EMP Metals welcomes new lithium production royalty rate

Executive Summary

• Saskatchewan government approved amendments to the Subsurface Mineral Royalty Regulations, fixing the lithium production royalty at 3 % of sales value.
• The new framework includes a two‑year royalty holiday for any newly commissioned productive capacity, improving project economics.
• EMP Metals’ CEO calls the rate “highly competitive” and says it positively impacts financial modelling for Project Aurora.

Key Details

• Royalty rate for lithium produced from natural brine aquifers set at 3 % of the value of brine mineral sales.
• Two‑year royalty holiday applies to new productive capacity, reducing cash outflows during early production years.
• The rate aligns with Saskatchewan’s royalties on potash, salt and sodium sulphate and is positioned as competitive internationally.
• Amendments supersede any prior provisions in Saskatchewan subsurface mineral leases.
• EMP Metals holds over 205,000 net acres (≈83,000 ha) of subsurface dispositions and strategic wellbores in Southern Saskatchewan for its Project Aurora lithium development.

Notable Quotes

“This is very welcome news. The government of the province of Saskatchewan has once again proven itself to be supportive of lithium production in the province. This is a highly competitive royalty rate internationally and a two‑year royalty holiday on new production immediately makes a positive impact on financial modelling of what is already a compelling business case for our Project Aurora lithium production project.” – Karl Kottmeier, CEO, EMP Metals Corp.