Vox Royalty Corp’s (TSX-V: VOX) (OTCQX: VOXCF) royalty investment portfolio is continuing to generate upside with a host of development and exploration updates from its royalty partners including revenue expected from Thor Exploration’s (TSX-V: THX) Segilola gold mine in Nigeria, which has now reached commercial production.
Vox holds a 1.5% net smelter return (NSR) royalty over the mine, which is capped at US$3.5 million.
At the start of October, Thor announced commercial production had been achieved at Segilola after first gold was poured in July.
The Segilola process plant is operating in line with its throughput capacity of 715,000 tonnes per annum.
It is expected the mine will produce 46,000 ounces of gold this year and 109,000oz in 2022.
As a result, Vox’s management estimates it will receive pre-tax royalty revenues of US$3.5 million within the mine’s first two full years of production.
Pitombeiras vanadium-iron ore project
Another of Vox’s royalty investments with production in its sights is Jangada Mines’ (AIM: JAN) Pitombeiras vanadium-iron ore project in Brazil.
Vox has a 1% NSR royalty over the project, which Jangada is fast-tracking to production.
An independent engineering advisory company is preparing a NI 43-101 compliant definitive feasibility study for the proposed operation, with the study scheduled for completion before the end of the quarter.
Additionally, Jangada has acquired a trial mining licence to extract ore from an open pit at Pitombeiras.
“Pitombeiras has been fast-tracked from discovery to feasibility in less than three years, which typically takes six to 10 years for most mining projects,” Vox stated.
“This rapid progress is a testament to Jangada’s management team and related stakeholders.”
Vox management says production and royalty revenue from the project next year is “increasingly likely” given its swift development pace to-date.
Australian mineral exploration projects
Vox has royalty investments over several Australian mineral explorers’ assets with both Kalamazoo Resources (ASX: KZR) and Genesis Minerals (ASX: GMD) unveiling successes at their respective projects in recent months.
Kalamazoo is advancing the Ashburton gold project in Western Australia’s Pilbara Craton where Vox holds a 1.7% gross revenue gold royalty over more than 250,000oz cumulative production.
Earlier this month, Kalamazoo reported assays from a recently completed 14,772m drilling program at the project, which has led to the extension of the Waugh Zone and the Annie Oakley discovery.
Highlight assays within the zone were 5m at 7.37 grams per tonne gold from 93m, including 2m at 13.58g/t gold from 93m; 2m at 9.49g/t gold from 40m, including 1m at 17.85g/t gold from 40m; and 8m at 3.56g/t gold from 1m, including 1m at 7.25g/t gold form 6m.
Kalamazoo plans to kick-off an extensive follow-up program at Ashburton early next year, with development studies progressing in parallel.
Commenting on Kalamazoo’s exploration success, Vox management says the existing exploration target of 2-3Moz gold for Ashburton is “potentially achievable”.
Genesis Minerals owns the Ulysses gold project within WA’s Kookynie gold district near Leonora.
Vox has a $1 per tonne royalty on part of the project, including the Puzzle North discovery where 6,150m of drilling was recently completed over 500m of strike.
Better intercepts from Puzzle North were 44.1m at 3.51g/t gold from 58.9m, including 10.2m at 10.6g/t gold from 67.8m; 29m at 4.26g/t gold from 28m, including 4m at 18.39g/t gold from 32m; and 32m at 1.42g/t gold from 58m, including 5m at 5.14g/t gold from 84m.
Mineralisation at Puzzle North remains open at depth and along strike.
Genesis plans to undertake further infill and extensional drilling at Puzzle North next month, with a resource expected before the end of the year.
Vox management says Puzzle North is shaping up to potentially host an economic orebody.
“Vox management believes that if Puzzle North is included in the broader Ulysses project feasibility study, this potential orebody could be fast-tracked towards a construction decision within 12 months.”
ValOre Metals Corp
Over in north-eastern Brazil, ValOre Metals Corp (TSX-V: VO) is firming up the Pedra Branca platinum group element project where Vox has secured a 1% NSR royalty.
A preliminary economic assessment is underway over the project with recent drilling unearthing high-grade and shallow PGE mineralisation.
Notable drill results have comprised 7m at 2.95g/t 2PGE plus gold from surface; 45m at 4.76g/t 2PGE plus gold and 0.1g/t rhodium from 16m, including 6.4m at 16.92g/t 2PGE plus gold and 0.52g/t rhodium from 30m; and 49m at 2.03g/t 2PGE plus gold from 19m, including 4.6m at 11.94g/t 2PGE plus gold and 0.25g/t rhodium from 23.68m.
ValOre was planning to begin metallurgical test work on ore from the project this month.
Vox management said the latest drill results had uncovered some of the highest-grade and broadest zones at the project to-date.
A resource update for the project is expected in the “coming months”.
High-growth precious metals focused royalty company
Vox describes itself as a high-growth company focused on precious metal royalty investments.
The company currently has 55 royalty investments, with 37 of those in Australia.
Vox says it has completed more royalty acquisitions in Australia than any other company in the sector.
It is also the second largest holder of Australian hard rock mining royalties.
Vox has royalties over five producing operations, with this number expected to grow quickly to 10 by the end of 2023.