VOX ROYALTY ANNOUNCES RECORD REVENUE IN Q1 2021 GEORGE TOWN, CAYMAN ISLANDS – May 4, 2021 – Vox Royalty Corp. (TSXV: VOX) (“Vox” or the “Company”) is pleased to announce that the Company has realized record preliminary revenue of C$668,600 (US$540,000) (1) for the three-month period ended March 31, 2021. All preliminary revenues were derived from royalties, not streams, as such, the cash operating margin(1) was 100% for the quarter. During the quarter, the Company recognized inaugural royalty revenue from the Koolyanobbing royalty, which is an uncapped 2% Free on Board sales value royalty from iron ore mined from the recently commissioned Altair Pit and a portion of the Deception Pit. Quarterly revenue benefitted from increased royalty-linked production by Mineral Resources Limited (ASX: MIN) and record iron ore prices at Koolyanobbing, increased production by Karora Resources Inc. (TSX: KRR) from the Hidden Secret deposit at Higginsville covered by the Dry Creek royalty and rebounding quarterly diamond prices associated with the Brauna royalty. Kyle Floyd, Chief Executive Officer stated: “Record quarterly revenue for Q1 represents the start of Vox’s anticipated revenue growth through 2023 as numerous royalty assets are expected to commence production. The Company’s preliminary quarterly revenue is in line with previously announced 2021 full-year revenue guidance of C$1.7M to C$2.5M. Vox’s organic revenue growth is a product of the Company’s stated strategy of acquiring high quality, attractively priced royalties many of which are near term production opportunities. Vox held one producing royalty in May 2020 and anticipates finishing 2021 with seven producing assets based on its current portfolio of 50 royalties.” About Vox Vox is a growth precious metals royalty and streaming company with a portfolio of 50 royalties and streams spanning nine jurisdictions. The Company was established in 2014 and has since built unique intellectual property, a technically focused transactional team and a global sourcing network which has allowed Vox to become the fastest growing company in the royalty sector. Since the beginning of 2019, Vox has announced over 20 separate transactions to acquire over 45 royalties.
In 2021 Vox set out ambitious corporate targets for the year with an aim to grow and acquire additional NAV-accretive royalties. By February Vox Royalty announced that it had agreed to acquire a Western Australian gold royalty portfolio from Gibb River Diamonds Ltd for A$325,000 in cash. With a total of 31 Australian royalties, Vox is now the second-largest publicly traded holder of royalty interests in Australia by royalty count, behind Franco Nevada Corporation. Vox's gold royalty portfolio includes three advanced exploration gold royalties in Western Australia. The royalties include a 1% Net Smelter Return ( NSR ) royalty over the Bulgera Gold project operated by Norwest Mineral Ltd, a 1% NSR over the Comet Gold Project operated by Accelerate Resources Ltd, and a 1% NSR over the Mount Monger Gold Project operated by Accelerate and subject to a binding option agreement with Mt Monger Minerals Pty Ltd. The Bulgera Gold deposit has an estimated resource of 93,880 gold ounces at 1.0 g/t. With precious metals miners showing a positive reaction to the US10 year yields being capped under 1.7% currently, plus the weakening US dollar there is a real chance that producers ramp up production as prices of the yellow metal appreciate. $2k Gold seems to be the sweet spot for a lot of evaluations around the miners but there is sentiment building that the economy and monetary policy are going to be very supportive of traditional stores of wealth.
Report from Seeking Alpha: Out of the 20 followed companies, 16 experienced a share price growth in April. The best result, a 40.85% growth, was recorded by ELY Gold Royalties (OTCQX:ELYGF). The majority of its growth was recorded after April 23; however, the catalyst is hard to identify, as there was no company-specific news and also the gold price was relatively stable around this date. A more than 26% growth was recorded by Great Bear Royalties. The company is freshly established and it started trading on TSX only on April 5. Its only asset is a 2% NSR royalty on Great Bear Resources' (OTCQX:GTBDF) Dixie Project. Double-digit gains were recorded also by Sailfish Royalty (OTCQX:SROYF) and Nomad Royalty (OTCQX:NSRXF). On the other hand, the worst performance was recorded by three of the newly-covered companies, namely Star Royalties, Empress Royalty, and Trident Royalties. Their share prices declined by 6.52%, 5.56%, and 4.08% respectively.
Vox Royalty today gapped higher and held above the opening range. With a relatively large amount of volume conducted at the 2.85 level. Vox Royalty is now up >30% for the month. Would be great to see gold get to $2k oz and see where that leads the precious metals-focused royalty firm.
US CPI data out tomorrow (12th May 2021), stronger inflationary fears will put the US 10-year benchmark yields higher, and Gold lower. With the recent miss in the employment data, the market upset would be for CPI to come in under 2%, which would drop the 10-year yield and that is where GDX could pop. With that VOX could benefit too.
Gold miners are liking the current market conditions. US retail sales down, US consumer confidence down. US inflation most likely transitory, US stimulus still coming down the pipe. US dollar most likely depreciating, pushing precious metals higher.
A measured move to the upside may be wishful thinking currently, but not out of the bounds of reality, should we get an impulsive move great enough to break through near-term resistance.
June 2021: May see the beginning of the end of the London Bullion Market Association The London Bullion Market Association (now known simply as LBMA), established in 1987, is the international trade association representing the global Over The Counter (OTC) bullion market, and defines itself as "the global authority on precious metals". There will be a requirement for banks holdings to meet a ratio limit between tangible assets and unallocated assets. The ratio is named Required Stable Funding and the crux of the matter is that if the bullion banks can no longer trade their paper and unallocated gold without holding physical allocated assets, the derivatives market could collapse. The 3 parts of the Basel 111 regulations that affect the paper gold markets are: • The Available Stable Funding factor (ASF) is applied to the sources of a bank’s funding on the liability side of its balance sheet. Depending on the liability (shareholders’ equity, customer deposits, interbank loans etc.) they are multiplied by a factor, from 100% for the most stable forms of funding, such as Tier 1 bank equity, to 0% for the least stable. Being on their balance sheets, unallocated gold owed to a bank’s deposit customers is to be given a Basel III ASF of 0%, which means it will not be permitted to be a source of funding for any balance sheet assets, which must therefore be funded from other liabilities. • The Required stable funding (RSF) is to be applied to a bank’s assets. Unallocated gold positions are to be valued at 85% of their market value. Note that allocated gold, being held in custody, is not on bank balance sheets (except where the bank actually owns physical gold in its own right) and is therefore not involved in the calculation. • The Net stable funding requirement (NSFR) is the ASF divided by the RSF and must be at least 100% at all times.
Vox continues to monetise its portfolio, https://bit.ly/33WXJx7 Vox to monetize non-core graphite royalties for C$2.9M and partner with Electric Royalties CEO Kyle Floyd said the portfolio of graphite royalties is “a natural fit for Electric Royalties” and the transaction is an “opportunity for Vox to unlock the value of these royalties”
https://bit.ly/3vsuWwn VOX ROYALTY REPORTS Q1 2021 RESULTS Looks like they are on track to meet expectations this year. Q1 results are positive.
Kyle Floyd, Chief Executive Officer stated: “The first quarter of 2021 marked another milestone for Vox as it reported record revenues. The Company is well on track to achieve its previously announced 2021 royalty revenue guidance of C$1.7M to C$2.5M. The embedded organic growth in our portfolio of 50 royalty assets continues to build. Every month our shareholders are benefiting from exploration successes, fast-tracking of development and production increases on our royalty properties. The coming quarters have strong potential to be the most productive in Vox’s seven year history.”
$XAUUSD is currently trading higher, even as the commercials increase their short positions $GDX Gold miners are currently consolidating in time, not price. A pullback to the lower bound on the Stoch should indicate the next opportunity to buy the dip, should we get one. https://bit.ly/3fMdQnY Vox Royalty provided exploration updates from some key partners who have announced in excess of 80,000m of planned drilling. The recent results show high-grade drilling results at shallow depths across multiple projects.
https://bit.ly/3uNfsCa , A busy year for Vox Royalty in2 021, Vox’s partners announced 80k meter drilling for 2021, Investors should expect multiple resource updates which will add considerable value to Vox’s current royalties. Pitombeiras (PEA Stage) – PEA Update and Drilling update • Vox holds a 1% net smelter royalty over the Pitombeiras vanadium-iron ore project; • On May 4, 2021, Jangada announced additional drilling results and an updated mineral resource and PEA timing: ◦ 22 drill holes for 1,466m completed with 18 holes intersecting vanadiferous titanomagnetite mineralisation; ◦ Upgraded and expanded Mineral Resource Estimate and revised PEA scheduled for completion in Q3 2021; and ◦ PEA focus is on evaluating a Direct Shipping Ore operation for the export of a saleable magnetite concentrate containing a minimum of 62% Fe and additional credit from 25% contained V2O5. The Pitombeiras project should be fast-tracked towards productions around Q1 2022. Battery metals are becoming more important as the world moves towards electrification. As well as Vanadium Vox across its 50 royalties has several copper projects all well capitalised, moving towards final investment decisions and production. last year Vox lead the industry in acquisitions, bringing regular organic news flow over the next few months investors should expect new updates on new gold royalties.
Vox Royalty Corp Spencer Cole says the Vox Royalty is set to buy, for US$1.98 million in cash, a royalty on part of Gold Standard Ventures Corp's (TSE:GSV) Railroad-Pinion gold project. Cole says the project ,which sits on the prolific Carlin Trend in Nevada, and is rapidly advancing towards the completion of a feasibility study and a subsequent construction decision. The company has struck binding agreements with a group of private individuals on the acquisition of a 0.633% net smelter returns (NSR) royalty on the so-called South Railroad part of the project, which comes with advance minimum royalty payments of more than C$120,000 per year.
What Is a Feasibility Study? A feasibility study is an analysis that takes all of a project's relevant factors into account—including economic, technical, legal, and scheduling considerations—to ascertain the likelihood of completing the project successfully. Project managers use feasibility studies to discern the pros and cons of undertaking a project before they invest a lot of time and money into it.
