Evolve Royalties (EVR) investor relations material

Business model and strategy

• Focuses on copper royalties, aiming to become a leading player in the sector with a CAD 110 million market cap.

• Applies the royalty and streaming model to strategic mines, emphasizing low-carbon and digital economy assets.

• Operates with a lean team, leveraging diversified revenue streams and reduced operational risk compared to traditional mining.

• Benefits from less volatile revenues by investing in mine revenues rather than profits.

• Targets growth through acquisitions and expansion into other base metals like tin and lithium.

Market outlook and portfolio

• Sees strong long-term fundamentals for copper due to rising demand and supply challenges.

• Expects copper price increases to incentivize new mine development, supporting royalty growth.

• Portfolio includes cash-flowing royalties on major Canadian copper mines and new assets in tin and lithium.

• Recent acquisition of a tin royalty in Namibia expected to generate $4–4.5 million in annual cash flow.

• Anticipates first royalty payments from Copper Mountain and ongoing growth from McIlvenna Bay.

Financial position and growth plans

• No debt on the balance sheet, with $5–7 million in expected cash flow this year, growing to over $10 million next year.

• Cash flow supported by royalties from Highland Valley Copper, Uis tin mine, and upcoming assets.

• Plans to use cash and new financing tools to fund further acquisitions and portfolio expansion.

• Relies on high-quality operators like Teck, Hudbay, and Eldorado to drive asset value.

• Expects portfolio improvements and multiple catalysts over the next two to five years.