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Franco-Nevada and Osisko Gold Royalties acquire a gold stream on SolGold's Cascabel Copper-Gold Project
(in U.S. dollars unless otherwise noted) TORONTO, July 15, 2024 /CNW/ - Franco-Nevada Corporation ("Franco-Nevada" or the "Company") (TSX: FNV) (NYSE: FNV) is
About this update from Franco-nevada Corporation
[{"type":"text","content":" (in U.S. dollars unless otherwise noted) TORONTO, July 15, 2024 /CNW/ - Franco-Nevada Corporation (\"Franco-Nevada\" or the \"Company\") (TSX: FNV) (NYSE: FNV) is pleased to announce that its wholly-owned subsidiary, Franco-Nevada (Barbados) Corporation (\"FNB\"), has acquired a gold stream (the \"Stream\") from SolGold plc (\"SolGold\") with reference to production from the Cascabel project located in Ecuador. FNB has partnered with Osisko Gold Royalties Ltd.'s subsidiary, Osisko Bermuda Limited (\"Osisko\"), to provide a syndicated financing package on a 70%/30% basis. FNB will provide a total of $525 million and Osisko a total of $225 million of funding for a total $750 million. FNB will provide $70 million and Osisko $30 million for a total of $100 million in pre-construction funding available as three equal sized staged payments. The first tranche will be funded at closing with two further tranches, subject to development milestones. FNB will make $455 million available and Osisko will make $195 million available for a total of $650 million towards construction once the project is fully funded and further derisked. Funding is subject to customary conditions including receipt of all material permits, a board approved construction decision and the balance of financing being available, including a minimum equity commitment. \"We are pleased to once again partner with SolGold with this gold stream, which complements our existing 1.0% royalty acquired in 2020,\" said Paul Brink, President & CEO of Franco-Nevada Corporation. \"Cascabel ranks amongst the best copper-gold development projects in the world and has the potential to add significant GEOs to our growth pipeline. We are pleased to provide pre-construction funding to derisk project development and construction financing that provides a balance of funding certainty and financial flexibility.\" Transaction Overview: Tier 1 Cu/Au Asset: Cascabel is one of the largest copper-gold development projects in the world with total M&I Mineral Resource comprised of 3,735 million tonnes at 0.49% CuEq for 31.3 million ounces of gold, 12.4 million tonnes of copper, and 91.3 million ounces of silver (100% basis)1. Significant GEO Contribution to FNB: Alpala, the main deposit in the Cascabel concession, is expected to be a low cost, large scale block cave underground ...