{"type":"rich","version":"1.0","provider_name":"Transistor","provider_url":"https://transistor.fm","author_name":"Company Interviews","title":"Elemental Altus Royalties (TSXV:ELE) - Consolidating Cash-Flowing Gold Royalty Portfolio","html":"","width":"100%","height":180,"duration":980,"description":"Interview with David Baker, CFO of Elemental Altus Royalties Corp.Our previous interview: https://www.cruxinvestor.com/posts/elemental-altus-royalties-tsxvele-poised-for-growth-and-flush-with-cash-5014Recording date: 17th October 2024Elemental Altus Royalties, a precious metals royalty company, has announced a strategic $28 million all-equity deal that significantly expands its portfolio and is expected to boost its revenue by 25% year-over-year. This transaction focused on consolidating royalties on the Bonikro mine and acquiring interests in 21 other exploration and development royalties, positions the company for substantial growth in the coming years.The deal's centerpiece is the increase of Elemental's royalty on the Bonikro mine from 2.25% to 4.5%, effectively doubling the quarterly payments from $1 million to $2 million. This consolidation of existing interests, coupled with the addition of new royalties, is projected to generate $6 million in revenue next year and $5 million annually over the next five years, based on consensus pricing. David Baker, CFO of Elemental Altus Royalties, emphasized the immediate impact of this acquisition, stating, \"We're estimating it on consensus pricing, $6 million next year and then $5 million over the next five years just on consensus pricing. Obviously, fair bit lower than spot, so we've got full exposure to high gold price.\"The company now expects to generate over $30 million in revenue next year, marking a significant milestone in its growth trajectory. This revenue increase is particularly noteworthy given the current market conditions, where many junior miners are struggling to access capital. Elemental's ability to acquire royalties from cash-strapped juniors at attractive valuations presents a unique opportunity for growth.Investors should note that Elemental's portfolio is underpinned by high-quality, long-life assets. Nearly half of the company's revenue comes from two key royalties: Karlawinda, a large...","thumbnail_url":"https://img.transistorcdn.com/1wv-MFlQAgnm-ca64e5kK4984dZB0os8-HJdRVsI74M/rs:fill:0:0:1/w:400/h:400/q:60/mb:500000/aHR0cHM6Ly9pbWct/dXBsb2FkLXByb2R1/Y3Rpb24udHJhbnNp/c3Rvci5mbS9zaG93/LzEzNTcyLzE2MjM5/NTQyMDctYXJ0d29y/ay5qcGc.webp","thumbnail_width":300,"thumbnail_height":300}