Mr. Frederick Bell reports

ELEMENTAL ROYALTIES BOARD INTENDS TO RECOMMEND REJECTION OF GOLD ROYALTY CORP PROPOSED UNSOLICITED ALL-SHARE TAKEOVER BID

After having received advice from its financial and legal advisers, the board of directors of Elemental Royalties Corp. intends to recommend that shareholders reject an unsolicited all-share takeover bid from Gold Royalty Corp. if and when the bid commences, assuming the terms are as proposed by Gold Royalty in its Dec. 20, 2021.

The board, following a meeting on Dec. 22 and after discussions with certain shareholders, described the Gold Royalty intention as opportunistic in timing and advised shareholders that the board carefully reviewed and rejected a prior private non-binding all-share unsolicited proposal from Gold Royalty on terms similar to the Gold Royalty intention valuing Elemental at $1.78 per share.

Elemental intends to continue business as usual in pursuing royalty opportunities. At the same time, the board will review alternative strategic options that might represent more compelling value to shareholders than either the Gold Royalty intention or continuing as an independent business. Elemental cautions shareholders that there can be no certainty of a takeover transaction. Elemental continues to advise shareholders to take no action with regard to the Gold Royalty intention.

Advisers

The company has engaged Canaccord Genuity Corp. as its sole financial adviser and Fasken Martineau DuMoulin LLP as legal adviser to the company and its board. Longview Communications and Public Affairs is engaged as communications adviser to the company.

About Elemental Royalties Corp.

Elemental is a gold-focused royalty company listed on the TSX Venture Exchange in Canada and provides investors with lower-risk precious metals exposure through a portfolio of nine high-quality royalties. This enables investors to benefit from continuing royalty revenue, future exploration upside and low operating costs. Elemental's experienced team seeks to secure royalties in advanced precious metals projects, run by established operators, from its pipeline of identified opportunities.

We seek Safe Harbor.