Operator: Jaguar Mining Inc.
Royalty: NSR: 0-1%
Franco-Nevada holds a sliding scale NSR royalty (1% at greater than $400 per ounce gold) on Jaguar Mining Inc.’s (“Jaguar”) Gurupi project located in the State of Maranhão in northern Brazil. Jaguar entered into an earn-in agreement with Avanco Resources Limited (“Avanco”) by which Avanco may earn up to a 100% interest in the project. The last feasibility study was prepared in January 2011, which anticipated an open-pit mine that would produce approximately 149,000 ounces of gold annually for a period of 13 years.