April 2017 | Business View Magazine

150 151 Eurasian Minerals, Inc. Preferred vendor n DAMA Engineering Co. www.dama-engineering.com erties within the Timok Magmatic Complex, which is Europe’s largest, historic copper and gold producing region,” says Cole. “We acquired some key land there and we sold those projects off, part and parcel, for a combination of cash and shares in the company that we sold it to, in addition to a production royalty. They’ve gone on and made some very nice discoveries on the ground there and they made some discoveries that were just off of the ground where we had royalty. So, to augment the portfolio of royalties, which we organically grew, we also purchased a royalty that is over the substantial discovery called Cukaru Peki. There’s an upper zone which is very high-grade and it’s getting fast tracked to production by the new owner, in addition to a larger, lower-grade zone that has the potential to be a very large mine.” Because Eurasian Mineral’s assets are so spread out, if one of them fails to deliver, it doesn’t dilute the company’s long-term for- tunes. “That’s one of the reasons we like our business approach,” Cole declares. “We’re not gambling on the success of any one asset.We have, at this time, one-and-a-half million acres, worldwide, of mineral rights. And some of those are in a stagnant position where they’re not being advanced at all and others are moving forward very nicely. And thanks to the portfolio, we feel that we’re benefitting significantly from its overall advancement.” Although the number of mineral royalty com- panies is relatively small, Cole says that there is still competition within the space. “There are a number of quite successful companies that purchase royalties in large portfolios,” he says. “What’s unique about the Eurasian Minerals ap- proach is that we focus on the organic growth of royalties through the prospect generation process. Rather than paying top dollar to buy cash-flowing royalties, we acquire prospective mineral rights using our geological talents, leverage those into property positions that are meaningful, and then, seek to sell those assets to keep royalties and other payments tied to the advancement of those projects, over time. In the long run, that is distinctly a smart approach and a very good bang for the dollar invested through the organic process.” Over the next several years, Cole says that Eurasian Minerals intends to continue its busi- ness model by growing the worldwide number of acres of mineral rights to which it has expo- sure, and, as more of its current projects come into production, using the increased cash flow to keep investing in new projects and acqui- sitions. “By putting new prospective mineral rights into the portfolio, and by executing deals with quality customers that will invest money and expertise into advancing those assets, we will have more cash flow and royalties at the end of the day,” he asserts. “We’re just at the cusp, right now, moving towards cash-flow posi- tiveness from the growth of the royalties within the portfolio that we’ve been building over the course of the last several years. And I’m very excited about this tipping point in the history of the company.”