TSX:FNV 101.61 +0.49 +0.48%
Volume 421,412
February 19, 2019
NYSE:FNV 76.94 +0.52 +0.68%
Volume 841,314
February 19, 2019
Gold 1,345.30 +3.00 +0.22%
Volume
February 20, 2019
Contact Share

LOCATION: CALIFORNIA
OPERATOR: NEW GOLD INC.
ROYALTY: NSR: 0.5-2%

Mesquite is a gold operation located in south-east California, approximately 70 km northwest of Yuma, Arizona and 230 km east of San Diego, California. The mine is an open-pit, run-of-mine, heap leach operation. It was originally started in 1986 and then re-started in January 2008 by Western Goldfields Inc., a predecessor company of New Gold. Franco-Nevada holds royalties on the entire Mesquite mine property that range from a 0.5% to a 2% NSR, depending on the claim block, as shown on the schematic.

Mesquite production improved to 168,889 ounces in 2017, a 52% increase relative to the prior year due to increased ore tonnes mined and accelerated inventory drawdown. Mesquite’s full-year production significantly exceeded the 2017 guidance range of 140,000-150,000 ounces. New Gold anticipates gold production of 140,000-150,000 ounces in 2018.

ASSET HIGHLIGHTS:

  • 2017 production significantly higher than forecasted guidance
  • Production forecast for 2018 of 140,000-150,000 ounces

2017 2016 2015
Revenue to Franco-Nevada ($ million) $ 2.4 $ 2.4 $ 2.1