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Highlights

  • $200 million in combined stream and royalty agreements secured with Solaris Resources’ Warintza Project
  • Exposure to over 4.2 billion tonnes of copper-equivalent resources across Measured, Indicated, and Inferred categories
  • Potential for first production by 2030 with updated prefeasibility study expected in Q3 2025

Royal Gold, Inc. (NASDAQ: RGLD) announced the execution of two agreements—one for a gold purchase stream and another for a net smelter return royalty—via its wholly-owned subsidiary, RGLD Gold AG. The agreements cover all metals from the Warintza Project in southeastern Ecuador and total $200 million in cash consideration. The Warintza Project is owned and operated by Solaris Resources, Inc.

Under the terms of the deal, Royal Gold will gain exposure to a major copper-gold-molybdenum deposit that features Measured and Indicated Resources of 1.082 billion tonnes at a copper-equivalent grade of 0.48%, and Inferred Resources totaling 3.135 billion tonnes at a grade of 0.27%. An updated resource estimate and prefeasibility study are expected by Q3 2025, incorporating 82,000 meters of additional drilling.

The development plan aims for initial site works in the second half of 2026 and a final investment decision by year-end 2026, with the possibility of first production in 2030. These timelines are backed by Solaris’ management team, known for their experience in Latin American copper projects.

The financial structure of the agreements includes protective measures for Royal Gold, including a full repayment mechanism of the $200 million upfront investment if project development is delayed or if there’s a change in control of Solaris within specified periods. This approach limits Royal Gold’s exposure to project execution risks while preserving long-term upside through a life-of-mine royalty.

With this investment, Royal Gold secures a foothold in a large-scale, long-life resource not currently controlled by a major mining company, reinforcing its presence in Latin American mining finance.