Mr. David Cole reports

EMX OPTIONS ITS POLYMETALLIC SAGVOLL AND MERAKER PROJECTS IN NORWAY TO LUMIRA ENERGY LTD.

EMX Royalty Corp. has executed an option agreement for EMX's Sagvoll and Meraker projects in Norway with Lumira Energy Ltd., a private Australian company. The agreement provides EMX with 2.5-per-cent net smelter return (NSR) royalty interest, cash and equity payments, work commitments, and other considerations. EMX has recently executed another agreement with Lumira for EMX's Copperhole Creek project in Queensland, Australia (see company news release dated Sept. 13, 2023). In conjunction with these transactions, Lumira Energy intends to establish a public listing on the Australian Securities Exchange (ASX) in midyear 2024 via an initial public offering (IPO).

The polymetallic Sagvoll and Meraker projects in Norway are positioned along a prolific metallogenic belt in Norway that includes the historic Roros volcanogenic massive sulphide (VMS) district. The Meraker project hosts VMS styles of mineralization, while the Sagvoll project contains both VMS and magmatic nickel-copper sulphide targets. Prior to EMX's involvement, little work had been done on the Meraker project in the past 50 years, and Sagvoll has not seen substantive exploration since Falconbridge Ltd. last conducted exploration there in the early 2000s. Together with the Copperhole Creek project in Australia, these projects will form a strong starter portfolio for Lumira in support of its future IPO.

Commercial terms overview

All terms are in Australian dollars unless otherwise indicated. Upon execution, Lumira will make a cash payment of $50,000 to EMX. Lumira will vest a 100-per-cent interest in the projects by granting to EMX:

• A 2.5-per-cent NSR royalty interest on each project;
• Annual advance royalty (AAR) payments of $35,000 per project per year, commencing upon the second anniversary of the IPO, with the AAR payments escalating by 15 per cent per year until reaching a maximum of $100,000 per year;
• Equity payments of $150,000 in shares of Lumira upon completion of the IPO along with the same number of options exercisable at a 50-per-cent premium to the IPO price for two years, and an additional same number of options exercisable at a 100-per-cent premium to the IPO price for three years;
• An additional 750,000 shares upon the first anniversary of the IPO;
• Milestone payments as follows:
  • $250,000 in cash upon completion of a preliminary economic assessment (or equivalent study);
  • $500,000 in cash upon completion of a prefeasibility study.

To maintain its interest in the projects, Lumira will also:

• Spend $150,000 in exploration expenditures per project by the first anniversary of execution;
• Commit to $650,000 in exploration expenditures by the first anniversary of the IPO with a minimum of $200,000 spent on each project (if both are maintained);
• Commit to $750,000 in exploration expenditures by the second anniversary of the IPO with a minimum of $250,000 spent on each project (if both are maintained);
• Complete a cumulative $5-million in exploration expenditures by the fifth anniversary of execution, with a minimum of $1.2-million spent on each project (if both are maintained).

Within 72 months of executing the agreement, Lumira will have the right to repurchase 0.5 per cent of the NSR royalty on each project for $1-million.

Overviews of the projects

The Sagvoll and Meraker polymetallic projects in Norway are located in the early Paleozoic VMS belt in Norway, which saw numerous districts and mines in operation from the 1600s through the 1990s. This metallogenic region represents a tectonically displaced continuation of the Cambrian-Ordovician VMS belts in northeastern North America, which include the Buchans and Bathurst VMS camps in Eastern Canada, and also the Avoca VMS district in Ireland. As such, this represents one of the more prolific VMS belts in the world in terms of total production from its various mining districts, albeit now tectonically displaced and occurring along opposite sides of the Atlantic Ocean.

Sagvoll project, Caledonian VMS belt, southern Norway

The Sagvoll project in southern Norway consists of both VMS and magmatic nickel-copper sulphide mineralization developed along the Caledonian mountain belt. At Sagvoll, mineralization and historic mining areas are positioned along a 13-kilometre trend. Although multiple historic mines were developed in the area, only limited historical drilling has taken place, most of which were drilled over 100 years ago. Many prospects and mining areas remain untested. The most recent work conducted in the district took place in 2006, when Falconbridge Ltd. (later Xstrata PLC) flew airborne geophysical surveys, and identified five prioritized nickel-copper targets and 11 VMS targets for further exploration and drill testing. However, the follow-up exploration work was never completed.

EMX has identified several walk-up-style drill targets based upon the historical and more recent Falconbridge/Xstrata data, and will work closely with Lumira to systematically explore the area. EMX explored the Sagvoll project in 2022, and conducted extensive soil sampling campaigns over the VMS trend to identify the continuation of outcropping VMS mineralization at the Akervoll and Malsa prospects. The company has further carried out reconnaissance field mapping, review of historical drill core and lithogeochemical sampling to identify alteration and mineralization zoning patterns. In 2023, the company focused on the Skjarkerdalen nickel target and conducted field mapping campaigns to understand the distribution of mineralized mafic intrusions in the area.

Meraker, Caledonian VMS belt, southern Norway

Located near the Norwegian city of Trondheim, the 18,600-hectare Meraker project contains multiple historic mines and prospects developed on trends of polymetallic VMS-style mineralization. Copper was the chief product from many of the historic mines, but significant zinc mineralization is seen in the mine dumps and outcrops in the area. There are several parallel trends of mineralization within the project area, extending for nearly 30 kilometres along strike. Little modern exploration has taken place at Meraker.

The company and its former partner Norra Metals, together with the NGU (geological survey of Norway), jointly carried out an airborne EM (electromagnetic) survey over the Meraker project in 2021. In 2023, EMX carried out reconnaissance mapping and sampling covering various prospects in the Meraker licence block, with positive base metal results. An extensive soil sampling program, including 4,750 samples, covered the prospective Fonnfjell, Mannfjell and Lillefjell targets, which warrant follow-up work.

Comments on nearby and adjacent properties

The deposits, projects and mines discussed in this news release provide context for EMX's project, which occurs in a similar geologic setting, but this is not necessarily indicative that the project hosts similar quantities, grades or styles of mineralization.

Dr. Eric P. Jensen, CPG, a qualified person as defined by National Instrument 43-101 and employee of the company, has reviewed, verified and approved the disclosure of the technical information contained in this news release.

About EMX Royalty Corp.

EMX is a precious, base and battery metals royalty company. EMX's investors are provided with discovery, development and commodity price optionality, while limiting exposure to risks inherent to operating companies.

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