Rick Rule Interviews Dave Cole: Elemental Royalties - Building Scale, Discovery Optionality & Cash Flow in the Royalty Space

"We're generating hundreds of millions in exploration drilling at no cost to us" Dave Cole outlines how the royalty generator + acquirer hybrid model, combined with Tether's backing, positions Elemental for long-term outperformance.

Vancouver, BC – May 2026 — In a wide-ranging conversation ahead of the 2026 Natural Resources Investment Symposium, Rick Rule sat down with Dave Cole, CEO of Elemental Royalties Corp., to discuss the company’s evolution, business model, and outlook in a strengthening commodity environment.Cole, a geologist with deep roots in the industry (including 18+ years at Newmont), has built a career around the royalty generation model. He traces his passion back to childhood gold panning with his grandfather and has spent decades turning that enthusiasm into shareholder value.

The Hybrid Royalty Model: Generation + Acquisition

Cole explained Elemental’s (formerly EMX Royalty) core strategy:

“The business model is where you go out and acquire prospective mineral rights… and then work those by coalescing existing data, collecting additional data, illustrating prospectiveness of the asset and then selling that on as a joint venture or wholly selling that on and keeping a residual interest… My favorite model is to sell 100% project equity and maintain a royalty.”

This prospect generator approach allows Elemental to maintain exposure to hundreds of assets with minimal capital at risk. The company currently holds over 200 royalties across 22 countries, with counterparties spending more than $100 million annually on exploration drilling — all at no cost to Elemental shareholders.

Cole highlighted the power of the model:

“We have these teams that are astute out doing that prospect generation work… and the cheapest way to have royalties is through that process because you’re selling those off and you have a de minimis cost invested in the asset.”

Scale Through Strategic Merger

The recent merger with Altus Strategies has significantly enhanced Elemental’s size and liquidity. The combined company now exceeds a $1 billion market cap and is expected to generate close to $100 million in royalty revenue this year.

Cole emphasized why scale matters in the royalty sector:

“In the royalty space, the market rewards scale. The larger the royalty company, the more each individual royalty is worth as part of a portfolio because of increased liquidity and the portfolio effect and the greater probability of discovery optionality working to the favor of the royalty holder.”

Tether’s Strategic Investment

A standout development is Tether’s 32% ownership stake. As the world’s largest stablecoin issuer, Tether is reallocating profits into hard assets, including gold and copper royalties.

Cole welcomed the partnership:

“We’re at the confluence of the crypto world and the hard asset mining world… Juan Sartori [Tether representative and Elemental Chairman] has immense passion and he loves learning more about this business and the power of the royalty model.”

Merchant Banking + Cash Flow Growth

Beyond pure royalties, Elemental has successfully blended equity investments and merchant banking. Cole noted the company has generated over $60 million in profits from equity positions historically, providing dry powder to acquire high-quality royalties and participate in strategic financings.Looking ahead, the company continues to advance both exploration optionality at the base of the “pyramid” and cash-flowing assets at the top through development work on existing royalties (new shafts, mill expansions, etc.).

Outlook for Elemental Royalties

With copper and gold prices supportive and hundreds of millions in third-party exploration and development spending across the portfolio, Cole sees continued net asset value growth per share. Discovery success by partners combined with rising metal prices creates a powerful multiplicative effect for royalty holders. Rule, a longtime shareholder of both EMX and Altus, praised Cole’s track record and ongoing efforts on behalf of investors. Dave Cole and the Elemental team will be participating in the 2026 Natural Resources Investment Symposium (July 6–10, Boca Raton, Florida, with live-stream options).

For more information, contact:

Dave Cole (dc@elementalroyalty.com) or Tara Vivian (tara.vivian@elementalroyalty.com)

This article is based on the May 2026 interview between Rick Rule and Dave Cole. It is for informational purposes only and does not constitute investment advice. Royalty companies and resource markets involve significant risk. Investors should conduct their own due diligence.