Royalties Inc. Announces Closing of Financing

Rhea-AI Summary

Royalties Inc. (CSE: RI) has successfully completed a non-brokered private placement, raising $180,000 through the issuance of 6,000,000 shares at $0.03 per share. The funds will be allocated to cover corporate overhead in Canada, as well as property taxes and litigation expenses in Mexico for 2025.

The company expects its Bilbao silver-zinc-lead project in Mexico to gain recognition when silver prices consistently exceed US$40 per ounce. Additionally, following the appointment of a new judge in Zacatecas, Mexico, a judgment regarding the recognition of a 2% NSR on the Portree claims, part of the Capstone Copper Corp.'s Cozamin mine, is anticipated within the next few months.

Positive

• Secured $180,000 in financing through private placement
• Potential value recognition of Bilbao project tied to silver price milestone
• Expected resolution of 2% NSR litigation on Portree claims

Negative

• Dilution of shareholder value through issuance of 6,000,000 new shares
• Project value recognition dependent on silver reaching US$40/oz, significantly above current prices
• Ongoing litigation expenses impacting financial resources

Toronto, Ontario--(Newsfile Corp. - January 13, 2025) - Royalties Inc. (CSE: RI) ("the Company") has closed a non-brokered private placement of $180,000 at $0.03 per share for 6,000,000 shares which will cover corporate overhead in Canada and property taxes and litigation expenses in Mexico in 2025. The value of the Bilbao silver-zinc-lead project in Mexico is expected to be recognized when the silver price sustainably exceeds US$40 per ounce. With the recent appointment of a new judge in Zacatecas, Mexico a judgment to properly recognize a 2% NSR on the Portree claims which are part of the Cozamin mine, operated by Capstone Copper Corp. should be rendered in the next few months.

About Royalties Inc.

Royalties Inc. has a 2% stake in Music Royalties Inc. ("MRI"), a Canadian-based private company that acquires passive music royalties from rightsholders (including but not limited to artists, producers and songwriters) and currently holds a portfolio of approximately 29 cash-flowing music royalties. MRI is currently paying a monthly dividend generating a 7.2% annual yield.

Royalties Inc. owns a 100% interest, subject to a 1.5% NSR repurchased and owned as a separate asset, on the Bilbao silver-lead-zinc-copper project located in the State of Zacatecas, Mexico.

Royalties Inc. owns 88% of the outstanding shares of Minera Portree de Zacatecas, S.A. de C.V ("Minera Portree") which holds an asserted claim (backed by a court approved lien) to a 2% net smelter royalty on five mining concessions which are part of the Cozamin mine operated by Capstone Copper Corp., which claim is challenged by Capstone.

For further information contact Royalties Inc. at www.royaltiesinc.com.

Tim Gallagher 
CEO & Director
(416) 925‐0090

Andrew Robertson 
Director 
(416) 317-0137

Connor Gallagher
Investor Relations
(647) 921-2206

Neither the CSE, nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this press release.

Forward-Looking Statements

This news release contains "forward-looking information" within the meaning of applicable securities laws. All statements contained herein that are not clearly historical in nature may constitute forward-looking information. In some cases, forward-looking information can be identified by words or phrases such as "may", "will", "expect", "likely", "should", "would", "plan", "anticipate", "intend", "potential", "proposed", "estimate", "believe" or the negative of those terms, or other similar words, expressions, and grammatical variations thereof, or statements that certain events or conditions "may" or "will" happen, or by discussions of strategy. Where the Company expresses or implies an expectation or belief as to future events or results, such expectation or belief is based on assumptions made in good faith and believed to have a reasonable basis. However, forward-looking statements are subject to risks, uncertainties, and other factors, which could cause actual results to differ materially from future results expressed, projected or implied by such forward-looking statements. Such risks include, but are not limited to: sufficient capital and financing required in order to fulfill the Company's business plans and strategy may not be obtained as expected; that the Company will not be able to pay future dividends; and other risks related to the Company as disclosed in the documents filed on the Company's SEDAR profile at www.sedarplus.ca. Accordingly, readers are cautioned not to place undue reliance on forward-looking statements contained in this press release and they are expressly qualified in their entirety by this cautionary statement. The forward-looking statements herein are made as at the date hereof and are based on the beliefs, estimates, expectations, and opinions of management on such date. The Company does not undertake any obligation to update publicly or revise any such forward-looking statements whether as a result of new information, future events or to explain any material difference between subsequent actual events and such forward-looking information, except as required under applicable securities law.

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/236993

FAQ

How much did Royalties Inc. (ROYIF) raise in its January 2025 private placement?

Royalties Inc. raised $180,000 through a non-brokered private placement at $0.03 per share, issuing 6,000,000 shares.

What is the target silver price needed for Royalties Inc.'s (ROYIF) Bilbao project value recognition?

The Bilbao silver-zinc-lead project's value is expected to be recognized when silver prices sustainably exceed US$40 per ounce.

What is the status of Royalties Inc.'s (ROYIF) NSR litigation for the Portree claims?

With a new judge appointed in Zacatecas, Mexico, a judgment regarding the 2% NSR on the Portree claims at the Cozamin mine is expected within the next few months.

How will Royalties Inc. (ROYIF) use the January 2025 financing proceeds?

The financing proceeds will cover corporate overhead in Canada and property taxes and litigation expenses in Mexico for 2025.