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Versamet Royalties Completes Acquisition of Cornerstone Canadian Gold Stream on Eskay Creek
All amounts are in U.S. dollars unless otherwise indicated. Vancouver, British Columbia--(Newsfi...
About this update from Versamet Royalties Corp.
[{"type":"text","content":"Versamet Royalties Completes Acquisition of Cornerstone Canadian Gold Stream on Eskay CreekAll amounts are in U.S. dollars unless otherwise indicated.Vancouver, British Columbia--(Newsfile Corp. - April 10, 2026) - Versamet Royalties Corporation  (NASDAQ: VMET) (TSX: VMET) (\"Versamet\" or the \"Company\") has completed the previously announced acquisition of a 3.52% gold stream (the \"Gold Stream\") in respect of gold production from the Eskay Creek gold-silver project (\"Eskay\" or the \"Project\") from fund entities managed by Orion Resource Partners LP and fund entities managed by affiliates of Blackstone Inc. (collectively, the \"Vendors\"). Versamet paid an upfront cash payment of $340 million and issued 2,054,906 common shares to the Vendors. Versamet funded the upfront cash payment through an amended and restated credit facility (the \"Amended Credit Facility\"), which includes an increase of the existing revolving facility from $200 million to $250 million, maturing in March 2029, and a new term facility in the amount of $150 million, maturing in March 2028, for a combined total of $400 million, from the Bank of Montreal and National Bank of Canada. The Amended Credit Facility provides for a $100 million accordion on the revolving facility once the term facility has been repaid in full. Gold Stream SummaryGold Stream: Under the Gold Stream, Versamet is entitled to receive 3.52% of the payable gold production for the life of the mine, provided that the mine successfully achieves certain completion tests on or before September 30, 2027. The Gold Stream is uncapped and has no step-downs or buydown provisions and includes an area of interest.Production Profile: Eskay is expected to produce an average of over 300,000 ounces of gold per year in its first 5 years and an average of approximately 230,000 ounces of gold per year over its initial 12 year life.1 Delivery Payments: For gold ounces delivered to the Gold Stream, Versamet will make ongoing cash payments equal to 10% of the spot gold price at the time of delivery.Other Terms:Gold Stream Percentage: If the completion tests are not satisfied by September 30, 2027, the stream percentage shall increase to 3.57%, 3.62% and 3.67% if completion is achieved in the first, second or third calendar quarters following September 30, 2027, respectively, and a further additi...