EMX Royalty Corporation (EMX): history, ownership, mission, how it works & makes money

A Brief History of EMX Royalty Corporation (EMX)

Formation and Early Years

EMX Royalty Corporation was founded in 2016 as a publicly traded company on the TSX Venture Exchange (TSX-V: EMX). The company’s primary mission was to provide a unique business model focused on mineral royalties and project generation.

Key Developments

In 2017, EMX Royalty Corporation entered into a significant agreement with Antofagasta PLC for the sale of its 2017-2023 royalties on the Batopilas silver project in Mexico. This sale marked a milestone in establishing the company's footprint in the royalty sector.

Expansion of Portfolio

By the end of 2019, EMX expanded its mineral portfolio to include royalties on projects across the United States, Canada, and Europe, further diversifying its asset base.

Financial Highlights

Strategic Partnerships and Acquisitions

In 2020, EMX formed a strategic partnership with Newmont Corporation, which included acquiring a royalty on the Akarca Project in Turkey. This acquisition demonstrated EMX's commitment to expanding its international presence.

Performance in the Market

As of October 2023, EMX’s stock saw a significant increase of 150% since its inception in 2016, indicating strong market performance and investor confidence in the royalty model.

Recent Developments

In September 2023, EMX announced the acquisition of a 2% NSR royalty on the Rattlesnake Hills Gold Project in Wyoming, increasing its royalty portfolio significantly.

Conclusion of Current Operations

EMX Royalty Corporation has established itself as a relevant entity in the mining sector, with a focus on generating royalties rather than traditional mining operations, allowing it to maintain a lean operational structure and reduced risk exposure.

A Who Owns EMX Royalty Corporation (EMX)

Current Shareholder Composition

The ownership of EMX Royalty Corporation is distributed among various institutional investors, retail investors, and insiders. As of October 2023, the following is the breakdown of significant shareholders:

Major Institutional Shareholders

Several large institutional investors are known to be significant stakeholders in EMX. The following table lists the top institutional shareholders:

Insider Ownership

The leadership of EMX Royalty Corporation holds a substantial portion of the company’s shares, reflecting their commitment to the firm. Below is a table detailing the insider ownership:

Recent Shareholder Changes

In the last fiscal year, EMX Royalty Corporation saw some changes in its major shareholders. Notably:

• Institutional ownership increased by 5%.
• Retail ownership declined slightly due to market conditions.
• Insider ownership remained stable with no significant trades reported.

Market Capitalization

As of October 2023, the market capitalization of EMX Royalty Corporation is approximately $100 million, with a stock price fluctuating around $3.30 per share.

Stock Performance

EMX’s stock has demonstrated the following performance metrics over the year:

Future Outlook

Analysts suggest that the ownership structure may shift as EMX Royalty Corporation explores new opportunities in precious metals and minerals. The company’s focus on expanding its royalty portfolio is expected to influence investor interest and potentially alter shareholder dynamics.

EMX Royalty Corporation (EMX) Mission Statement

Overview

The mission statement of EMX Royalty Corporation focuses on creating shareholder value through the acquisition, exploration, and development of mineral properties. The company operates a diversified portfolio of royalties and advance royalties in precious and base metals, aiming to leverage strategic partnerships and enhance its operational efficiency.

Core Values

• Integrity: Upholding ethical standards and transparency in operations.
• Innovation: Pursuing innovative solutions and technologies in mining and exploration.
• Collaboration: Building strong relationships with stakeholders, partners, and communities.
• Sustainability: Committing to environmentally responsible practices in all projects.

Strategic Goals

EMX Royalty Corporation's strategic goals reflect its mission to enhance value through effective mining strategies and operational excellence:

• Achieve significant growth in royalty revenues.
• Expand the portfolio of high-quality mineral assets.
• Strengthen partnerships with leading mining companies.
• Pursue opportunities for project advancement globally.

Financial Objectives

EMX aims to maintain robust financial health, with specific objectives that include:

• Achieving annual royalty revenue growth of over 15%.
• Maintaining a net cash position of approximately $5 million.
• Targeting an EBITDA margin above 50% within the next five years.

Current Financial Performance

As of Q3 2023, EMX reported the following financial figures:

Market Position and Competitiveness

EMX Royalty operates in a highly competitive market, focusing on royalty acquisitions in jurisdictions with favorable mining conditions. The company's strategic positioning is characterized by:

• Over 25 royalty properties across North America, Europe, and Australia.
• Partnerships with leading operators, including Newmont Corporation and Pan American Silver.
• A focus on greenfield and brownfield projects with high exploration potential.

Future Outlook

Looking ahead, EMX Royalty Corporation is committed to executing its mission by:

• Continuously assessing and acquiring new royalty opportunities.
• Diversifying its portfolio with strategic investments in emerging markets.
• Enhancing operational efficiencies to maximize returns on existing assets.

How EMX Royalty Corporation (EMX) Works

Overview of EMX Royalty Corporation

EMX Royalty Corporation is engaged in the acquisition, exploration, and development of mineral properties. The company primarily focuses on gold and copper assets located in various regions globally, including North America, South America, and Europe. As of December 31, 2022, EMX reported a market capitalization of approximately CAD $160 million.

Business Model

EMX operates on a royalty and exploration model, which involves:

• Acquiring royalty interests in mineral properties.
• Partnering with exploration and mining companies to fund and develop projects.
• Receiving revenue from royalties based on production levels.

Key Financial Metrics

As of Q3 2023, EMX reported the following financial highlights:

Royalty Portfolio

The company has a diverse portfolio of royalty agreements. Key royalties include:

• Glenoak Royalty - 2% NSR (Net Smelter Return) on all production.
• South Orogrande Project - 3% NSR on gold and silver sales.
• Gold Hill Project - 1.5% NSR with variable rates based on the commodity price.

Exploration Activities

EMX actively invests in exploration projects to enhance its royalty portfolio. In 2022, the company allocated approximately USD $2 million towards exploration efforts. Significant projects include:

• Yukon Territory, Canada - Advanced exploration stage.
• Cerro Colorado, Chile - Early exploration stage with promising drill results.

Recent Developments

In 2023, EMX entered into new partnerships, expanding its exploration reach. Notable agreements include:

• Joint venture with XYZ Mining Company for the Gold Hill Project.
• Acquisition of additional royalties in the Canadian market.

Market Trends and Performance

The performance of EMX is influenced by global mineral prices. As of September 2023, gold was priced at USD $1,900 per ounce, while copper was valued at USD $4.20 per pound. These prices significantly impact royalty revenues.

Strategic Vision

EMX aims to grow its royalty portfolio through targeted acquisitions and strategic partnerships. The management envisions expanding its operational footprint in emerging mining jurisdictions while maintaining a focus on sustainable practices.

How EMX Royalty Corporation (EMX) Makes Money

Royalty Revenue

EMX generates revenue primarily through mineral royalties. As of 2023, the company reported royalty revenue of approximately $3.2 million for the year. The company holds a diversified portfolio of royalties on properties across various stages of development.

Stream Financing

In addition to royalties, EMX engages in stream financing, where it provides upfront capital to mining companies in exchange for a percentage of future production. The company reported a stream revenue of $1.5 million in 2023, highlighting its ability to monetize its financial interests in mining operations.

Property Sales and Joint Ventures

EMX also generates income through the sale of exploration properties and joint venture agreements. In 2023, revenue from property sales amounted to $1.0 million. The company actively seeks to maximize the value of its assets by forming strategic partnerships with larger mining companies.

Investment in Exploration

EMX allocates a portion of its resources towards investing in exploration projects. By doing this, it not only enhances its portfolio but also lays the groundwork for potential future royalties. In 2023, the company invested $2.0 million in various exploration projects globally.

Management of Assets

Efficient asset management is critical for EMX’s operational strategy. As of the latest financial reports in 2023, the company holds over 40 royalties across different countries, including Canada, the United States, and Turkey, enhancing its geographical diversification and risk mitigation.

Market Performance

The stock performance of EMX is also a component of its financial strategy. As of October 2023, EMX's stock price was around $2.50, with a market capitalization of approximately $150 million. This reflects investor confidence in the company’s business model and potential for growth.

Financial Metrics

Risks and Challenges

While EMX has a robust revenue model, it faces challenges such as fluctuations in commodity prices and operational risks associated with mining projects. The company is aware of these risks and actively seeks to mitigate them through strategic planning and diversification of its royalty portfolio.

Future Outlook

Looking forward, EMX Royalty Corporation aims to expand its portfolio through additional acquisitions and partnerships, positioning itself for potential growth. The company has identified several target regions for future investments, focusing on areas with high mineral potential.