VANCOUVER, BC, May 20, 2025 /CNW/ - Elemental Altus Royalties Corp. ("Elemental Altus" or the "Company") (TSXV: ELE) (OTCQX: ELEMF) announces its operating and financial results for the three months ended March 31, 2025.

For complete details, please refer to the Financial Statements and associated Management Discussion and Analysis for the three months ended March 31, 2025, available on SEDAR+ (www.sedarplus.ca) and the Company's website (www.elementalaltus.com). All amounts are in U.S. dollars unless otherwise indicated.

Financial Highlights

   -- Royalty revenue of US$11.6 million and adjusted revenue1 of US$13.3 
      million, up 179% on Q1 2024 
 
   -- Attributable Gold Equivalent Ounces1 ("GEOs") of 4,606 ounces, up 102% on 
      Q1 2024 
 
   -- Adjusted EBITDA1 of US$11.5 million, up 259% on Q1 2024 
 
   -- Operating Cash Flow plus Caserones dividends of US$3.3 million, up 182% 
      on Q1 2024 with the majority of royalty revenue received post quarter end 
 
   -- Final US$3 million of the Company's Revolving Credit Facility ("RCF") 
      fully paid down in the quarter 
 
   -- Over US$22 million cash on hand as of May 20, 2025 alongside the 
      Company's US$50 million undrawn RCF 

Financial Performance for the 3 months ended March 31, 2025 and 2024

 
                                        Three months ended March, 
                                          2025          2024 
                                          $'000         $'000 
Total revenue                                   11,639          3,327 
Adjusted revenue*                               13,261          4,747 
Cash flows from operations                       2,372            175 
Adjusted cash flows from operations*             3,294          1,170 
Total net profit / (loss)                        3,448        (1,014) 
Adjusted EBITDA*                                11,471          3,199 
 
                                                  2025           2024 
                                                   GEO            GEO 
Total attributable GEOs                          4,606          2,283 
 
 

Frederick Bell, CEO of Elemental Altus, commented:

"Elemental Altus has delivered a standout first quarter, with adjusted revenue of US$13.3 million--up 179% year-on-year; and adjusted EBITDA of US$11.5 million, reflecting the growing scale and profitability of our portfolio. This includes maiden revenue of US$6.6 million from our Korali-Sud royalty, which is proving to be a significant contributor in 2025 and will continue to offer long-term uncapped exploration upside from a world-class geological district.

With over US$22 million in cash on hand, a fully repaid credit facility, and an undrawn US$50 million credit line, we are in the strongest financial position in the Company's history. As additional royalty revenue, including from Wahgnion, is recognised in upcoming periods, we remain well positioned to build on this momentum through 2025."

Outlook

   -- Company remains on track to meet record guidance of 11,600 to 13,200 GEOs, 
      translating to record adjusted revenue of US$30.1 million to US$34.3 
      million, based on a gold price of US$2,600/oz and a copper price of 
      US$4.00/lb. Production is anticipated to be weighted towards the first 
      half of the year, driven by first gold sales from the Korali-Sud royalty 
 
   -- This guidance represents a 38% increase in GEOs and 50% year-on-year 
      increase in adjusted revenue at the mid-point of guidance, with full 
      exposure to higher gold prices 
 
   -- Elemental Altus is in a net cash position, with flexibility for new 
      acquisitions utilising the $50 million RCF and the strong free cash flow 
      being generated 
 
   -- Elemental Altus has a Normal Course Issuer Bid ("NCIB") in place to 
      purchase up to 12,288,129 common shares in the capital of the Company 

Investor Webcast

An investor webcast will be held on Tuesday, May 20, 2025 starting at 11am Eastern Time (8am Pacific Time) to discuss these results, followed by a question-and-answer session. To register for the investor webcast, please click the link below:

https://us02web.zoom.us/webinar/register/WN_WCPOfEbzSMi3ULMDO8FSeQ

Asset Update

Karlawinda

   -- Q1 2025 gold production from Karlawinda was 30,599 ounces (Q1 2024: 
      26,017 ounces) 
 
   -- Approved major expansion targeting annual production of 150koz with over 
      10+ year mine life remaining 
 
   -- Capricorn maintained guidance of 110,000 to 120,000 ounces of production 
      for the year to June 2025 
 
   -- Capricorn announced the approval of a major expansion study for 
      Karlawinda, targeting a throughput increase of between 2.0 and 2.5 
      million tonnes per annum ("Mtpa"), an approximate 50% increase in 
      throughput on the current 4.5 Mtpa, targeting annual production of 
      150,000 ounces 
 
   -- Elemental Altus' uncapped 2% NSR royalty will provide up to approximately 
      3,000 GEOs annually to the Company based on the higher 150,000 ounce 
      production rate 

Caserones

   -- In Q1 2025, the Company accrued adjusted royalty revenue of $1.6 million 
      (Q1 2024: $1.4 million), based on reported sales of 28,709 tonnes of 
      copper 
 
   -- Production was positively impacted by higher mill throughput 
 
   -- Revenue increased due to higher sales volumes as two shipments delayed 
      from December 2024 were completed in the quarter 
 
   -- Lundin Mining Corp. has copper production guidance of 115-125kt for 2025 

Korali-Sud (Diba)

   -- Q1 2025 gold sales from Korali-Sud was 80,574 ounces (Q1 2024: nil) 
 
   -- 2025 revenue expected to be heavily weighted towards H1 2025 
 
   -- The Company expects to receive the US$1 million milestone payment due 
      following commercial production with further milestone payments linked to 
      production over the course of 2025 
 
   -- Allied Gold has settled terms for a definitive protocol agreement with 
      the Government of Mali, which includes the advancement of the Korali-Sud 
      deposit and the issuance of a ten-year exploitation permit for Sadiola 

Bonikro

   -- Royalty attributable sales in Q1 2025 were 18,498 ounces (Q1 2024: 21,407 
      ounces) 
 
   -- The Company acquired a further 2.25% NSR royalty on Bonikro in October 
      2024, totalling 4.5% NSR 
 
   -- Stripping at Pushback 5 is expected to expose higher-grade materials in 
      H2 2025, 2026, and 2027 

Wahgnion

   -- The Wahgnion mine is currently undergoing an external audit, during which 
      royalty payments to royalty holders have been temporarily paused and the 
      Q1 2025 royalty statement has not yet been provided 
 
   -- The Company received all royalty statements from Wahgnion management for 
      the 2024 financial year and received payment for the first two quarters 
      of 2024, but has not yet received payment for the second half of 2024. In 
      addition, the Company has not yet received the royalty statement for Q1 
      2025 and therefore, the Company has not yet received the necessary 
      information to support the recognition of royalty income for Q1 2025. 
      Royalty revenue earned in Q1 2025 will be recognised in a subsequent 
      reporting period once the royalty statement is received. As at March 31, 
      2025, the accrued income balance includes $1.1 million in post-tax 
      royalty receivables from Wahgnion 
 
   -- The Company is in active communication with Wahgnion's management and 
      external auditors and, based on such communications, expects royalty 
      statements and payment to be received in full in 2025 

Portfolio Payments

   -- Post quarter end, the Company received A$15 million in cash and shares of 
      Firefly Metals Ltd ("Firefly") relating to the Company's former Ming gold 
      stream 
 
   -- The Company sold the Firefly shares for a total net consideration of 
      A$7.6 million on April 24, 2025 
 
   -- The Company expects to have received a total of approximately US$12.8 
      million as a result of stream revenue and the secured creditor claim in 
      relation to the Company's Ming stream with a final US$0.1 million cash 
      distribution to be received shortly 
 
   -- The US$9.6 million received post quarter end contributes towards up to 
      US$15 million in portfolio payments the Company expects to receive across 
      the portfolio in 2025 

Frederick Bell

CEO and Director

Elemental Altus is a proud member of Discovery Group. For more information please visit: www.discoverygroup.ca or contact 604-646-4527.

TSX.V: ELE | OTCQX: ELEMF | ISIN: CA28619K1093 | CUSIP: 28619K109

About Elemental Altus Royalties Corp.

Elemental Altus is an income generating precious metals royalty company with 10 producing royalties and a diversified portfolio of pre-production and discovery stage assets. The Company is focused on acquiring uncapped royalties and streams over producing, or near-producing, mines operated by established counterparties. The vision of Elemental Altus is to build a global gold royalty company, offering investors superior exposure to gold with reduced risk and a strong growth profile.

Qualified Person

Richard Evans, FAusIMM, is Senior Vice President Technical for Elemental Altus, and a qualified person under National Instrument 43-101 -- Standards of Disclosure for Mineral Projects, has reviewed and approved the scientific and technical disclosure contained in this press release.

Notes

1. Non-IFRS Measures

The Company has included certain performance measures which are non-IFRS and are intended to provide additional information and should not be considered in isolation or as a substitute for measures of performance prepared in accordance with IFRS. These non-IFRS measures do not have any standard meaning under IFRS and other companies may calculate measures differently.

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