OPERATOR: YAMANA GOLD INC. / AGNICO EAGLE MINES LIMITED
ROYALTY: GR: 1.5%
In June 2011, Franco-Nevada purchased a 1.5% gross royalty on part of the Canadian Malartic gold project. The project is located in Quebec’s Abitibi mining district and is one of Canada’s largest gold mines. The royalty covers seven claims on the property including the central portion of the open-pit as shown in the schematic which equates to approximately 3 km2. Royalty payments are expected to fluctuate annually based on the location of mining relative to the royalty property. Yamana and Agnico Eagle are now 50/50 joint operators of the Canadian Malartic mine following the 2014 acquisition of Osisko Mining Corporation.
For 2015, Yamana announced preliminary production of 572,000 ounces which was higher than the 560,000 ounces expected at the beginning of the year. Yamana expects a steady increase to production through 2018 of 560,000-580,000 ounces for 2016, 600,000
ounces in 2017 and 610,000 ounces for 2018.
|Total Revenue to FNV ($ million)