Company Updates From Management – Mon 21 Sep, 2020

Metalla Royalty and Streaming – More information on the cash flowing royalty purchased from Morgan Stanly

Last week Metalla Royalty and Streaming (TSX.V:MTA – NYSE:MTA) purchased a participation royalty from Morgan Stanley on Karora Resources Higgensville Gold Operation in Australia. It was an all share deal worth up to US$6.5million and this royalty is currently cash flowing.

Brett Heath, President and CEO of Metalla joins me for a overview of the deal terms which are different than your standard percentage royalty. We also look at the leverage to the gold when it comes to the future cash flow projections.

Please email me if you have any further questions for Brent. My email address is Fleck@kereport.com.

Click here to visit the Metalla website and read over the recent news release.


Comments:
  1. On September 21, 2020 at 9:58 am,
    Excelsior says:

    (MMX) Maverix To Acquire Gold Royalty Portfolio From (NEM) (NEWM) Newmont

    (09/21/2020)

    “Newmont to Increase its Ownership in Maverix”

    “Maverix Metals Inc. is pleased to announce that it has entered into a binding purchase and sale agreement to acquire a portfolio of 11 gold royalties from Newmont Corporation for upfront consideration of $75 million and contingent payments of up to $15 million.”

    Dan O’Flaherty, CEO of Maverix, commented, “This transaction marks another important milestone in our continued growth at Maverix. The acquisition of these high quality royalties enhances our existing portfolio and adds to our already robust pipeline of development assets. We want to thank Newmont for continuing to entrust the Maverix team with unlocking additional value from their royalty assets.”

    https://www.maverixmetals.com/site/assets/files/3805/mmx_nr_09-21-20.pdf

  2. On September 21, 2020 at 10:13 am,
    Excelsior says:

    (RGLD) Royal Gold Issues Correction
    09/21/2020

    (BUSINESS WIRE)– ROYAL GOLD, INC. announced today that terms of a potential transaction currently under negotiation with Hindustan Zinc Limited and (SAND) (SSL) Sandstorm Gold Limited were inadvertently made public via our website. No agreement has been reached regarding such a transaction, and there can be no assurance such a transaction will be agreed upon or completed.”

    https://www.royalgold.com/investors/press-releases/press-release-details?id=8dd31aaf-bb4c-471c-83db-964fe1cbd108

  3. On September 21, 2020 at 10:14 am,
    Bill says:

    Like I said a month ago….we could get hit metals included.. My cash looking good now….Got lucky dumped a pile Fri…..see how she pans out now waiting to reload…
    Luk!

    • On September 21, 2020 at 10:27 am,
      Dick Tracy says:

      Bill, you must have dumped a huge pile because it seems to have caused a real panic in the conventional, and gold and silver markets. It is the unknown which causes real panic, next time it would be nice if you would let us know beforehand. LOL! DT

      • On September 21, 2020 at 10:44 am,
        Excelsior says:

        the time to be aggressively adding to mining stocks was the end of 2018, the middle of 2019, and the spring of 2020. There were nice windows of 1-3 months with plenty of time for contrarian investors that follow the space to get positioned. Sure there were little blips and pips here and there continuously, but most investors should have already done most of the buying long ago.

        Hell there was plenty of time to get positioned before 2018 as well, all the way back to the end of 2015 and early 2016, but most generalist investors wanted to wait until Gold and Silver had doubled in price, and after the miners had gone up 200-400% to start getting positioned. 🙂
        (It never ceases to amaze that people love to wait until something goes on a big run to get positioned, like all the lemmings piling into Apple and Tesla right before the split).

        Anyone following the precious metals space got positioned long ago at much lower prices, and then thew everything they had left at the pullback in March of this year, and didn’t cower in cash. For those that bought right, now it is time to hold and sit tight, and just add more on pullbacks like we are seeing lately.

        I’m sure the craziness around the US elections will create a great deal of turbulence, but they are also getting ready to approve Trillions more Dollars in stimulus bills, the Fed wants to see inflation heat up, while interest rates are zero, and real rates are negative. Every other Central Bank is playing the same losing game, as they’ve painted themselves into a corner, and can never normalize rates again to 5-7% with out being crushed by the massive debt loads on their backs.

        Nothing fundamentally has changed, so despite any short-term volatility, the longer term picture is still as bullish as it has ever been for the precious metals.

      • On September 21, 2020 at 11:05 am,
        OOTB Jerry says:

        DITTO DICK,,,,,,,,,,,,,,,,,,,No use coming on after the fact……… 🙂

        • On September 21, 2020 at 11:07 am,
          OOTB Jerry says:

          Long game plan , if, you are in,,,,,you will be fine…..

  4. On September 21, 2020 at 10:15 am,
    Dick Tracy says:

    Technology is the great disruptor, will we have inflation or deflation, here is an interesting video on deflation coming not inflation. https://www.youtube.com/watch?v=kGsp45JbvnU

    • On September 21, 2020 at 10:53 am,
      Excelsior says:

      speaking of technology as the great disrupter, has anyone else taken a look at Coro?

      Bascially its a web or smart phone app that allows you to store your wealth in gold and the covert to your local currency to buy things in the marketplace. (kind of like Gold Money was working on doing a while back).

      https://coro.global/why-coro/

  5. On September 21, 2020 at 11:10 am,
    OOTB Jerry says:

    Big News of the week,,,,,,,someone else posted…………Sprott buys some first majestic

    • On September 21, 2020 at 11:17 am,
      Excelsior says:

      Well, Sprott had bought a huge portfolio of the early stage explorers, advanced explorers/early developers, advanced developers, smaller producers, and mid-tier producers, so maybe he needed a Silver Senior to top it off as the cherry on top. 🙂

      • On September 21, 2020 at 11:23 am,
        OOTB Jerry says:

        Going for less risk

        • On September 21, 2020 at 11:27 am,
          OOTB Jerry says:

          When you pass 70, the idea of recovery time is more on the mind, than making it big,,,if, you have not made it by 70, might be time to try something else,,,,,lol 🙂

          • On September 21, 2020 at 11:35 am,
            Excelsior says:

            Sure. Since he already has plenty of risk capital at work with the earlier stage companies, it makes sense to take on the less risk of a larger Sr Producer like First Majestic, which will do great at current prices, and still have excellent leverage to rising prices.

            I did the same thing in my portfolio with Coeur and Silvercorp for the Silver and Argonaut, Roxgold, and Galiano Gold for gold, along with Royalty companies like Maverix, Metalla, and Nomad that have royalties on some of the big boy projects and they are partnered with the Seniors, along with the Juniors.

          • On September 21, 2020 at 11:38 am,
            Excelsior says:

            Even today I sold my riskier Sokoman & Blue Lagoon at a profit, and my Platinum Group Metals for a tax loss, and plowed more into producers like Jaguar Mining and Endeavour Silver as they pulled back but will be doing great at current prices. I kept the rest of the funds to deploy if the selloff continues down lower.

          • On September 21, 2020 at 12:58 pm,
            Excelsior says:

            Also added some more to my Treasury Metals position today.

          • On September 21, 2020 at 2:28 pm,
            Excelsior says:

            (TML) (TSRMF) Treasury Metals’ CEO on the gold market and the Goliath-Goldlund gold projects

            InvestorIntel – Sept 18, 2020 #VIDEO

            “InvestorIntel’s Tracy Weslosky spoke with Greg Ferron, CEO of Treasury Metals Inc. (TSX: TML | OTCQX: TSRMF), about Treasury Metals’ Goliath gold project and the recent acquisition of the Goldlund project. “We are next to a very prolific camp, Red Lake.” Greg said. After the Goldlund acquisition, Greg added, “We are now one of the largest undeveloped gold projects in Canada with more than a 3 million ounce deposit.”

            Speaking on the competitive advantages of Treasury Metals, Greg commented, “We are right on the trans-Canada highway, that keeps our cost down. We have all the infrastructure, we have skilled labor, we have a very high-grade open pit and attractive underground grades.”

            https://youtu.be/–DkRErnGM0

      • On September 21, 2020 at 2:51 pm,
        OOTB Jerry says:

        Here is the man….for silver,,,,,,,,,,,,,
        https://www.youtube.com/watch?v=-_JPOp4HAnY

        • On September 21, 2020 at 2:53 pm,
          OOTB Jerry says:

          Silver has a lot of work to do……..has to clear the $49……and then bye, bye,,,,,
          a lot of back and forth until then,,,,,GSR 77 today,,,,

      • On September 21, 2020 at 5:05 pm,
        David says:

        Maybe Sprott sees First Majestic as a buyer for Discovery or Vizsla or some other Sprott holding. Just a thought.

        • On September 21, 2020 at 5:11 pm,
          Excelsior says:

          I sure hope First Majestic doesn’t buy Discovery or Vizsla any time soon, as I want them to have more time to rise in the PM bull first. Also, I believe with Vizsla’s option on their mill that they will be able to take their assets into production on their own. I’d like to see them make it all the way to commercial production before a buyout.

          • On September 21, 2020 at 6:39 pm,
            David says:

            Good points

          • On September 21, 2020 at 9:42 pm,
            David says:

            Just read First Majestic is buying into Silver Dollar Resources which Eric Sprott had bought about $6.49 mil worth of shares. Maybe I was on the right track.

          • On September 21, 2020 at 10:30 pm,
            Excelsior says:

            Yeah, Maybe Keith N. will go after Silver Dollar Resources.

  6. On September 21, 2020 at 5:08 pm,
    Excelsior says:

    (NVO) (NSRPF) Novo Sells Part of Blue Spec Project to Calidus Resources for Cash Consideration of A$19.5 Million

    by @nasdaq on 21 Sep 2020

    https://ceo.ca/@nasdaq/novo-sells-part-of-blue-spec-project-to-calidus-resources

  7. On September 21, 2020 at 7:05 pm,
    Bill says:

    On September 21, 2020 at 10:27 am,
    Dick Tracy says: lol
    Funny DT
    I wish i could make the market move! The general market was set to get hit. I dumped 400k of stuff…250k of EDR. Penuts in general. I think a rough ride is ahead. Cash is good. Waiting. Busy as hell camping lol. Humpback whales out front going to get the prawn traps….have a great week.

  8. On September 22, 2020 at 11:26 am,
    Bill says:

    My guys were right. I always weigh on the cautious side.
    Lots of cash for now. luk dudes

    “We sold DGP, our main gold position, on August 04. Gold peaked on August 6th, and today hit its lowest level of the past two months. It’s worth re-reading that August post by clicking this text.
    Our Gold Trend Indicator is now bearish, and we’ll wait for a bullish signal, or at least a better entry point, before restoring our main gold position.
    For now we expect both equities and precious metals to continue generally lower.”

  9. On September 23, 2020 at 9:24 am,
    Bill says:

    Guys its called taking a profit..
    I agreed with my guys so i sold many positions. Here’s From Aug 3rd.

    We’re selling our core gold position, DGP, Thursday at the open.

    DJIA up 773 points so far this week, entering total mania territory with valuations and sentiment completely unhinged from any rationality or fundamentals, while we remain convinced that the current rally in stocks is just a bounce from the March low and, much more important, our key Indicators remain longer-term bearish with some at 20-year and even historic extremes.

    Increasingly weaker advance/decline statistics are evident, at levels which usually coincide with major reversals.

    Keep in mind that when stocks swoon lately, if even for a half-hour, and going back months or more, so do gold and silver. Remember March of 2020? It’s not different next time. Everything is in a wildly speculative bubble now.

    We may add another general market short soon, when the timing seems right.

    We may add to our US dollar long position, DEUR, soon too if the dollar keeps dropping.

    We bought DGP in November of 2016, which we now know was a major bottom in gold. The world was very bearish on precious metals then, while we were very bullish.

    The difference was more stark only near the end of 2015, when gold posted its low of the past decade while we turned ultra-bullish for the first time in years.

    Most people didn’t want to hear anything about gold at the time. Why? They’d been losing money since the top in 2011, when we were extremely bearish and making killings shorting gold and silver while drawing the considerable ire of gold bugs.

    Since then we’ve made phenomenal gains along the way in many gold-related positions.

    Just this year for example: USLV and JNUG averaging +12% within a month in January. USLV again in March scoring +62% in 8 trading days, while netting 21% in two weeks on NUGT also in March. More recently, +54% in 3 weeks on AGQ.

    And we made a big score on the short side in March too, +87% on JDST in less than a week.

    Last year: JNUG +38% in a month. UGLD +21% in 5 months. USLV +25% in 10 weeks. NUGT +62% in 5 months. NUGT again for +25% in 3 days! JNUG again +50% in 1 month!

    On the short side in 2019: DUST +30% in 1 week.

    Currently in our Gold & Silver Penny Stock Basket and up 400% on International Montoro (IMT) from our Penny Stock Speculations which also has some gold exposure. Bitterroot (BTT) is up 86%, Western Atlas (WA) is up 120%, and Lara (LRA) is up 36% after being up as much as 82% for us in June.

    Maybe we’ll get it right yet again while the world gets it wrong, but while our Gold Trend Indicator remains on a “bullish” signal we will step aside on our core gold position DGP for now; selling it at the market tomorrow morning.

    DGP is up 105% for us.

    We’ll hold on to the penny stocks for now in case those go higher still and maybe even become dollar stocks, however the choice of when to sell and how much is always up to the individual while we’ll continue to set the best example we can.

    Holding is one thing, however do not chase gold & silver or related stocks higher.

  10. On September 23, 2020 at 9:27 am,
    Bill says:

    On September 21, 2020 at 10:44 am, Excelsior says:

    Ex lots stuff was in a bubble even Warn B news was very timley.
    I still got core pos.

    • On September 23, 2020 at 6:01 pm,
      Excelsior says:

      I agree Bill, and was also taking profits from late July into mid-August. I started getting back into positions from late August through mid-Sept, and have been doing some buying again lately.