2% NSR royalty on Gold Mountain’s Elk Gold Mine – a producing gold mine in British Columbia
Gold Mountain Mining Corp.
British Columbia, Canada
2% Net Smelter Return Royalty
The Royalty covers all 16,716 hectares of mining leases and mineral claims as outlined in Gold Mountain’s PEA, titled “Updated Preliminary Economic Assessment on the Elk Gold Project”, dated June 21, 2021.
- Producing, high-margin gold mine in Canada: Gold Mountain commenced operations at Elk Gold and delivered its first shipment of ore to New Gold Inc. in February 2022, marking its transition into revenue generation. Royalty revenue is expected to increase and average US$2 million per year post-year 3, based on prevailing gold prices.
- Third-party ore purchase: Long-term ore purchase agreement with New Afton secures production off-take.
Elk Gold is a past-producing gold mine and Gold Mountain’s flagship asset, located in British Columbia, Canada, approximately 325 km northeast of Vancouver and 55 km west of Okanagan Lake, midway between the cities of Merritt and West Kelowna. Given its proximity to skilled labour, no site camp is required.