Mr. Peter Bures reports
SILVER CROWN ROYALTIES GROWS PORTFOLIO THROUGH TITIMINAS ROYALTY ACQUISITIONS
Silver Crown Royalties Inc. has entered into a definitive royalty purchase agreement with the holders of two existing privately held 1-per-cent net smelter return royalties on Titiminas Silver Inc.'s Madre Sierra deposit in Jauja, Peru. The agreement provides for Silver Crown's acquisition of the royalties for cash consideration of $6-million (U.S.) payable at closing of the transaction, with an additional $1-million (U.S.) payable in cash to the holder of each royalty upon Silver Crown's receipt of the first payment under such royalty (for total cash consideration of up to $8-million (U.S.)). Closing is expected to occur on or before June 30, 2026, and is subject to customary conditions precedent as well as the registration of the royalties on title to the project.
Transaction and asset highlights:
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Imminent revenue: The project is a past-producing mine with numerous surface access points and working faces targeting small scale (70 to 100 tonnes per day) production in Q4 2026. Titiminas Silver's target process rates are 1,000 to 1,100 tonnes per day in 18 to 24 months. Silver Crown Royalties anticipates the project to be in production by Q4 and revenue contributions of around 60,000 silver ounces annually within two years.
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Crystalize value and diversifying asset portfolio: The transaction is accretive on net asset value and per-share metrics.
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Exploration and production upside: Titiminas Silver controls a significant land package in a past-producing polymetallic camp.
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Financing: Silver Crown Royalties has over $15-million in cash and silver bullion immediately available to finance the transaction.
"This transaction marks our first acquisition of a pre-existing royalty; at 75 per cent of silver value (at recent market prices), the royalties fit our pure-silver approach. Having visited the site in May, we believe these royalties will have a transformative effect on SCRi with the potential to add over 60,000 ounces per annum within the next two years. Silver Crown will continue to work with Titiminas Silver to further support development at the Madre Sierra project," stated Peter Bures, chief executive officer of Silver Crown Royalties.
About Silver Crown Royalties Inc.
Founded by seasoned industry professionals, Silver Crown Royalties is a publicly traded silver royalty company dedicated to generating free cash flow. Silver Crown currently holds five silver royalties. Its business model offers investors exposure to precious metals, providing a natural hedge against currency devaluation while mitigating the adverse effects of production-related cost inflation. Silver Crown strives to minimize the economic burden on mining projects while simultaneously maximizing shareholder returns.
We seek Safe Harbor.
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