Straits Resources Limited (“Straits”) operates the Mt Muro gold project under a 3rd Generation Contract of Work (“CoW”) agreement with the government of the Republic of Indonesia. This CoW covers 47,940 hectares and was entered into in 1985. Franco-Nevada has an effective 7% NSR royalty at gold prices higher than $410/oz on 90% of production from the CoW. Production from the mine for 2010 was 42,665 ounces of gold and 69,548 ounces of silver, of which approximately 11% was on the CoW subject to Franco-Nevada’s royalty. The royalty is capped after cumulative life-of-mine production totals 1.5 million ounces of gold from the property. At the end of 2010, approximately 1.44 million ounces have been produced from the royalty lands.