Elemental Altus Notes Regulatory Approval for Expansion at Cornerstone Karlawinda Royalty
Rhea-AI Summary
Elemental Altus Royalties (OTCQX: ELEMF) announced that Capricorn Metals has received regulatory approval from Western Australian authorities for the Karlawinda Expansion Project. The expansion will increase annual gold production by 25% to 150,000 ounces per annum, benefiting Elemental's uncapped 2% NSR royalty.
The project includes expanding the existing Bibra pit, developing Southern Corridor and Berwick open pits, and constructing a second tailings storage facility. The expansion has already begun with a 164-room camp expansion nearly complete and early clearing works underway. The development timeline is expected to be 12 months, with updated cost estimates due in Q4.
Notably, Karlawinda's Mineral Reserves increased by 15% to 1,428,000 ounces of gold at 0.8 g/t Au, while Indicated Resources grew to 1,965,000 ounces at 0.7 g/t Au.
Positive
- 25% increase in annual gold production to 150,000 ounces expected by 2026
- 15% increase in Mineral Reserves to 1,428,000 ounces of gold
- Uncapped 2% NSR royalty provides full exposure to production expansion
- Zero cost to Elemental Altus for the expansion benefits
- Development timeline of only 12 months indicates quick path to increased production
Negative
- Final construction and development capital cost estimates still pending
- Project execution risks during 12-month development timeline
News Market Reaction
On the day this news was published, ELEMF gained 0.20%, reflecting a mild positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
Vancouver, British Columbia--(Newsfile Corp. - July 29, 2025) - Elemental Altus Royalties Corp. (TSXV: ELE) (OTCQX: ELEMF) ("Elemental Altus" or the "Company") is pleased to acknowledge the receipt of regulatory approval by Capricorn Metals Limited (ASX: CMM) ("Capricorn") for the full development of the Karlawinda Expansion Project in Western Australia. The expansion is expected to increase annual gold production by approximately
Highlights
On completion of the expansion in 2026, Elemental Altus to benefit from approximately
25% higher production at its cornerstone Karlawinda royalty at no costCapricorn Metals has received formal approval for development of the Karlawinda Expansion Project from the Western Australian Department of Energy, Mines, Industry Regulation and Safety ("DEMIRS")
Capricorn plans to increase mill throughput at Karlawinda from 4Mtpa to 6.5Mtpa, lifting gold production to approximately 150,000 ounces per year
Construction of the 164-room camp expansion largely complete and early clearing and earthworks associated with the expansion have commenced
The expansion plans include additional open pits, new crushing and ball mill circuits, and additional infrastructure upgrades
Frederick Bell, CEO of Elemental Altus, commented:
"It is exciting to see DEMIRS approval of the Karlawinda Expansion Project, which is a key derisking step and enables an expedited start to construction. Karlawinda is a high-margin, long-life operation, and a cornerstone asset in the Elemental Altus royalty portfolio. The Company is excited to follow the progress of Capricorn as they continue to add value at Karlawinda at no cost to Elemental Altus."
Karlawinda Expansion
The Karlawinda Expansion Project includes expanded mining activities of the existing Bibra pit, as well as further development at the Southern Corridor and Berwick open pits. Capricorn have approved the construction of a second tailings storage facility, as well as a parallel crushing and milling circuit designed to replicate the existing plant. The parallel processing stream offers the flexibility while maximising the use of existing infrastructure downstream of the CIL tanks. The average annual gold production from the expanded KGP is expected to increase around
Procurement, engineering and early site works are already underway and are expected to be completed over a 12-month development timeline. An optimised project schedule and updated construction and development capital cost estimate are expected to be completed early in Q4, with procurement and early site works commencing in the meantime.
The expansion announcement in October 2024 followed a previously announced
Frederick Bell
CEO
Corporate & Media Inquiries:
Tel: +1 604 646 4527
info@elementalaltus.com
www.elementalaltus.com
Elemental Altus is a proud member of Discovery Group. For more information please visit: www.discoverygroup.ca or contact +1 604 646 4527.
TSX.V: ELE | OTCQX: ELEMF | ISIN: CA28619K1093 | CUSIP: 28619K109
About Elemental Altus Royalties Corp.
Elemental Altus is an income generating precious metals royalty company with 10 producing royalties and a diversified portfolio of pre-production and discovery stage assets. The Company is focused on acquiring uncapped royalties and streams over producing, or near-producing, mines operated by established counterparties. The vision of Elemental Altus is to build a global gold royalty company, offering investors superior exposure to gold with reduced risk and a strong growth profile.
Neither the TSX-V nor its Regulation Service Provider (as that term is defined in the policies of the TSX-V.) accepts responsibility for the adequacy or accuracy of this press release.
Qualified Person
Richard Evans, FAusIMM, is Senior Vice President Technical for Elemental Altus, and a qualified person under National Instrument 43-101 - Standards of Disclosure for Mineral Projects, has reviewed and approved the scientific and technical disclosure contained in this press release.
Notes
1) "KGP Ore Reserve increases to 1.43 Million Ounces - Expansion Study Underway", dated August 1, 2024, at https://capmetals.com.au/
Cautionary note regarding forward-looking statements
This news release contains "forward-looking information" within the meaning of applicable Canadian securities laws and "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995, (together, "forward-looking statements"), concerning the business, operations and financial performance and condition of the Company. Forward-looking statements include, but are not limited to, statements with respect to the future price of gold; the estimation of mineral reserves and mineral resources; the realization of Mineral Reserve estimates; the Company's growth prospects; the Company's estimated 2025 revenues; and the timing and amount of estimated future production. Generally, forward-looking statements can be identified by the use of forward-looking terminology such as "plans," "expects" or "does not expect," "is expected," "budget," "scheduled," "estimates," "forecasts," "intends," "anticipates" or "does not anticipate," "believes," "projects" or variations of such words and phrases or state that certain actions, events or results "may," "could," "would," "might" or "will be taken," "occur" or "be achieved." Forward-looking statements are based on the opinions and estimates of management as of the date such statements are made, and they are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements, including, but not limited to, volatility in the price of gold, discrepancies between anticipated and actual production by companies in our portfolio, risks inherent in the mining industry to which the companies in our portfolio are subject, regulatory restrictions, the impact of the current COVID-19 pandemic on the companies in our portfolio, activities by governmental authorities (including changes in taxation), currency fluctuations and the accuracy of the mineral reserves, resources and recoveries set out in the technical data published by the companies in our portfolio. Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company cautions readers not to place undue reliance on forward-looking statements, as forward-looking statements involve significant risks and uncertainties. Forward-looking statements should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not the times at or by which such performance or results will be achieved. The Company does not undertake to update any forward-looking statements except in accordance with applicable Canadian securities laws. Readers are directed to the Company's Annual Information Form dated April 29, 2024, filed under the Company's profile on SEDAR (www.sedarplus.ca) for a complete list of applicable risk factors. Investors are advised that National Instrument 43-101 Standards for disclosure for Mineral Projects ("NI 43-101") of the Canadian Securities Administrators requires that each category of Mineral Reserves and Mineral Resources be reported separately. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/260485
FAQ
What is the expected production increase at Karlawinda after the expansion for ELEMF?
What type of royalty does Elemental Altus hold on the Karlawinda project?
What are the new Mineral Reserves at Karlawinda as of 2024?
When will the Karlawinda expansion project be completed?
What regulatory approval did Capricorn receive for ELEMF's Karlawinda royalty?
