Slide 1: Corporate Update
March 2016 Corporate Update 1
Slide 2: Cautionary Statement
Cautionary Statement Forward Looking Statements This presentation contains “forward looking information” and “forward looking statements” within the meaning of applicable Canadian securities laws and the U.S. Private Securities Litigation Reform Act of 1995, respectively, which may include, but are
Slide 3: A Gold Focused Royalty/Stream Company
A Gold Focused Royalty/Stream Company Market Cap1 Available Capital2 Board of Directors ~ US$11.3 Billion ~ US$1.2 Billion Pierre Lassonde, Chair David Harquail, CEO FNV on TSX & NYSE Free Cash Flow Tom Albanese S&P/TSX 60 Margin3 > 75% Derek Evans GDX Overhead/mkt cap <0.2% Graham Farquharson Top S
Slide 4: The Gold Investment that Works
The Gold Investment that Works 350% 300% FNV 250% 200% 150% 100% 50% Gold 0% S&P/TSX -50% Global FNV IPO: Gold Dec 2007 -100% Index 2008 2009 2010 2011 2012 2013 2014 2015 2016 FNV and S&P/TSX Global Gold Index converted to USD. Chart to March 23, 2016. 4
Slide 5: Our Business Principles
Our Business Principles Maximize Minimize Exploration upside Cost exposures Security of tenure Margin encroachment Focus on new investments Involvement in operations Long term optionality 5
Slide 6: Business Model Benefits
Business Model Benefits Risk of: Gold ETF FNV Operators Capital Costs 0% 0%1 100% Operating & Other Costs 0% 0%1 100% Benefit of: Leverage to Gold Price 1 >1 >1 Exploration & Expansion 0% 100% 100% Dividend Yield (0.4%)2 ~1.4% 0 - 2% FNV provides yield and more upside than a gold ETF with less risk
Slide 7: Franco-Nevada since IPO
Franco-Nevada since IPO GEOs1 Revenue Adjusted Net Income1 (000s) (US$ millions) (US$ per share) 400 500 1.40 450 350 1.20 400 300 350 1.00 250 300 US$ per share GEOs (Koz) US$ Millions 0.80 200 250 0.60 200 150 150 0.40 100 100 50 0.20 50 0 0 0.00 '08 '09 '10 '11 '12 '13 '14 '15 '08 '09 '10 '11 '12
Slide 8: 2015 Q4 Revenue Sources
2015 Q4 Revenue Sources By Commodity By Geography 95% Precious Metals 84% from Americas 8
Slide 9: Diversified Portfolio
Diversified Portfolio Precious Metal Assets (selected) Goldstrike Stillwater Gold Quarry Marigold Fire Creek U.S. Bald Mountain Mesquite South Arturo Hollister Midas Sudbury Detour Holt Musselwhite Hemlo Canada Kirkland Lake Timmins W. Cdn. Malartic Brucejack Hardrock Antapaccay Antamina Candelaria
Slide 10: Other Positive Portfolio News
Other Positive Portfolio News Adding New Ounces Timmins West (Ontario) • 144 GAP discovery & Tahoe Resources bid Detour (Ontario) Macassa (Ontario) • 23 year mine plan with West Detour 262 Mineral • Kirkland Lake expanding SMC discovery Fire Creek/Midas (Nevada) • Klondex’s exploration success & per
Slide 11: Recent Cornerstone Investments
Recent Cornerstone Investments Antamina – Peru Cobre Panama – Panama $610 M – Teck Corporation $338 M → $1 B – First Quantum Candelaria – Chile Antapaccay – Peru $648 M – Lundin Mining $500 M – Glencore Long term assets with large land positions 11
Slide 12: Growing Projected GEOs
Growing Projected GEOs 84,000 75,000 37,500 65,000 273,000 More diversified and longer duration portfolio Note: Base GEOs assumes 2014 GEO production without Candelaria. Cobre Panama expected to start contributing to GEOs in 2018. Illustration assumes no decrease in production from existing portfoli
Slide 13: New Investment Opportunities
New Investment Opportunities Cerro Moro – Yamana Gold Since Existing 3rd party 1985 Brucejack – Pretium Resources royalties Hardrock – Premier Gold Mines Since Palmarejo – Coeur Mining By-product funding 2008 Cobre Panama – First Quantum Kirkland Lake – Kirkland Lake Gold Since Primary product Stibn
Slide 14: Over $1.2 B of Available Capital
Over $1.2 B of Available Capital US$ 884 US$ 460 US$ 500 US$ 1,000 US$ 1,243 US$ 65 US$ 254 Debt free 1. As at December 31, 2015 2. See note 3 on page 16 3. Does not include the US$250 million accordion facility 14 4. All figures in chart in millions
Slide 15: Franco-Nevada Provides: Why own a gold ETF?
Franco-Nevada Provides: Gold exposure at a discount Growth – organic and acquisitions FNV Dividends vs. ETF fees Gold FNV IPO: Dec 2007 S&P/TSX Global Gold Index 2008 2009 2010 2011 2012 2013 2014 2015 2016 Why own a gold ETF? At March 23, 2016; FNV and S&P/TSX Global Gold Index converted to USD 15
Slide 16: Appendix – Non IFRS Measures
Appendix – Non IFRS Measures 1. Adjusted Net Income and Adjusted Net Income per share are non-IFRS financial measures, which excludes the following from net income and net income per share: foreign exchange gains/losses and other income/expenses; gains/losses on the sale of investments; impairment c