Operator: Blackham Resources Limited
Royalty: NSR: 3-5%
Franco-Nevada holds a 3-5% NSR royalty on gold production from the Wiluna Gold Project located in Western Australia. The 5% royalty applies to production once 1.0 million ounces of gold has been produced at gold prices greater than $400/ounce. Cumulative production since the royalty was granted has been 790,000 ounces of gold. Wiluna was discovered in 1896 and has produced in excess of 4.0 million ounces of gold to date, with nearly continuous production from 1987 to 2013. Blackham Resources Limited (“Blackham”) acquired the Wiluna Gold Operation in March 2014. Blackham also has a large tenement position surrounding Wiluna, called the Matilda Gold Project, with over 1,150 km2 subject to Franco-Nevada’s 3-5% NSR royalty with no production threshold. Blackham is assessing the feasibility of using the 1.3 million tonne per annum treatment plant at Wiluna to process ore from several open-pit deposits in the surrounding Matilda Gold Project area. Blackham released a summary of the pre-feasibility study in October 2015, and a definitive feasibility study is scheduled to be completed early in 2016.