Abitibi Royalties Receives First Cash Flow
VAL-D'OR, QUÉBEC -- April 20, 2015
Abitibi Royalties Inc. (RZZ-TSX-V: “Abitibi Royalties” or the “Company”) Abitibi Royalties” or the “Company”) is pleased to announce that the Company received its first cash flow on April 15, 2015 in the form of a quarterly dividend from Yamana Gold. The quarterly dividend totalled approximately Cdn$67,500. Remaining dividends from Yamana Gold and Agnico Eagle for 2015 are estimated to be approximately Cdn$312,500 based* on current payout ratios. The Company also expects to receive additional cash flow in 2015 from its 2% net smelter return (NSR) royalty on a portion of the Gouldie Zone at the Canadian Malartic mine (payments made 60 days after quarters end) and additional investment income.
“Receiving our first dividend payment is an important milestone and something very uncommon for a mining company with our market capitalization. This payment is the first in what is expected to be a growing and recurring stream of cash flows,” stated Ian Ball, President.
*Based on 1.27 USD/Cdn currency exchange rate.
About Abitibi Royalties Inc.
Abitibi Royalties holds a 3% NSR on the Odyssey North discovery, Jeffrey Zone and the eastern portion of the Barnat Extension and a 2% NSR on portions of the Gouldie and Charlie zones all at the Canadian Malartic mine near Val-d’Or, Québec. In addition, the Company holds 100% title to the Luc Bourdon and Bourdon West Prospects in the McFaulds Lake (“Ring of Fire”) area, Ontario. The Company owns 3,549,695 shares of Yamana Gold Inc. and 459,197 shares of Agnico Eagle Mines Limited.
Golden Valley Mines and Rob McEwen hold approximately 53.3% and 8.7% interest in Abitibi Royalties, respectively.
For additional information, please contact:
Abitibi Royalties Inc.
Glenn J. Mullan
819-824-2808, x 204
Ian J. Ball
1 King West St. Suite 4202
Toronto, Ontario M5H 1A1
Forward Looking Statements:
This news release contains certain statements that may be deemed “forward-looking statements. Forward looking statements are statements that are not historical facts and are generally, but not always, identified by the words “expects”, “plans”, “anticipates”, “believes”, “intends”, “estimates”, “projects”, “potential” and similar expressions, or that events or conditions “will”, “would”, “may”, “could” or “should” occur. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or realities may differ materially from those in forward looking statements. Forward looking statements are based on the beliefs, estimates and opinions of the Company’s management on the date the statements are made. Except as required by law, the Company undertakes no obligation to update these forward-looking statements in the event that management’s beliefs, estimates or opinions, or other factors, should change.
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