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Private Diary: Chronicles of the Energy rEVolution.
Monday, 3 May 2021
Angela Harmantas: TNR Gold Is Building A New Kind Of Royalty Company.
"We are building The Green Energy Metals Royalty and Gold Company to participate in two major megatrends: Energy rEVolution - The Switch to EVs and Renewables; and Gold - as the ultimate hedge during the MMT Age. "
Please read my legal disclaimer. There is NO investment advice on any Kirill Klip feeds and blog. Always consult a qualified financial adviser before any investment decisions.
“I’m a strong believer in personal interest,” stated Mr. Klip. “It’s very encouraging when it’s aligned with that of the shareholders. To that end, I’m pleased that other insiders of the Company have joined me in our recent private placements. While I am the largest individual shareholder of TNR Gold, it’s crucial for me that all of us at the TNR Gold Team are personally motivated to succeed. It’s because of this that shareholders can trust us to advance the Company forward with great passion. Our recent private placement was oversubscribed and we are well-positioned now to develop further our portfolio of strategic assets in gold and Energy rEVolution metals..."
Please read my legal disclaimer. There is NO investment advice on any Kirill Klip feeds and blog. Always consult a qualified financial adviser before any investment decisions.
"The company's forward-thinking approach allows it to integrate its strategic portfolio with the international capital markets
Holds net smelter return royalties on projects containing copper, gold, silver and lithium metals
Diverse project portfolio both commodity-wise and geographically
Committed to continuing to generate in-demand projects, while diversifying its markets and building shareholder value
Recent private placements have featured strong insider participation
What TNR Gold does:
TNR Gold Corp (CVE:TNR)(OTCMKTS:TRRXF) is building a new kind of royalty company to give investors exposure to both precious and green energy metals.
Unlike typical royalty companies, TNR Gold holds net smelter return (NSR) royalties on projects containing copper, gold, silver and lithium metals. TNR’s project portfolio is diverse both commodity-wise and geographically.
In 2009, TNR Gold and CEO Kirill Klip founded International Lithium Corp (ILC), a green energy metals company that went public through the spin-out of TNR’s energy metals portfolio in 2011. China’s Ganfeng Lithium joined TNR and participated in that transaction and now TNR retains a 1.8% NSR royalty on the Mariana lithium project in Argentina, a joint venture between ILC and Ganfeng Lithium.
ILC has a right to repurchase 1% of the NSR Royalty on the project, of which 0.9% relates to the company’s NSR royalty interest. TNR would receive $900,000 on the completion of the repurchase.
Also in Argentina, the Los Azules copper-gold project is one of the world’s largest undeveloped copper deposits. Operated by McEwen Mining Inc, TNR holds a 0.36% NSR royalty on the entire project.
The Shotgun Gold Project in Alaska is a little different. TNR owns 90% of the project itself and is looking to partner with a major gold miner. Located around 190 kilometres south of the Donlin Gold deposit, Shotgun is a porphyry-style gold mineralized system that is being targeted for a bulk mineable gold resource.
TNR Gold has successfully consolidated and updated its mining claims in Alaska and is actively introducing the project to interested parties.
CEO Kirill Klip has said there is a “clear path” on how to move the project forward using the geological and geophysical research currently available to expand the resource and form the basis of a preliminary economic analysis.
All told, TNR is far from a typical royalty and streaming company but something far more interesting. The firm says it is “committed” to continuing to generate in-demand projects, while diversifying its markets and building shareholder value.
How is it doing:
The Vancouver-based firm started 2021 with money in the bank. A January 2021 private placement raised C$250,000 to go towards exploration at Shotgun.
Then in February 2021, TNR closed another C$571,000 financing led by insiders and oversubscribed. Later in the month, it announced another C$250,000 raise.
Notably, insiders of the company joined in on the recent private placements. Kirill Klip himself participated and is the largest individual shareholder.
The CEO said the company is now well-positioned to develop its portfolio of strategic assets in gold and energy metals.
Inflection points:
News flow from existing project portfolio
Additional royalty and streaming acquisitions
Commodity price moves
What the boss says:
“Our forward-thinking approach is allowing us to integrate our strategic portfolio with the international capital markets, while maintaining efforts to minimize dilution for all our shareholders,” TNR Gold CEO Kirill Klip wrote in a recent letter to shareholders.
“During these favourable macro-economic conditions for gold and green energy metals, we have been enjoying an entirely new level of attention and participation from certain financial institutions. This will allow us to accelerate the development of the Shotgun Gold Project as well as continue to advance our royalty portfolio within the next chapter of business: Green Energy Metals.”
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