demand for a wide range of commodities, namely lithium, vanadium, manganese, tin, graphite, cobalt, nickel, zinc and copper, which will benefit from the drive toward electrification of a variety of consumer products such as cars, rechargeable batteries, large scale energy storage, renewable energy generation and other applications.
Contact the writer at giles@proactiveinvestors.com