29
April 2024
Operational
Update:
Partial Sale of Net Smelter
Return Royalty
Aterian Plc
("Aterian" or the
"Company")
Aterian Plc
(LSE: ATN), the critical metal-focused
exploration and development company, announces the sale of its
portion of the Net Smelter Return Royalty ("NSR") over the HCK Project in the
Republic of Rwanda ("Rwanda") for a £200,000 gross
consideration.
The Company has signed an agreement
to sell a interest of 1.40 % of the Rio Tinto Joint Venture NSR to
Elemental Altus Royalties Corporation ("Elemental
Altus"). This royalty reduces to
1.25% upon the Musasa licence being issued in Rwanda. The Company
engaged strategic advisors, Collingwood Capital Partners AG, to
approach several royalty companies to gain expressions of interest
in purchasing the NSR and to provide third-party oversight in the
sale of the NSR to Elemental Altus, who provided the best option
for the Company.
Charles Bray, Chairman of
Aterian, commented:
"The sale of the Rwandan royalty
interest to Elemental Altus aligns with our overarching strategy of
prioritising financial discipline, strengthening the balance sheet
and maximising shareholder value. We want this to be the
first of many new asset value realisation efforts across our
portfolio. We believe that this transaction, marking the first
royalty sale in Rwanda, positions us for continued success in a
challenging market environment, enabling us to capitalise on our
portfolio assets and deliver sustainable long-term
growth."
- ENDS -
This announcement contains information which,
prior to its disclosure, was inside information as stipulated under
Regulation 11 of the Market Abuse (Amendment) (EU Exit) Regulations
2019/310 (as amended).
For further information, please visit the
Company's website: www.aterianplc.com or
contact:
Aterian Plc:
Charles Bray, Executive Chairman - charles.bray@aterianplc.com
Simon Rollason, Director - simon.rollason@aterianplc.com
Financial Adviser and Joint
Broker:
Novum Securities Limited
David Coffman / George Duxberry
Colin Rowbury
Tel: +44 (0)207 399 9400
Joint Broker:
SP Angel Corporate Finance LLP
Ewan Leggat / Kasia Brzozowska
Tel: +44 20 3470 0470
Financial PR:
Bold Voodoo
- ben@baldvoodoo.com
Ben Kilbey
Tel: +44 (0)7811 209 344
Notes to Editors:
About Aterian plc
www.aterianplc.com
Aterian plc is an LSE-listed exploration
and development company with a diversified African portfolio of
critical metals projects.
Aterian plc is actively seeking to acquire and develop new
critical metal resources to strengthen its existing asset base
whilst supporting ethical and sustainable supply chains as the
world transitions to a sustainable, renewable future. The
supply of these metals is vital for the development of the
renewable energy, automotive and electronic manufacturing sectors
that are playing an increasing role in reducing carbon emissions
and meeting climate ambitions globally.
The Company has entered into a joint venture
agreement with Rio Tinto Mining and Exploration
Limited for Rio Tinto to earn into the HCK project in
southern Rwanda and holds two further partnerships
in Rwanda exploring and developing
lithium-tantalum-niobium-tin mining operations. Aterian currently
holds a portfolio of multiple copper-silver and base metal projects
in the Kingdom of Morocco, with a total area of 897
km2. In January 2024, the Company announced the
acquisition of a 90% interest in Atlantis Metals. This private
Botswana registered company holds seven mineral prospecting
licences for copper-silver in the Kalahari Copperbelt and three for
lithium brine exploration in the Makgadikgadi Pans region. The
total licence area in Botswana is 4,486 km2.
The Company's strategy is to seek new
exploration and production opportunities across the African
continent and to develop new sources of critical mineral assets for
exploration, development, and trading.