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Silver Elephant Announces Creation of New Royalty Focused Subsidiary and Grant of 2% Royalty of Company's Mining Projects
VANCOUVER, BC / ACCESSWIRE / August 26, 2021 / Silver Elephant Mining Corp. ("Silver Elephant...
About this update from Silver Elephant Mining Corp
[{"type":"text","content":"Silver Elephant Announces Creation of New Royalty Focused Subsidiary and Grant of 2% Royalty of Company’s Mining ProjectsVANCOUVER, BC / ACCESSWIRE / August 26, 2021 / Silver Elephant Mining Corp. (\"Silver Elephant\" or \"the Company\") (TSX:ELEF, OTCQX:SILEF, Frankfurt:1P2N) announces that it has entered into 2% royalty agreements (the \"Royalty Agreements\") whereby the Company now holds a 2% royalty over each of the Company's key projects (the \"Royalties\"), and, in connection with the previously announced spin-out and plan of arrangement of the Company (the \"Arrangement\"), such Royalties will be transferred into a newly incorporated wholly-owned subsidiary of the Company named Battery Metals Royalties Corp. (\"Battery Metals Royalties\").Pursuant to the Royalty Agreements and in connection with the Arrangement, Silver Elephant and its subsidiaries shall place the Royalties, which primarily consists of 2% net smelter return royalty over the Company's Minago nickel project, 2% royalty over the Company's Gibellini vanadium project, and 2% net smelter return royalty over the Company's Pulacayo silver project, into Battery Metals Royalties.In all but one case, the Royalties are payable to Battery Metals Royalties only when the price of the underlying metal in the mining project has been reached (\"Threshold Prices\"). The Threshold Prices have been set well above current metal prices by design to minimize the Royalties' impact on future mine construction decisions.Project, all 100%Country43-101 Resource(1)Royalty Payment,Threshold Price(8)Minago NickelManitoba, Canada722 million lbs Ni (I)(2)319 million lbs Ni (Inf) (2)2%when Nickel is over $15/lbGibellini VanadiumNevada,USA131 million lbs V2O5 (M&I) (3)94 million lbs V2O5 (Inf) (3)2%when V2O5 is over $12/lbPulacayo Silver-Lead-ZincPotosi, Bolivia107million oz Ag (I) (4)1,410 million lbs Zn (I) (4)690 million lbs Pb (I) (4)2%when Silver is over $30/ozEl Triunfo Gold-SilverBoliviaN/A2%when Silver is over $30/ozTitan Iron VanadiumCanada434 million lbs V2O5 (Inf) (5)2%when V2O5 is over $12/lbUlaan Ovoo CoalChandgana CoalMongolia20.7 million tonnes (Proven) (6)124 million tonnes (Measured) (7)$2 per tonne of coal soldno Threshold PriceNotes:Measured (M) Indicated (I), Inferred (Inf)Minago resource completed by Mercator Technical Services and AGP Mining Consultant, refe...