Mr. David Cole reports

EMX ROYALTY ANNOUNCES FOURTH QUARTER AND YEAR END 2023 RESULTS AND 2024 GUIDANCE

EMX Royalty Corp. has released results for the fourth quarter and year ended Dec. 31, 2023 (in U.S. dollars unless otherwise noted).

The 2023 year was a pivotal one for EMX Royalty as it amicably resolved the issues with the Timok royalty; increased its (effective) net smelter return royalty in the Caserones property to 0.7775 per cent and subsequent to year-end to 0.8306 per cent; saw strong performance from its gold royalty portfolio anchored by Leeville and Gediktepe; continued to invest capital generating and acquiring royalties around the world while its partners continued to invest significant capital to expand operations at existing mines, advance new mines and explore for new opportunities.

As previously announced, the company is providing guidance for 2024. In conjunction with providing guidance, the company has adopted the use of gold equivalent ounces as a metric to better understand its business. GEOs is a non-international financial reporting standard measure that is based on its adjusted royalty revenue and does not include option payments and other income coming from its royalty generation activities.

2024 guidance

Based on the company's existing royalties and information available from its counterparties, it expects GEO sales to range between 11,000 and 14,000 GEOs in 2024 compared with 15,784 in 2023. Timok royalty revenue for 2023 included 2,483 GEOs sold for 2021 and 2022 production.

Guidance in 2024 is based on public forecasts, other disclosure by the owners and operators of its assets, historical performance, and management's understanding of the underlying producing assets. Additionally, the company may receive information from the owners and operators of the properties, which the company is not permitted to disclose to the public pursuant to the underlying agreement or the information has not been prepared in accordance with Canadian disclosure standards, including National Instrument 43-101 (Standards of Disclosure for Mineral Projects).

More specifically, Leeville's guidance is based on historical performance as the company has no rights to data and must rely on publicly available information delivered by Nevada Gold Mines. Gediktepe's guidance contribution is based partly on 2023 actual results, as well as a confidential three-year mine plan provided by the operator for the 2024 year. Timok's guidance contribution is based on 2023 actual results only given the limited access to operational data and forward-looking plans. Caserones's guidance is based on 2023 actual results and guidance disclosed by the operator, which has been increased slightly by EMX Royalty due to the higher percentage ownership of its effective royalty. Balya and Gold Bar South are based on 2023 historical performance only, given limited access to information.

Outlook

The company is excited about the prospect for continued growth in the portfolio for 2024 and the coming years. The driver for near- and long-term growth in cash flow will come from the large deposits of Caserones in Chile and Timok in Serbia. At Caserones, Lundin has initiated an exploration program which is intended to expand mineral resources and mineral reserves while at the same time looking to increase throughput at the plant. At Timok, Zijin Mining Group Co. continues to advance the upper zones while developing the lower zone, which it believes will be one of the more important block cave development projects in the world.

Regarding the gold royalty portfolio, it expects Gediktepe, Leeville and Gold Bar to mirror what occurred in 2023. In Turkey, the operator of Sisorta is nearing completion of construction of the mine, and it looks forward to seeing the plant commissioned. It is excited about the advancement of Diablillos in Argentina by AbraSilver Resource Corp., where the company continues to expand the mineral resource. In Sweden, the Viscaria copper-gold deposit (operated by Copperstone Resources AB) continues to advance through the environmental permitting process with a final decision expected by midyear 2024. Pending approval, Copperstone expects to commence development with initial production from Viscaria slated for 2026.

The company will continue to evaluate and work to acquire mineral rights and royalties in 2024. The company expects it will invest similar amounts as in 2023 toward the royalty generation business. As in previous years, production royalties will continue to be supplemented by option, advance royalty and other preproduction payments from partnered projects across the global asset portfolio. Efforts and programs are under way to optimize and control costs as the company continues to grow. EMX Royalty believes it is well positioned to identify and pursue new royalty and investment opportunities, while further filling a pipeline of royalty generation properties that provide opportunities for additional cash flow, as well as exploration, development and production success.

The company will also strive toward continuing to strengthen its balance sheet over the course of the year. As part of this effort, it will look to refinance its outstanding debt of $34.66-million, which comes due at the end of 2024. The company has actively been engaged with several parties and believes that it will be in a position to provide an update to this process in second quarter 2024.

Assumed commodity prices are from CIBC Global Mining Group's consensus commodity price forecasts published on Jan. 2, 2024, which the company believes to be reliable for the purposes of guidance.

Annual results for 2023

In 2023, the company recognized $37,028,000 and $30,694,000 in adjusted revenue and other income and adjusted royalty revenue, respectively, which represented a 46-per-cent and 119-per-cent increase, respectively, compared with 2022. The significant increase is due to the commencement of royalty payments from the Timok royalty property, which resulted in $8,632,000 in royalty revenue in 2023, as well as an 80-per-cent increase in royalty revenue from Gediktepe and a 46-per-cent increase in attributed royalty revenue from Caserones. Timok royalty revenue for 2023 included $4.79-million in revenue (2,483 GEOs sold) for 2021 and 2022 production.

An attached table summarizes GEOs sold and adjusted royalty revenue for the year ended Dec. 31, 2023, and 2022.

Net royalty generation and project evaluation costs increased from $8,636,000 in 2022 to $11,245,000 in 2023, while executing 20 new royalty partnerships (2022: 10 new royalty partnerships). The increase in costs was due to increases in the United States, Eastern Europe and Morocco. In the United States, the company executed drilling activities through its wholly owned subsidiary Scout Drilling LLC on partnered projects in exchange for future reimbursement or royalty opportunities. Scout Drilling was sold during the year along with certain mineral properties to Scout Discoveries Corp. in exchange for deferred compensation payments, shares in Scout and royalty rights on the properties, which exceeded the costs incurred. The increase in Eastern Europe and Morocco was attributed to the expansion of the generative business into Morocco and the Balkan region. EMX Royalty expects the costs in Morocco and the Balkan region to decrease in the coming years once it solidifies partnerships within the regions. Not inclusive of the net royalty generation and project evaluation cost, EMX Royalty earned $5,462,000 in royalty generation revenue in 2023 (2022: $6,447,000).

Fourth quarter adjusted royalty revenue and GEOs sold by asset

For the fourth quarter of 2023, the company recognized $8,744,000 in adjusted royalty revenue, which represented a 213-per-cent increase compared with Q4 2022. The significant increase is due to the commencement of royalty payments from Timok, Balya and Gold Bar South in 2023, combined with significant increases from Caserones, Gediktepe and Leeville. Revenue in Q4 2023 at Caserones included a year-to-date true-up of revenue due to higher-than-expected performance in third quarter 2023.

An attached table summarizes GEOs sold and adjusted royalty revenue for the fourth quarter of 2023 and 2022.

Fourth quarter corporate updates

Early repayment of $10-million (U.S.) of the Sprott credit facility

In Q4 2023, EMX Royalty made an early repayment of $10-million toward the principal amount of the senior secured credit facility held by a fund managed by Sprott Resource Lending Corp. The remaining principal amount of $34.66-million of the Sprott credit facility is due to be repaid by Dec. 31, 2024. The company has actively been evaluating alternatives to refinance some or all of the debt. It should be noted that the company can repay the entire debt without penalties after June 30, 2024.

Acquisition of additional royalty interest on Caserones

Subsequent to Dec. 31, 2023, EMX Royalty acquired an additional 0.0531-per-cent (effective) NSR royalty interest in the Caserones property, increasing the company's NSR royalty interest to 0.8306 per cent, for cash consideration of $4,742,000 pursuant to an agreement with Franco Nevada Corp.

Commencement of normal course issuer bid

Subsequent to Dec. 31, 2023, EMX Royalty announced that it has received approval from the TSX Venture Exchange of its notice of intention to make a normal course issuer bid. Under the NCIB, EMX Royalty may purchase for cancellation up to five million common shares over a 12-month period commencing on Feb. 13, 2024. The NCIB will expire no later than Feb. 12, 2025.

Qualified persons

Michael P. Sheehan, CPG, a qualified person as defined by National Instrument 43-101 and employee of the company, has reviewed, verified and approved the above technical disclosure on North America and Latin America, except for Caserones. Consulting chief mining engineer Mark S. Ramirez, SME registered member No. 04039495, a qualified person as defined by NI 43-101 and consultant to the company, has reviewed, verified and approved the above technical disclosure with respect to the Caserones mine. Eric P. Jensen, CPG, a qualified person as defined by NI 43-101 and employee of the company, has reviewed, verified and approved the above technical disclosure on Europe, Turkey and Australia.

Shareholder information

The company's filings for the year are available on SEDAR+, on the U.S. Securities and Exchange Commission's EDGAR website, and on EMX Royalty's website. Financial results were prepared in accordance with international financial reporting standards as issued by the International Accounting Standards Board.

About EMX Royalty Corp.

EMX Royalty is a precious and base metal royalty company. EMX Royalty's investors are provided with discovery, development and commodity price optionality, while limiting exposure to risks inherent to operating companies. The company's common shares are listed on the NYSE American Exchange and the TSX Venture Exchange under the symbol EMX.

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