Electric Royalties Ltd (TSX-V:ELEC, OTC:ELECF) said it has had a tremendous first half of 2022 with 24 exciting developments across 11 assets within its royalty portfolio.
In an asset update on its current royalty portfolio, the company’s CEO Brendan Yurik highlighted the high-grade copper-cobalt Millennium project in Australia, where drilling is underway with assays expected later this year.
Other achievements include the receipt of drill results on the Seymour Lake lithium project in Ontario where a resource estimate is imminent, and metallurgical development milestones being advanced at the Battery Hill manganese royalty, with operator Manganese X Energy Corp (TSX-V:MN, OTCQB:MNXXF) initiating a number of discussions with potential strategic partners seeking high-purity manganese products.
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Further, the operator of the company’s Authier lithium royalty Sayona Mining Limited has raised more than $150 million this past month alone and has announced a pre-feasibility study incorporating the project into a combined production scenario with the nearby North American lithium mine.
Yurik noted that investors were rightly concerned about ongoing inflation costs, but that as a royalty company Electric Royalties was protected from capital cost inflation.
“We're also largely protected against mine operating cost inflation, other than treatment and smelting charges for net smelter royalties," he said.
"The value of our royalties is directly proportional to the price of the metals we are targeting and prices have been rising steadily with lithium alone increasing substantially this past year."
Electric Royalties is a royalty company established to take advantage of the demand for a wide range of commodities that will benefit from the drive toward electrification of a variety of consumer products and other applications.
Contact the author Emily Jarvie at emiy.jarvie@proactiveinvestors.com
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