TSX:FNV 87.53 +0.05 +0.06%
Volume 184,931
August 21, 2018
NYSE:FNV 67.20 +0.14 +0.21%
Volume 176,178
August 21, 2018
Gold 1,194.20 +1.57 +0.13%
Volume
August 21, 2018
Contact Share

Location: BC / AB / SK / MB
Operator: Various
Royalty: ORR/FH: 0.5-20%

Franco-Nevada has significant interests in Western Canada which generate revenues primarily through lessor royalties and GORRs. Aside from the major producing assets of Weyburn, Midale, Edson and Orion, Franco-Nevada has 46 Other Producing Assets which generate revenue for the Company. These interests cover more than 2,325 km2.

In Saskatchewan and Manitoba, the interests are focused primarily in high quality oil plays including, the Shaunavon and Mississippian. Lands are operated by companies such as Crescent Point Energy, NAL Resources and CNRL. The production in these areas is almost entirely oil and the most significant contributor within the land position is the Tidewater royalty which generates oil production from the Shaunavon and other formations.

In Alberta and BC, the interests generate revenue primarily from natural gas production from shallow gas formations such as Milk River and Medicine Hat. In northern Alberta, the interests provide exposure to deeper conventional gas targets including the Shunda, Grosmont and Elkton formations. Production comes from unitized and non-unitized wells, including gross overriding royalty positions in eleven different Units across Alberta. Units include the Medicine Hat Consolidated Unit No.1, Ghost Pine Unit and Inverness Unit No.1 with the most significant contributor being the Medicine Hat Unit operated by Canlin Resources Partnership. The Medicine Hat Unit has been producing gas since 1963 and is located approximately 257 kilometres southeast of Calgary. Other operators on the interests include, ConocoPhillips, ARC Resources, Canadian Natural Resources Ltd. and Imperial Oil.

Revenue from the Other Producing assets represented 8.4% of total oil and gas revenue for the year.

ASSET HIGHLIGHTS:

  • Primarily quality oil plays in Saskatchewan and Manitoba
  • Exposure to shallow gas and deeper conventional gas in Alberta and BC
  • Interests cover more than 2,325 km2

2017 2016 2015
Revenue to Franco-Nevada ($ million)1 $ 4.0 $ 3.0 $ 3.4