TMC forms strategic partnership with Low Carbon Royalties, receives 35% stake and $5M cash for NORI royalty

TMC the metals Co Inc.

TMC contributed a 2% gross overriding royalty on its NORI project to Low Carbon Royalties in exchange for a 35% equity interest and $5M cash.
TMC can repurchase up to 75% of the royalty at a capped return between years 2 and 10; if fully repurchased, royalty reduces to 0.5%.
TMC CEO Gerard Barron joins LCR board; LCR also holds a 1.6% royalty on a producing natural gas field in Latin America.
The partnership provides non-dilutive funding for TMC's NORI-D project development without issuing new equity.
LCR is led by Brian Paes-Braga, Managing Partner of SAF Group, and aims to finance low-carbon energy and transition metals.

Key facts

Extracted from this filing and checked against the source text.

Material Agreements SEC 8-K Item 1.01/1.02 confidence 0.9

TMC the metals Co Inc. entered into Partnership with Low Carbon Royalties Inc. valued at US$5,000,000 cash (effective 2023-02-21).

Action: entry
Counterparty: Low Carbon Royalties Inc.
Value: US$5,000,000 cash
Effective: 2023-02-21

Exact text from the filing

On February 21, 2023, TMC the metals company Inc. (the “Company”) and its wholly-owned subsidiary, Nauru Ocean Resources Inc. (“NORI”), entered into a strategic partnership with Low Carbon Royalties Inc. (“Low Carbon Royalties”), a private corporation formed under the laws of British Columbia, Canada to finance low carbon emitting energy production and technologies (natural gas, nuclear, renewables), transition metals and minerals required for energy storage and electrification (Cu, Li, Ni, Co, Mn), and the evolving environmental markets (the “Partnership”).

View on SEC.gov

273 material agreements filed in the last 30 days. Browse all material agreements →

TMC the metals Co Inc. filing history →

Source: SEC EDGAR

accession 0001104659-23-024088

view filing index on sec.gov

view primary document

Machine-readable: JSON · Markdown · Plain text

This headline and bullets were generated automatically by deepseek-v4-flash:cloud@v2 from the public filing. Read the source on SEC.gov before relying on any specific claim. Not investment advice. See methodology for how this pipeline works.