Business
Elemental Expects 40% Increase in Successive Quarterly Revenue from Flagship Royalty on Karlawinda Mine
Vancouver, British Columbia--(Newsfile Corp. - January 20, 2022) - Elemental Royalties Corp. (...
About this update from Elemental Royalty Corporation
[{"type":"text","content":"Elemental Expects 40% Increase in Successive Quarterly Revenue from Flagship Royalty on Karlawinda MineVancouver, British Columbia--(Newsfile Corp. - January 20, 2022) - Elemental Royalties Corp. (TSXV: ELE) (OTCQX: ELEMF) (\"Elemental\" or \"the Company\") today announced that it expects an approximate 40% increase in successive quarterly revenue from production at the Karlawinda Gold Mine in Australia (\"Karlawinda\"), Elemental's flagship royalty asset. Revenue from Karlawinda, one of six Elemental royalties on producing assets, is estimated at US$1.1 million for the quarter ended December 31, 2021, up approximately 40% from US$0.8 million in the quarter ended September 30, 2021, which was Karlawinda's first quarter of commercial production and sales.Elemental's anticipated revenue from Karlawinda is based on the recently disclosed December 2021 quarterly report from Capricorn Metals Ltd. (\"Capricorn\"), owner and operator of the mine. Capricorn announced steady-state operations at Karlawinda after initiating commercial production in the quarter ended September 30, 2021. Karlawinda's gold production for the quarter ended December 31, 2021 was 30,316 ounces, up approximately 25% from 24,329 ounces in the prior quarter. Gold sales totaled 30,835 ounces, up approximately 40% from 21,964 ounces in the prior quarter. Karlawinda had a further 1,020 ounces of gold on hand at the end of the December 31, 2021 quarter. Elemental has a 2% uncapped net smelter return royalty on Karlawinda's gold sales.Elemental expects to disclose in February a trading update for the fourth quarter and year ended December 31, 2021. These results will include revenue from its royalty on Karlawinda and on Elemental's other producing royalties. Other Karlawinda Highlights Low cash costs1 of US$607 per ounce and all in sustaining costs1 of US$756 per ounceOre stocks doubled to 38,000 ounces in the December quarter and mining volumes are expected to increase in the March 2022 quarter with a third mining fleet now onsite Commissioning of additional two carbon-in-leach (\"CIL\") tanks completed in December quarter expected to have further positive impact on recoveries, which are already in line with expectations at 91.3%Near mine exploration underway with early success highlighting:Potential to extend Southern Corridor Deposit from results to-date along with f...