EMX Royalty Corp (TSXV:EMX) has agreed to fund C$900,000 through a private placement in Corvus and bought a package of four non-core Alaska royalty interests for $350,000.
The company will issue 500,000 common shares for the private placement at $1.80, with no warrants or commission mixed into the deal.
The royalties include the 1% net smelter return (NSR) royalty on the Chisna project; a 3% NSR on LMS; a 1% NSR on the Goodpaster district; and a 1% NSR on West Pogo, although it chose to retain a 1% NSR in the project, since it is immediately west of the operating Pogo mine in the Goodpaster district.
Upon closing, Corvus expects its treasury to swell to $5.5 million, which it believes is enough to fully fund an expanded fiscal 2019-2020 budget. The expanded programme is intended to enlarge the Mother Lode deposit as well as fund a new discovery drill programme at the North Bullfrog property.
"This funding will provide key development capital with favorable terms, maintained upside royalty exposure to a core Alaska property as well as adding an important new long-term investor to the share register," said CEO Jeff Pintius.
"Our 2019-2020 exploration programme offers our shareholders exposure to an expanding Mother Lode resource base as well as the discovery of new deposits in this very productive new Nevada gold district."