METALLA REPORTS FINANCIAL RESULTS FOR THE SECOND QUARTER OF 2025 AND PROVIDES ASSET UPDATES
Executive Summary
- Metalla reported Q2 2025 financials, posting $2.7 M royalty revenue and adjusted EBITDA of $1.485 M for the quarter, while recording a net loss of $1.603 M.
- The company closed a new revolving credit facility (RCF) of up to $40 M with an additional $35 M accordion feature and retired a C$50 M convertible loan.
- Significant operational updates were provided for multiple royalty assets, including the first month of production at Endeavor Mine (5,398 t of silver‑lead concentrate), strong gold output at Tocantinzinho and Wharf, and drilling highlights across Aranzazu, La Guitarra, Côté‑Gosselin, and other projects.
Key Details
- Financing:
- Revolving credit facility with Bank of Montreal & National Bank Financial – up to $40 M, plus optional $35 M accordion; conditions apply.
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Fully repaid and retired a C$50 M convertible loan to Beedie Investments Ltd.
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Quarterly Financial Metrics (Three‑Month Period):
- Revenue from royalty interests: $2,695 k (up from $875 k YoY).
- Net loss: $(1,603) k (vs $(1,491) k YoY).
- Adjusted EBITDA: $1,485 k (vs $165 k YoY).
- Attributable GEOs produced: 840 k (up from 401 k YoY).
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Average realized price per GEO: $3,289; average cash cost per GEO: $8.
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Asset Production & Updates:
- Endeavor Mine (Polymetals): First full month of production – 5,398 dry metric tonnes of silver‑lead concentrate in July; operating costs met; pre‑payment of A$11.6 M received; ramp‑up to ~65,000 t/month planned for H2 2025.
- Tocantinzinho (G Mining): Q2 gold production 42.6 Koz; plant ran at nameplate 12,890 tpd for 30 days; Metalla accrued 309 GEOs.
- Wharf (Coeur Mining): Q2 gold production 24.1 Koz; Metalla accrued 279 GEOs.
- Aranzazu (Aura Minerals): Highlight drill intercepts – 5.86% Cu, 1.3 g/t Au, 62 g/t Ag over 25.5 m; Metalla accrued 175 GEOs.
- La Guitarra (Sierra Madre): Private placement final tranche closed; Metalla accrued 30 GEOs.
- Côté‑Gosselin (IAMGOLD): Q2 drilling – 19,700 m at Gosselin; 6,500 m infill at Côté; Metalla holds 1.35% NSR royalty on portion of the deposit.
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Castle Mountain (Equinox): Accepted into FAST‑41 permitting program; expected federal permit completion Dec 2026; Metalla holds 5.0% NSR royalty on South Domes area.
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Strategic Partnerships & M&A:
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Hudbay – Mitsubishi JV (Copper World): $600 M strategic investment for 30% JV interest; $420 M upfront, $180 M matching contribution within 18 months; project expected to close late 2025/early 2026. Metalla holds 0.315% NSR royalty with right of first refusal for additional 0.360%.
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Management Change:
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Marjorie Winslow appointed Corporate Secretary, replacing Kim Casswell.
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Non‑IFRS Measures (Quarter):
- Adjusted EBITDA: $1,485 k; Operating cash margin per GEO: $3,281.
- Adjusted working capital: $10,057 k.
Notable Quotes
“The second quarter of 2025 marked another important milestone in Metalla's growth, highlighted by the successful closing of our inaugural revolving credit facility and recommissioning of the Endeavor Mine.” – Brett Heath, CEO
All figures are presented in thousands of U.S. dollars unless otherwise noted.