Sailfish Royalty – Q1 Financials, Update On Key Royalties, And Lead Order Commitment Received on Previously Announced Swordfish Silver Spinout Transaction
Paolo Lostritto, Vice President of Corporate Development for Sailfish Royalty Corp (TSX.V: FISH – OTC: SROYF), joins us to overview the Company’s Q1 operations report, key royalty assets, and ongoing progress with the silver exploration spinco, Swordfish Silver.
We start off by reviewing the operating and financial results for the first quarter ended March 31, 2022, where there were revenues of $722,564 generated from the gold production at San Albino gold mine, operated by Mako Mining (TSX.V: MKO), where the Company has gold stream that is the equivalent to a 3% net smelter royalty. We pointed out that in addition to this royalty revenue, that the Company also collected approximately $1.12 million from its gold-linked loan to Mako Mining Corp., which continues to generate returns greater than originally anticipated. This comes out to over $1.8 million in quarterly returns, and providing the gold price stays in the same average area it has been, then this is a good target for where future quarters should be coming in. The company has also been active in buying back 550,000 shares over the quarter and declared a quarterly dividend of $0.0125 per common share, which was paid on April 15, 2022.
Next, we pivoted over to another cornerstone asset, the Spring Valley 0.5-3% NSRs on the multi-million ounce Spring Valley Gold Project, held by Waterton in Pershing, Nevada, where the key catalyst will be Waterton vending the Project into the portfolio of a larger mining company to unlock the value through development and eventual production. We wrapped up with a quick review of the Company’s ongoing spinout of Swordfish Silver, which will hold both the Gavilanes Silver Project located in Durango, Mexico, and Commonwealth Silver-Gold Project located in Cochise County, Arizona. Both of these silver projects have historic resources in place, and plenty of exploration upside, and on May 26th the Company announced it has received a lead order commitment from Barnwell Investments LLC in connection with a private placement contemplated as part of the previously announced transaction.