Altius to Acquire Additional Potash Royalty Interests from Liberty Metals & Mining Holdings, LLC for
C$65 Million
Altius Minerals Corporation (“Altius”) is pleased to announce that together with a private third party it has agreed to purchase
an additional 44.9% interest in Potash Royalty Limited Partnership (“Potash Royalties”) from Liberty Metals & Mining Holdings,
LLC for total cash consideration of C$75 million plus nominal price adjustments. Of this amount, Altius will pay C$65 million to
bring its total interest in Potash Royalties to 91.3%, from its current 52.4% interest.
Potash Royalties generates royalty revenue from six producing potash mines located in Saskatchewan, Canada including Nutrien’s
Rocanville, Vanscoy, Allan, Cory and Patience Lake mines and The Mosaic Company’s Esterhazy mine.
At current throughput rates these assets have an estimated average remaining mine-life of 49 years using reserves and resources
and not including considerable inferred resources and additional exploration potential. Following recent major capacity expansions,
the mines have the collective potential to almost double production throughput before reaching their nameplate capacities. Global
potash demand continues to grow steadily, achieving a new record level last year, while prices appear to have recently begun to
rebound from cyclical lows.
Financing for the transaction will be sourced from Altius’s existing balance sheet liquidity, which consists of approximately
C$130 million in cash and unused revolving credit facilities. It is anticipated that the transaction will close on or before March
31, 2018, subject to satisfaction of customary closing conditions.
Brian Dalton, President and CEO of Altius commented: “Royalties such as these are rare and exceptional. This acquisition
increases Altius’s exposure to the world’s premiere potash mines and to some of the best free long-term optionality to be found
anywhere in the overall resource royalty sector. We are delighted to increase our ownership at this particularly opportune point in
the life-cycle of these mines.”
Scotiabank is acting as financial adviser to Altius in relation to this transaction.
About Altius
Altius directly and indirectly holds diversified royalties and streams that generate revenue from 15 operating mines. These are
located in Canada and Brazil and produce copper, zinc, nickel, cobalt, iron ore, potash and thermal (electrical) and metallurgical
coal. The portfolio also includes numerous pre‐development stage royalties covering a wide spectrum of mineral commodities and
jurisdictions. In addition, Altius’s Project Generation business holds a large portfolio of exploration stage projects which it has
generated for deal making with industry partners that results in newly created royalties and equity and minority interests.
Altius has 43,215,026 shares issued and outstanding that are listed on Canada’s Toronto Stock Exchange. It is a member of
both the S&P/TSX Small Cap and S&P/TSX Global Mining Indices.
Altius
Flora Wood, 1-877-576-2209
flora@altiusminerals.com
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