Operator: Saracen Mineral Holdings Limited
Royalty: NSR: 1.75%
Red October is located in the Laverton region of Western Australia which was in production as an open-pit until 2001. Saracen Mineral Holdings Limited (“Saracen”), the current operator, commenced underground mining in 2012. Franco-Nevada’s royalty interest covers 29 km2 surrounding the Red October deposit. Saracen reported Red October production of 21,000 ounces of gold for 2016. There was a production hiatus at Red October during the September quarter while exploration drilling was conducted from the base of the mine. Production re-commenced at Red October during the December quarter. Saracen has forecast lower production from Red October in 2017 and 2018 as activities have shifted to their Deep South Mine.