ELE
Live News • May 27
Elemental Royalty Gains Exposure to Four Nevada Copper Projects Through KGHM Agreement Elemental Royalty’s subsidiary Bronco Creek Exploration has signed an Exploration and Option agreement with Robinson Holdings (USA) Ltd., a subsidiary of KGHM Polska Miedź, covering four porphyry copper projects in Nevada. The agreement allows KGHM’s subsidiary to earn a 100% interest in the projects over a six-year earn-in period through execution and option payments plus work commitments. Elemental Royalty will retain a 2% Net Smelter Return royalty on the projects and receive annual advance royalty payments and other agreed royalties under the deal.
This deal adds further copper exposure to Elemental Royalty’s portfolio while limiting upfront capital needs, since KGHM’s subsidiary is responsible for funding exploration and earn-in costs.
The key considerations are the timeframe and technical risk. The value of Elemental’s 2% NSR and advance payments will depend on KGHM’s ongoing commitment to the projects and future development decisions over the six-year period and beyond. Announcement • May 15
Elemental Royalty Corporation (TSX:ELE) entered into a definitive agreement to acquire Vizsla Royalties Corp. (TSXV:VROY) for approximately CAD 290 million. Elemental Royalty Corporation (TSX:ELE) entered into a definitive agreement to acquire Vizsla Royalties Corp. (TSXV:VROY) for approximately CAD 290 million on May 13, 2026. Under the terms of the Arrangement Agreement, each Vizsla Royalties shareholder will have the option to elect to receive, for each Vizsla Royalties Share, (i) 0.15 common shares of Elemental, (ii) CAD 4.13 in cash, or (iii) a combination thereof, subject to rounding and proration, based on a maximum total cash consideration of approximately CAD 82 million. The total consideration for the Transaction is approximately CAD 327 million or CAD 4.13 per Vizsla Royalties Share on a fully-diluted basis. The Transaction price represents a premium of 31% and 22% to the unaffected closing price and the 20-day volume weighted average trading price, respectively, of the Vizsla Royalties Shares as at May 12, 2026. In case of termination of transaction, an approximately CAD 12 million is payable under certain circumstances.
The Transaction will be effected by way of a court-approved plan of arrangement under the Business Corporations Act (British Columbia). In addition to approval of the Vizsla Royalties Shareholders, completion of the Transaction is subject to approval of the TSX Venture Exchange ("TSX-V") and the Toronto Stock Exchange, the Nasdaq Stock Market, the National Antitrust Commission of Mexico, court approvals and other customary closing conditions for transactions of this nature. The Arrangement Agreement includes customary deal protection provisions, including non-solicitation and right to match provisions. The deal has been unanimously approved by the board.
The Bank of Nova Scotia acted as financial advisor for Elemental Royalty Corporation. The Bank of Nova Scotia acted as fairness opinion provider for Elemental Royalty Corporation Board of Directors. Bennett Jones LLP acted as legal advisor for Elemental Royalty Corporation. GenCap Mining Advisory Ltd. acted as financial advisor for Vizsla Royalties Corp. Canaccord Genuity Corp. acted as financial advisor for Vizsla Royalties Corp. Special Committee. CIBC World Markets, Inc. acted as fairness opinion provider for Vizsla Royalties Corp. Board of Directors. Canaccord Genuity Corp. acted as fairness opinion provider for Vizsla Royalties Corp. Special Committee. Forooghian & Company Law Corporation acted as legal advisor for Vizsla Royalties Corp. Blake, Cassels & Graydon LLP acted as legal advisor for Vizsla Royalties Corp. Special Committee. Reported Earnings • May 14
First quarter 2026 earnings released: EPS: US$0.017 (vs US$0.14 in 1Q 2025) First quarter 2026 results: EPS: US$0.017 (down from US$0.14 in 1Q 2025). Revenue: US$24.3m (up 109% from 1Q 2025). Net income: US$1.08m (down 69% from 1Q 2025). Profit margin: 4.5% (down from 30% in 1Q 2025). Revenue is forecast to grow 9.4% p.a. on average during the next 3 years, compared to a 17% growth forecast for the Metals and Mining industry in Canada. Over the last 3 years on average, earnings per share has increased by 128% per year but the company’s share price has only increased by 29% per year, which means it is significantly lagging earnings growth. 
