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Company Interviews

EMX Royalty (TSXV:EMX) - Diversified Portfolio & Strong Cash Flow

12 Jun 2024

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Interview with David Cole, President & CEO of EMX Royalty Corp.Our previous interview: https://www.cruxinvestor.com/posts/emx-royalty-tsxvemx-significant-increase-in-revenue-3898Recording date: 4th June 2024EMX Royalty Corporation presents a unique and attractive investment opportunity for those seeking exposure to a diversified portfolio of cash-flowing and development-stage royalty assets in the global mining industry. With a proven track record of value creation spanning two decades, EMX has strategically assembled a portfolio of 170 royalties across nearly 5 million acres worldwide.The company's investment thesis is underpinned by its key cash-flowing assets, such as Caserones and Timok, each of which has the potential to generate over $1 billion in royalty payments throughout their mine lives. EMX's Leeville royalty, located on the prolific Carlin Trend and operated by Barrick Gold, is another significant contributor to the company's revenue stream, consistently delivering strong monthly royalty payments.EMX has reached a pivotal milestone in its growth trajectory, achieving positive cash flow from its royalty portfolio. This significant development allows the company to focus on optimizing its capital structure and creating additional shareholder value. In the near term, EMX plans to refinance its existing $34 million debt and execute a substantial share buyback program. By strategically allocating capital between debt reduction, share repurchases, and accretive royalty acquisitions, EMX is well-positioned to enhance shareholder returns in the current market environment.Looking ahead, EMX remains committed to its proven royalty generation business model, which involves acquiring early-stage assets, adding value through geological derisking, and monetizing these assets for royalties and other cash payments. This approach has enabled EMX to build a robust pipeline of future cash-flowing royalties and positions the company for continued growth.The current market environment, characterized by rising demand for copper and other critical metals driven by the global transition to a low-carbon economy, presents a favorable backdrop for EMX Royalty. As the company continues to execute its business model and deliver strong cash flow from its existing portfolio, investors can expect a re-rating of the stock as the market recognizes the inherent value in EMX's asset base.In conclusion, EMX Royalty Corporation offers investors a compelling opportunity to gain exposure to a high-quality, diversified portfolio of cash-flowing and development-stage royalty assets. With a strong track record of value creation, a robust balance sheet, and a disciplined capital allocation strategy, EMX is well-positioned to deliver attractive returns in the global mining royalty space.View EMX Royalty's company profile: https://cruxinvestor.com/companies/emx-royaltySign up for Crux Investor: https://cruxinvestor.com

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