Orogen Royalties Announces Record Year End Financial Performance
Orogen Royalties reported strong financial results for 2024, with net income from operations reaching $4.3 million, up 126% from 2023. The company achieved record royalty revenue of $7.9 million, with 2,343 gold equivalent ounces sold at an average price of US$2,420 per ounce.
Key highlights include:
- Working capital increased to $26.8 million
- Cash flow from operations grew 73% to $3.8 million
- G&A expenses decreased 16% to $3.7 million
The company announced a significant $421 million acquisition agreement with Triple Flag Precious Metals, offering shareholders $2.00 per share through a combination of cash, Triple Flag shares, and shares in a new spin-off company. The spin-off will retain the cash-flowing Ermitaño royalty and other assets.
At the Ermitaño Mine, where Orogen holds a 2.0% NSR royalty, production increased with 1,012,523 tonnes of ore processed in 2024, up 15% from 2023. The mine reported improved silver and gold recoveries of 68% and 95% respectively.
Orogen Royalties ha riportato risultati finanziari solidi per il 2024, con un reddito netto operativo di 4,3 milioni di dollari, in aumento del 126% rispetto al 2023. L'azienda ha raggiunto un record di ricavi da royalty pari a 7,9 milioni di dollari, con la vendita di 2.343 once equivalenti d'oro a un prezzo medio di 2.420 dollari per oncia.
Principali risultati:
- Il capitale circolante è aumentato a 26,8 milioni di dollari
- Il flusso di cassa operativo è cresciuto del 73%, raggiungendo 3,8 milioni di dollari
- Le spese generali e amministrative sono diminuite del 16%, attestandosi a 3,7 milioni di dollari
L'azienda ha annunciato un importante accordo di acquisizione da 421 milioni di dollari con Triple Flag Precious Metals, offrendo agli azionisti 2,00 dollari per azione tramite una combinazione di denaro contante, azioni Triple Flag e azioni di una nuova società spin-off. Lo spin-off manterrà la royalty a flusso di cassa Ermitaño e altri asset.
Alla miniera Ermitaño, dove Orogen detiene una royalty NSR del 2,0%, la produzione è aumentata con 1.012.523 tonnellate di minerale lavorate nel 2024, in crescita del 15% rispetto al 2023. La miniera ha registrato un miglioramento nel recupero di argento e oro, rispettivamente del 68% e del 95%.
Orogen Royalties reportó sólidos resultados financieros para 2024, con un ingreso neto operativo de 4,3 millones de dólares, un aumento del 126% respecto a 2023. La compañía alcanzó ingresos récord por regalías de 7,9 millones de dólares, vendiendo 2.343 onzas equivalentes de oro a un precio promedio de 2.420 dólares por onza.
Puntos clave:
- El capital de trabajo aumentó a 26,8 millones de dólares
- El flujo de caja operativo creció un 73%, llegando a 3,8 millones de dólares
- Los gastos generales y administrativos disminuyeron un 16%, situándose en 3,7 millones de dólares
La compañía anunció un importante acuerdo de adquisición por 421 millones de dólares con Triple Flag Precious Metals, ofreciendo a los accionistas 2,00 dólares por acción mediante una combinación de efectivo, acciones de Triple Flag y acciones en una nueva empresa escindida. La escisión conservará la regalía de flujo de efectivo Ermitaño y otros activos.
En la mina Ermitaño, donde Orogen posee una regalía NSR del 2,0%, la producción aumentó con 1.012.523 toneladas de mineral procesadas en 2024, un 15% más que en 2023. La mina reportó mejoras en las recuperaciones de plata y oro, del 68% y 95% respectivamente.
Orogen Royalties는 2024년 강력한 재무 실적을 보고했으며, 영업 순이익은 430만 달러로 2023년 대비 126% 증가했습니다. 회사는 2,343 온스 금 환산 판매량을 통해 평균 온스당 2,420달러의 가격으로 790만 달러의 로열티 수익 기록을 달성했습니다.
주요 내용은 다음과 같습니다:
- 운전자본이 2,680만 달러로 증가
- 영업 현금 흐름이 73% 증가하여 380만 달러 도달
- 일반관리비가 16% 감소하여 370만 달러 기록
회사는 Triple Flag Precious Metals와 4억 2,100만 달러 규모의 인수 계약을 발표했으며, 주주들에게 현금, Triple Flag 주식 및 신규 분사 회사 주식의 조합을 통해 주당 2.00달러를 제공할 예정입니다. 분사 회사는 현금 흐름이 발생하는 Ermitaño 로열티 및 기타 자산을 보유하게 됩니다.
Orogen이 2.0% NSR 로열티를 보유한 Ermitaño 광산에서는 2024년에 1,012,523톤의 광석이 처리되어 2023년 대비 15% 증가했습니다. 광산은 은과 금 회수율이 각각 68%와 95%로 개선되었습니다.
Orogen Royalties a annoncé de solides résultats financiers pour 2024, avec un revenu net opérationnel de 4,3 millions de dollars, en hausse de 126 % par rapport à 2023. La société a atteint un chiffre d'affaires record de redevances de 7,9 millions de dollars, avec 2 343 onces équivalentes d'or vendues à un prix moyen de 2 420 dollars par once.
Points clés :
- Le fonds de roulement a augmenté pour atteindre 26,8 millions de dollars
- Les flux de trésorerie opérationnels ont progressé de 73 % pour atteindre 3,8 millions de dollars
- Les frais généraux et administratifs ont diminué de 16 % pour s'établir à 3,7 millions de dollars
La société a annoncé un important accord d'acquisition de 421 millions de dollars avec Triple Flag Precious Metals, offrant aux actionnaires 2,00 dollars par action via une combinaison d'espèces, d'actions Triple Flag et d'actions d'une nouvelle société scindée. La société scindée conservera la redevance à flux de trésorerie d'Ermitaño et d'autres actifs.
À la mine Ermitaño, où Orogen détient une redevance NSR de 2,0 %, la production a augmenté avec 1 012 523 tonnes de minerai traitées en 2024, soit une hausse de 15 % par rapport à 2023. La mine a enregistré des améliorations des récupérations d'argent et d'or, respectivement de 68 % et 95 %.
Orogen Royalties meldete starke Finanzergebnisse für 2024, mit einem Nettobetriebsergebnis von 4,3 Millionen US-Dollar, was einem Anstieg von 126 % gegenüber 2023 entspricht. Das Unternehmen erzielte einen Rekordumsatz aus Lizenzgebühren von 7,9 Millionen US-Dollar, mit dem Verkauf von 2.343 Goldäquivalent-Unzen zu einem Durchschnittspreis von 2.420 US-Dollar pro Unze.
Wichtige Highlights:
- Das Working Capital stieg auf 26,8 Millionen US-Dollar
- Der Cashflow aus dem operativen Geschäft wuchs um 73 % auf 3,8 Millionen US-Dollar
- Die Verwaltungs- und Allgemeinkosten sanken um 16 % auf 3,7 Millionen US-Dollar
Das Unternehmen kündigte eine bedeutende Akquisitionsvereinbarung über 421 Millionen US-Dollar mit Triple Flag Precious Metals an, bei der den Aktionären 2,00 US-Dollar pro Aktie in Form einer Kombination aus Bargeld, Triple Flag-Aktien und Aktien eines neuen Spin-off-Unternehmens angeboten werden. Das Spin-off wird die Cashflow-starke Ermitaño-Lizenzgebühr und weitere Vermögenswerte behalten.
In der Ermitaño-Mine, wo Orogen eine NSR-Lizenzgebühr von 2,0 % hält, stieg die Produktion mit 1.012.523 Tonnen verarbeiteten Erzes im Jahr 2024 um 15 % gegenüber 2023. Die Mine verzeichnete verbesserte Silber- und Goldrückgewinnungsraten von 68 % bzw. 95 %.
- Record royalty revenue of $7.9M in 2024, up 34% from 2023
- Net income from operations increased 126% to $4.3M in 2024
- Operating cash flow grew 73% to $3.8M in 2024
- Working capital increased by $8.3M to $26.8M with no long-term debt
- G&A expenses reduced by 16% to $3.7M in 2024
- Ermitaño mine showed 15% increase in ore processing volume
- New inferred resource discovery at Navidad vein adding 249,000 oz gold and 5.9M oz silver
- $421M acquisition agreement with Triple Flag, offering $2.00 per share value to shareholders
- Net comprehensive income declined 13% to $2.6M ($0.01 per share) in 2024
- Prospect generation revenue decreased 54% to $0.6M in 2024
- Gold head grades at Ermitaño decreased 11% compared to previous year
VANCOUVER, BC / ACCESS Newswire / April 29, 2025 / Orogen Royalties Inc. (TSXV:OGN)(OTCQX:OGNRF) ("Orogen" or the "Company") is pleased to report record revenue and after tax profit for the year ended December 31, 2024.
Fiscal 2024 Year End Highlights
All figures are stated in Canadian dollars unless otherwise noted.
Net Income from Operations: Net income was
$4.3 million (2023 -$1.9 million ) for the year ended December 31, 2024, up126% from 2023. Including income tax expense, net comprehensive income was$2.6 million or$0.01 per share (2023 -$3.0 million or$0.02 per share), down13% from 2023.Royalty Revenue: Royalty revenue of
$7.9 million (2023 -$5.9 million ) was earned in 2024 with 2,343 (2023 - 2,243) attributable gold equivalent ounces ("GEOs") sold at average price of US$2,420 (2023 - US$1,940) per ounce, up34% compared to 2023.Prospect Generation: Revenue from prospect generation activities was
$1.4 million (2023 -$1.9 million ) in 2024. After exploration expenses and impairment deductions, net income from prospect generation activities was$0.6 million (2023 -$1.4 million ), down54% from 2023.G&A Expenses: General and administrative expenses of
$3.7 million (2023 -$4.4 million ) were incurred in 2024, down16% compared to 2023.Cash flow: Cash flow of
$3.1 million (2023 -$1.4 million ) was generated from operating activities in 2023. Cash flow generated from operating activities, excluding changes in non-cash working capital, was$3.8 million (2023 -$2.2 million ), up73% from 2023.Working Capital: The Company has working capital of
$26.8 million at December 31, 2024, compared to$18.5 million at the beginning of the fiscal year, an increase of$8.3 million . The Company has no long-term debt.
Paddy Nicol, CEO of Orogen Royalties, commented, "We are proud to deliver another year of strong financial performance underpinned by record royalty revenue, financial discipline and a profitable prospect generator business model that has created high quality royalties such as the Expanded Silicon and Ermitaño projects. As announced last week, Triple Flag Precious Metals and Orogen agreed to the
For complete details of the Company's financial results, please refer to the audited consolidated financial statements and MD&A for the years ended December 31, 2024, and 2023. The Company's filings are available on SEDAR+ at www.sedarplus.ca and on Orogen's website at www.orogenroyalties.com. Please also see non-IFRS Measures at the end of this news release.
Summary of Results
Consolidated Statement of Income and Comprehensive Income | Unaudited - Three-Month | Years Ended December 31, | ||||||||||||||
$'000 | $'000 | |||||||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||||||
Income from Royalties | $ | 2,423 | $ | 1,828 | $ | 7,928 | $ | 5,949 | ||||||||
Income (loss) from Prospect Generation activities | 818 | (38 | ) | 634 | 1,385 | |||||||||||
Interest income | 212 | 86 | 577 | 256 | ||||||||||||
Total income | 3,453 | 1,876 | 9,140 | 7,590 | ||||||||||||
G&A | 452 | 1,141 | 3,744 | 4,448 | ||||||||||||
Operating income before other adjustments | $ | 3,001 | $ | 735 | $ | 5,396 | $ | 3,142 | ||||||||
Other income (loss) | (19 | ) | (76 | ) | (86 | ) | (42 | ) | ||||||||
Gain (loss) on marketable securities fair value adjustment | (333 | ) | (178 | ) | (1,052 | ) | (1,179 | ) | ||||||||
Net income before current tax | $ | 2,649 | $ | 481 | $ | 4,258 | $ | 1,921 | ||||||||
Income tax expense (recovery) | (95 | ) | 1,124 | (1,666 | ) | 1,123 | ||||||||||
Net income and comprehensive income | $ | 2,554 | $ | 1,605 | $ | 2,592 | $ | 3,044 | ||||||||
Basic income per share | $ | 0.01 | $ | 0.01 | $ | 0.01 | $ | 0.02 | ||||||||
Diluted income per share | $ | 0.01 | $ | 0.01 | $ | 0.01 | $ | 0.01 | ||||||||
Non-IFRS and Other Measures | ||||||||||||||||
GEOs | 628 | 686 | 2,343 | 2,243 | ||||||||||||
Average realized gold price per GEO | US$ | 2,663 | US$ | 1,971 | US$ | 2,420 | US$ | 1,940 | ||||||||
Cash flow from operating activities, excluding changes in non-cash working capital | $ | 641 | $ | 303 | $ | 3,784 | $ | 2,245 | ||||||||
Royalty Revenue and Key Assets
Ermitaño Royalty, Sonora, Mexico
First Majestic Silver Corp. ("First Majestic") operates the Ermitaño Mine, where the Company holds a
For the quarter ended December 31, 2024, royalty revenue was
Subsequent to the year ended December 31, 2024, First Majestic announced an initial inferred resource on the Navidad vein within the Ermitaño mine complex, adding 249,000 ounces gold and 5.9 million ounces of silver, increasing inferred resources
Ermitaño Reserves and Resources at Dec 31, 2024 1 | ||||||||||||||||||||
Reserves | Tonnage (k) | Silver (g/t) | Gold (g/t) | Silver (koz) | Gold (koz) | |||||||||||||||
Proven | 797 | 85 | 3.65 | 2,173 | 93 | |||||||||||||||
Probable | 2043 | 38 | 1.61 | 2,503 | 105 | |||||||||||||||
Total Reserves | 2,840 | 51.2 | 2.18 | 4,676 | 199 | |||||||||||||||
Resources (inclusive of reserve) | ||||||||||||||||||||
Measured | 883 | 90.5 | 4.2 | 2,570 | 120 | |||||||||||||||
Indicated + | 2,506 | 45.6 | 2.26 | 3,690 | 181 | |||||||||||||||
Total M&I | 3,389 | 57.3 | 2.76 | 6,260 | 301 | |||||||||||||||
Inferred Ermitaño* | 2,355 | 59.2 | 2.14 | 4,480 | 162 | |||||||||||||||
Inferred Navidad | 2,267 | 81 | 3.42 | 5,910 | 249 | |||||||||||||||
Total Inferred | 4,622 | 69.9 | 2.77 | 10,390 | 411 | |||||||||||||||
Prospect Generation
In 2024, four new royalties were created and
To date, the Company has 29 royalties in Canada, United States, Mexico, Argentina, Kenya, and Colombia, the majority of which were generated organically through the Company's prospect generation business. The Company also has seven mineral properties under option, five projects that are available for sale or option, and four alliances.
Exploration Outlook 2025
The outlook for 2025 includes an initial resource estimate on Kodiak Copper's (TSX.V:KDK) MPD South (Axe) porphyry copper-gold project (
MCC is a private company exploring for copper in Colombia. It is undertaking early-stage exploration, and its asset base has strong geological potential to host multiple porphyry deposits analogous to other large deposits in the Andean porphyry belt. MCC's drilling is currently focused on its Comita and Pantanos deposits. The company successfully raised US
At La Rica, historical outcrop sampling (118 samples) defined a 500 metre by 600 metre area of mineralization with an average grade of
General and Administrative Expenses
The Company incurred
Qualified Person Statement
All technical data, as disclosed in this press release, has been verified by Laurence Pryer, Ph.D., P.Geo., VP Exploration for Orogen. Dr. Pryer is a qualified person as defined under the terms of National Instrument 43-101.
Certain technical disclosure in this release is a summary of previously released third-party information and the Company is relying on the interpretation provided. Additional information can be found on the links in the footnotes.
About Orogen Royalties Inc.
Orogen Royalties is focused on organic royalty creation and royalty acquisitions on precious and base metal discoveries in western North America. The Company's royalty portfolio includes the Ermitaño gold and silver Mine in Sonora, Mexico (
On April 21, 2025, the Company and Triple Flag Precious Metals Corp. signed a definitive agreement (the "Agreement"), whereby Triple Flag will acquire all of the issued and outstanding common shares of Orogen pursuant to a plan of arrangement (the "Transaction") for total consideration of approximately
Orogen and Triple Flag have also agreed to negotiate the formation of a generative exploration alliance in the western United States, whereby Triple Flag will provide funding to Orogen Spinco for generating gold and silver targets considered geologically similar to the Expanded Silicon project. The initial US
On Behalf of the Board
OROGEN ROYALTIES INC.
Paddy Nicol
President & CEO
To find out more about Orogen, please contact Paddy Nicol, President & CEO at 604-248-8648, and Marco LoCascio, Vice President of Corporate Development at 604-248-8648. Visit our website at www.orogenroyalties.com.
Orogen Royalties Inc.
1015 - 789 West Pender Street
Vancouver, BC
Canada V6C 1H2
Forward Looking Information
This news release includes certain statements that may be deemed "forward looking statements". All statements in this presentation, other than statements of historical facts, that address events or developments that Orogen Royalties Inc. (the "Company") expect to occur, are forward looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "plans", "anticipates", "believes", "intends", "estimates", "projects", "potential" and similar expressions, or that events or conditions "will", "would", "may", "could" or "should" occur.
Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company's management on the date the statements are made. Except as required by securities laws, the Company undertakes no obligation to update these forward looking statements in the event that management's beliefs, estimates or opinions, or other factors, should change.
Forward-looking information in this news release includes disclosures regarding NSR royalty payments to be paid to the Company by First Majestic Silver Corp. ("First Majestic") the owners and operator of the Ermitaño mine located in Mexico and that the forecasted revenue which are based on First Majestic "NI 43-101 Technical Report on Mineral Resource and Mineral Reserve Estimates" having an effective date of June 30, 2021. In addition to the technical report, the disclosure herein also contains and the updated mineral reserve and resource estimates for the Ermitaño mine based on the Santa Elena Mineral Reserve, Resource Estimates with an effective date of December 31, 2024 as announced by First Majestic on March 31, 2025 and as disclosed in their December 31, 2024 AIF, and First Majestic's MD&A for the period ended December 31, 2024. Forward-looking statements are based on several material assumptions, which management of the Company believe to be reasonable, including, but not limited to, the continuation of mining operations in respect of which the Company will receive NSR royalty payments, that the commodity prices will not experience a material adverse change, mining operations that underlie the royalty will operate in accordance with the disclosed parameters and other assumptions may be set out herein.
Except where otherwise stated, the disclosure in this news release relating to properties and operations in which Orogen holds a royalty are based on information publicly disclosed by the owners or operators of these properties and information/data available in the public domain as at the date hereof, and none of this information has been independently verified by Orogen. Specifically, as a royalty holder and prospect generator, the Company has limited, if any, access to properties on which it holds royalty or other interests in its asset portfolio. The Company may from time to time receive operating information from the owners and operators of the mining properties, which it is not permitted to disclose to the public. Orogen is dependent on, (i) the operators of the mining properties and their qualified persons to provide information to Orogen, or (ii) on publicly available information to prepare disclosure pertaining to properties and operations on the properties on which the Company holds royalty or other interests, and generally has limited or no ability to independently verify such information. Although the Company does not have any knowledge that such information may not be accurate, there can be no assurance that such third-party information is complete or accurate. Some reported public information in respect of a mining property may relate to a larger property area than the area covered by Orogen's royalty or other interest. Orogen's royalty or other interests may cover less than
Non-IFRS Measures
The Company has included certain results in this news release that do not have any standardized meaning prescribed by International Financial Reporting Standards ("IFRS") including total GEOs sold, average realized gold price per GEO, and cash flow from operating activities excluding changes in non-cash working capital adjustments. The Company's royalty revenue is converted to a gold equivalent ounce by dividing the royalty revenue received during the period by the average gold price of the period. The Company has also used the non-IFRS measure of operating cash flows excluding changes in non-cash working capital. This measure is calculated by adding back the decrease or subtracting the increase in changes in non-cash working capital to or from cash provided by (used in) operating activities.
SOURCE: Orogen Royalties Inc.
View the original press release on ACCESS Newswire
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