Kuya Silver Announces LOI for US$5 Million Royalty Partnership with Silver Crown Royalties Inc.

Core Viewpoint - Kuya Silver Corporation has signed a Letter of Intent with Silver Crown Royalties Inc. to raise USD 5 million through a royalty agreement on silver production from the Bethania Silver Project, aimed at strengthening its balance sheet and accelerating production and exploration efforts [1][4]. Financial Details - The transaction involves a payment of USD 5 million, comprising USD 3 million in cash and USD 2 million in Silver Crown units, which will grant Silver Crown a 4.5% royalty on silver production until 475,000 ounces are delivered, after which the royalty will decrease to 1% for the mine's life [2][3]. Production Commitments - Kuya Silver is committed to delivering a minimum of 4,500 ounces of silver quarterly for the first year, increasing to 9,000 ounces per quarter for the next four quarters, and then 12,375 ounces quarterly until the total of 475,000 ounces is reached [3]. Strategic Implications - The funds raised will support the acceleration of production towards a Phase 1 target of 350 tonnes per day and will also facilitate exploration programs across the district-scale property, all without issuing new shares of Kuya Silver [4]. Company Overview - Kuya Silver Corporation is a Canadian-based mining company focused on silver, operating the Bethania silver mine in Peru and developing additional silver projects in mining-friendly jurisdictions such as Peru and Canada [5].