TSX-V- and Aim-listed Altus Strategies will sell its Toura nickel/cobalt licence application, in Côte d'Ivoire, to Aim-listed Firering Strategic Minerals for €15 000 and a gross revenue royalty (GRR) of up to 1% on future production from the project.
Altus’ business model includes the generation of low-cost royalties by staking and monetising projects.
When the nickel price is less than $12 000/t, no royalties will be payable, when the nickel price is between $12 000 and $18 000/t a 0.5% GRR will apply, and a nickel price greater than $18 000/t triggers a 1% GRR.
The nickel price on March 14 was $48 000/t.
Altus says the Toura prospect is located in a highly prospective nickel/cobalt province and affirms there is increasing demand for nickel and cobalt in the growing electric vehicle sector.
Firering says it will first focus on advancing its Atex lithium/tantalum project in Côte d'Ivoire through a diamond drilling campaign, but views the Toura asset as one of potential to add significant upside to shareholders in future.