Metalla Royalty & Streaming Ltd. (NYSE: MTA) shares exhibited a notable resurgence during the extended trading session on Friday, showcasing a complete recovery. The stock experienced an 8.07% upswing to attain a value of $3.48 in the after-market session, effectively offsetting the 8.52% loss incurred in the regular trading session, ultimately concluding at $3.22. The apparent recovery of MTA stock is attributed to recent developments, although no immediate, discernible news correlates with the observed rise.
Metalla (MTA) recently delineated its post-merger core assets and unveiled a comprehensive three-year corporate strategy, shedding light on imminent catalysts within its portfolio. As an emerging mid-tier royalty and streaming entity, Metalla presently boasts a portfolio encompassing over 100 royalties and streams, featuring pivotal assets such as Côté-Gosselin and Taca Taca.
The company currently operates six producing assets, with an additional three slated to commence production in 2024. Forecasts for 2024/2025 identify Wharf, Tocantinzinho, Aranzazu, Amalgamated Kirkland, Endeavor, and La Encantada as the principal contributors to production. Metalla anticipates achieving a gold equivalent ounce (“GEO”) production exceeding 30,000 ounces annually by 2030, emanating from high-quality, enduring projects.
This is anticipated to catalyze significant growth in cash flow. The company prides itself on a superior jurisdictional risk profile, with royalties spanning established mining regions in North America, South America, and Australia, and boasting a total liquidity of approximately $35 million. The amalgamation of high-quality growth assets acquired over 12 years by Metalla and Nova Royalty Corp. underpins a portfolio poised to yield over 30,000 GEOs annually by 2030.
Notably, Metalla envisions robust near-term free cash flow growth driven by Tocantinzinho, Amalgamated Kirkland, and Endeavor during the 2024/2025 period, solidifying its standing as a mid-tier royalty company. In the upcoming three years, Metalla anticipates capitalizing on various catalysts within its portfolio, focusing on strategic transactions and formulating a capital return strategy.
The company’s three-year strategic objectives encompass pursuing additional strategic transactions to complement its growth portfolio, enhancing shareholder value, implementing a capital return strategy, and prioritizing debt reduction while maintaining a robust balance sheet.
