S T. JOHN’S, Newfoundland and Labrador – Altius Minerals Corporation (ALS: TSX) (ATUSF: OTCQX) (“Altius” or the “Corporation”) is pleased to update its Project Generation (“PG”) business activities and junior public equity portfolio. The market value of the shares in the portfolio as of June 30, 2021 was approximately $ 64.5 million, compared to $ 54.2 million as of March 31, 2021. The value of the portfolio includes the receipt of 600,000 Champion Iron Limited shares (CIA: TSX) which were distributed to secured debt holders as part of their acquisition of the Kami project through a receivership process, and also 7.14 million shares of TRU Precious Metals Corp. (TRU: TSXV) that were received as payment for the Golden Rose property during the quarter. The portfolio value does not include share sales amounts of $ 1.9 million, but does incorporate new investments of $ 2.1 million during the quarter. An updated list of public equity holdings has been posted on the Altius website at http://altiusminerals.com/projects/junior-equities.
Portfolio and project highlights
Altius PG equity companies have raised more than $ 150 million from the beginning of 2020 to the end of the first quarter of 2021. This pace continued in the second quarter, with an additional $ 68 million closed in the quarter, primarily from Surge Copper Corp. (SURG: TSXV) (“Surge”) ($ 14 million) and Uranium Royalty Corporation (URC: TSXV) ($ 37 million).
Adventus Mining Corporation (ADZN: TSXV) (“Adventus”) continued to report positive high-grade infill drilling results from its copper- and gold-rich El Domo deposit located within the Curipamba project. A feasibility study for El Domo is expected to be completed in the fourth quarter of 2021. Adventus also recently began exploratory drilling on targets within the larger Curipamba project. In addition to its large stake in Adventus’ equity capital, Altius has a 2% Net Smelter Return (“NSR”) royalty covering the Curipamba project, as well as royalties covering several additional exploration projects located in Ireland and Newfoundland. that Adventus sold or was associated with. with third-party companies, including South32 and Canstar Resources.
Orogen Royalties Inc. (OGN: TSVV) (“Orogen”) reported sales of additional exploration projects that included royalties withheld, in addition to providing information on First Majestic Silver Corporation’s continued advancement of the Ermitaño gold-silver deposit under construction in Mexico, over which Orogen has a 2% NSR royalty. In addition to its equity interest in Orogen, Altius also holds a 1.5% direct NSR royalty related to the Orogen-generated Silicon project in Nevada, which is being advanced by AngloGold Ashanti. Orogen also has a 1% NSR royalty on the Silicon project.
Surge Copper Corp. During the quarter, Altius acquired 3,773,585 continuous flow units in Surge at a price of 53 cents per unit for a total investment of $ 2 million. Surge is a copper exploration company with a current focus on resource definition and exploration at its Ootsa Cu-Au porphyry project, British Columbia.
During the quarter, several organically generated precious metals projects sold by Altius in Newfoundland for equity stakes and underlying project royalties in the past year saw the start of summer field programs and drilling campaigns that included:
During the quarter, Altius executed a agreement to sell your Adeline copper project in Labrador to Chesterfield Resources (CHF: LSE) for 9.9% of the company (10,089,199 shares) and 11,100,000 3-year warrants at a price of 20 pence, as well as a gross sales royalty of 1.6% that covers the project. Altius anticipates the receipt of the payment shares at the end of July. The value of these shares has not been included in the portfolio value at the end of the quarter.
Altius also ran a link Letter of Intent with Churchill Resources INC.(CRI: TSXV) in the sale of the Florence Lake nickel project for the phased issue of approximately 8.3 million total CRI shares and the retention of a 1.6% gross sales royalty covering the project. Altius anticipates receiving the payment shares in the third quarter, the value of which has also not been included in the portfolio value at the end of the quarter.
Lawrence Winter, Ph.D., P. Geo., Altius Vice President of Exploration, a Qualified Person as defined by National Instrument 43-101 – Disclosure Standards for Mineral Projects, is responsible for the scientific and technical data presented in and has reviewed, prepared and approved this release.
Altius’ strategy is to create growth per share through a diversified portfolio of royalty assets that relate to long-duration, high-margin operations. This strategy provides shareholders with exposures that are well aligned with global growth trends related to sustainability, including the transition from electricity generation from fossil fuels to renewables, electrification of transportation, reducing emissions from steelmaking and increased agricultural performance requirements. Each of these macro trends has the potential to cause increased demand for many of Altius’ commodity exposures, including copper, renewables-based electricity, several key battery metals (lithium, nickel and cobalt), mineral clean iron and potash. In addition, Altius runs a successful project generation business that originates mineral projects for sale to developers in exchange for equity positions and royalties. Altius has 41,504,597 issued and outstanding common shares that are listed on the Toronto Stock Exchange of Canada. It is a member of the S & P / TSX Small Cap and S & P / TSX global mining indices.
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