Slide 1: Fourth Quarter Fiscal 2016 Results
Fourth Quarter Fiscal 2016 Results August 11, 2016
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains certain forward‐looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties, and other factors that could cause actual results to differ m
Slide 3: Today's Speakers
Today’s Speakers Tony Jensen Mark Isto Stefan Wenger President and CEO VP Operations CFO and Treasurer August 11, 2016 3
Slide 4: Delivering on our Objectives
Delivering on our Objectives Growth New investments fully integrated into financial results First sales of silver from Pueblo Viejo Record annual revenue Quality Mount Milligan to be acquired by Centerra Gold Peñasquito Pyrite Leach Project approved by Goldcorp Pueblo Viejo tailings expansion pre-fe
Slide 5: Streaming Business Drives Excellent Results
Growth Streaming Business Drives Excellent Results Fourth Quarter 2015 Fourth Quarter 2016 +28% $100 $90 $80 +21% $70 +12% $USD Millions $60 $50 $40 +38% $30 +5% $20 $10 $0 Revenue Net Gold Equivalent Reported Earnings Operating Cash Dividends Paid Ounces Flow August 11, 2016 5
Slide 6: Centerra Gold to Acquire Thompson Creek
Quality Centerra Gold to Acquire Thompson Creek Centerra(CG) and Thompson Creek (TCM) entered into an Arrangement Agreement Centerra to acquire Thompson Creek, all stakeholders addressed Mount Milligan streaming agreement to be amended o Royal Gold maintains economic interest equivalent to the cur
Slide 7: Royal Gold Value at Mount Milligan Preserved
Quality Royal Gold Value at Mount Milligan Preserved Existing Stream (deliveries continue up to ~5 months after CG-TCM deal closes): 52.25% of gold, payment of $435 per ounce of gold delivered Amended Stream (deliveries begin ~5 months after CG-TCM deal closes): 35% of gold, payment of $435 per
Slide 8: Pueblo Viejo
Quality Pueblo Viejo Pueblo Viejo – Barrick Gold (60% interest), Dominican Republic Expected to deliver ~50,000 GEOs of production per year to Royal Gold1 Gold and silver deliveries to Royal Gold coming in as expected Latest Update (Barrick’s share)2: o Barrick reiterated 2016 production forec
Slide 9: Exciting new Pyrite Leach Project at Peñasquito
Quality Exciting new Pyrite Leach Project at Peñasquito Peñasquito – Goldcorp, Mexico 1 Expected to deliver an incremental ~100,000-140,000 ounces of gold and 4-6 million ounces of silver per year to Goldcorp All metals subject to Royal Gold’s 2% Net Smelter Return royalty 1 Calendar quarters. S
Slide 10: Wassa and Prestea Transition to Underground
Quality Wassa and Prestea Transition to Underground Wassa and Prestea – Golden Star Resources, Ghana Latest Update1: Golden Star’s total 2016 gold production expected to be 180,000-205,000 ounces Expect new sources of ore will increase annual production by ~25% starting late 2017: o Undergroun
Slide 11: Rainy River In Construction
Quality Rainy River In Construction Rainy River – New Gold, Canada Latest Update1: o Overall construction progress is currently 40% complete o Installation of mechanical, piping, electrical and instrumentation underway in grinding building and primary crusher o Received approval to begin pumping a
Slide 12: Financial Results & Current Liquidity
Opportunity Financial Results & Current Liquidity Fourth quarter revenue of $94.1 million FY16 tax rate of ~20%, consistent with earlier guidance FY16 DD&A of ~$460 per GEO, expected to be $450-$500 for FY2017 Date Item ($USD millions) June 30, 2016 Undrawn Revolver $375.0m June 30, 2016 Working Cap
Slide 13: Royal Gold Vision & Strategy
Royal Gold Vision & Strategy Gold Focused Reinvest Free Invest at the Pay a Be the Most Cash Flow in Troughs and Growing and Valuable, Not Long Lived be Patient at Sustainable Necessarily Properties the Top Dividend the Largest We create long term value by providing leverage and optionality to gold
Slide 14: 1660 Wynkoop Street, Denver, CO contact details
1660 Wynkoop Street, #1000 Denver, CO 80202-1132 303.573.1660 info@royalgold.com www.royalgold.com