Electric Royalties to Acquire 0.75% GRR on Producing Tin-Tantalum Mine in Spain

About this update from Electric Royalties Ltd.

[{"type":"text","content":"Electric Royalties to Acquire 0.75% GRR on Producing Tin-Tantalum Mine in SpainVANCOUVER, BC / ACCESSWIRE / November 15, 2022 / Electric Royalties Ltd. (TSXV:ELEC)(OTCQB:ELECF) (\"Electric Royalties\" or the \"Company\") is pleased to announce the signing of an agreement with Strategic Minerals Europe Corp. (NEO: SNTA) (OTCQB: SNTAF) (\"Strategic Minerals\") to acquire a newly granted 0.75% Gross Revenue Royalty (the \"0.75% GRR\") on the producing Penouta tin-tantalum mine in Spain (the \"Project\" or \"Penouta\") in exchange for a cash payment of C$1,000,000 and 500,000 common shares of Electric Royalties. In addition, the Company will have an option for a period of 7 months from closing to acquire an additional 0.75% GRR (the \"0.75% Option GRR\") on Penouta in exchange for an additional cash payment of C$1,250,000. The royalty rates will be reduced to 0.5% respectively once certain minimum royalty payments have been made.Brendan Yurik, CEO of Electric Royalties commented: \"We are tremendously excited about adding this producing tin-tantalum royalty to our metals portfolio. The Penouta Mine is currently the largest tin and tantalum producer in all of Europe1. The operations team at Strategic Minerals has a proven track record of building and operating mines. Penouta has been steadily increasing production since the start of 2022. The mine's best quarter was in September with production of 80 tonnes of primary concentrate of tin and tantalum. Our capital is expected to be well utilized for mine improvements, as well as allowing Strategic Minerals to potentially add additional revenue streams from Penouta.\"We're delighted to partner with Strategic Minerals on this royalty financing and to get our first cash flow exposure to tin. Commodity research firm Roskill forecasts that total market demand for refined tin will exceed 515 kilotonnes by 2030, most of it accounted for by electronic and industrial solder (40%), and also the substantial rise of lithium-ion batteries (9%). Demand increases will require substantial amounts of new refined supply, requiring additional tin feedstock sources2.\"Penouta Tin-Tantalum Royalty Acquisition HighlightsEurope's biggest producer of tin and tantalum.Proven operations team with a track record of successfully building and operating mines.September production of 66 tonnes of cassiterite concent...

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