Evolve Royalties Ltd. (CSE: EVR; OTCQX: EVRYF) has entered into a secured revolving credit agreement with Bank of Montreal for $50 million, with an option to expand the facility to $75 million, subject to certain conditions, according to a company press release.

The facility matures three years from the signing date and is secured by a charge over the company's assets. Funds may be drawn as USD base rate advances or term benchmark advances and used for general corporate purposes, acquisitions, and investments.

USD base rate advances will bear interest at the greater of Bank of Montreal's annual reference rate for commercial loans in U.S. dollars, the federal funds effective rate plus 0.50%, or the term benchmark basis plus 1.00%, in each case plus an applicable margin of 1.50% to 2.50% per annum based on the company's net leverage ratio. Term benchmark advances will bear interest at the Secured Overnight Financing Rate plus 0.10%, plus a margin of 2.50% to 3.50% per annum. A standby fee of 0.5625% to 0.7875% applies to the unused portion of the facility.

Joseph de la Plante, President and Chief Executive Officer of Evolve, said the facility "meaningfully enhances our financial flexibility and positions us to act decisively on high-quality opportunities in base and critical metals as they arise."

Evolve Royalties is a copper-focused royalty company based in Vancouver, British Columbia.