Business
RE Royalties Announces Third Quarter 2023 Financial Results and Key Business Highlights
All amounts in Canadian dollars unless otherwise stated VANCOUVER, BC / ACCESSWIRE / November...
About this update from Re Royalties Ltd.
[{"type":"text","content":"RE Royalties Announces Third Quarter 2023 Financial Results and Key Business HighlightsAll amounts in Canadian dollars unless otherwise statedVANCOUVER, BC / ACCESSWIRE / November 27, 2023 / RE Royalties Ltd. (TSX.V:RE)(OTCQX:RROYF) (\"RE Royalties\" or the \"Company\"), a global leader in renewable energy royalty-based financing, is pleased to announce the financial results for the third quarter ended September 30, 2023 (\"Q3 2023\"). For further information on these results please see the Company's Condensed Consolidated Interim Financial Statements and Management's Discussion and Analysis for Q3 2023, filed on SEDAR+ at www.sedarplus.com.Key business and financial highlights for Q3 2023 include:The Company entered into a loan agreement and a royalty agreement with Butler Corporation SpA (\"CleanLight\"), a Chilean technology company and manufacturer of mobile solar-battery systems including solar lighting towers and solar-hybrid battery generators. The Company provided a US$3 million secured loan to finance CleanLight's expansion into other countries in Latin America. The CleanLight loan has a two-year term, and bears interest of 12% per annum. The Company also acquired a gross revenue royalty of 5% for a period of 10 years, for US$200,000. The royalty rate will reduce to 3% after certain revenue milestones are met.The Company entered into a loan agreement and a royalty agreement with Revolve Renewable Power Corp. (\"Revolve\") to support Revolve's acquisition of a portfolio of two operational run-of-river hydro projects in British Columbia, and one operational wind project in Alberta with a combined gross capacity of 23 MW (the \"Operational Projects\").The Operational Projects receive revenue from Power Purchase Agreements (\"PPAs\") with BC Hydro and the City of Medicine Hat, for the hydro projects and the wind project, respectively. The Operational Projects have PPAs with remaining terms ranging from 32-35 years for the hydro projects and 11 years for the wind project. The loan will have a term of 36 months and bear interest at the rate of 12% per annum, compounded monthly, and payable semi-annually. The Company will receive a structuring fee of 1.0% on the loan value at closing, and a gross revenue royalty of 0.5% on the Operating Projects during the term of the loan, increasing to a gross revenue royalty of 1.0% upon re...