Royalty Management Corporation Forms Mineral Commodity Investment and Trading Division

Royalty Management Forms Mineral Commodity Investment and Trading Division

Royalty Management Holding Corporation (NASDAQ:RMCO)

FISHERS, INDIANA, UNITED STATES, July 9, 2024 /EINPresswire.com/ -- Royalty Management Holding Corporation (Nasdaq: RMCO) (“Royalty Management” “RMCO”, or the “Company”), an innovative royalty company building shareholder value by acquiring and developing high value assets in sustainable market environments, is pleased to announce today that the Company has formed a mineral investment and trading division to capitalize on the growing utilization of certain resources and critical minerals needed for the growing economic transition to new energy technologies within battery-based energy storage, power generation, and infrastructure needs. As part of this new initiative, the Company will be selectively investing in certain raw and processed minerals and materials from various global sources, including those feedstocks produced by RMCO’s own portfolio companies, in negotiated transactions and offtake agreements that link producers with consumers (or refiners) of these mined or recycled materials and elements. The transactional nature of this division is structured to provide Royalty Management with a “cost-plus” investment model designed to also provide the Company with additional revenue potential from profit sharing arrangements negotiated with the consumer or refiner of RMCO’s purchased feedstock, although other investment structures will be considered by management.

This new division of the Company is intended to be complimentary and synergistic to Royalty Management’s existing and future investments in the critical mineral and infrastructure space by utilizing the Company’s relationships, network, balance sheet, trade financing and confidence in its own investments to help initiate or expand production from its portfolio holdings.

“As discussed in the annual shareholder letter released earlier this year, one of our targeted themes for investment by RMCO in the coming months and years is the resources, minerals, and materials needed for the growing energy storage and infrastructure industries”, commented Tom Sauve, Chief Executive Officer of Royalty Management Holding Corporation. “We have been executing on this plan with our continued work with Ferrox Holdings, the owner of the Tivani Project in Limpopo, South Africa, a titanium, vanadium, and pig iron resource rich mine, and our recent royalty investment into T.R. Mining, which holds the exclusive prospective rights to a large resource in Jamaica. While we continue to evaluate other exciting investments in this sector, we saw the opportunity to not only provide a secondary source of capital to our existing and upcoming investments, but also another way to participate in this exciting segment of the resource space through select investment into the resources themselves. These investments will be structured through a combination of investment into the minerals produced by mining companies and a sale of this feedstock to end users and refiners, with our Company receiving additional margin and fees on these transactions, while being synergistic and assisting our portfolio companies.

Concurrent with the formation of this new investment division within Royalty Management, the Company is excited to also announce its first executed agreement under this structure, whereby the Company will be selectively purchasing raw feedstock for resale to ReElement Technologies Corporation, for use in their refining process. This innovative investment structure alongside the growing balance sheet strength of Royalty Management enables the Company to offer a variety of strategic investment options, such as trade financing or commodity brokering, frequently at a lower cost than RMCO’s partners or customers can secure by themselves, ultimately making this partnership accretive for all parties while also enabling partner companies, such as ReElement Technologies, to rapidly increase their feedstock source availability as they expand their refining production in Indiana and Kentucky.

About Royalty Management Holding Corporation
Royalty Management Holding Corporation (NASDAQ: RMCO) is a royalty company building shareholder value to benefit both its shareholders and communities by acquiring and developing high value assets in sustainable market environments. The business model focuses on acquiring and structuring cashflow and revenue streams around assets that can support the communities by monetizing the current existing cash flow streams while identifying transitionary cash flow from the assets for the future. For more information visit www.royaltymgmtcorp.com.

Forward-Looking Statements
This press release contains statements that constitute “forward-looking statements,” including with respect to the initial public offering. No assurance can be given that the offering discussed above will be completed on the terms described, or at all. Forward-looking statements are subject to numerous conditions, many of which are beyond the control of the Company, including those that will be set forth in the “Risk Factors” section of the Company’s registration statement and proxy statement/prospectus to be filed with the SEC. Copies will be available on the SEC’s website, www.sec.gov. The information contained in this release is as of the date first set forth above. The Company undertakes no obligation to update these statements for revisions or changes after the date of this release, except as required by law.

Investor Contact:
RedChip Companies Inc.
Robert Foley
1-800-RED-CHIP (733-2447)
Info@redchip.com
Company Contact:
Thomas Sauve
Chief Executive Officer
(317) 855-9926

SOURCE: Royalty Management Holding Corporation

Thomas Sauve
Royalty Management Holding Corporation
+1 317-855-9926
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