Silver Crown Royalties

 

TORONTO, ON – TheNewswire – November 25, 2024 – Silver Crown Royalties Inc. (“Silver Crown”, “SCRi”, the “Corporation”, or the “Company”) (CBOE:SCRI; OTCQX:SLCRF; FRA:QS0) is pleased to announce that it has closed the purchase of a royalty from BacTech Environmental Corporation (“BacTech”) (CSE:BAC, OTCQB:BCCEF) pursuant to the terms of a definitive royalty purchase agreement (the “Agreement”) previously announced on October 28, 2024.

Pursuant to the terms of the Agreement, SCRi was granted a royalty on BacTech’s future bioleaching facility in Tenguel, Ecuador (the “Project”) equal to the cash equivalent of 90% of the silver processed at Project (the “Royalty”). Additionally, the Royalty provides that SCRi is to receive payments of a minimum 35,000 ounces of silver annually for at least ten years following the commencement of regular processing operations at the Project (“Commercial Production”).

The total purchase price for the Royalty consisted of: (i) C$1,000,000 in SCRi units (“Units”) issued at closing at a deemed value of C$10.00 per Unit, with each Unit consisting of a common share of SCRi (“Common Shares”) and a common share purchase warrant entitling the holder to acquire an additional Common Share at a price of C$16.00 for a period of 36 months from issue; (ii) 100,000 special warrants (“Special Warrants”) issued at closing and exercisable for a period of 36 months into 100,000 Common Shares of SCRi that will be automatically exercised for no additional payment upon BacTech successfully financing the Project (the “Financing Milestone”), and (iii) 200,000 Special Warrants issued at closing and exercisable into 200,000 Common Shares for a period of 36 months that will be automatically exercised for no additional payment upon BacTech achieving Commercial Production (the “Production Milestone”). SCRi’s October 28, 2024 press release erroneously noted that the 300,000 Special Warrants were exercisable into Units as opposed to Common Shares. If either of the Financing Milestone or Production Milestone are not successfully achieved within the 36-month period, the respective tranche of the Special Warrants will expire without having been exercised.

Peter Bures, Silver Crown’s Chief Executive Officer, commented, “We are very excited to close this all-equity transaction with BacTech. The Royalty has the potential to more than double our current revenues at less than 25% dilution. We look forward to cultivating a positive relationship with BacTech as they endeavor to process environmentally sensitive mine waste in an ecologically sound manner.”

Ross Orr, BacTech’s President and Chief Executive Officer, added: “We look forward to arranging the financing for our Ecuador project to accelerate the receipt of the balance of the shares owed under the agreement. BacTech will continue to pursue additional gold and silver feeds that have arsenic issues where bioleaching can enable miners to achieve higher returns than they currently receive. As shareholders in SCRi, it is safe to assume that they would be our first call should we obtain additional material for processing.”

ABOUT BACTECH ENVIRONMENTAL

BacTech Environmental Corporation is a company that specializes in environmental technology. BacTech uses a process called bioleaching to recover metals like gold, silver, cobalt, nickel, and copper while also safely removing harmful contaminants like arsenic. This process is eco-friendly and uses naturally occurring bacteria that are safe for both humans and the environment. By using its proprietary method of bioleaching, BacTech can neutralize toxic concentrates and tailings while also creating profitable opportunities. BacTech is publicly traded on several stock exchanges, including the CSE, OTCQB, and Frankfurt Stock Exchange.

ABOUT SILVER CROWN ROYALTIES INC.

Founded by industry veterans, Silver Crown is a publicly traded, silver royalty company. SCRi currently has four silver royalties of which two are revenue-generating. Its business model presents investors with precious metals exposure allowing for a natural hedge against currency devaluation while minimizing the negative impact of cost inflation associated with production. SCRi endeavors to minimize the economic impact on mining projects while maximizing returns for shareholders.

For further information, please contact:

Silver Crown Royalties Inc.

Peter Bures

Chairman and CEO

Telephone: (416) 481-1744

Email: [email protected]    

 

FORWARD-LOOKING STATEMENTS

This release contains certain “forward looking statements” and certain “forward-looking information” as defined under applicable Canadian and U.S. securities laws. Forward-looking statements and information can generally be identified by the use of forward-looking terminology such as “may”, “will”, “should”, “expect”, “intend”, “estimate”, “anticipate”, “believe”, “continue”, “plans” or similar terminology. The forward-looking information contained herein is provided for the purpose of assisting readers in understanding management’s current expectations and plans relating to the future. Readers are cautioned that such information may not be appropriate for other purposes. Forward-looking statements and information include but are not limited to statements with respect to SCRi’s ability to achieve its strategic objectives in the future and its ability to target additional operational silver-producing projects. Forward-looking statements and information are based on forecasts of future results, estimates of amounts not yet determinable and assumptions that, while believed by management to be reasonable, are inherently subject to significant business, economic and competitive uncertainties and contingencies. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the actual actions, events or results to be materially different from those expressed or implied by such forward-looking information, including but not limited to: the impact of general business and economic conditions; the absence of control over mining operations from which SCRi will purchase gold and other metals or from which it will receive royalty payments and risks related to those mining operations, including risks related to international operations, government and environmental regulation, delays in mine construction and operations, actual results of mining and current exploration activities, conclusions of economic evaluations and changes in project parameters as plans continue to be refined; accidents, equipment breakdowns, title matters, labor disputes or other unanticipated difficulties or interruptions in operations; SCRi’s ability to enter into definitive agreements and close proposed royalty transactions; the inherent uncertainties related to the valuations ascribed by SCRi to its royalty interests; problems inherent to the marketability of gold and other metals; the inherent uncertainty of production and cost estimates and the potential for unexpected costs and expenses; industry conditions, including fluctuations in the price of the primary commodities mined at such operations, fluctuations in foreign exchange rates and fluctuations in interest rates; government entities interpreting existing tax legislation or enacting new tax legislation in a way which adversely affects SCRi; stock market volatility; regulatory restrictions; liability, competition, the potential impact of epidemics, pandemics or other public health crises on SCRi’s business, operations and financial condition, loss of key employees. SCRi has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers are advised not to place undue reliance on forward-looking statements or information. SCRi undertakes no obligation to update forward-looking information except as required by applicable law. Such forward-looking information represents management’s best judgment based on information currently available.

This document does not constitute an offer to sell, or a solicitation of an offer to buy, securities of the Company in Canada, the United States or any other jurisdiction. Any such offer to sell or solicitation of an offer to buy the securities described herein will be made only pursuant to subscription documentation between the Company and prospective purchasers. Any such offering will be made in reliance upon exemptions from the prospectus and registration requirements under applicable securities laws, pursuant to a subscription agreement to be entered into by the Company and prospective investors. There can be no assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, the reader is cautioned not to place undue reliance on forward-looking statements.

CBOE CANADA DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.

 

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