Franco-Nevada Corporation

Good morning and welcome to Santo Nevada Corporation's third quarter 2025 results conference call. This call is being recorded on November 4, 2025. At this time, all lines are in lesson-only mode. Following the presentation, we will conduct a Q&A session where you may ask a question through the phone line. If you require immediate assistance during this call, please press star zero at any time for the operator. I would like to turn the conference over to your host, Tanita Hayden, Senior Analyst, Investor Relations. Thank you. Please go ahead. Thank you, Ina. Good morning, everyone. Thank you for joining us today to discuss Franco Nevada's third quarter 2025 results. Accompanying this call is a presentation, which is available on our website at franco-nevada.com, where you will also find our full financial results. During our call this morning, Paul Brink, President and CEO of Franklin Nevada, will provide introductory remarks, followed by Sandy Brana, Chief Financial Officer, who will provide a brief review of our results. This will be followed by a Q&A period. Our full executive team is available to answer any questions. We would like to remind participants that some of today's commentary may contain forward-looking information And we refer you to our detailed cautionary note on slide two of this presentation. I will now turn over the call to Paul Brink, President and CEO of Franco Nevada.

Thank you, Candida, and good day to all. For the third time this year, we're announcing record quarterly results. The new benchmark set this quarter was driven by high gold prices, strong operations, new acquisitions, and the sale of Cobre Panama stockpiles. Over the last 18 months, we've made six acquisitions of meaningful new gold interests. Yanacocha, Cascavel, Sabanier's Western Limb, Porcupine, Cote, and Arthur. All larger bodies that will contribute to our growth for many decades. Of the six, Porcupine, Yanacocha, and Western Limb are also producing. They'll impact our five-year growth and have boosted our gold price exposure. Eighty-five percent of our revenue was from precious metals in the course. The last of the acquisitions in July this year was a royalty on the Arthur Gold project in Nevada, operated by Angry Gold. We did draw an appropriate revolver to fund the acquisition, but with our strong cash flow generation and the proceeds from equity sales, the company was once again debt-free by quarter end. During the quarter, we saw progress on the ground at Cobra Panama, completion of the concentrate shipments, Pre-commissioning of the power plant for restart will be aimed to provide power to the Panamanian grid and formal notice to SGS to commence the environmental water work. Perhaps just as important, we're encouraged by the recent constructive comments by the President of Panama towards resolution of the Cobre mine closure. If Cobre does come back online, And with the contributions from our recent acquisitions, we're positioned for roughly 50% growth in geos over five years compared to last year. With the long-term assets we've added, we can then maintain that level of production for many years thereafter. Our deal pipeline remains very active. Although with this run-up in gold prices, we're also expecting good organic growth. With roughly half our revenue coming from principal gold assets, We expect this to be a powerful driver. Operators have strong cash flow for mine expansions, some ongoing like Detour, and others now planned at Cote, Maginot, and Valentine. Developers have been able to raise capital for new builds. In particular, Skeena and Perpetua were both successful tapping the equity markets to ensure that they can advance Escape Creek and Stipnite Gold. And the drills are turning on our large portfolio of exploration stage royalties. Recognition of the importance of critical minerals has also unlocked a number of permitting processes, giving the green light to construction to copper world and stiplite gold. Castle Mountain is also now included in the U.S. Fast 41 permitting process. On that same note, I've been impressed to see the profile that the Ring of Fire is getting in the Ontario government's critical mineral strategy. In the last few years, we've added new avenue to grow our company, That is finding good teams and good projects and not just providing wealthier screen financing, but being their financial backer. The first was Game and Ventures with Poker Designio, and the second, the Discovery team with Poker Time. Both are best in class and are proving to be highly successful. We're delighted to have played a role in their success. We're looking forward to supporting them going forward and to find other strong teams to back. With that, I'll hand the call over to Sandy to discuss the quarter.

Thanks, Paul. Good day, everyone. As Paul mentioned, Franklin, Nevada reported record financial results for third quarter ended September 30th, 2025. Our diverse portfolio of realty and stream assets performed ahead of recent expectations, and we continue to benefit from higher precious metal prices. Precious metal prices, with gold in particular, continue to be strong. On slide four, you will see the comparison of commodity prices for Q3 2025 and Q3 2024. Gold and silver prices increased significantly year-over-year, with the average gold price higher by 40% in the quarter and average silver price higher by 34%. We also saw a rebound in prices for platinum and palladium, while prices for iron ore remained flat year-over-year, lower for oil, but we saw a significant increase in natural gas prices year-over-year. On slide five, we highlight some of the key financial metrics used to measure performance. Total GEO sold, net GEO sold, revenue, and adjusted EBITDA. Total GEO sold increased 26% to 138,772 in the quarter compared to 110,110 in third quarter 2024. Precious metal GEO sold in the quarter were 119,109, higher by 41% compared to prior year. Also, just under 50% of total GEO sold were sourced directly from mines where precious metals are the primary commodity. For the quarter, we received strong contributions from a number of our key assets, Cobre Panama, Guadalupe, and Candelaria, and we also benefited from our recent acquisitions, Western Limb, Llanacocha, Porcupine, and Cote. This quarter, we recorded our first full quarter of revenue for both Porcupine and Cote. Approximately 11,000 geos were delivered and sold from Cobre, Panama as we received geos related to the concentrate that had been stored on site since November 2023. In addition to better performance from Guadalupe and Candelaria and receiving geos from recent acquisitions, we also benefited from the continued ramp-up of operations at new mines, Tocantins, Greenstone, and Solaris-Notay. With respect to the Hemel MPI, the MPI was not as strong this quarter compared to earlier quarters this year. due to lower production on Franco's intralate claims on the property. Barrick is in the process of selling Hemlo, and we look forward to seeing what improvements the new team has planned for the month. Diversified DOs sold were 19,663 for the quarter, compared to 25,733 for prior year, despite diversified revenue being higher year over year, 67.1 million versus 61.2 million. The GEO sold reduction is due to the impact of higher goal prices when converting revenue to GEOs. For Q3 2025, net GEOs were 125,115 for Franco compared to 97,232 in Q3 2024. Net GEOs removes the cost of sales component for all GEOs so that GEOs sold are represented after cost. As you know, wealthy GEOs are higher margin than stream GEOs. As you can see from the chart, total revenue increased by 77% for the quarter to $487.7 million, which is a record for Franklin, Nevada. Precious metals accounted for 85% of revenue. Adjusted EBITDA, also a record, was 81% higher for the quarter at $427.3 million compared to $236.2 million in third quarter 2024. Slide six details the key financial metrics reported by the company. As mentioned, total GEO sold were 138,772, generating $487.7 million in revenue in third quarters. With respect to cost, we did have an increase in cost of sales compared to prior year due to higher stream ounces sold, particularly Colbury Panama. Cost of sales was $47.2 million versus $31.9 million last year. Depreciation increased to $87 million versus $54.2 million, As we received more DOs from Candelaria, Cobre, Panama, and began depleting our recent transactions, this impacted depletion as those assets are currently higher per ounce depletion assets. Adjusted net income was $275 million, or $1.43 per share for the quarter, both up 79% versus prior year. One other transaction that did occur during the quarter was the sale of some equity investments. We sold a portion of our equity investment in Discovery Silver, and received total proceeds of $84.4 million, with a gain of $67.4 million recorded on the sale. Under our accounting policies, these gains are reported in other comprehensive income and not reflected in our earnings per share. However, the gain would have generated an additional earnings per share of $0.30. Slide 7 highlights the continued diversification of the portfolio. As mentioned, 85% of our revenue was generated by precious metals, with revenue being sourced 88% from the Americas. No asset contributed more than 10% of our revenue. Slide 8 illustrates the strength of our business model to continue to generate high margins. For third quarter 2025, the cash cost per geo is $340 per geo. This compares to $290 per geo last year. As the gold price has risen, Franco has seen a significant increase in our margin per geo. Margin was 3,116 per geo in the quarter, an increase of 42% year-over-year. Slide nine summarizes our updated guidance. We have benefited from an increase in geos from Colbury, Panama, and Cote during the first nine months of 2025. That, along with record gold prices, has resulted in record financial results for the first nine months. Based on geos sold to date and what our expectations are for Q4 2025, we expect to be at the higher end of our initial guidance range, which was $465,000 to $525,000. We've narrowed this range to the higher end and now expect total geo-sold to be between $495,000 to $525,000. With respect to precious metals geo-sold guidance, our original guidance range was $385,000 to $425,000. With asset performance to date and precious metal geos received from Cobre Panama and Cote, we now expect to exceed the top end of the original guidance range. As a result, our updated guidance range for precious metal geos is $420,000 to $440,000. Slide 10 summarizes the financial resources available to the company. The company has $236.7 million in cash and cash equivalents on hand at the end of the quarter. When including our credit facility of approximately $1 billion and our equity investments, total available capital at September 30, 2025 is in excess of $1.8 billion. As well, we continue to be debt-free. And before I turn it over to the operator, I would just like to summarize the recent CRA settlement that we achieved. On September 11, 2025, we reached a settlement with the Canada Revenue Agency, which provided for a final resolution of Franklin, Nevada's tax dispute in connection with the reassessments under transfer pricing rules for the years 2013 to 2019 for our Mexican and Barbadian subsidiaries. Under the terms of the settlement, no payment of any tax in Canada is required on these foreign earnings for the subsidiaries for this period. We're glad to have this matter behind us and are very pleased with the settlement reached. And with that, I will pass it over to the operator, and we're happy to answer any questions.

Thank you. During this Q&A session, if you would like to ask a question, simply press star, then the number one on your telephone keypad. If you would like to withdraw your question, please press star, then the number two. If you are using a speakerphone, please lift the handset before pressing any keys. One moment, please, for your first question. Thank you. And your first question comes from the line of Fahad Tariq from Jefferies. Please go ahead.

Hi, thanks for taking my question. On the deal pipeline, can you talk a little bit more about the commodity focus? There were some articles recently talking about maybe expanding the gold business in Australia specifically. But at the same time, I know historically, Franco's strategy has been to try to be as counter-cyclical as possible. So just curious what the commodity focus is, given where gold prices are today. Thanks.

Hey, Paul. Thanks for the question. It's a good one. The As the usual, our number one commodity focus is on precious metals here. The pipeline is good, so I think there's some good prospects of adding more gold deals. With that said, gold prices are high. I think we are better positioned than most, two reasons. The one that I spoke a bit about in my comments there is in this environment, we expect strong organic growth. The second is we always have a bit of our business open to diversified, and so we're We always have the discipline in this environment. If there are better deals to do on the diversified side, we've got some room to do that. But as I say, most of the pipeline is currently gold. On Australia, I was down there visiting recently and speaking to a number of Australian investors in the press about our plans there. We have added a new person to our team in Australia, Matt Selby, out of Perth, who's driving our business development there. We would like to grow our business in Australia. As you know, we have a ton of royalties that cover a huge amount of land in Australia, but it's not yet a big part of our revenue. I think they're particularly good prospects and very keen to find good teams in Australia that we can back and potentially do something similar to what we've done with G-mining or discovery in the country.

Okay, great. And maybe just as a follow-up, there were some comments probably now two months ago about looking at natural gas, given where natural gas prices were, maybe lithium brine transactions, given where lithium prices are, and maybe oil, although the last time I think Franklin, Nevada, did an oil Royalty was when oil was below $50 a barrel, so we're not quite there yet. Just maybe comment on those three commodities specifically. Thanks.

We're open to all three. As I said, right now, as we look at what is ahead of us in the pipeline, the most actionable is on the gold side. But on the other commodities, it's less driven by the commodities. It's more driven by asset quality and being able to get good value. So if there is good value in either of those areas, we'd be open to it.

Okay, great. Thank you so much.

Thank you. And your next question comes from the line of Satish Kafinagan from Bank of America. Please go ahead.

Yeah, hi. Good morning. Thank you for taking my questions. This is Satish on Lawson Mendes' team. Just a follow-up on the pipeline. So you highlighted that you have a strong growth potential on the organic side with all the projects that you have under your portfolio. Does that mean that going forward the focus is going to be more on the organic side instead of deals or how should we look at it?

No, as I just said on my last comment, there's a good pipeline. We're always focused on getting new deals done I make the comment on organic growth really just in respect of discipline. You don't – the market is bullish. We don't need to overpay for assets in this environment because we know that we're going to have good organic growth. So we know we've got a baseline there. The acquisitions on top of that are incremental. But the confidence that we'll have good organic growth allows us to keep our discipline.

Okay, that is clear. Just one follow-up on Palmarejo. So it had a huge quarter this quarter. It seems it is driven by a higher proportion of ore from the region that is covered by the stream. How should we look at Q4?

Hi, it's Andy Pierre. Yeah, I would expect similar levels to what we've averaged for the first nine months of the year. You know, our projection for the year is anywhere between 40,000 to 50,000 geodes from palm oil. So that's the guidance at this stage. Okay. Thank you.

Thank you. And your next question comes from the line of Heiko Ehler from HSC Wainwright. Please go ahead.

Hi, everyone. This is Case calling in for Heiko as he's on another call. Thank you for taking our question. Just on our end, we're thinking out loud here. Three months ago, gold was just below $3,400. Today, we're just below $4,000. Obviously, a pretty huge change in price, not really expected by most. You guys have been a huge benefactor of this, probably have more cash flows now than you budgeted for in recent past. So the question is, has the recent gold price environment maybe changed your mind a bit in regards to shareholder returns? as it relates to the higher dividend, potential share buyback, or continued M&A given the pricing environment?

Sure. Really, no, it's business as usual. As Paul highlighted, our priority is continuing to add good quality assets to the portfolio, focus on precious metals, and then adding diversified if there's very good opportunities available to us. So that is number one priority for capital deployment. With respect to the dividend, it's a decision we sit down with our board at the beginning of every year and go through what's in the pipeline, what our cash flow projections are, and make a recommendation on how much we should increase that dividend. Our philosophy on the dividend is sustainable and progressive. Raise it every year, never be in a position where you cut it regardless of what's happening with commodity prices. So, you know, we will be increasing it next year. The quantum is still yet to be determined, but there will definitely be an increase. As for buybacks, that's, you know, it comes down to what's the best use of a dollar. And for us, we think the best use of a dollar is still adding good quality assets to the portfolio. So share buybacks is not something that we're considering at this time.

Thank you very much. I'll hop back in here.

Thank you. Once again, should you have a question, please press star, then the number one on your telephone keypad. And your next question comes from the line of Cosmos, too, from TIBC. Please go ahead.

Hi. Thanks, Paul and Sandeep. This is Cosmos from Cosmos' team at TIBC. Maybe my first question is on the NPI. Paul and Sandeep, as you know, I like to ask about these NPIs during COVID. periods of more robust precious metal prices. But as you mentioned, Hemgo did not have the best quarter in Q3 in part due to less ore being mined at the interlake. I guess my question is, I'm just wondering, how much visibility do you have in terms of what's being mined from the different areas, you know, into Q4 and potentially into 2026 as well? And how is the potential change in ownership going to potentially change that thinking?

Hi, Cosmos. So in terms of visibility, it's limited. Obviously, there's a mine plan put in place at the beginning of each year and a budget that the operator does. So in this case, Barrick, you know, you can move away from that. And sometimes it's based on timing, and that was what happened in Q3. In this environment, these gold prices, we do expect the MPI to do quite well and it did in the first part of this year. I think part of the impact of Q3 was also with the sale going through and just probably some impact to efficiency with the mining on site. With respect to the new ownership group and that transaction is not closed yet, obviously they're seeing something there to be spending over a billion dollars to acquire that asset. So that is encouraging. We're at the wait-and-see approach at this time as to what changes or improvements they will make. But, you know, we're excited to see, you know, what their plan is and what they envision, and I think we'll have more information over the next few months.

Thanks. And how about the muscle white 5% NPI? Again, I'm seeing Q3. It didn't really increase that much from previous quarters in 2025. When does that one kick in? How should we look at that one at Muscle White?

Yeah, so Muscle White is, again, it's a profit calculation. We have limited visibility at this time. We get paid once a year, which is after year-end. So right now what you're seeing from our numbers is just an estimate. We haven't seen what capital is being spent. We'll get the calculation, as I said, post-year-end, and there will be a true-up there. You know, we're a conservative group, so our numbers are conservative. So I'm hopeful that the actual number that comes out at the end of the year is much higher. But at this stage, it's our best estimate.

It's early days for both of those assets, Cosmos, but I've got to say, delighted with the change in ownership in both. Bob Quarman and their team, Bob, as you probably know, Started his career at Henlo. I drilled some of the original discovery holes there. So having that team in place, led by Bob, there's no doubt in my mind that they are going to drill and expand that old body, which I think is going to do terrifically well for us over time. Similarly on Muscle White, delighted that it's the older team led by Jason Simpson. Very capable group also. very aggressive, having great success in drilling out the strike extension of that deposit. All these things take a little bit of time before it starts showing up as cash flow, but I think very positive that you've got both those teams focused on expanding those assets.

Great. Thanks, Bob. I do agree as well. Maybe pushing gears a little bit, I noticed that, as Sandy mentioned, the company sold some discovery shares in the quarter. How much of that was kind of related to your desire to be debt-free by the end of the quarter, especially since you had drawn $175 million on your credit facilities to pay for the expanded Silicon acquisition? So how much of that was due to you wanting to be debt-free and number one? And number two, what's kind of like the plan now for the remaining Discovery shares or for that matter, your G-Mining shares?

Hey, Cosmos, Paul. So first of all, with G-Mining Discovery, our plan is to be their financial backers, not just with Stream and Royalties, but also to be in the equity. So we will be long-term holders. Now, that said, the equity side of our business, as we all know, it's not the core side, so we do plan to take profits over time. But with Discovery, there were a couple of things there. The one is it had very good share price performance, and you're absolutely right. The other part of it was we had some debt outstanding, and so those two things together, we sold a small part of our position. We were able to realize a good gain and repay the debt. But we, you know, longer term, we will continue to be holders of their stock and supporters of the company.

Great. And then one last question, Western Lin, I saw that they had good results in Q3. And you had mentioned that, you know, platinum prices, PGM prices, so PGM prices have actually outperformed gold since the acquisition, which is good. But I just want to, you know, understand, because I know this is a bit of a complicated transaction. And so I know that gold is actually based on PGM production. The delivery is actually pegged to the four-year PGM production. So And then you also mentioned in the MD&A that right now it's 82% and 18% gold versus PGM. And I think the press release that came out earlier this year during the acquisition was 70 and 30. That was a split. So I guess I'm trying to confirm PGM prices have outperformed gold. Does that benefit your stream? And if so, how does it benefit?

Hi, Cosmos. It's Ian speaking. Thank you for the question. I think it's a very good question. I would say, first of all, delighted with the performance of platinum. It has outpaced gold to a certain degree, and we do benefit from that both directly and indirectly. So you'll note that there is a portion of the stream that is platinum, so we do enjoy the appreciation in those platinum revenues immediately. And then secondarily, you're quite right that what we've done is we've linked the gold deliveries to the 4E PGM production. So as the basket improves, as Spania looks at options for the assets, we would benefit indirectly from that as well. As you'll probably know, there are two distinct ore bodies in these deposits, the UG2 and the Marinsky, and this structure mitigates any risk of volatility for mining from one stream of gold revenues to Franco. So that's why that was done.

Great. Thanks once again. Once again, Paul, Sandeep, thank you for answering all my questions. Congrats on a very strong Q3. And those are the questions I have.

Thanks, Cosmos. Thanks, Cosmos.

Thank you. And your next question comes from the line of Tanya Yakuskonik from Scotiabank. Please go ahead.

Oh, great. Good morning, everyone. Thank you so much for taking my questions. I just wanted to come back to the transaction environment in a little more detail. I guess it's divided into three sections. I'm going to start on the precious metals opportunities that you're seeing out there. When we last spoke, because lots of things have happened with this rapid rise in the gold price, The opportunities were in the 100 to 500 million range. I'm trying to understand if that's still what you're seeing out there. And is it still for funding of asset sales or still funding for, you know, asset bills? I'm just wondering if that has changed at all. And are you seeing more competition now in the market with Zinjin coming in and other players? And are you finding it's taking longer to get deals done? That's my first question on the precious metals.

Okay. Thank you, Tanya. It's Ian speaking again. It's a very good question. When we last spoke, I indicated a similar environment to what we had seen in prior quarters. And I would reiterate that that continues to be the case in terms of deal size, certainly, and also in terms of the type of transaction. So we do see good opportunities in asset sales as likely over the coming quarters. Likewise, good potential for project financings as well. And I think those are two kind of legs of the stool. And we look to back teams in both of those types of financings, utilizing similar structures to what we would have done with Discovery or GMIN. So we're quite optimistic about more of those transactions as we move forward. There are also some high-quality third-party royalties that are out there, and we continue to look at those and, you know, selectively execute on transactions like that when they come available. Hopefully that's helpful.

And are you finding that there is more competition and taking longer to complete deals with this higher roll price? I'm just trying to understand how tight that market is.

Sure. I would say not a noticeable change in the competitive landscape, really, from my perspective. What has defined the recent period is volatility, volatility in prices, and volatility in terms of a number of other factors at play in the market. And as things kind of settle down and find more of a base, I think we'll see more transactions happen. prices, of course, for any type of transaction. On the short term, it makes it a bit more difficult to execute, but I think we'll see hopefully some more stability as we move forward.

Okay. Thank you, Ian, for that on the precious metal side. On the non-precious metal side, I know we talked about lithium and natural gas and oil So I wanted to ask whether that extends to also iron ore, if that's still something you're looking at. And also, what's the size in a non-precious metals deal? Are you seeing transactions similarly in that 100 to 500 million range? And does iron ore or maybe potash also fit within that at this point?

So, Tanya, Paul, the – As my comments were earlier on, what we're looking at that's immediately actionable in the pipeline is precious metal focused. But all those commodities that you mentioned there, lithium, oil and gas, iron ore, we're open to those if there are transactions with good value. On the Potash side, you do know we were able to acquire an option on the Otes Potash project down in Brazil. So that is, if and when that project reaches project financing, we've got the option to buy a royalty on that one. So all of those are future prospects.

And five-wide, Paul, what are we looking at in those types of transactions?

As I say, they were open in concept to transactions. Nothing that I can say is immediate in the pipeline. You know what our guidance is on diversified. It's a limited part of our portfolio, so don't expect anything large.

Okay. So under $500 million. Okay. Okay. And then maybe just on my third portion of this is, you know, as you look at the landscape out there, how do you assess corporate transactions vis-à-vis some of these other opportunities?

We always run our pencil over the other companies, Tanya, to see if there is good value, and the but nothing has changed from what we've said in the past. It comes down to you've got a dollar to spend and where are you going to get the best return for your dollar. We typically find that that is in doing private deals, and I'd say that's where we currently are again.

Okay. And then just maybe if I could ask on the equity interest, I think $625 million of equity investments, Just with the sale of the Discovery Silver, and I don't know what else may have been sold, can you just kind of remind me, Sandy, what are the biggest portion of that 625, Discovery Silver, G-Mining? Is there anything else?

Sorry, Kenya. Labrador, INR, Royalty. Those are the three largest positions.

Okay. So the Labrador is in there as well. Okay. No, that's very good. Thank you so much for taking my questions, and congrats on a good quarter.

Thank you, Tanya. Thanks, Tanya.

Thank you. And your next question comes from the line of from independent research. Please go ahead.

Thank you for taking my questions. Did you elaborate on the extra loyalty on gold quarry buy-in? It's famously discovered over 40 years ago. Is the coverage the underground mining from the feeder zone with the open pit oxide all used up, or are there more oxides that are economic because Gold's 4,000? I'm wondering what the sizzle is there.

Hi, John. It's Ian speaking. Thanks for the question. I'd say, first of all, we're very happy to add to our position on Gold Quarry. This is incremental to what we already have there. In reality, this royalty is structured with a minimum, which is based on a number of factors, one of which is the amount of reserves. As those change based on a number of assumptions, one of which often would, of course, be gold price, that can trigger a change in the minimums. In terms of what makes it attractive to us, there's that potential for sure. And I think as well, based on the current level of payments, it provides a very healthy rate of return. So very pleased to add that. And the coverage is the same as set out for the existing royalty in the asset handbook, which I would have you refer to.

John, there's a pushback of the pit wall to the north and then east that's being contemplated all the time, not something that's currently on the books, but the hopes and dreams are with high gold prices that that is something that would go ahead and that we could get a lot more from that royalty.

Thank you. If I could ask one more. On discovery, the quick calculation I made was that you sold 27.8 million shares and had 52.2 left, and that you received $3.04 U.S. per share. Is that about right?

So, John, we sold 26 million shares.

So you got a little more for it. Thank you.

Thank you. And your next question comes from the line of Daniel Major from UBS. Please go ahead.

Yeah, thanks. Can you hear me okay? Yes, yes, loud and clear. Great, thanks. Yeah, my first one approaches, I was slightly late during the call, if it's already been asked, but just the first one on Cairo, Panama, and from a, I guess, significantly involve party but not directly at the table. I mean, when you look at the catalysts that need to occur to trigger the restart, the environmental audit, the renegotiation of fiscal terms, remobilizing the workforce, et cetera, what do you think kind of feels most likely to be the bottleneck in the process, and I heard some commentary out of Argentina that there's still a belief that the environmental order and the fiscal terms can be negotiated by the end of the year. Do you think that's realistic?

That is, Daniel, that's the timeline that President Bolino has put out there as his objective. These things can always take longer, but the They've been consistent on saying that is what they're aiming for. The audit is underway. There are no formal negotiations at this stage, although I know the company and the government have engaged in getting set for that. So I think it's still possible that that kind of timeline gets met. We're encouraged by, you probably would have seen the recent press comments by President Molino, also comments by Christian Pascal, acknowledging that the state would remain the owner of the minerals and agreement on trying to negotiate on that basis. So I take that as a strong positive, the government comments. is that that is being received well. So I think that news is positive. The other positive news that's been coming out of country is just the shift in sentiments, where you saw 70%, 80% of folks post-protests were anti-mining in any form, and that has shifted to a flat majority now that are open and also a good amount that I think would be supportive under the right terms. the right participation for the government of Panama, the right amount of transparency. So I think things are definitely trending in the right direction. As we mentioned, there is movement on the ground with the government approving the various aspects of preservation and safe maintenance, the shipping of the concentrate, the power plant. The company has been rehiring folks. so that they can start some of those activities that had a very strong response, a lot of folks looking to acquire those jobs, and I think that has also helped shift sentiment as people realize the value of the mine to the economy.

Okay, thank you. The second one on the Arthur Gold Project, how do you see the initial scope of the project and we've seen some initial projections, etc. From your perspective, how do you envisage the timeline and the initial scope of the project if you had to hazard a range of expectations?

Thank you, Daniel. It's Ian Gray speaking here. First of all, we're thrilled to be involved in this project with AngloGold. We think the geological upside on the royalty grounds over time is phenomenal. In terms of first steps in permitting, I understand that, you know, they need to start somewhere, even though the full deposit, in our view, likely hasn't emerged. So they, you know, I think Anglican's disclosure is around, you know, Merlin-focused plan to start, and then, you know, exploration hopefully continuing from there. We have also been very happy to see the U.S. permitting environments. has evolved quite positively over the last little while, and projects such as Stibbank, where we're involved, have moved along quite well. So in terms of permitting, we're hopeful on the timeframe as to when that can happen. I think there's got to be a significant over-under in exactly when that happens with any regulatory process, but we're hopeful that the mind would start in the early portion of the 2030s.

Okay. Thank you.

Thank you. And your next question comes from the line of Derek Ma from TD Cohen. Please go ahead.

Thank you. At current gold prices, is there more leverage in royalties and streams on primary gold mines versus byproduct gold streams? Does that factor into the way you look at your portfolio or your decision-making when assessing new opportunities?

Good question, Derek. Yes, is the short answer. Obviously, when the gold price is running on a primary gold deposit, it allows operators, when they look at their reserves, and I think a lot of operators are looking at their reserves right now to figure out what price they're going to use at year-end I think at the end of last year, the average for the industry was about $1,800 an ounce. I'm guessing at this point, I think the industry will be over $2,000 an ounce for their gold reserves. It means lower cutoff rates, and it means a lot of material that's going to move into the mine plant. Put that forward just a couple of years, let's just assume we're at $4,000 gold in three years' time. you could easily see the industry at $26, $28, $3,000 gold for reserves. So even if the gold price stayed flat in that scenario, our stock price would be worth a lot more because you get a huge amount of ounces that get moved into reserves. And so that's, you know, on our portfolio, about half the assets are gold streams on copper mines. Half the assets are gold. the world fees on cold assets. So I think that's a big driver. On the other side, copper prices are doing great too. So the same thing applies for a copper asset, higher copper prices, you'll get a lot more material moved into those mine plants. So on both sides, I think we should see great organic growth.

Great. And maybe a question on Argentina. Two of your longer-term growth assets that you've listed, Taka Taka and San Jorge, are in Argentina. Midterm elections are behind us now. What are your current views on Argentina as a mining jurisdiction and as an investment destination for Franco Nevada going forward? And then maybe a follow-up on top of that is how many CEOs for Taka Taka and San Jorge are in their 2029 outlook?

Maybe I'll just speak about the assets and then Sandra can comment on the guidance. The San Jorge is a, I call it a mid-size, but good grade copper gold asset in Mendoza. The company tried to get it from it probably more than a decade ago. It didn't quite get there at the time. Things have changed materially. You know, in meetings early this year, I met with the governor for natural resources in Mendoza and she was very encouraging, saying, San Jorge could be the very first of the assets to move ahead under the new REGI program. So we're very encouraged by that. I know the company is working on raising financing to move that forward. Next up, Takataka. We're very hopeful that that is the next big copper asset that First Quantum will build. I think, as we all know, RIGI is a two-year window to get your applications in, and we're a year into that, so there's another 12 months to get that application in, and then companies need to start spending in their minimum spends over the next two years. So I think this is highly likely that you'll see spending going ahead on Packer in the short term. For Argentina, we don't need to invest anything on those assets. We already own those interests, so that will happen regardless. For Argentina, it is the big question. Huge amount of assets there that are going to attract a lot of investment dollars. So we will consider Argentina. What has been put forward in REGI is very positive. It addresses the two big issues we have. The one is currency convertibility. That does get guaranteed if you enter into the REGIE program. And then the second thing is to make sure that has teeth that survives through multiple regimes. You do need rights to international arbitration, and REGIE does afford that too. So both those things go a long way to making Argentina an attractive destination.

And Derek, just in terms of the 2029 guidance for those two assets, you know, they still have to be built, so we We're conservative in our estimates, but on a combined basis, it's about 5,000 geos. Great. Thank you.

Thank you. There are no further questions on the phone line. I will now turn the conference over to Candida Hayden for any closing remarks. This concludes our third quarter 2025 results conference call. We expect to release our year-end 2025 results after market close on March 10th. Thank you for your interest in Frontier Nevada. Goodbye. And this concludes today's call. Thank you for participating. And we all just connect.