Emx Royalty Stock Price, News & Analysis

EMX Royalty (NYSE American: EMX) (TSXV: EMX) has announced the resignation of board member Chris Wright following his confirmation as U.S. Secretary of Energy. Wright was confirmed by a bipartisan Senate vote on February 3, 2025, and will join President Trump's Cabinet in Washington, D.C.

Wright, known for his innovations in the energy sector and co-founding the Bettering Human Lives Foundation, has been an active participant in EMX board meetings and management discussions. The company expressed gratitude for Wright's contributions and anticipates observing his leadership in shaping U.S. energy policy.

EMX Royalty has acquired an additional 1% Net Smelter Returns (NSR) royalty interest on the Chapi Copper Mine Property in Peru for US$7,000,000 from Minera Pampa de Cobre S.A.C. (MPC). This acquisition brings EMX's total NSR royalty on the property to 2%, representing a total investment of US$10,000,000.

The royalty agreement covers approximately 26,000 hectares and includes a 2% NSR on minerals produced from the property, as well as minerals processed at the Chapi Mine facilities from outside the property area. The agreement also features a two-kilometer area of interest (AOI), ensuring that any property acquired by MPC within this zone will be subject to the same 2% NSR royalty.

EMX Royalty (NYSE American: EMX) (TSXV: EMX) reported ending the year with approximately $27 million in cash and cash equivalents and $35 million in long-term debt maturing in July 2029 with Franco Nevada The company completed several transactions in Q4 2024:

1. Sold all holdings in Ensero Holdings for $5.6 million, having initially invested $3.8 million in 2020 and earned $1 million in dividends.

2. Received an early property payment of $2.9 million from Aftermath Silver for the Berenguela Royalty Property in Peru, with a final payment of $3.25 million due in November 2026.

3. Received $500,000 from Arizona Sonoran for a royalty buy-down at Park Salyer Property, reducing EMX's NSR royalty from 1.5% to 0.5%.

EMX Royalty (NYSE American: EMX) (TSXV: EMX) has successfully completed its Normal Course Issuer Bid (NCIB) program, which was announced on February 7, 2024. The company has purchased and cancelled the maximum allowed 5 million common shares, representing approximately 4.45% of its issued and outstanding shares before the program's commencement.

The shares were acquired at an average price of US$1.65 per share, with a total investment of approximately US$8.3 million. The final transaction included a block trade of 1,375,600 shares from an undisclosed seller at approximately US$1.64 (C$2.35) per share.

EMX Royalty has signed four option agreements with Pacific Ridge Exploration for mining projects in the Western USA: Ripsey West (Arizona), Royston (Nevada), Red Star (Utah), and Mineral Hill (Wyoming). Under the agreements, Pacific Ridge can earn 100% interest in each project over five years by making cash payments totaling $240,000, issuing 1,375,000 shares, and completing $2,250,000 in exploration work per project.

Upon Pacific Ridge's exercise of each option, EMX will retain a 3% NSR royalty with partial buyback provisions, receive annual advance royalty payments starting at $25,000 per project, and milestone payments up to $3.5 million based on project advancement stages. The projects target various mineral deposits, including copper porphyry systems and epithermal gold-silver mineralization, in historically significant mining regions.

Pacific Ridge Exploration has entered into option agreements with Bronco Creek Exploration (BCE), a subsidiary of EMX Royalty , to acquire a portfolio of copper and gold projects in the United States. The agreement includes exclusive options to acquire 100% interest in four projects: Mineral Hill (Wyoming), Red Star (Utah), Ripsey West (Arizona), and Royston (Nevada).

The acquisition positions Pacific Ridge as one of North America's leading copper exploration companies, with projects in premier mining districts. The company plans to spin out its Yukon gold projects to create a new North American gold-focused exploration company. The new projects are all road accessible, allowing year-round exploration, and are located in mining-friendly states that rank highly in the Fraser Institute's 2023 annual mining survey.

EMX Royalty has announced the purchase of a 0.625% NSR royalty interest in the Urasar gold-copper project in northern Armenia, owned by Hayasa Metals. The acquisition is part of a Joint Acquisition Agreement with Franco-Nevada , which also acquired a 0.625% NSR royalty.

The combined payment of US$1 million (EMX: US$450,000, Franco: US$550,000) includes the 1.25% NSR royalty interest split between both companies and 500,000 share purchase warrants (250,000 each) exercisable within 18 months at C$0.22 per share. Both companies will have a right of first refusal on any future royalty or stream interest.

The Urasar project, acquired by Hayasa in 2023, is located along a regional structural zone with gold and copper mineralization. The site has historical significance, with French copper production during WWI and Soviet exploration in the 1920s-1950s. The project shows similarities to Armenia's largest gold deposit, Sokt, and is situated in a country with an active mining sector and favorable mining regulations.

EMX Royalty has entered into a Royalty Agreement with Minera Pampa de Cobre (MPC) for the Chapi copper mine in Peru. The agreement includes up to 2% Net Smelter Returns (NSR) on minerals from the 26,000-hectare property, plus up to 2% NSR on minerals processed at Chapi facilities from outside areas.

EMX paid US$3,000,000 for the first 1% NSR interest, with an option for MPC to sell an additional 1% for US$7,000,000 until February 28, 2025. The Property Royalty is perpetual, while the Facilities and AOI Royalties will be reduced by half in July 2034.

The Chapi Mine, historically producing 5,000-8,500 tonnes of copper annually during 2006-2012, is planned for restart by Quilla Resources, targeting 10,000 tonnes per annum of copper cathode production beginning in H1 2026. The mine is located in Peru's prominent copper-producing region, with grades previously mined at 0.59% - 1.04% copper.

EMX Royalty reported strong Q3 2024 results with significant growth in adjusted revenue. Excluding prior year catch-up payments, adjusted revenue increased by 23% and adjusted royalty revenue grew by 45% compared to Q3 2023. The company expects to exceed its 2024 adjusted royalty revenue guidance of $22-27.5 million, driven by strong performance from Caserones, Gediktepe, and Leeville operations.

Q3 2024 financial highlights include adjusted revenue of $9.66 million and adjusted royalty revenue of $8.82 million. The company maintained a strong working capital position of $41.83 million as of September 30, 2024. EMX secured a $35 million credit agreement with Franco-Nevada and continued its share buyback program, repurchasing 692,189 shares during the quarter.