Robinson (Copper) - Nevada
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0.225% NSR and approx. 20.4% NSR above production and price threshholds 131.9 Mlbs (Cu) 709,000 t (Cu) 1,542,000 t M&I / 51,000 t Inf. (Cu @ 0.40% Cu c/o) Quadra Mining |
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The Robinson open pit mining complex is located near Ely, Nevada. Copper, gold and molybdenum are recovered in concentrates that are transported offsite for smelting. The mine is operated by Quadra Mining Ltd. (“Quadra Mining”). There are two royalty agreements covering different portions of the Robinson mine.
Under an agreement purchased from Nerco Exploration Company (“Nerco”), the royalty holder receives a 0.225% NSR on all base-metal and associated precious metal production. The royalty will cease after $17 million has been paid pursuant to the agreement.
Under an agreement purchased from Alta Gold Co. ("Alta"), the royalty holder receives a price participation royalty on 20.4% of all copper production from the property in excess of 130 million pounds of copper payable on the amount by which the annual average price of copper exceeds a threshold price. The threshold price was $1.68/lb for 2008 and is increased annually to reflect CPI changes.
In 2008, Quadra expects annual production of 130 million pounds of copper.