ROYAL GOLD INC - FORM 8-K - EX-99.3 - EXHIBIT 99.3 - May 11, 2017

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8-K - 8-K - ROYAL GOLD INCv466631_8k.htm
EX-99.2 - EXHIBIT 99.2 - ROYAL GOLD INCv466631_ex99-2.htm
EX-99.1 - EXHIBIT 99.1 - ROYAL GOLD INCv466631_ex99-1.htm

EXHIBIT 99.3

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  

Gold 2
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
  Average Gold
Grade		 Gold Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average Gold
Grade 		Tons Average Gold
Grade 		Tons Average Gold
Grade
    Tons of Ore
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
United States                  
Bald Mountain                  
  Kinross 18.95 0.023 0.436 90.49 0.019 0.00 0.000 0.00 0.000
  1.75 - 2.5% NSR 11
Cortez (Pipeline and Crossroads)                  
  Barrick                  
  GSR1 31.64 0.021 0.671 0.77 0.018 9.85 0.017 2.01 0.014
  0.40 - 5.0% GSR 12
  GSR2 97.96 0.030 2.970 0.00 0.000 0.03 0.006 9.01 0.014
  0.40 - 5.0% GSR 12
  GSR3 51.35 0.018 0.946 0.77 0.018 9.88 0.049 3.32 0.012
  0.71% GSR
  NVR1 37.81 0.018 0.693 0.05 0.020 1.13 0.236 2.60 0.013
  4.83% NVR
  NVR1C 78.26 0.034 2.695 0.00 0.000 0.00 0.000 7.69 0.014
  4.43% NVR
Gold Hill 13                  
  Kinross 4.90 0.016 0.080 0.64 0.017 6.29 0.013 2.45 0.011
  1.0% - 2.0% NSR 14, 15
  0.6% - 0.9% NSR (M-ACE) 14, 15                  
Goldstrike (SJ Claims)                  
  Barrick 36.64 0.089 3.245 0.00 0.333 0.02 0.056 0.00 0.000
  0.9% NSR
Hasbrouck (DEV)                  
  West Kirkland / Clover Nevada 35.62 0.017 0.588 2.02 0.008 16.55 0.008 11.77 0.009
  1.5% NSR
Leeville                  
  Newmont 2.78 0.236 0.657 0.09 0.161 0.46 0.378 0.46 0.354
  1.8% NSR
Marigold                  
  Silver Standard 143.21 0.012 1.728 0.00 0.000 0.00 0.000 0.00 0.000
  2.0% NSR

 

 1 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Gold — continued 2
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
  Average Gold
Grade		 Gold Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average Gold
Grade 		Tons Average Gold
Grade 		Tons Average Gold
Grade
    Tons of Ore
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
United States (cont.)                  
Pinson                  
  Waterton Precious Metals Fund 7.56                
  Cordillleran - 3.0% NSR 16, 17 0.064 0.483 14.84 0.033 3.88 0.091 2.50 0.292
  Rayrock - 2.94% NSR 16, 18
Robinson                  
  KGHM 159.47 0.005 0.827 203.48 0.005 41.63 0.006 25.80 0.005
  3.0% NSR
Ruby Hill          
  Waterton Precious Metals Fund 1.73 0.014 0.024 3.19 0.025 204.42 0.019 24.94 0.040
  3.0% NSR
Soledad Mountain (DEV)                  
  Golden Queen / Gauss LLC 51.05 0.019 0.984 1.04 0.029 39.99 0.013 23.58 0.010
  3.0% NSR 19
Twin Creeks          
  Newmont 0.42 0.086 0.036 0.57 0.069 0.02 0.063 0.00 0.000
  2.0% GV
Wharf                  
  Coeur Mining 23.87 0.025 0.603 2.16 0.031 2.72 0.023 0.00 0.000
  0.0% - 2.0% NSR 20
Canada                  
Back River (DEV)                  
  Sabina Gold & Silver                  
  George Lake 0.00 0.000 0.000 0.00 0.000 7.05 0.162 5.33 0.184
  2.35% NSR 21
  Goose Lake 13.62 0.184 2.503 3.60 0.109 5.84 0.191 3.14 0.273
  1.94576% NSR 22
Canadian Malartic                  
  Yamana / Agnico Eagle 89.79 0.030 2.692 0.38 0.041 2.52 0.056 0.40 0.027
  1.0% - 1.5% NSR 23

 

 2 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Gold — continued 2
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
  Average Gold
Grade		 Gold Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average Gold
Grade 		Tons Average Gold
Grade 		Tons Average Gold
Grade
    Tons of Ore
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
Canada (cont.)                  
Holt                  
  Kirkland Lake Gold 4.35 0.131 0.570 4.37 0.126 3.33 0.120 9.58 0.138
  0.00013 x gold price
Kutcho Creek (DEV)                  
  Capstone Mining 11.51 0.011 0.124 0.00 0.000 0.92 0.019 1.20 0.010
  2.0% NSR
Mount Milligan                  
  Centerra Gold 550.00 0.011 5.799 84.46 0.008 184.43 0.006 12.18 0.009
  35% of gold produced 24
Pine Cove (DEV)                  
  Anaconda Mining 2.91 0.060 0.175 0.00 0.000 0.00 0.000 0.28 0.062
  7.5% NPI
Rainy River (DEV)                  
  New Gold 114.95 0.033 3.772 5.12 0.032 84.45 0.032 19.94 0.032
  6.5% of gold produced 25
Schaft Creek (DEV)                  
  Copper Fox / Teck 1037.05 0.006 5.775 12.36 0.005 304.83 0.005 658.29 0.005
  3.5% NPI
Williams                  
  Barrick 18.35 0.052 0.952 0.14 0.080 30.46 0.031 3.93 0.065
  0.97% NSR
Mexico                  
Dolores                  
  Pan American Silver 70.66 0.021 1.507 2.09 0.007 3.53 0.012 1.87 0.029
  3.25% NSR
Mulatos                  
  Alamos 55.11 0.034 1.884 9.53 0.040 74.34 0.033 11.33 0.029
  1.0 - 5.0% NSR 26

 

 3 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Gold — continued 2
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
  Average Gold
Grade		 Gold Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average Gold
Grade 		Tons Average Gold
Grade 		Tons Average Gold
Grade
    Tons of Ore
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
Mexico (cont.)                  
Peñasquito 27                  
  Goldcorp                  
  2.0% NSR 11.55 0.012 0.140 8.08 0.006 16.79 0.006 0.04 0.000
  (Oxide)
  2.0% NSR 649.26 0.015 9.880 130.51 0.008 204.02 0.008 31.11 0.009
  (Sulfide)
Central and South America                  
Andacollo                  
  Teck 385.48 0.004 1.389 14.44 0.003 98.55 0.003 8.71 0.003
  100% of payable gold 28
Don Mario                  
  Orvana 0.87 0.076 0.067 0.00 0.000 0.00 0.000 0.00 0.000
  3.0% NSR
Don Nicolas (DEV)                  
  Compañia Inversora en Minas 1.33 0.148 0.196 0.15 0.103 4.72 0.036 3.38 0.043
  2.0% NSR
El Limon                  
  B2Gold 1.25 0.122 0.152 0.00 0.000 1.54 0.168 1.10 0.129
  3.0% NSR
El Morro (DEV)                  
  Goldcorp 198.10 0.013 2.674 6.54 0.015 24.00 0.011 320.33 0.006
  1.4% NSR 29
El Toqui                  
  Laguna Gold 2.33 0.045 0.105 1.46 0.041 4.00 0.018 2.65 0.019
  0.0% - 3.0% NSR 30
La India (DEV)                  
  Condor Gold 7.61 0.089 0.675 0.00 0.000 2.93 0.140 7.40 0.133
  3.0% NSR
Mara Rosa (DEV)                  
  Amarillo Gold 20.96 0.048 0.998 0.80 0.049 5.80 0.037 9.26 0.032
  1.0% NSR

 

 4 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Gold — continued 2
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
  Average Gold
Grade		 Gold Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average Gold
Grade 		Tons Average Gold
Grade 		Tons Average Gold
Grade
    Tons of Ore
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
Central and South America (cont.)                  
Pascua-Lama (DEV) 31                  
  Barrick 306.30 0.046 14.050 14.95 0.049 157.75 0.042 16.98 0.051
  0.78% - 5.23% NSR 32
Pueblo Viejo                  
  Barrick (60%) 94.60 0.085 8.087 11.22 0.068 105.23 0.068 3.14 0.060
  7.5% of gold produced 33
Australia                  
Balcooma (DEV)                  
  Consolidated Tin 0.76 0.002 0.001 0.60 0.001 0.77 0.009 0.64 0.012
  1.5% NSR
Celtic/Wonder North (DEV)                  
  Bligh Resources 1.51 0.064 0.097 0.04 0.067 2.43 0.059 3.51 0.052
  1.5% NSR
Gwalia Deeps                  
  St Barbara 10.33 0.205 2.113 2.94 0.180 11.34 0.163 1.20 0.113
  1.5% NSR
Kundip (DEV)                  
  ACH Minerals 3.10 0.099 0.307 0.00 0.000 1.74 0.100 5.02 0.061
  1.0 - 1.5% GSR 34
Meekatharra (Nannine) (DEV)                  
  Westgold Resources 0.15 0.048 0.007 0.00 0.000 0.00 0.000 0.00 0.000
  1.5% NSR
Meekatharra (Paddy's Flat) (DEV)                
  Westgold Resources 4.35 0.098 0.427 0.00 0.000 18.34 0.043 15.14 0.048
  1.5% NSR
  A$10 per gold ounce produced 35
Meekatharra (Reedys) (DEV)                  
  Westgold Resources 1.35 0.082 0.110 0.00 0.065 2.36 0.047 6.05 0.071
  1.5% NSR
  1.5% - 2.5% NSR 36
  1.0% NSR 36

 

 5 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Gold — continued 2
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
  Average Gold
Grade		 Gold Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average Gold
Grade 		Tons Average Gold
Grade 		Tons Average Gold
Grade
    Tons of Ore
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
Australia                  
Meekatharra (Yaloginda)                  
  Westgold Resources 4.36 0.009 0.041 0.02 0.064 5.50 0.052 7.92 0.059
  0.45% NSR
Red Dam (DEV)                  
  Evolution Mining 1.76 0.063 0.111 0.00 0.000 0.50 0.055 1.15 0.064
  2.5% GSR
South Laverton                  
  Saracen 7.96 0.065 0.516 2.14 0.051 40.53 0.045 66.89 0.051
  1.5% NSR
Southern Cross                  
  Shandong Tianye 10.54 0.096 1.010 2.22 0.220 14.49 0.126 12.77 0.116
  1.5% NSR
West Africa                  
Inata                  
  Avocet 5.82 0.056 0.326 9.89 0.051 25.04 0.051 32.15 0.047
  2.5% GSR
Taparko                  
  Nord Gold 5.98 0.084 0.502 0.15 0.072 3.34 0.065 2.76 0.060
  2.0% GSR 37
Wassa, Bogoso and Prestea                  
  Golden Star Resources 21.45 0.089 1.910 0.00 0.000 50.18 0.078 22.50 0.139
  9.25% of gold produced 38

 

 6 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Silver 39
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
Tons of Ore Average
Silver Grade		 Silver Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average
Silver Grade		 Tons Average
Silver Grade		 Tons Average
Silver Grade
   
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
United States                  
Gold Hill 13                  
  Kinross 4.90 0.251 1.230 0.64 0.259 6.29 0.193 2.45 0.166
  1.0% - 2.0% NSR 14, 15
  0.6% - 0.9% NSR (M-ACE) 14, 15                  
Hasbrouck (DEV)                  
  West Kirkland / Clover Nevada 35.62 0.297 10.569 2.02 0.192 16.55 0.190 11.77 0.191
  1.50% NSR
Soledad Mountain (DEV)                  
  Golden Queen / Gauss LLC 51.05 0.324 16.516 1.04 0.319 39.99 0.215 23.58 0.210
  3.0% NSR 19
Canada                  
Kutcho Creek (DEV)                  
  Capstone Mining 11.51 1.009 11.618 0.00 0.000 0.92 1.829 1.20 0.895
  2.0% NSR
Rainy River (DEV)                  
  New Gold 114.95 0.082 9.410 5.12 0.048 84.45 0.115 19.94 0.117
  60% of silver produced 25
Schaft Creek (DEV)                  
  Copper Fox / Teck 1037.05 0.050 51.895 12.36 0.043 304.83 0.047 658.29 0.048
  3.5% NPI
Mexico                  
Dolores                  
  Pan American Silver 70.66 0.764 54.000 2.09 0.382 3.53 0.709 1.87 1.067
  2.0% NSR
Peñasquito 27                  
  Goldcorp       `          
  2.0% NSR 11.55 0.658 7.600 8.08 0.937 16.79 0.688 0.04 0.146
  (Oxide)
  2.0% NSR 649.26 0.876 569.070 130.51 0.795 204.02 0.664 31.11 0.565
  (Sulfide)

 

 7 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Silver — continued 39
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
Tons of Ore Average
Silver Grade		 Silver Contained
Ozs 10		 Measured Indicated Inferred
    Tons Average
Silver Grade		 Tons Average
Silver Grade		 Tons Average
Silver Grade
   
    (M) (opt) (M) (M) (opt) (M) (opt) (M) (opt)
Central and South America                  
Don Mario                  
  Orvana 0.87 0.173 0.151 0.00 0.000 0.00 0.000 0.00 0.000
  3.0% NSR
Don Nicolas (DEV)                  
  Compañia Inversora en Minas 1.33 0.302 0.401 0.15 0.412 4.72 0.145 3.38 0.103
  2.0% NSR
El Toqui                  
  Laguna Gold 2.33 0.588 1.367 1.46 0.208 4.00 0.534 2.65 0.526
  0.0 - 3.0% NSR 30
La India (DEV)                  
  Condor Gold 7.61 0.156 1.185 0.00 0.000 2.93 0.210 7.40 0.117
  3.0% NSR
Pueblo Viejo                  
  Barrick (60%) 94.60 0.505 47.809 11.22 0.424 105.23 0.327 3.14 0.285
  75% of silver produced 33
Australia                  
Balcooma (DEV)                  
  Consolidated Tin 0.76 0.498 0.380 0.60 0.382 0.77 0.793 0.64 0.987
  1.5% NSR

 

 8 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Base Metals
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
Tons of Ore Average Base
Metal Grade		 Base Metal
Contained Lbs
10		 Measured Indicated Inferred
    Tons Average Base
Metal Grade		 Tons Average Base
Metal Grade		 Tons Average Base
Metal Grade
   
    (M) (%) (M) (M) (%) (M) (%) (M) (%)
COPPER 40                  
United States                  
Johnson Camp                  
  Excelsior Mining 111.20 0.30% 656.000 0.00 0.00% 0.00 0.00% 0.00 0.00%
  2.5% NSR
Robinson                  
  KGHM 159.47 0.43% 1375.670 203.48 0.46% 41.63 0.33% 25.80 0.38%
  3.0% NSR
Canada                  
Caber (DEV)                  
  Nyrstar 0.68 0.84% 11.355 0.00 0.00% 0.00 0.00% 3.07 1.63%
  1.0% NSR
Kutcho Creek (DEV)                  
  Capstone Mining 11.51 2.01% 462.678 0.00 0.00% 0.92 4.43% 1.20 1.74%
  2.0% NSR
Mount Milligan                  
  Centerra Gold 550.00 0.19% 2059.740 84.46 0.11% 184.43 0.14% 12.18 0.13%
  18.75% of copper produced 24
Shaft Creek (DEV)                  
  Copper Fox / Teck 1037.05 0.27% 5630.715 12.36 0.31% 304.83 0.23% 658.29 0.22%
  3.5% NPI
Voisey's Bay 41                  
  Vale 37.26 1.02% 756.494 0.00 0.00% 0.00 0.00% 0.00 0.00%
  2.7% NSR
Central and South America                  
Don Mario                  
  Orvana 0.87 0.60% 10.490 0.00 0.00% 0.00 0.00% 0.00 0.00%
  3.0% NSR
El Morro (DEV)                  
  Goldcorp 198.10 0.49% 1959.099 6.54 0.51% 24.00 0.39% 320.33 0.24%
  1.4% NSR 29

 

 9 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Base Metals — continued
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
Tons of Ore Average Base
Metal Grade		 Base Metal
Contained Lbs
10		 Measured Indicated Inferred
    Tons Average Base
Metal Grade		 Tons Average Base
Metal Grade		 Tons Average Base
Metal Grade
   
    (M) (%) (M) (M) (%) (M) (%) (M) (%)
COPPER (cont.) 40                  
Central and South America (cont.)                
Pascua-Lama (DEV)                  
  Barrick 306.30 0.08% 505.321 14.95 0.10% 157.75 0.08% 16.98 0.05%
  1.05% NSR 42
Australia                  
Balcooma (DEV)                  
  Consolidated Tin 0.76 2.13% 32.466 0.60 3.00% 0.77 1.30% 0.64 1.46%
  1.5% NSR
Europe                  
Las Cruces                  
  First Quantum 6.50 5.02% 652.722 0.00 0.00% 0.00 0.00% 0.00 0.00%
  1.5% NSR
LEAD 43                  
Mexico                  
Peñasquito                  
  Goldcorp 649.26 0.26%     0.25%        
  2.0% NSR 3683.850 130.51 204.02 0.20% 31.11 0.21%
  (Sulfide)
Central and South America                  
El Toqui                  
  Laguna Gold 2.33 0.59% 27.635 1.46 0.10% 4.00 0.30% 2.65 0.53%
  0.0 - 3.0% NSR 30
Australia                  
Balcooma (DEV)                  
  Consolidated Tin 0.76 0.52% 7.879 0.60 0.10% 0.77 2.40% 0.64 1.93%
  1.5% NSR

 

 10 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Base Metals — continued
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
Tons of Ore Average Base Metal Grade Base Metal Contained Lbs 10 Measured Indicated Inferred
    Tons Average Base Metal Grade Tons Average Base Metal Grade Tons Average Base Metal Grade
   
    (M) (%) (M) (M) (%) (M) (%) (M) (%)
ZINC 44                  
Canada                  
Caber (DEV)                  
  Nyrstar 0.68 8.58% 116.036 0.00 0.00% 0.00 0.00% 3.07 3.14%
  1.0% NSR
Kutcho Creek (DEV)                  
  Capstone Mining 11.51 3.19% 734.300 0.00 0.00% 0.92 4.40% 1.20 2.04%
  2.0% NSR
Mexico                  
Peñasquito                  
  Goldcorp 649.26 0.62% 8927.240 130.51 0.60% 204.02 0.50% 31.11 0.31%
  2.0% NSR
  (Sulfide)
Central and South America                  
El Toqui                  
  Laguna Gold 2.33 7.23% 336.480 1.46 5.87% 4.00 4.53% 2.65 3.89%
  0.0 - 3.0% NSR 30
Australia                  
Balcooma (DEV)                  
  Consolidated Tin 0.76 1.92% 29.274 0.60 0.30% 0.77 7.20% 0.64 4.51%
  1.5% NSR
NICKEL 45                  
Canada                  
Voisey's Bay 41                  
  Vale 37.26 2.20% 1639.092 0.00 0.00% 0.00 0.00% 0.00 0.00%
  2.7% NSR

 

 11 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Base Metals — continued
OPERATOR, PROPERTY AND ROYALTY 3 PROVEN + PROBABLE RESERVES 4,5,6 ADDITIONAL MINERALIZED MATERIAL 7,8,9
Tons of Ore Average Base
Metal Grade		 Base Metal
Contained Lbs
10		 Measured Indicated Inferred
    Tons Average Base
Metal Grade		 Tons Average Base
Metal Grade		 Tons Average Base
Metal Grade
   
    (M) (%) (M) (M) (%) (M) (%) (M) (%)
COBALT 46                  
Canada                  
Voisey's Bay 41                  
  Vale 37.26 0.13% 96.871 0.00 0.00% 0.00 0.00% 0.00 0.00%
  2.7% NSR
MOLYBDENUM 47                  
Canada                  
Schaft Creek (DEV)                  
  Copper Fox / Teck 1037.05 0.02% 373.340 12.36 0.00% 304.83 0.01% 658.29 0.02%
  3.5% NPI

 

 12 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Footnotes
For further information about Royal Gold, Inc.'s metal streams, royalties and similar interests, please see our Annual Report on Form 10-K and other Public Reports.
1 Reserves have been reported by the operators of record as of December 31, 2016, with the exception of the following properties: Mara Rosa – March 7, 2017; Don Mario – September 30, 2016; Southern Cross – July 24, 2016; Gwalia Deeps, Meekatharra (Nannine, Paddy's Flat, Reedys and Yaloginda) and Peñasquito – June 30, 2016; El Toqui, Mulatos, Red Dam, Robinson, Taparko – December 31, 2015; Back River – August 15, 2015; South Laverton – June 30, 2015; Hasbrouck Mountain – June 3, 2015; El Morro, Inata, La India, Pinson, Rainy River, Ruby Hill and Soledad Mountain – December 31, 2014; Kundip – June 30, 2014; Celtic/Wonder North – November 21, 2013; Schaft Creek – December 31, 2012; Don Nicolas and Johnson Camp – December 31, 2011; Balcooma – June 30, 2011; Kutcho Creek – February 15, 2011; Pine Cove – June 30, 2010; and Caber – July 18, 2007.
2 Gold reserves were calculated by the operators at the following per ounce prices: A$1,550 – Meekatharra (Nannine, Paddy's Flat, Reedys and Yaloginda) and Southern Cross; A$1,500 – South Laverton; $1,450 – Kundip; A$1,400 – Celtic/Wonder North; $1,366 – Schaft Creek; A$1,350 – Gwalia; A$1,310 – Red Dam; $1,300 – Dolores, El Morro and Pinson; $1,250 – Back River, El Limon, Holt, Inata, La India, Marigold, Mulatos, Soledad Mountain and Wharf; $1,225 – Hasbrouck Mountain; $1,200 – Andacollo, Bald Mountain, Canadian Malartic, El Toqui, Gold Hill, Leeville, Mara Rosa, Mount Milligan, Pascua-Lama, Peñasquito, Robinson, Taparko and Twin Creeks; $1,100 – Don Mario, Don Nicolas, Ruby Hill and Wassa and Prestea; $1,000 – Cortez, Goldstrike, Pueblo Viejo and Williams; and $983 – Pine Cove. No gold price was reported for Balcooma, Caber or Kutcho Creek.
3 See royalty definitions on page 18.
4 Set forth below are the definitions of proven and probable reserves used by the U.S. Securities and Exchange Commission.
  “Reserve” is that part of a mineral deposit which could be economically and legally extracted or produced at the time of the reserve determination.
  “Proven (Measured) Reserves” are reserves for which (a) quantity is computed from dimensions revealed in outcrops, trenches, workings or drill holes, and the grade is computed from the results of detailed sampling, and (b) the sites for inspection, sampling and measurement are spaced so closely and the geologic character is so well defined that the size, shape, depth and mineral content of the reserves are well established.
  “Probable (Indicated) Reserves” are reserves for which the quantity and grade are computed from information similar to that used for proven (measured) reserves, but the sites for inspection, sampling and measurement are farther apart or are otherwise less adequately spaced.  The degree of assurance of probable (indicated) reserves, although lower than that for proven (measured) reserves, is high enough to assume geological continuity between points of observation.
5 Royal Gold has disclosed a number of reserve estimates that are provided by operators that are foreign issuers and are not based on the U.S. Securities and Exchange Commission's definitions for proven and probable reserves. For Canadian issuers, definitions of "mineral reserve," "proven mineral reserve," and "probable mineral reserve" conform to the Canadian Institute of Mining, Metallurgy and Petroleum definitions of these terms as of the effective date of estimation as required by National Instrument 43-101 of the Canadian Securities Administrators. For Australian issuers, definitions of "mineral reserve," "proven mineral reserve," and "probable mineral reserve" conform with the Australasian Code for Reporting of Mineral Resources and Ore Reserves prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy, Australian Institute of Geoscientists and Minerals Council of Australia, as amended ("JORC Code"). Royal Gold does not reconcile the reserve estimates provided by the operators with definitions of reserves used by the U.S. Securities and Exchange Commission.

 

 13 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Footnotes (continued)
6 The reserves reported are either estimates received from the various operators or are based on documentation material provided to Royal Gold or which is derived from recent publicly available information from the operators of the various properties or various recent National Instrument 43-101 or JORC Code reports filed by operators. Accordingly, Royal Gold is not able to reconcile the reserve estimates prepared in reliance on National Instrument 43-101 or JORC Code with definitions of the U.S. Securities and Exchange Commission.
7 Mineralized material is that part of a mineral system that has potential economic significance but cannot be included in the proven and probable ore reserve estimates until further drilling and metallurgical work is completed, and until other economic and technical feasibility factors based upon such work have been resolved. The U.S. Securities and Exchange Commission does not recognize this term. Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into reserves.
8 Some of the operators are Canadian and Australian issuers. Canadian and Australian issuers use the terms "mineral resources" and its subcategories "measured," "indicated" and "inferred" mineral resources. For Canadian issuers, the definitions of "mineral resource," "measured mineral resource," "indicated mineral resource" and "inferred mineral resource" conform to the Canadian Institute of Mining, Metallurgy and Petroleum definitions of those terms as of the effective date of estimation, as required by National Instrument 43-101 of the Canadian Securities Administrators. For Australian issuers, the definitions of "mineral resource," "measured mineral resource," "indicated mineral resource" and "inferred mineral resource" conform with the JORC Code. While such terms are recognized and required by Canadian and Australian regulations, the U.S. Securities and Exchange Commission does not recognize them. In each case, the mineralized material reported hereunder are estimates previously disclosed by the relevant operator, without reference to the underlying data used to calculate the estimates. Accordingly, Royal Gold is not able to reconcile the estimates prepared in reliance on National Instrument 43-101 or JORC Code with terms recognized by the U.S. Securities and Exchange Commission. Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into reserves.
9 The additional mineralized material reported are either estimates received by the various operators or are based on documentation material provided to Royal Gold or which is derived from recent publicly available information from the operators of the various properties or various recent National Instrument 43-101 or JORC Code reports filed by operators. Accordingly, Royal Gold is not able to reconcile the resource estimates prepared in reliance on National Instrument 43-101 or JORC Code with definitions of the U.S. Securities and Exchange Commission. Investors are cautioned not to assume that any part or all of the mineral deposits in these categories will ever be converted into reserves.
10 “Contained ounces” or “contained pounds” do not take into account recovery losses in mining and processing the ore.
11 NSR sliding-scale schedule (price of gold per ounce – royalty rate): Below $375 – 1.75%; >$375 to $400 – 2.0%; >$400 to $425 – 2.25%; >$425 – 2.5%. All price points are stated in 1986 dollars and are subject to adjustment in accordance with a blended index comprised of labor, diesel fuel, industrial commodities and mining machinery.
12 GSR sliding-scale schedule (price of gold per ounce – royalty rate): Below $210 – 0.40%; $210 to $229.99 – 0.50%; $230 to $249.99 – 0.75%; $250 to $269.99 – 1.30%; $270 to $309.99 – 2.25%; $310 to $329.99 – 2.60%; $330 to $349.99 – 3.00%; $350 to $369.99 – 3.40%; $370 to $389.99 – $3.75%; $390 to $409.99 – 4.0%; $410 to $429.99 – 4.25%; $430 to $449.99 – 4.50%; $450 to $469.99 – 4.75%; $470 and higher – 5.00%.

 

 14 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Footnotes (continued)
13 The royalty is capped at $10 million. As of March 31, 2017, royalty payments of approximately $4.7 million have been received.
14 The 1.0% to 2.0% sliding-scale schedule (price of gold per ounce – royalty rate): Below $350 – 1.0%; > $350 – 2.0%. The 0.6% to 0.9% NSR sliding-scale schedule (price of gold per ounce – royalty rate): Below $300 – 0.6%; $300 to $350 – 0.7%; > $350 to $400 – 0.8%; > $400 – 0.9%. The silver royalty rate is based on the price of gold.
15 The 0.6% to 0.9% sliding-scale NSR applies to the M-ACE claims. The operator did not break out reserves or resources subject to the M-ACE claims royalty.
16 Royalty only applies to Section 29 which currently holds about 95% of the reserves reported for the property.
17 An additional Cordilleran royalty applies to a portion of Section 28.
18 Additional Rayrock royalties apply to Sections 28, 32 and 33; these royalty rates vary depending on pre-existing royalties. The Rayrock royalties take effect once 200,000 ounces of gold have been produced from open pit mines on the property. As of March 31, 2017, approximately 103,000 ounces have been produced.
19 Royalty is capped at $300,000 plus simple interest.
20 NSR sliding-scale schedule (price of gold per ounce – royalty rate): $0.00 to under $350 – 0.0%; $350 to under $400 – 0.5%; $400 to under $500 – 1.0%; $500 or higher – 2.0%.
21 George Lake royalty applies to production above 800,000 ounces.
22 Goose Lake royalty applies to production above 400,000 ounces.
23 NSR sliding-scale schedule (price of gold per ounce – royalty rate): $0.00 to $350 – 1.0%; above $350 – 1.5%.
24 Thompson Creek will deliver 35% of gold produced and 18.75% of copper produced. The purchase price for gold is equal to the lesser of $435 per ounce delivered or the prevailing spot price and the purchase price for copper is 15% of the spot price per metric tonne delivered.
25 New Gold will deliver: (a) gold in amounts equal to 6.50% of gold produced until 230,000 ounces have been delivered, and 3.25% of gold produced thereafter, and (b) silver in amounts equal to 60% of silver produced until 3.10 million ounces have been delivered, and 30% of silver produced thereafter, in each case at a purchase price equal to 25% of the spot price per ounce delivered.
26 The Company’s royalty is subject to a 2.0 million ounce cap on gold production. There have been approximately 1.67 million ounces of cumulative production as of March 31, 2017. NSR sliding-scale schedule (price of gold per ounce – royalty rate): $0.00 to $299.99 – 1.0%; $300 to $324.99 – 1.50%; $325 to $349.99 – 2.0%; $350 to $374.99 – 3.0%; $375 to $399.99 – 4.0%; $400 or higher – 5.0%.
27 Operator reports reserves by material type. The sulfide material will be processed by milling. The oxide material will be processed by heap leaching.
28 Teck will deliver gold in amounts equal to 100% of payable gold until 900,000 ounces have been delivered, and 50% of payable gold thereafter, subject to a fixed payable percentage of 89%, at a purchase price equal to 15% of the monthly average gold price for the month preceding the delivery date for each ounce delivered.
29 The royalty covers approximately 30% of the La Fortuna deposit. Reserves attributable to Royal Gold's royalty represent 3/7 of Goldcorp's reporting of 70% of the total reserve.
30 All metals are paid based on zinc prices. NSR sliding-scale schedule (price of zinc per pound – royalty rate): Below $0.50 – 0.0%; $0.50 to below $0.55 – 1.0%; $0.55 to below $0.60 – 2.0%; $0.60 or higher – 3.0%.

 

 15 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Footnotes (continued)
31 Royalty applies to all gold production from an area of interest in Chile. Only that portion of the reserves pertaining to our royalty interest in Chile is reflected here. Approximately 20% of the royalty is limited to the first 14.0 million ounces of gold produced from the project. Also, 24% of the royalty can be extended beyond 14.0 million ounces produced for $4.4 million. In addition, a one-time payment totaling $8.4 million will be made if gold prices exceed $600 per ounce for any six-month period within the first 36 months of commercial production.
32 NSR sliding-scale schedule (price of gold per ounce – royalty rate): less than or equal to $325 – 0.78%; $400 – 1.57%; $500 – $2.72%; $600 – 3.56%; $700 – 4.39%; greater than or equal to $800 – 5.23%. Royalty is interpolated between lower and upper endpoints.
33 Barrick will deliver: (a) gold in amounts equal to 7.50% of Barrick’s 60% interest in gold produced until 990,000 ounces have been delivered, and 3.75% of Barrick’s 60% interest in gold produced thereafter, at a purchase price equal to 30% of the spot price per ounce delivered until 550,000 ounces have been delivered, and 60% of the spot price per ounce delivered thereafter; and (b) silver in amounts equal to 75% of Barrick’s 60% interest in silver produced, subject to a minimum silver recovery of 70%, until 50 million ounces have been delivered, and 37.50% of Barrick’s 60% interest in silver produced thereafter, at a purchase price equal to 30% of the spot price per ounce delivered until 23.10 million ounces of silver have been delivered, and 60% of the spot price per ounce delivered thereafter.
34 The royalty rate is 1.0% until 250,000 ounces of gold have been recovered, and 1.5% thereafter.
35 The A$10 per ounce royalty applies on production above 50,000 ounces.
36 The 1.5% to 2.5% NSR sliding-scale royalty pays at a rate of 1.5% for the first 75,000 ounces produced in any 12 month period and at a rate of 2.5% on production above 75,000 ounces during that 12 month period. The 1.0% NSR royalty applies to the Rand area only.
37 There is a 0.75% GSR milling royalty that applies to ore that is mined outside of the defined area of the Taparko-Bouroum project that is processed through the Taparko facilities up to a maximum of 1.1 million tons per year.
38 Golden Star will deliver 9.25% of gold produced, until the earlier of (a) December 31, 2017 or (b) the date at which the Wassa and Prestea underground projects achieve commercial production, at which point Golden Star will deliver 10.5% (or 10.9% if Royal Gold’s total investment increases from $145 million to $150 million) of gold produced until 240,000 ounces have been delivered (or 250,000 ounces if the total investment increases from $145 million to $150 million), at a purchase price equal to 20% of the spot price per ounce delivered. Thereafter, Golden Star will deliver 5.5% of gold produced, at a purchase price equal to 30% of the spot price per ounce delivered.
39 Silver reserves were calculated by the operators at the following prices per ounce: $25.96 – Schaft Creek; $25.00 – Don Nicolas; $20.00 – Gold Hill; $18.50 – Dolores; $18.00 – El Toqui and Peñasquito; $17.50 – Hasbrouck Mountain; $17.00 – Soledad; $16.50 – Don Mario; and $13.75 – Pueblo Viejo. No silver price was reported for Balcooma or Kutcho Creek.
40 Copper reserves were calculated by the operators at the following prices per pound: $3.52 – Schaft Creek; $3.21 – Robinson; $3.00 – El Morro; $2.95 – Mount Milligan; $2.75 – Don Mario and Pascua Lama; $2.70 – Las Cruces; $2.61 – Voisey's Bay; and $2.50 – Johnson Camp. No copper reserve price was reported for Balcooma, Caber or Kutcho Creek.
41 Additional mineralized material figures are from December 31, 2005 and have not been updated by the operator.
42 Royalty applies to all copper production from an area of interest in Chile. Only that portion of the reserves pertaining to our royalty interest in Chile is reflected here. This royalty will take effect after January 1, 2017.

 

 16 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Footnotes (continued)
43 Lead reserve price was calculated by the operators at the following prices per pound: $0.91 – El Toqui; and $0.90 – Peñasquito. No lead reserve price was reported for Balcooma.
44 Zinc reserve price was calculated by the operators at the following prices per pound: $0.95 – El Toqui and Peñasquito. No zinc reserve price was reported for Balcooma, Caber or Kutcho Creek.
45 Nickel reserve price was calculated by the operator at the following price per pound: $5.79 – Voisey's Bay.
46 Cobalt reserve price was calculated by the operator at the following price per pound: $12.70 – Voisey's Bay.
47 Molybdenum reserve price was calculated by the operator at the following price per pound: $15.30 – Schaft Creek.
  NOTE: Not included in the Metal Stream/Royalty Portfolio are Allan, Belcourt, Rambler North, Sega, Skyline and one oil and gas property.

 

 17 

 

 

 RoyalGold,Inc

 

Metal Stream/Royalty Portfolio

As of December 31, 2016 1

  
Glossary
   
The Company’s royalty portfolio contains several different types of royalties or similar interests which are defined as follows:
   
  Gross Smelter Return (“GSR”) Royalty: A defined percentage of the gross revenue from a resource extraction operation, less, if applicable, certain contract-defined costs paid by, or charged to, the operator.
   
  Gross Value ("GV") Royalty: A defined percentage of the gross value, revenue or proceeds from a resource extraction operation, without deductions of any kind.
   
  Milling Royalty: A royalty on ore throughput at a mill.
   
  Net Profits Interest (“NPI”) Royalty: A defined percentage of the gross revenue from a resource extraction operation, after recovery of certain contract-defined pre-production costs, and after deduction of certain contract-defined mining, milling, processing, transportation, administrative, marketing and other costs.
   
  Net Smelter Return (“NSR”) Royalty: A defined percentage of the gross revenue from a resource extraction operation, less a proportionate share of incidental transportation, insurance, refining and smelting costs.
   
  Net Value Royalty (“NVR”): A defined percentage of the gross revenue from a resource extraction operation, less certain contract-defined costs.
   
  Royalty: The right to receive a percentage or other denomination of mineral production from a mining operation.
   
  Sliding-Scale Royalty: A royalty rate that fluctuates based on contract-specified variables such as metal price or production volume.
   
  Stream: A purchase agreement that provides, in exchange for an upfront deposit payment, the right to purchase all or a portion of one or more metals produced from a mine, at a price determined for the life of the transaction by the purchase agreement.

 

 18 

ROYAL GOLD INC Reports