Maverix Metals adds to royalty portfolio with new silver stream in Honduras
Maverix Metals Inc (CVE:MMX) (OTCMKTS:MACIF) bolstered its streaming portfolio with a new agreement at the El Mochito Mine, owned and operated by Ascendant Resources Inc.
The deal will see Maverix make an advance payment of $US7.5 million in return for 22.5% of the silver produced from El Mochito, and an option to pay a further US$7.5 million for an additional 17.5% of the silver produced.
Maverix will pay 25% of the silver price at the time of delivery. The stream will be effective from January 1, 2019.
El Mochito is located in northwestern Honduras and currently produces around 2,300 tons per day of zinc, lead and silver. Ascendant’s production guidance for 2019 is between 850,000 and 1.2 million ounces of silver concentrate.
READ: Maverix Metals achieved record revenue in 2018; sees further growth ahead
For Maverix shareholders, the new stream provides the royalty company with an immediate increase to cash flow, with around 165,000 ounces of annual silver deliveries over the first three years of the agreement.
“We are very pleased to partner with the team at Ascendant and we look forward to participating with them in the long-term potential of El Mochito,” commented Dan O’Flaherty, CEO of Maverix, in a statement. “This transaction is consistent with our stated strategy of acquiring long life precious metal streams that are immediately accretive to both our cash flow and net asset value.”
The Vancouver-based company currently has 79 royalties and streams, of which 12 are producing mines.
Shares of Maverix last traded at C$2.42 in Toronto and US$1.81 in New York.
Contact Angela at [email protected]
Follow her on Twitter @AHarmantas
Story by ProactiveInvestors
Source: https://www.proactiveinvestors.com/companies/news/217530/maverix-metals-adds-to-royalty-portfolio-with-new-silver-stream-in-honduras-217530.html
Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.
"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.
Please Help Support BeforeitsNews by trying our Natural Health Products below!
Order by Phone at 888-809-8385 or online at https://mitocopper.com M - F 9am to 5pm EST
Order by Phone at 866-388-7003 or online at https://www.herbanomic.com M - F 9am to 5pm EST
Order by Phone at 866-388-7003 or online at https://www.herbanomics.com M - F 9am to 5pm EST
Humic & Fulvic Trace Minerals Complex - Nature's most important supplement! Vivid Dreams again!
HNEX HydroNano EXtracellular Water - Improve immune system health and reduce inflammation.
Ultimate Clinical Potency Curcumin - Natural pain relief, reduce inflammation and so much more.
MitoCopper - Bioavailable Copper destroys pathogens and gives you more energy. (See Blood Video)
Oxy Powder - Natural Colon Cleanser! Cleans out toxic buildup with oxygen!
Nascent Iodine - Promotes detoxification, mental focus and thyroid health.
Smart Meter Cover - Reduces Smart Meter radiation by 96%! (See Video).