Ecora Resources PLC Announces Q4 2024 Trading Update
Ecora Resources PLC reported a 9% year-over-year increase in portfolio contribution to US$63.2m for FY 2024, with Q4 2024 contribution at US$6.7m, up 29% from Q3 2024. The growth was primarily driven by increased production at Voisey's Bay and Mantos Blancos.
Key highlights include record underground production at Voisey's Bay, with 15 cobalt deliveries in FY 2024, and a record quarterly contribution from Mantos Blancos of US$1.7m in Q4. The company reduced its net debt to US$82.4m by December 31, 2024.
Looking ahead to 2025, Ecora expects production volume growth, particularly from Voisey's Bay (335-390 tonnes of cobalt), Kestrel (5-10% higher volumes), and Mantos Blancos (49,000-59,000 tonnes of copper). The company maintains its focus on expanding its near-term income-producing royalty portfolio.
Ecora Resources PLC ha riportato un incremento del 9% anno su anno nel contributo del portafoglio, raggiungendo i 63,2 milioni di dollari USA per l'anno fiscale 2024, con un contributo nel quarto trimestre 2024 di 6,7 milioni di dollari USA, in aumento del 29% rispetto al terzo trimestre 2024. La crescita è stata principalmente guidata dall'aumento della produzione a Voisey's Bay e Mantos Blancos.
I punti salienti includono una produzione sotterranea record a Voisey's Bay, con 15 consegne di cobalto nell'anno fiscale 2024, e un contributo trimestrale record da Mantos Blancos di 1,7 milioni di dollari USA nel quarto trimestre. L'azienda ha ridotto il suo debito netto a 82,4 milioni di dollari USA entro il 31 dicembre 2024.
Guardando avanti al 2025, Ecora prevede una crescita del volume di produzione, in particolare da Voisey's Bay (335-390 tonnellate di cobalto), Kestrel (volumi superiori del 5-10%) e Mantos Blancos (49.000-59.000 tonnellate di rame). L'azienda mantiene il suo focus sull'espansione del portafoglio di royalty generanti reddito a breve termine.
Ecora Resources PLC reportó un aumento del 9% interanual en la contribución de su portafolio a 63,2 millones de dólares estadounidenses para el año fiscal 2024, con una contribución en el cuarto trimestre de 6,7 millones de dólares, un 29% más que en el tercer trimestre de 2024. El crecimiento fue impulsado principalmente por el aumento de la producción en Voisey's Bay y Mantos Blancos.
Los aspectos más destacados incluyen una producción subterránea récord en Voisey's Bay, con 15 entregas de cobalto en el año fiscal 2024, y una contribución trimestral récord de Mantos Blancos de 1,7 millones de dólares en el cuarto trimestre. La empresa redujo su deuda neta a 82,4 millones de dólares a fecha del 31 de diciembre de 2024.
De cara a 2025, Ecora espera un crecimiento en el volumen de producción, particularmente de Voisey's Bay (335-390 toneladas de cobalto), Kestrel (volúmenes 5-10% más altos), y Mantos Blancos (49,000-59,000 toneladas de cobre). La compañía mantiene su enfoque en expandir su portafolio de regalías generadoras de ingresos a corto plazo.
Ecora Resources PLC는 2024 회계연도에 포트폴리오 기여도가 지난해 대비 9% 증가한 6320만 달러를 기록했으며, 2024년 4분기 기여도는 670만 달러로 2024년 3분기 대비 29% 상승했습니다. 이러한 성장은 주로 Voisey's Bay와 Mantos Blancos에서의 생산 증가에 의해 주도되었습니다.
주요 하이라이트로는 Voisey's Bay에서의 기록적인 지하 생산과 2024 회계연도에 15회의 코발트 인도가 있었으며, 4분기 Mantos Blancos에서의 기록적인 분기 기여도가 170만 달러에 달했습니다. 회사는 2024년 12월 31일 기준으로 순부채를 8240만 달러로 줄였습니다.
2025년을 바라보며 Ecora는 Voisey's Bay(335-390톤의 코발트), Kestrel(5-10% 증가한 물량), 및 Mantos Blancos(49,000-59,000톤의 구리)에서 생산량 증가를 기대하고 있습니다. 이 회사는 단기 소득을 창출하는 로열티 포트폴리오 확대에 집중하고 있습니다.
Ecora Resources PLC a rapporté une augmentation de 9% en glissement annuel de la contribution de son portefeuille, atteignant 63,2 millions de dollars pour l'exercice 2024, avec une contribution au quatrième trimestre de 6,7 millions de dollars, en hausse de 29% par rapport au troisième trimestre 2024. Cette croissance a été principalement tirée par l'augmentation de la production à Voisey's Bay et Mantos Blancos.
Les faits saillants incluent une production souterraine record à Voisey's Bay, avec 15 livraisons de cobalt pour l'exercice 2024 et une contribution trimestrielle record de 1,7 million de dollars de Mantos Blancos au quatrième trimestre. La société a réduit sa dette nette à 82,4 millions de dollars au 31 décembre 2024.
En regardant vers 2025, Ecora s'attend à une croissance du volume de production, en particulier à partir de Voisey's Bay (335-390 tonnes de cobalt), Kestrel (volumes supérieurs de 5-10%) et Mantos Blancos (49 000-59 000 tonnes de cuivre). L'entreprise maintient son attention sur l'expansion de son portefeuille de redevances génératrices de revenus à court terme.
Ecora Resources PLC berichtete von einem 9%igen Anstieg des Portfoliobeitrags im Vergleich zum Vorjahr auf 63,2 Millionen US-Dollar für das Geschäftsjahr 2024, wobei der Beitrag im 4. Quartal 2024 bei 6,7 Millionen US-Dollar lag, was einem Anstieg von 29% im Vergleich zum 3. Quartal 2024 entspricht. Das Wachstum wurde hauptsächlich durch die erhöhte Produktion in Voisey's Bay und Mantos Blancos vorangetrieben.
Zu den wichtigsten Punkten gehören eine rekordverdächtige Untertageproduktion in Voisey's Bay mit 15 Kobaltlieferungen im Geschäftsjahr 2024 und ein rekordverdächtiger Quartalsbeitrag von Mantos Blancos von 1,7 Millionen US-Dollar im 4. Quartal. Das Unternehmen reduzierte seine Nettoverschuldung bis zum 31. Dezember 2024 auf 82,4 Millionen US-Dollar.
Für 2025 erwartet Ecora ein Wachstum des Produktionsvolumens, insbesondere aus Voisey's Bay (335-390 Tonnen Kobalt), Kestrel (5-10% höhere Volumina) und Mantos Blancos (49.000-59.000 Tonnen Kupfer). Das Unternehmen bleibt fokussiert auf die Erweiterung seines kurzfristigen einkommensgenerierenden Royalties-Portfolios.
- Portfolio contribution increased 9% YoY to US$63.2m in FY 2024
- Q4 2024 contribution up 29% QoQ to US$6.7m
- Record quarterly contribution from Mantos Blancos at US$1.7m in Q4
- Net debt reduced to US$82.4m from US$85.5m in Q3
- Received US$3m contingent payment from Whitehaven Coal's Narrabri project
- Four Mile mine continues to report no royalty income despite ongoing production
- Q4 2024 portfolio contribution lower than Q4 2023 (US$6.7m vs US$9.0m)
- Santo Domingo project sanctioning not anticipated before 2026
LONDON, UNITED KINGDOM / ACCESS Newswire / January 29, 2025 / Ecora Resources PLC (LSE:ECOR)(TSX: ECOR) issues the following trading update for the period 1 October to 31 December 2024.
Fourth Quarter and Full Year 2024 Portfolio Contribution
Increased production volumes at Voisey's Bay and Mantos Blancos underpinned a portfolio contribution of US
Marc Bishop Lafleche, Chief Executive Officer of Ecora, commented:
"Fourth quarter performance was underpinned by a record quarterly portfolio contribution from Mantos Blancos, coupled with record production from the underground mine at Voisey's Bay, which saw streamed cobalt entitlements for the year at the top of our guidance range. We carry this momentum into 2025 with both operations expected to deliver further production volume growth in the year ahead.
"The fundamental outlook for copper remains strong, which has led to some of the largest operators globally recently seeking to significantly increase copper exposure. Ecora's royalty portfolio provides investors exposure to a strong organic copper growth profile through a de-risked royalty model. With volume growth anticipated in 2025 we are well positioned to transact on opportunities in the year ahead."
Highlights:
9% increase in portfolio contribution for the year ended 31 December 2024 of US$63.2m (2023: US$58.2m )(1)Total portfolio contribution of US
$6.7m in Q4 2024 (Q4 2023: US$9.0m (1); Q3 2024: US$5.2m )Completion of the Voisey's Bay Mine Expansion project, underground mining activities continue to ramp up to steady state production rates, with record levels of underground production during the period driving net portfolio contribution of US
$2.3m (Q3 2024: US$1.2m ):
o Seven deliveries in Q4 2024 (Q3 2024: 4 deliveries) led to a total of 15 deliveries in FY 2024; at the high end of FY guidance of 11-16 deliveries (FY 2023: 11 deliveries)
o Realized Q4 2024 average sales price of US
Record Mantos Blancos quarterly portfolio contribution of US
$1.7m in Q4 2024 (Q3 2024: US$1.3m )The operator of the Four Mile mine continues to report that no royalty income is due, despite production continuing. The Group has formally exercised its information rights under the royalty agreement to understand the circumstances, following which it will take such action as it considers appropriate
Net debt at 31 December 2024 of US
$82.4m (Q3 2024: US$85.5m )
Portfolio contribution: | Q4 2024 | Q3 2024 |
| Q4 2023 | FY 2024 | FY 2023 |
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| US$m | US$m | Q/Q | US$m | US$m | US$m | Y/Y |
Base metals |
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Mantos Blancos (copper) | 1.7 | 1.3 |
| 1.4 | 5.8 | 6.1 |
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Voisey's Bay (cobalt) | 2.8 | 1.4 |
| 2.0 | 6.2 | 5.6 |
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Carlota (copper) | 0.2 | 0.1 |
| 0.2 | 0.6 | 0.6 |
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Sub-total | 4.7 | 2.8 | 3.6 | 12.6 | 12.3 | ||
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Specialty metals & uranium |
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McClean Lake(2) (uranium) | 0.8 | 1.2 |
| 0.9 | 4.5 | 4.1 |
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Maracás Menchen (vanadium) | 0.7 | 0.4 |
| 0.7 | 2.2 | 3.2 |
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Four Mile(1) (uranium) | - | - |
| 0.5 | 1.4 | 1.4 |
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Sub-total | 1.5 | 1.6 | ( | 2.1 | 8.1 | 8.7 | ( |
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Bulks & other |
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Kestrel (steelmaking coal) | 0.2 | 0.2 |
| 3.5 | 41.4 | 35.9 |
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EVBC(3) (gold) | 0.7 | 0.7 |
| 0.1 | 1.9 | 0.7 |
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Other | 0.1 | 0.1 |
| 0.2 | 0.4 | 2.0 |
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Sub-total | 1.0 | 1.0 | - | 3.8 | 43.7 | 38.6 | |
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Less: |
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Metal stream cost of sales(4) | (0.5) | (0.2) |
| (0.5) | (1.2) | (1.4) |
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Total portfolio contribution | 6.7 | 5.2 | 9.0(1) | 63.2 | 58.2(1) |
12023 numbers exclude US
2In Q4 2024, principal repayment totalled US
3Under IFRS 9, the royalties received from EVBC are reflected in the fair value movement of the underlying royalty rather than recorded as royalty income
4Includes ongoing metal purchase costs under stream agreements
Portfolio updates:
Capstone Copper ("Capstone") is targeting the completion of a Mantos Blancos Phase II Expansion Feasibility Study by the end of 2025
o Capstone is also evaluating Mantos Blancos tailings reprocessing that could increase copper production by ~25 ktpa for 15 years with no additional mining or crushing costs
Largo Inc. published an Updated Life of Mine Plan and Pre-Feasibility Study in respect of the Maracás Menchen mine which included a 13-year increase in the reserve-based mine life (out to 2054) and a
67% increase in Mineral ReservesBrazilian Nickel received a letter of interest from the U.S. International Development Finance Corporation expressing interest in providing the Piauí Nickel Project with a loan facility of up to US
$550m , representing approximately40% of the overall financing packageRainbow Rare Earths released an Interim Economic Study confirming the Phalaborwa rare earths project as one of the highest margin rare earths projects globally outside of China
In line with guidance, Kestrel Q4 2024 production mainly outside of Ecora's private royalty area
Cyprium Metals Limited ("Cyprium") published a Pre-Feasibility Study for the Nifty Copper Mine Complex which estimated that the Initial Cathode Project will produce an annual average of 6Kt of copper over four years and forecast that the Copper Concentrate Project will produce an average of 38.7 Kt of copper over an estimated 20-year reserve-based mine life
o In December, Cyprium launched a A
NexGen Energy ("NexGen") completed its 2024 drilling programme in the Patterson Corridor East (PCE), establishing a substantial 600m strike and 600m depth uranium zone only 3.5km from the flagship world-class Arrow deposit. A significant drill program in 2025 is planned at PCE, where NexGen believes there is the prospectivity for material growth
Post-period events:
Approval of Whitehaven Coal's Narrabri Stage 3 project triggered Ecora's right to a total of US
$5m in contingent consideration of which US$3m was received this month. The remaining US$2m will be paid in equal instalments in January and December 2026
Portfolio outlook:
Overall: 2025 production volumes are expected to grow relative to 2024, driven mainly by:
o Voisey's Bay: the Group is expecting between 335 tonnes and 390 tonnes (24-28 deliveries) of attributable cobalt metal in 2025 (2024: 210 tonnes (15 deliveries)) as the ramp up continues
o Kestrel: saleable volumes produced within the Group's private royalty area are expected to be 5
o Production primarily expected in the Group's private royalty area in Q2 and Q3 2025
o Mantos Blancos: increased copper production due to higher mill throughput with operator guidance of between 49,000 and 59,000 tonnes (2024: 44,574 tonnes)
o Volumes weighted towards H2 2025 given planned maintenance in Q1 2025
Capstone plans to progress partnership discussions and its financing strategy for Santo Domingo throughout 2025, with a potential project sanctioning decision not anticipated prior to 2026
o Capstone has allocated approximately US
Business development activities remain focused on growing the Group's near-term income producing royalty portfolio
For further information
Ecora Resources PLC | +44 (0) 20 3435 7400 |
Geoff Callow - Head of Investor Relations |
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Website: | |
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FTI Consulting Sara Powell / Ben Brewerton / Nick Hennis / Lucy Wigney | +44 (0) 20 3727 1000 |
About Ecora Resources
Ecora Resources is a leading royalty company focused on supporting the supply of commodities essential to creating a sustainable future.
Our vision is to be globally recognized as the royalty company of choice synonymous with commodities that support a sustainable future by continuing to grow and diversify our royalty portfolio in line with our strategy. We will achieve this through building a diversified portfolio of scale over high quality assets that drives low volatility earnings growth and shareholder returns.
The mining sector has an essential role to play in the energy transition, with commodities such as copper, nickel and cobalt - key materials for manufacturing batteries and electric vehicles. Copper also plays a critical role in our electricity grids. All these commodities are mined and there are not enough mines in operation today to supply the volume required to achieve the energy transition.
Our strategy is to acquire royalties and streams over low-cost operations and projects with strong management teams, in well-established mining jurisdictions. Our portfolio has been reweighted to provide material exposure to this commodity basket and we have successfully transitioned from a coal orientated royalty business in 2014 to one that by 2026 will be materially coal free and comprised of over
Ecora's shares are listed on the London and Toronto Stock Exchanges (ECOR) and trade on the OTCQX Best Market (OTCQX:ECRAF).
Cautionary statement on forward-looking statements and related information
Certain statements in this announcement, other than statements of historical fact, are forward-looking statements based on certain assumptions and reflect the Group's expectations and views of future events. Forward-looking statements (which include the phrase 'forward-looking information' within the meaning of Canadian securities legislation) are provided for the purposes of assisting readers in understanding the Group's financial position and results of operations as at and for the periods ended on certain dates, and of presenting information about management's current expectations and plans relating to the future. Readers are cautioned that such forward-looking statements may not be appropriate other than for purposes outlined in this announcement. These statements may include, without limitation, statements regarding the operations, business, financial condition, expected financial results, cash flow, requirement for and terms of additional financing, performance, prospects, opportunities, priorities, targets, goals, objectives, strategies, growth and outlook of the Group including the outlook for the markets and economies in which the Group operates, costs and timing of acquiring new royalties and making new investments, mineral reserve and resources estimates, estimates of future production, production costs and revenue, future demand for and prices of precious and base metals and other commodities, for the current fiscal year and subsequent periods.
Forward-looking statements include statements that are predictive in nature, depend upon or refer to future events or conditions, or include words such as 'expects', 'anticipates', 'plans', 'believes', 'estimates', 'seeks', 'intends', 'targets', 'projects', 'forecasts', or negative versions thereof and other similar expressions, or future or conditional verbs such as 'may', 'will', 'should', 'would' and 'could'. Forward-looking statements are based upon certain material factors that were applied in drawing a conclusion or making a forecast or projection, including assumptions and analyses made by the Group in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that are believed to be appropriate in the circumstances. The material factors and assumptions upon which such forward-looking statements are based include: the stability of the global economy; the stability of local governments and legislative background; the relative stability of interest rates; the equity and debt markets continuing to provide access to capital; the continuing of ongoing operations of the properties underlying the Group's portfolio of royalties, streams and investments by the owners or operators of such properties in a manner consistent with past practice; no material adverse impact on the underlying operations of the Group's portfolio of royalties, streams and investments from a global pandemic; the accuracy of public statements and disclosures (including feasibility studies, estimates of reserve, resource, production, grades, mine life and cash cost) made by the owners or operators of such underlying properties; the accuracy of the information provided to the Group by the owners and operators of such underlying properties; no material adverse change in the price of the commodities produced from the properties underlying the Group's portfolio of royalties, streams and investments; no material adverse change in foreign exchange exposure; no adverse development in respect of any significant property in which the Group holds a royalty or other interest, including but not limited to unusual or unexpected geological formations and natural disasters; successful completion of new development projects; planned expansions or additional projects being within the timelines anticipated and at anticipated production levels; and maintenance of mining title.
Forward-looking statements are not guarantees of future performance and involve risks, uncertainties and assumptions, which could cause actual results to differ materially from those anticipated, estimated or intended in the forward-looking statements. Past performance is no guide to future performance and persons needing advice should consult an independent financial adviser. No statement in this communication is intended to be, nor should it be construed as, a profit forecast or a profit estimate.
By its nature, this information is subject to inherent risks and uncertainties that may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate; that assumptions may not be correct and that objectives, strategic goals and priorities will not be achieved.
A variety of material factors, many of which are beyond the Group's control, affect the operations, performance and results of the Group, its businesses and investments, and could cause actual results to differ materially from those suggested by any forward-looking information. Such risks and uncertainties include, but are not limited to current global financial conditions, royalty, stream and investment portfolio and associated risk, adverse development risk, financial viability and operational effectiveness of owners and operators of the relevant properties underlying the Group's portfolio of royalties, streams and investments; royalties, streams and investments subject to other rights, and contractual terms not being honoured, together with those risks identified in the 'Principal Risks and Uncertainties' section of our most recent Annual Report, which is available on our website. If any such risks actually occur, they could materially adversely affect the Group's business, financial condition or results of operations. Readers are cautioned that the list of factors noted in the section herein entitled 'Risk' is not exhaustive of the factors that may affect the Group's forward-looking statements. Readers are also cautioned to consider these and other factors, uncertainties and potential events carefully and not to put undue reliance on forward-looking statements.
The Group's management relies upon this forward-looking information in its estimates, projections, plans and analysis. Although the forward-looking statements contained in this announcement are based upon what the Group believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward-looking statements. The forward-looking statements made in this announcement relate only to events or information as of the date on which the statements are made and, except as specifically required by applicable laws, listing rules and other regulations, the Group undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.
This announcement also contains forward-looking information contained and derived from publicly available information regarding properties and mining operations owned by third parties. This announcement contains information and statements relating to the Kestrel mine that are based on certain estimates and forecasts that have been provided to the Group by Kestrel Coal Pty Ltd ("KCPL"), the accuracy of which KCPL does not warrant and on which readers may not rely.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.
SOURCE: Ecora Resources PLC
View the original press release on ACCESS Newswire
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