Elemental Royalty (ELE) Registration Filing summary

Company overview and business model

• Operates as a precious metals royalty and streaming company, acquiring royalties, streams, and similar rights over mining projects globally.

• Portfolio includes 9 producing royalties and over 70 other royalty interests, diversified across multiple jurisdictions and commodities, primarily gold and silver.

• Focuses on acquiring revenue-generating royalties from established operators, with a strategy to maximize shareholder returns through organic growth and accretive acquisitions.

• Recent expansion includes the acquisition of additional royalty portfolios and strategic investments, such as the AlphaStream and First Mining portfolios.

Financial performance and metrics

• For the year ended December 31, 2024, reported total revenue of $16.3 million, adjusted revenue of $21.6 million, and a net loss of $0.36 million, a significant improvement from a $3.9 million loss in 2023.

• Adjusted EBITDA for 2024 was $15.1 million, up from $9.8 million in 2023, reflecting higher gold prices and portfolio growth.

• As of June 30, 2025, cash balance was $24.45 million, with working capital of $31.4 million and no outstanding debt after repaying the remaining $3 million loan in February 2025.

• Six months ended June 30, 2025, total revenue was $20.7 million, adjusted revenue $23.8 million, and net profit $3.6 million, driven by new royalty streams and milestone payments.

Use of proceeds and capital allocation

• Proceeds from recent and upcoming financings, including a $100 million private placement to Tether, are allocated to repay EMX's credit facility, fund royalty acquisitions (Laverton and Dugbe), pay tax withholdings, and provide capital for a fully unlevered combined company post-merger.

• Additional capital is reserved for general corporate purposes and future royalty or streaming acquisitions.