Business
Altius Minerals Reports First Quarter 2020 Attributable Royalty Revenue of Approximately $16.3 million
ST. JOHN’S, Newfoundland and Labrador--(BUSINESS WIRE)--(TSX: ALS; OTCQX: ATUSF) Altius Minerals Corporation (“Altius” or the “Corporation”) reports attributabl
About this update from Altius Minerals Corporation
[{"type":"text","content":"ST. JOHN’S, Newfoundland and Labrador--(BUSINESS WIRE)--(TSX: ALS; OTCQX: ATUSF) Altius Minerals Corporation (“Altius” or the “Corporation”) reports attributable royalty revenue1 of approximately $16.3 million ($0.39 per share) for the quarter ended March 31, 2020. This compares to record quarterly revenues of $21.8 million ($0.51 per share) generated in the comparable quarter last year, and $17.5 million ($0.41 per share) in Q4 2019. Base metal revenue contributed $6.6 million or 40% of total royalty revenue in the first quarter as compared to $7.6 million in the year ago comparable quarter and $6.5 million in the prior quarter. Chapada and 777 provided $4.1 million and $2.3 million respectively while Voisey’s Bay contributed approximately $0.1 million. Potash revenue accounted for $4.4 million or 27% of total royalty revenue compared to $4.8 million in Q1 2019 and $2.9 million in the prior quarter, impacted by both weather related demand weakness and a rail strike. Thermal coal revenue contributed $2.5 million or 15% of the total as compared to $3.3 million in the year ago comparable quarter and $3.5 million in the prior quarter, with the variances mainly attributable to planned mine sequencing activity at Sheerness. Iron ore revenue of $1 million in the quarter accounted for approximately 6% of the total, which is considerably lower than the $4.2 million reported in Q1 2019 and $4.0 million reported in Q4 2019. The Corporation’s iron ore revenue stems from the pass through of royalties and equity dividends paid by the Iron Ore Company of Canada (‘IOC”) to Labrador Iron Ore Royalty Corporation (“LIORC”). IOC did not declare an equity dividend in the first quarter as it chose to maintain additional cash on its balance sheet, in part reflective of additional planned sustaining and growth capital spending in 2020. The lower iron ore revenue also reflects a previously reported reduced shareholding in LIORC by the Corporation as it chose to increase the cash component of its balance sheet due to COVID-19 related uncertainties. Metallurgical coal provided $0.6 million or 4% of the total royalty revenue, which compares to $1.2 million in Q1 2019 and $0.3 million in the prior quarter. COVID-19 Related Production Impacts Update As of today, Altius has noted COVID-19 related production suspensions or curtailments from mines that collect...