Metalla Royalty & Streaming Ltd. (MTA:TSX.V; EXCFF:OTCQB) has completed the acquisition of 15 royalties from gold producer Alamos Gold Inc. (AGI:TSX; AGI:NYSE) and its affiliates, Metalla announced on April 17.
Metalla issued to Alamos 8,219,009 common shares for the 15 royalties as part of the purchase and sale agreement, which the Canadian companies entered into on April 1, the news release explained.
The agreement also includes an amount of additional royalties from Alamos not specified in the press release. Metalla explained that at least some of these additional royalties "are subject to rights of first refusal, consents and future options at agreed to prices.
"Such royalties will be acquired by the company pursuant to second or additional closings," Metalla added.
In a royalty agreement, Metalla will make an initial payment in exchange for a percentage of the revenue from a mining production, according to the company's website.
Metalla also specializes in streaming agreements. In this type of agreement, Metalla purchases all or part of a mining production for both an upfront payment and a fixed price (or fixed percentage) per ounce of metal delivered.
Alamos, on the other hand, is an intermediate gold producer with diversified production from four operating mines located in North America, two of them in northern Ontario, Canada, and two in Sonora, Mexico, according to Alamos' website. The company also owns exploration and development projects in Mexico, Turkey, Canada and the United States.
Metalla is based in Vancouver and Alamos in Toronto.[NLINSERT]
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