Toronto, Ontario — January 16, 2026 — Leads & Copy — Royalties Inc. (CSE: RI) (OTCID: ROYIF) has engaged SLR Consulting (Canada) Ltd. (‘SLR’) to conduct an updated economic analysis using current metal pricing to assess the impact of increased commodity prices on the Bilbao project, according to a recent announcement. The assessment will be based on information from the 2014 Preliminary Economic Assessment (PEA).
SLR will also perform a high-level assessment of potential high iron-oxide ore processing technologies to identify suitable methods for extracting value from the oxide portion of the deposit, which was excluded from the PEA plan, potentially adding tonnage to the project. The report is expected to be completed within a month.
Royalties Inc., through its Mexican subsidiaries, holds a 100% interest in the Bilbao zinc-silver-lead-copper project, located approximately 500km northwest of Mexico City in Zacatecas. The Bilbao project is a polymetallic, replacement-style, silver-zinc-lead, skarn-type replacement sulphide deposit with a deeply weathered oxide cap.
In 2014, Runge Pincock Minarco (Canada) Limited (RPM) delivered an independent Technical Report in accordance with NI 43-101, containing an updated resource estimate and PEA on the Bilbao Project based on three-year trailing average prices of Silver at US$30.24/ounce, Zinc at US$0.94/lb, and Lead at US$1.01/lb. The company notes that spot prices have significantly increased, with Silver at US$92 per ounce, Zinc at US$1.50/lb, and Lead at US$0.93/lb, potentially doubling the annual revenue.
The mine plan incorporated in the PEA targeted the extraction of the lower, unoxidized, sulphide zone based on a production rate of 2,000 tonnes per day, or 720,000 tonnes per year, with an average grade of 2.1% zinc, 1.4% lead, and 63.96 g/t silver, over an eight-year mine life.
The mineral processing plant described in the PEA projected an average of 16,913 dry tonnes per year of silver-rich lead concentrate and 26,966 dry tonnes per year of zinc concentrate, constituting an average combined total of approximately 20 million pounds of zinc, 17 million pounds of lead, and one million ounces of silver per year.
Tim Gallagher, CEO, stated that with the silver price tripling over the last year and expected to continue to be strong, it is time to revisit the economics of the Bilbao project and to focus on the high-grade silver potential as well as how to increase tonnage. He also noted that a review of prior exploration reports and drill results from 2010-2013 identified 8 targets for potential satellite mineralization around the main Bilbao deposit.
Scientific and technical information was prepared by or under the supervision of and approved by Gerry J. Gauthier, P. Eng., a Director and former President of the Company.
SLR provides a broad range of social, environmental, and engineering consulting services to the mining sector. SLR Consulting (Canada) Ltd. and its predecessor company Roscoe Postle Associates Inc. has completed many assignments in Mexico, including Mineral Resource and Mineral Reserve estimates and audits, Pre-feasibility and Feasibility Studies, due diligence for merger and acquisition purposes, stock exchange filings and regulatory requirements and mineral property valuations.
Royalties Inc. owns a 100% interest, subject to a 1.5% NSR owned as a separate asset, on the Bilbao silver-zinc-lead project which needs an update on the impact of the increase in the silver price from US$30 per oz in the 2014 PEA.
Royalties Inc. owns 88% of Minera Portree de Zacatecas, S.A. de C.V (“MPZ”) which holds a Zacatecas Appeals court confirmed claim to a 2% NSR established in 2002 on five mining concessions called the ‘Portree claims’, a portion of which is on the Mala Noche Footwall Zone, the main source of production at the Cozamin mine where Capstone Copper Corp. (“Capstone”) has been mining since 2010. Capstone attempted to assign this royalty to themselves without the knowledge, consent or proper payment to MPZ, the longstanding and rightful owner since 2002. As a final step in the Mexico legal process, Capstone filed an amparo with the Federal Collegiate Tribunal, which has not yet been officially accepted.
Royalties Inc. has a 5% stake in Music Royalties Inc. (“MRI”), which has paid out over $14 million in 72 monthly dividends since 2019 from 31 cash-flowing catalogs with 7,000 songs generating a 7.2% annual yield.
Tim Gallagher
CEO & Director
(416) 925‐0090
Connor Gallagher
Investor Relations
(647) 921-2206
Andrew Robertson
Director
(416) 317-0137
Source: Royalties Inc.
