Vancouver-based Empress Royalty increases gold royalty on Manica project in Mozambique


n January 17, 2022, Empress increased its royalty from 2.25% to 3.375% by paying an additional US$1M under the previously executed Royalty Purchase Agreement. The Royalty is on gold sales from the Manica project operated by Mutapa Mining & Processing LDA ("MMP"), up to a total of 95,000 oz of gold. MMP has advised Empress that the Manica project development phase is nearing completion and is scheduled for commissioning in the second quarter of 2022. [Image: Courtesy of Empress Royalty Corp.]



  • The royalty and streaming company said it increased its royalty to 3.375% from 2.25% with an additional US$1M payment under the previously executed Royalty Purchase Agreement

Empress Royalty Corp announced that it has increased its total royalty on the Manica gold project in Mozambique with a payment of US$1 million.

The Vancouver-based royalty and streaming company said it increased its royalty to 3.375% from 2.25% on January 17, 2022, with the additional payment under the previously executed Royalty Purchase Agreement.


The royalty is on gold sales from the Manica project operated by Mutapa Mining & Processing LDA (MMP), up to a total of 95,000 ounces of gold. After that, the royalty percentage will be reduced to 1.125% and will continue into perpetuity, the company added.


“The Manica project is a great investment for Empress, we are excited to have increased the size of the royalty and look forward to receiving revenue from Manica in the second quarter of 2022,” Empress Royalty president and CEO Alexandra Woodyer Sherron said in a statement.

“We believe Empress is positioned for rapid growth and increased shareholder value in the coming year.”


Empress said it has been advised by MMP that the Manica project development phase is nearing completion and is scheduled for commissioning in the second quarter of 2022.

Manica is located in the OdziMutare-Manica Greenstone Belt of Mozambique and comprises several deposits on Xtract Resources PLC´s mining concession licence 3990C, which includes four deposits, being Fair Bride, Guy Fawkes, Boa Esperanza, and Dots Luck.

Research Capital reiterates ‘BUY’ rating

Following the news of the increased royalty on the Manica gold project, analysts at Research Capital issued an updated note on the company, reiterating a BUY rating and target price of C$0.75.

“We estimate that the new royalty, net of the purchase price, will result in a modest increase in the value of the royalty (C$6 million vs. C$5.4, previously),” the analysts wrote. “While we applaud Empress for executing another successful royalty transaction, the incremental value of the purchase is not sufficient to change our target price. However, we think investors will be rewarded with increased cash flow in the near-term for a small purchase price.”

Shares of Empress Royalty were trading for C$0.28 at 12:30pm EST.


Empress Royalty is a new royalty and streaming creation company focused on providing investors with a diversified portfolio of gold and silver investments. It currently has 17 projects in its royalty portfolio.


By Stephen Gunnion

Source: Proactive Investors

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