Electric Royalties

Investor Insight

Electric Royalties is uniquely positioned to capitalize on the clean energy transition with a diversified, low-risk portfolio of high-value royalties that offer sustained growth and cash flow potential, making it a compelling investment opportunity.

Overview

Electric Royalties (TSXV:ELEC,OTCQB:ELECF) is an innovative royalty company offering investors exposure to the clean energy transition through its growing portfolio of clean energy metal royalties. The company stands out as the only fully diversified royalty firm in the space, holding 42 royalties across nine key clean energy metals, ensuring strategic access to the growing electrification and renewable energy industries.

The company’s strategy for shareholder value growth is centered on acquiring royalties in safe jurisdictions (primarily, the US and Canada) and focusing on properties with near-term production potential. This approach ensures steady cash flow generation while reducing operational risks. The company’s current royalty portfolio consists of assets that are either in production, advanced stage projects or exploration assets, ensuring cash flow generation and future growth potential.

The recent acquisition of the Punitaqui Copper Mine royalty provides immediate exposure to production, while assets like Authier Lithium and Battery Hill Manganese are expected to enter production in the near term.

This collective expertise within Electric Royalties' management and advisory teams ensures a strategic and well-governed approach to capitalizing on opportunities in the clean energy metals sector.

Company Highlights

• Electric Royalties is the only royalty company that is fully diversified in clean energy metals, with royalties on nine different metals, including copper, lithium, manganese, nickel and vanadium.
• Electric Royalties currently holds 42 total royalties across clean energy metals, with 18 additional optioned properties that could be converted into future royalties.
• The company’s portfolio includes assets that are in production or near-term production, ensuring cash flow generation and future growth potential. The recent acquisition of the Punitaqui copper mine royalty provides immediate exposure to production, while assets like Authier Lithium and Battery Hill Manganese are expected to enter production in the near term.
• The company prioritizes low-risk mining jurisdictions, with most of its assets located in Canada and the United States.
• Led by CEO Brendan Yurik, the leadership team brings extensive expertise in royalty acquisitions, mine financing and strategic growth.

Key Royalties

Punitaqui Copper Mine (Producing) – Chile

The Punitaqui copper mine is a producing asset operated by Battery Mineral Resources, on which Electric Royalties holds a 0.75 percent gross revenue royalty (GRR). Located in the Coquimbo Region of Chile, the mine benefits from four satellite copper deposits, strong infrastructure, and established processing facilities.

The mine is permitted for 100,000 tonnes per month of processing capacity, with regional exploration potential that could further extend its operational life and increase production.

Authier Lithium Project (Pre-production) – Canada

The Authier lithium project is a key lithium asset in Quebec, Canada, operated by Sayona Mining (ASX:SYA). Electric Royalties holds a 0.5 percent gross metal royalty (GMR) on part of the deposit. This project is a major component of Sayona's integration plan with North American Lithium (NAL), which commenced production in early 2023. Authier is expected to provide a stable supply of lithium for North America's growing EV battery industry, aligning with the push for localized supply chains.

Battery Hill Manganese Project (Prefeasibility Stage) – Canada

The Battery Hill manganese project, located in New Brunswick, Canada, is an advanced-stage project operated by Manganese X Energy. Electric Royalties holds a 2 percent GMR on the project, which is currently undergoing a prefeasibility study. The asset is well-positioned to support the growing demand for high-purity manganese, a critical component in EV batteries and energy storage technologies. Recent metallurgical testing has demonstrated strong recovery rates, further increasing its economic potential.

Mont Sorcier Vanadium Project (Feasibility & Permitting) – Canada

The Mont Sorcier vanadium project, located in Quebec, Canada, is operated by Cerrado Gold. Electric Royalties holds a 1 percent GMR on this project, which is undergoing a feasibility study and permitting process. Mont Sorcier is a large iron-vanadium deposit, with the potential to provide a stable supply of vanadium for steel production and emerging battery technologies. With increasing demand for vanadium redox flow batteries, this project is poised for long-term strategic importance.

Zonia Copper Project (Expanded Resource & Feasibility) – USA

The Zonia copper project, located in Arizona, USA, is operated by World Copper (TSXV:WCU). Electric Royalties holds a 0.5 percent GRR on Zonia, with an option to add 1 percent GRR on Zonia North. Zonia is an oxide copper deposit with near-surface, leachable ore, making it a low-cost, open-pit mining opportunity. The project has undergone resource expansion, and a feasibility study is targeted for completion in 2025. Given the strong US push for domestic copper production, Zonia is well-positioned to benefit from critical minerals policies supporting infrastructure and electrification efforts.

Key Catalysts for 2025

• Production milestones at Punitaqui copper mine
• Advancements in feasibility studies for Mont Sorcier and Zonia Copper
• New royalty acquisitions focused on near-production assets

Management Team

Brendan Yurik – Co-Founder, President and Chief Executive Officer

Appointed as CEO in July 2019 and president in June 2020, Brendan Yurik brings more than five years of leadership to Electric Royalties. He directly owns approximately 3.29 percent of the company's shares, reflecting his commitment to the company's success.

Luqman Khan – Chief Financial Officer

Serving as CFO since July 2019, Luqman Khan oversees the company's financial operations, ensuring fiscal responsibility and strategic financial planning.

David Gaunt – Chief Geoscientist

With a focus on computer-based deposit modeling and quantification, David Gaunt has been instrumental in advancing projects worldwide. His expertise enhances Electric Royalties' ability to assess and manage its diverse portfolio of royalties.

Marchand Snyman – Co-founder and Independent Chairman

With a tenure of more than four years, Marchand Snyman chairs the governance and nominating committees, bringing a wealth of experience in corporate oversight and strategic direction.

Robert Schafer – Independent Director

Appointed in November 2020, Robert Schafer brings more than 30 years of international experience in mineral exploration and mining, enhancing the board's technical and strategic capabilities.

Craig Lindsay - Director

Craig Lindsay has 30 years’ experience in corporate finance, investment banking, and business development. He was the managing director of Arbutus Grove Capital and CEO of Lonestar Lithium. Most recently, Lindsay was the founder, president, and CEO of Otis Gold until its sale to Excellon Resources in April 2020. He is a director of Revolve Renewable Power, Excellon Resources, VR Resources and Silver North Resources.

Stefan Gleason - Director

Stefan Gleason is the president, CEO, and majority shareholder of Money Metals Exchange LLC, a privately held company that is among the largest precious metals dealers and depositories in North America with over C$1 billion in annual revenues. Gleason is also the managing director of Gleason & Sons LLC, a Charlotte, N.C.-based family limited liability company which holds and manages debt, equity, and real estate investments. With past appearances on U.S. television networks such as CNN, FoxNews, Fox Business, and CNBC, Gleason is also a regular columnist for Seeking Alpha and Investing.com and has been published by the Wall Street Journal, Newsweek, Mining.com and TheStreet, among other publications.