VANCOUVER, BC, Jan. 27,
2022 /CNW/ - Electric Royalties Ltd. (TSXV:
ELEC) (OTCQB: ELECF) ("Electric Royalties" or the
"Company") is pleased to announce closing of the
previously announced Rana Nickel
Royalty acquisition (see news releases dated October 19, 2021 and December 16, 2021) with Scandinavian Resource
Holdings ("SRH") and Global Energy Metals Corp. (TSX-V: GEMC)
("GEMC") to acquire a 1% net smelter revenue royalty on the Rana
nickel project (the "Rana Project" or "Rana"). The Rana Project
comprises four exploration licenses totaling 25 square kilometers
in the Råna mafic-ultramafic intrusion in Northern Norway, including the past producing
Bruvann Nickel mine.
The Company has issued 1,800,000 common shares of the Company
("Consideration Shares") to Casper
Peterson, Jeroen Van Gool,
Martin Blakeman and Winton Willesee
(as nominees for SRH) and made a cash payment of $90,000 to SRH, issued 200,000 Consideration
Shares to GEMC and made a cash payment of $10,000 to GEMC. The Consideration Shares will be
subject to a voluntary escrow lock-up agreement which provides that
50% of the common shares will be subject to a hold period of 4
months and one day, 25% for 8 months and the remaining 25% for 12
months. The transaction remains subject to customary closing
conditions including TSX-V approval.
About Electric Royalties Ltd.
Electric Royalties is a royalty company established to take
advantage of the demand for a wide range of commodities (lithium,
vanadium, manganese, tin, graphite, cobalt, nickel, zinc &
copper) that will benefit from the drive toward electrification of
a variety of consumer products: cars, rechargeable batteries, large
scale energy storage, renewable energy generation and other
applications.
Electric vehicle sales, battery production capacity and
renewable energy generation are slated to increase significantly
over the next several years and with it, the demand for these
targeted commodities. This creates a unique opportunity to invest
in and acquire royalties over the mines and projects that will
supply the materials needed to feed the electric revolution.
Electric Royalties has a growing portfolio of 18 royalties,
including one royalty that currently generates revenue. The
Company is focused predominantly on acquiring royalties on advanced
stage and operating projects to build a diversified portfolio
located in jurisdictions with low geopolitical risk, which offers
investors exposure to the clean energy transition via the
underlying commodities required to rebuild the global
infrastructure over the next several decades towards a decarbonized
global economy.
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange), nor any other regulatory body or securities
exchange platform, accepts responsibility for the adequacy or
accuracy of this release.
Cautionary Statements Regarding Forward-Looking
Information and Other Company Information
This news release includes forward-looking information and
forward-looking statements (collectively, "forward-looking
information") with respect to the Company within the meaning of
Canadian securities laws. Forward looking information is typically
identified by words such as: believe, expect, anticipate, intend,
estimate, postulate and similar expressions, or are those, which,
by their nature, refer to future events. This information
represents predictions and actual events or results may differ
materially. Forward-looking information may relate to the Company's
future outlook and anticipated events and may include statements
regarding the financial results, future financial position,
expected growth of cash flows, business strategy, budgets,
projected costs, projected capital expenditures, taxes, plans,
objectives, industry trends and growth opportunities of the Company
and the projects in which it holds royalty interests.
While management considers these assumptions to be
reasonable, based on information available, they may prove to be
incorrect. Forward-looking statements involve known and unknown
risks, uncertainties and other factors which may cause the actual
results, performance or achievements of the Company or these
projects to be materially different from any future results,
performance or achievements expressed or implied by the
forward-looking statements. These risks, uncertainties and other
factors include, but are not limited to risks associated with
general economic conditions; adverse industry events; marketing
costs; loss of markets; future legislative and regulatory
developments involving the renewable energy industry; inability to
access sufficient capital from internal and external sources,
and/or inability to access sufficient capital on favourable terms;
the mining industry generally, the Covid-19 pandemic, recent market
volatility, income tax and regulatory matters; the ability of the
Company or the owners of these projects to implement their business
strategies including expansion plans; competition; currency and
interest rate fluctuations, and the other risks.
The reader is referred to the Company's most recent filings
on SEDAR as well as other information filed with the OTC Markets
for a more complete discussion of all applicable risk factors and
their potential effects, copies of which may be accessed through
the Company's profile page at www.sedar.com and at
otcmarkets.com.
SOURCE Electric Royalties Ltd.
