Curated News
By: NewsRamp Editorial Staff
November 02, 2026
Silver Crown Acquires 90% Silver Royalty on Soma's El Bagre Mine for US$10M
TLDR
- Silver Crown Royalties' US$10 million El Bagre royalty adds 305,500 minimum silver ounces and boosts attributable silver revenue by 29% in 2027 and 57% in 2028.
- Silver Crown pays US$10 million in two tranches for a 90% silver royalty on El Bagre, converting to a 7.5% net smelter return after minimum deliveries.
- The El Bagre royalty partnership supports responsible silver production in Colombia, providing capital for Soma Gold while giving Silver Crown investors a hedge against currency devaluation.
- Silver Crown's royalty on Soma Gold's El Bagre mine guarantees 305,500 ounces of silver over five and a half years, paid quarterly at the LBMA silver price.
Impact - Why it Matters
This deal provides Silver Crown with immediate cash flow from a producing mine, diversifies its portfolio beyond Peru, and offers shareholders significant upside from silver price appreciation. For Soma Gold, it provides non-dilutive capital to strengthen its balance sheet and support growth. The transaction underscores the growing appeal of royalty companies as a lower-risk way to gain exposure to precious metals, especially as investors seek hedges against currency devaluation and inflation.
Summary
Silver Crown Royalties Inc. (Cboe: SCRI, OTCQX: SLCRF, BF: QS0) has entered into a definitive silver royalty agreement with Soma Gold Corp. to acquire a royalty on 90% of the silver produced from Soma’s El Bagre Gold Mining Complex in Antioquia, Colombia, for US$10 million in cash. The El Bagre complex includes the Cordero underground mine and an on-site processing plant, and has been in continuous production for over a decade. The royalty structure includes minimum deliveries totaling 305,500 ounces of silver over approximately five and a half years, paid quarterly at the LBMA silver price less a 3% deduction, after which it converts to a 7.5% net smelter return royalty for the life of the operation.
Peter Bures, Chairman and CEO of Silver Crown, commented that El Bagre is exactly the kind of asset the company’s strategy is built around: a producing mine with a long operating history, an experienced operator, and silver that is a by-product to the operator but meaningful to Silver Crown. He noted that the minimum delivery schedule gives shareholders visibility on more than 300,000 ounces of silver over the next five years, and the acquisition is immediately accretive on every metric. Geoff Hampson, Chairman and CEO of Soma Gold, expressed pleasure in negotiating the transaction with SCRi, a valued capital provider, and looks forward to building a strong partnership.
The purchase price is payable in two tranches: US$3 million at closing, expected by November 30, 2026, and US$7 million following the discharge of Soma’s existing gold financier security and registration of first-ranking security in favor of Silver Crown, expected by December 31, 2026. The transaction is expected to increase Silver Crown’s attributable silver ounce revenue by approximately 29% in 2027 and 57% in 2028, and adds a third producing jurisdiction to its portfolio, bringing its total to nine silver royalties across seven projects. The original release can be viewed on www.newmediawire.com.
Source Statement
This curated news summary relied on content distributed by NewMediaWire. Read the original source here, Silver Crown Acquires 90% Silver Royalty on Soma's El Bagre Mine for US$10M
