GROY - Earnings call 3 2023 | Gold Royalty Corp.

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Good morning. I'm your host, Joanne Jobin, and I'd like to welcome you to the Gold Royalty Town Hall forum hosted by VID Media. Today's Town Hall will be focused on Gold Royalty's recent quarterly announcements and will be hosted by David Garofalo and Peter Behncke, Manager, Corporate Dev and Investor Relations; and CFO, Andrew Gubbels, who will join us at the end for Q&A. After the presentation, I will be delighted to moderate submitted questions from our audience.

Now a few words on the company. Corp. Royalty Gold metals-focused solutions precious streaming offering company is the royalty metals financing to and creative a and mining industry. a jurisdictions It located has diversified over of currently XXX in mining-friendly throughout Americas. the portfolio royalties model business stages investors. balanced returns varying portfolio, mine interests the near, medium company's streams and and includes The of build to for similar cycle life offering at royalties, a attractive acquiring longer-term please the short And Instructions] questionnaire presentation. ensure of the end fill the [Operator that in at you

company team, communicate presentation. future. at the effectively the This with turn the really and of Gentlemen, helps statements in more And yours. is it you us this forward-looking stage beginning the over please I the before to the note

David Garofalo

you for our Town morning, portfolio to through through I'm of royalties. to Quarter and walk prolific attending delighted afternoon on Hall. walk to diverse good over quarterly the hand case it good advancement then Thank our results may Peter and our the Third Well, everybody. as be to and

Our the stocks busy operators at point of clear about very And today. results that development talk from we're right both exploration what's and tipping is have much on QX to fronts financial the a been our now. very

our period. extensive flow such first existence. redundant There our are integration as time, the seen Crystallizing and an we improvement why costs first of business, our free through mergers the year profile. the We've out appreciable took cash we of operating that's a an cost we over. were we And of in X out drove the For post-merger given lot that the went down operating you've cost from we neutral cash synergies XX%. by completed in companies

about in our producing they quarter, mouth which Canada's positive X reported of mill. during XXXX completion And or with startup the and a And property. XX% Cote the saw producing mine. physical to be the as agreement of reported million the the past will total gold when of proceeds. production revenue second ore over flow have significantly in also biggest operator cash about fully next IAMGOLD, free we be at of We saw X year, XX% to we're tonnes poised the broken expect of land months They increase

free in for position they're territory. on profile course excellent a a royalty ramp-up revenue and a execute positive or cash So significant us us smooth flow total an our free of hopefully flow to in revenue represents into step again cash XXXX, generation change the significant over which and generation drives

Eagle, the will our stated We're we presentation. in of all i-XX our as on As well, get a as side developments his operators, more well. in company's into which detail Silver, Peter announced quarter in bit course projects busy their the on respective over presentation, Agnico acquisition positive the very Gold, material BlackRock

this past continue space We portfolios, with and over XX space are royalties fact. prolific XX acquisition quarter, the most to portfolio royalty We're but royalties the in in generally. XXX the the diverse royalty posting supplement the in not in of in junior what's of X royalties, over just

a And the in recognizing now. very we did in the sector it is creative right capital scarce way,

silver based in We of Capstone, acquired in producing mine where had a a Mexico acquired the terms by As creative we've large-cap we've Canada. operated copper Cozamin producer be to it. on in royalty copper

stake a arm SOQUEM, government mine Quebec by over and is the SOQUEM which We with in SOQUEM investment you the a future took to of [indiscernible], be absolute on now not and to on expressing their going for a strategic Gold ability the only with exploration Royalty intrinsic relationship extension the the course government from investment a for royalties us an our but also basis, in XX will continue again, that will, team acquired continue business. grow they're model the have Quebec value any in in of our portfolio, confidence and normal investing to Quebec. And management our value, return share per royalty in to is that's properties continue we of from opportunities very relationship in invest they basis. to And if their the as a to properties important generate

return Gold very of for Corp. So an It's their Royalty their up portfolio all that's shares been ended relationship. purchasing important existing royalties We in exclusive from deal. a and

can we our generator of those free, years we sweat through our well-capitalized in we model, paid REN free off Again, also, generate first for significant option we particularly fact, option add do current couple get for the team, royalties not adding We with only because we effectively them in component continue for not the get payments often of in And and revenue royalties return Nevada, been royalty through of our a those for operators. quite quarter through those our significant to of X have get and and get royalties only cut the existence. often payments properties. equity

but So us through we're for exploration we strategy royalties while pays only it's efforts. not generating a on our those that take pays actually for itself properties profits

been to we've So able demonstrate.

X X in through only grow grow royalty all legs. We to the continue the ways major business. to There's

had royalty do which few course it which and leg the acquired for do of over Cote, represents when project as capably we've significant acquisitions. We've done growth how stronger we XXXX. royalty quite way going third-party the forward. we us of We've organic generation. much well, That's currency done we M&A, through a a You done can a financings

unique think we royalty and our among X unique proposition universe which is capably value for competitors. the we all a things cap small quite So do

kind in frustrating has a a to should gold the getting price price not to of admit What universe to performance chart rising and type expect see clearly the environment. it the share first price in and the of is highlight very, gold quarter, investors leverage and was the of they performance, in gold very for gold be not this and I'm it

Now in a in held like ounce, been world last in to couple massive jurisdiction face the of exodus out into champ gold of between range $X,XXX $X,XXX of capital of over U.S. dollar. but the a has it's other bound the years every virtually an the

and every -- U.S. in major to is of particular. the that of the capital held So treasuries that U.S. spite And the into the its also in currency because capital safety in has U.S. flow gold the fact, gold exits dollar other that at highs and in into of value has against gone all-time to gold dollar U.S. flight dollar world.

price, significant is gold. particularly the relative a that would you price haven't share we've gold we've last gold to the of the the seen the XX% a index intrinsic gain in performance in in we've What large-cap underperformance, rising we price GDX smaller the gold also of kind relative So to seen in that's a seen and seen of underperformance that's recognition expect the the And in value year environment. universal where cap but a a prices universe.

year $X,XXX [ the of and eaten that's declining of costs, are as prices Many reserves value reflection, ounce. the producer gold margins even capital the the in at an And bellwether whether into ], were at costs industry, they universe and maintain the that half the increasing that's think, about you're a in operating also I X a ago. or Nike stocks Baird Newmont, in looking value

make consolidation do doesn't royalty. among to inflation. the drive as seen will sense leverage from that continue should they investment is last you So protecting producers, of what what of The the doing provide years. producers I the be while optimum think over we've and really among amount model the But significant significantly course of the consolidation companies couple a in leverage provides royalty that better that that

cap going universe given production the consolidate. to players see to going reserves of see In continue to to the back start XXXX, in fact, produce the pie -- shrinking continue you're to profile, shrinking larger

I going what capital matters. as driven a is And of to that kind because market royalty the been we're demonstrated cost well think business. has in clearly inevitably, of consolidation universe scale you're the in see

a smaller sector royalty in are but bus opportunity the little biggest for we to create companies get clearly do given in the significant many scale. multiples them, to of have the absolute multiples, have challenged the company a space grow. seniors high-quality the The companies to They cap absence to the their that's create enough start the relevant mid-tier can fill Royalty challenged grow because to and are something including the of of critical biggest that institutionally enough And portfolios not. think the the the course but while. smaller in in next we that be of grow significantly also significant represents can they continue that's over imply the where big royalty Gold void, cap space, royalty to and small companies attract the universe but opportunity enjoyed create ahead space currently mass growth they to as but they And royalty consolidate of capital are

say I'd So the while. that next little over watch space

Gubbels, to like end that our and bit and plans at the Peter pass through to can attention. of CFO; for on in detail, it Andrew I Thank I'd growth have that, walk Q&A with we'll our and Peter some portfolio, more presentation. the So your to you a our then answer

Peter Behncke

David. Thanks,

focus over our our SOQUEM pro share. at you forma the really and Gold brings acquisition, across of since company growth focused years on announced with XXXX, we've per don't portfolio so streaming IPO been that of sector. the underlying March of But a X the to speaking it Royalty. to and in royalty increase royalties. growing in XXX rate value a XX.X-fold metric, quantity key just less That's had a in So our on any We asset think net that's growth portfolio, of the closing recently than it's fastest have the been the

quantity of end, in value and did very same noted, were a we a XX% currency in increase Royalty a stock has the figures, context And XXXX, consensus shareholders, to a asset for significant to in that issued increasing the and Xx net X.Xx by that's significant we asset translates not value on value creation stronger As the years, we of business, net only less the into X.Xx been To This material the David at increase of is look has underlying over front. that share price the been albeit from. underlying that while where when share Gold than growth only per we across of several growing we issue acquisitions, in value that the our price. X translated the our When comes had the metric average aggressive period. count have portfolio. by shares net end, it overall grown gross in context that asset any we've share

XXX% is [indiscernible] I'd also price our highlight where share average the our current is. above of target price

So the to and performance. cash a significant it's to in not being to value this into we'll we've translated flow business stock see time, in. rerating will start in that albeit created in crystallize market cash come as flow starts But start

to advancements key assets that materially several big saw really well on So the We track growth to and quarter. the the is enter the But key company end, our of Leading over production was picture assets. midterm. unchanged in the revenue is revenue the profile overall sector, for same. near positive on the

potential to to and encouraging to profile a And be cash One especially end X profile in QX costs see in XXXX XX% change the decade. smooth cost next continued the As which stockpile the the zones year. on upside internal XXXX. quarter that see and decrease of assets step have our like this expected start revenue Cote savings, operating the Granite efforts incorporation million we the revenue will meaningful thing XXXX, with some David mentioned, tonnes Odyssey to in our REN, translates project, that XXXX, Creek, potential at charge. a at really you well was Fenelon profile there. revenue towards our very in of And then found year-over-year supplementing ramp-up this

the you our we bottom revenue that towards is to line disciplined that growth approach as expenses. Every maintain in driving see dollar

exploration years. of addition true all Agnico million detail bit IAMGOLD, XX a and of flowing value Cisco business the [indiscernible] main this the partners over associated granular SOQUEM portfolio next in portfolio, core the milestone bucket, A such partners REN XX.X buyback proceeds. unchanged. strong primarily Odyssey, royalties, mining are recent in in several did mentioned, others. Interestingly, Mining, the Eagle, business with world. driving assets, operating drivers largely The in of north the our best getting the with the quality assets very located Probe this green jurisdictions of We on operating as bit supplement that more on the track the So portfolio into cash end Quebec payments was is albeit just several in portfolio portfolio quarter. with of the and acquisition. with into the the more there the and are value Cozamin our and CAD [indiscernible]

So purchase X in relative bargain price million to attractive Royalty Gold of very our CAD stocks.

potential terms and proceeds payment from and as we We of to buybacks the the with even an have milestone multiple expiration optionality with exercise. the before as associated the royalty remaining buybacks in benefit consider these

Baldor, a operating stage, these resources. do part, reiterate but I'll partners But earlier assets such assets partners, that most near primarily great the and they like underlying Canadian It's these prolific gold-focused district for of assets have few exploration prolific portfolio a explore well. operating well-funded with Lake are the and [indiscernible] and or long mining as to significant to jurisdictions Malartic, with Mine as Detour a trend then

is As proceeds, price, the a Gold still part any consideration, relative milestone to buybacks million attractive grow our to way portfolio. leaves that again, $X million XX% entitled net and to SOQUEM very continue a X.X payments of potential or royalty, in tuck-in CAD potential creative purchase of for which

associated the Now continued the Eagle some in organic on At with the of area. those explore Odyssey a drilling north Odyssey Odyssey portfolio. aggressively of are internal moving advancements Agnico underneath South coverage infill royalty has between QX. saw Odyssey into growth lies South our majority the and of Odyssey, to some we specifically wanted South assets key the I to and which zones, deposit, North to dive the towards at of the deposit, the which

a resource they've delineating So internal we're during zones emphasize to production increase period. transition upside zones, the underground that Agnico the and the the very on from larger represent of bullish internal continually

and Canadian complex key period both of coverage which Golbey, Royalty's The at pit open from the being high-grade deposit complex an XXXX underground shifts to underground transition when lie the The is to open south Gold East to does pit is area. as Malartic operating XXXX the currently Malartic royalty Canadian operation. still

that west, However, their which extend strike Royalty coverage significant and the west exhibition the area. to I is [indiscernible] along east near Gold the Nora mineralization. seen zone, is to that roll note they've gold underneath the focused results To actually

X.X% targeting to at approximately and early we're towards complete, mineralization Cote, September for by year production was the the [indiscernible] east excited the property At to David have under starting quite XX area. initial excited drilling see is the stockpile Golby East, the bit potential to and mentioned So for on there, East tonnes trends albeit style see royalty, XXXX. mineral as well. XX% a coverage construction massive, the very our our And we're NSR quite drilling mineralization system, in X that of track of million further end been a it the appear not To this Midway to Midway Gold is of as Royalty massive midway. towards they and across

as edge Cote [ pit. ] Our NSR, sum of everyone reminder, to the the X.XX% covers a

near high-grade is the the towards pit attributable the Importantly, is taper see we of the means where at portion to of have of we This coverage portion mine is southern life. our coverage the IAMGOLD focused [indiscernible]. Cote Cote the expect expect end off mineralization over where years life early And to the high-grade do that increased on mineralization. mine that of occurring

vast coverage Cote, million estimates starting technical year. production, opportunity prices consensus opportunities from Barrick as complex. years [indiscernible] of in by our the year, an ounces mine potentially revenue report million X.X the commodity Cote X press of production early schedule the cash was immediately of next of supplement expected However, in at outlining highlighted XX-year ounces, of across Based this be They of increased increases on and line release the flows million growth the total, updated million technical directly is all which Derrick's the and immediately $X REN year, we plan over and our Cote highlighted to will in to [indiscernible], future September growth. current can Carlin a as the revenue from and to year. next expect this potential doubling project between portfolio next cash of flow The had line play at resource continuing bringing $X bottom potential in estimate REN in that

And they're XX.X-year and a targeting the the an this in X June inaugural TDA project XXX,XXX of saw life mine on year, production annual advanced [indiscernible] next pre-feasibility we study years. with over Fenelon, ounces. of

included mine the the that really continued advanced and recently Penny CEO. Our the as has most not incorporated project. immune encouraged discredit continued small-cap and companies located it's does They're which and specifically there their here, interim across our appointed efforts, exploration XX the efforts Detour X% company NSR mine acquisition. of drilling have in total advancement We're directly option from mineralization The covers the by X not royalty coverage had Fenelon projects Cozamin project recognized their to to of that's most their merits that in revenue Cozamin, continue underneath The our exploration that the Lake area. technical revenue they're all last Brian We and in proceeds east that the the our exploration quarter, but initial faced the difficulties plan. jurisdiction in the adjusted mine. of kilometers just looking zone, is the recent footwall at our and

until for continued XXXX early at strong they're currently and the grow, updated to resource an reserves but the by potential this XXXX. based alone estimate expected asset Cozamin. publish performance encouraged to on quite we're It's for in So also

the of continued Pacific earlier the at as XXX day and South tonnes we're achieved the provided been have zone, delineated South outside has October but from targeting per in It success which the for exploration per the to Creek on a IAD mine ramping production. XX. underground. resource area included on development The Granite excited A project, potential X,XXX horizon of XXXX. key currently Pacific underground an this future production, Mine assets to update tonnes Finally, be see day pre-resource XXXX here and fall mines and mineralized zone material and it is may up operational closer they're in the Granite focus production Creek on the

there were across royalties we growth over material Beyond those expect X and or in progress key exciting the of QX. some to assets, but advancements we pieces and of have gold catalysts core now various XXX portfolio, the other have the saw are portfolio that in

reminder, in the a XXX,XXX in meters had assets. we derisking lot immediate of over the translates see drilling We XXXX don't portfolio Royalty XXXX, no these meters cost drilling see drilling of of a As XXX,XXX all growing at expect that into of that Corp. both and benefit to of to across resorts

to But grow of the it's of investment throughout decade. portfolio that our continue will type remainder that the

Finally, a commit sustainability. on to our comment

us track aligning And partners our perfect record represented our recent strong as of diligence vendors due or emphasis license that fit SOQUEM reputable our sustainability-focused have Capstone, and that we've think diligence. to in established uses and I and acquisitions, core of social that Cozamin, a example operator with on good with strategy, has. portfolio operation due Royalty really same the our the most sustainability a commitment is an a that. a ESG-related placed changed Gold does has

can Dave things pass open questions. up, for I So well it things to wrap up to with as quarter, Q&A address and to your that, great back we a

David Garofalo

Thanks very much, Peter.

young across Peter [ the $X.XX, per research share. target a sell-side coverage wrap the and that's to said, that portfolio. analysts $X.XX the in cover as up, intrinsic for ] significant value company is X stock price The remarkable about on us, just relatively a So

where asset current so is double currently. share per and our consensus $X.XX Our more about share, price is value than

pressures. So driven value. a talking just reserves cost significant cost We're significant has means, which project as value focused intrinsic while which very It doesn't to the underlying per our demonstrated financing $XXX that's royalty said, the much over sector per price on in and on multiple the generation capital profiles, declining basis. which share acquisition and third-party M&A, sector. a M&A, protecting pressures, through And game. we're going the value current and expenditure time, create create well, pressures, our reserve zero-sum through delivers of providing value producers I million I leverage production It organically share among success facing inflation that's contributing I'm as portfolio production, think has through significant a royalty per of meets doesn't investing year nothing. of in gold operating but leverage operation center which on through north operating

optimum of tarred value, been gold intrinsic leverage brush operating significant with have So same value royalty significant frankly, the companies. as the the price, because the companies

of to of well resulted accident an been gold particular where significant equities the Royalty it's the gold value think in Gold in I sector, think in price. stock. there's of significant that's overdone So capital But royalty out I the sector in underperformance there's the

So happy Q&A, Joanne. any to with that, we're take

Joanne Jobin

and Thank that much people questions be to there's asked. very for was online, you of update, lot Excellent. got fantastic. lots of We've That gentlemen. a

profitability to next So lack small year underperformance and excesses targets? big Can kind expenses. can X revenue our hold the and nature if price of you go it's profitability. the XXXX, regarding of of stock in stock you let's of you What sort the your drive the be meet cap may a first

Andrew Gubbels

take could I one. that

cash We've and respect of guidance from expenses with that's to holding with for this decreases our redundancies operating prior operating quarter-over-quarter, really corporate year, seen are recurring towards we transactions. subsequent look, cash tracking XXXX. connected eliminating So or expenses

quarter, companies the which great positive, based next assess the profitability. That if consultants, XXXX we use think be flow do for in be out. don't I revenue the we gold companies is what on and keep out the where most disciplined reached public of be XXXX. I variation we've with costs. And year, profitability There seen will XXXX, as what cost profile quarters, cash generate certainly, costs And cash flow cash royalty is in We a put have, cash on in may point really in at have in on look into In operating a a the go going being consistent I've XXXX how XXXX. the said, roughly I what been year, flow consistent they Street the sector, depending to which -- assess next defect, on what our we of be join we to reached reduced But All Steve quarter. of that puts generating based number some will beyond where free comment fall profitable I'll we've assumption year. cetera. revenue is to that will contracts achievement. for looking refining we monthly certainly they of on free future, domain consistent an and suspect to forecast. very sustain I cost neutrality et on analyst through do this see and additional the turned mentioned forward is. basis. XXXX the this outset, the being corner, depending flow a is have, as free There's guidance is price past operating close But base, is we'll ranks And can profitability cash it a we professional the we will revenue. out services, there With are for profitability respect we'll on future

Joanne Jobin

costs, squeeze a that. out cash you the back. margin any on questions to way further there can there back That's of Like lot some more any going there? cost And milestone. I'm of great expected? We reductions is are have coming a why That's Excellent.

Andrew Gubbels

budgeting again XXXX. some our costs Yes. Look, we've and company are avoid. fairly are do that to in conservative XXXX, will mean to it I there we -- there's a in taken difficult funding through our approach

insuring as we that just as it before takes to start and we some instance, decrease. certain of with well some [indiscernible] IPO-ed costs associated have the general For costs contingent that are XXXX, in track insurance that fact those record of on a is management

that. of the last that a couple impact listed track York fact the having over are only years. We has on in record an we're New Also

only Our regulatory is cost and listing in well. as listed fees fixed York relatively being a New

to forward. benefit base at companies, to really look spread those -- a some scale difficult to costs and company that as or system. which where bigger, consolidation the those until year. a out we costs of do other insurance to going to in That's don't compared also of companies next fixed Can more we costs we our you that's so good X like decrease. companies have is listed going bring XXXX, function in get across know when get [indiscernible] rationale So fundamental the Canadian be you we larger And for for can costs of some thing

year different But well think are down got similar much look we'll we a can our a just in But way more now. is to budget and I we're going taking little vendor areas. generally where away. stage As the we out selection I turn next materially to our as where we can costs suspect have more peers to at the

Joanne Jobin

Okay.

Cote bottom impact questions. our entering move let's back And go financing we next on So year? will it line? the Do to see before to the portfolio you production

Peter Behncke

construction XX% to complete targeting September At as million Yes. of tonnes in go X XXXX. yes. stockpile, ready XX, Absolutely, of early

both Corp. a for on bottom [ year flow. cash close our X alone, increase on a the revenue QX and We next overall attributable and through production Royalty production year. smooth pounds impact ],XXX line line of expect initial ramp in direct translating a in the close to year, production up in reporting next next annual and Impact to GEOs meaningful is XXX,XXX bottom

Joanne Jobin

these we forward Peter. Fenelon to of in be on the Granite Cote, catalysts some Thanks, presentation, comment regarding know looking such can. as can the through Great. should and And projects. you you maybe which went you news I Odyssey, Creek, Tone other but Pal What West completions,

David Garofalo

and I Fenelon West Cote Creek, some Granite of to assets at No, exploration I advanced But of think the [indiscernible] great Yes. our within some [indiscernible] spoke length. Odyssey, portfolio. are

flow for XXX-plus over that away, and initial which across create had deposit to Similarly, really are albeit published to across portfolio. or the [indiscernible] work value on X, our just attractive much of ways asset XX-some-odd to that cash an which of exploration some many examples potential underlying of silver XXX% in don't look assets that's profile. minerals, Nevada. across increase and this portfolio really production advanced all early-stage down they having catalysts some are meaningful work kind are assets, notice, now And kind of in of portfolio. XX-plus the we its of that's the a These years expand having grow attributed couple its as get Fenelon, high-grade exploration the just continue value

Joanne Jobin

Okay.

As a lot the imagine, on you of there's deal. can questions SOQUEM

it about? And was how that you little there a Can So get deal? bidding process? a granular with more did come

David Garofalo

happy to. leveraging the led every we've collectively management and on our have been our since timing done an Look, that been since again, able exclusive relationship to XXX that deal is I'm years that with we've experience, Board industry in of Virtually demonstrate origination has our to basis. XXXX, significant IPO growth.

had executives it's board that at the so And of leveraging our a SOQUEM. management and members a couple relationship with

in I many Northwestern many, for Agnico Quebec years with remember, was You'll Eagle.

it negotiated with with terms future up with meaningful was getting for relationships the as institutions exclusively SOQUEM. opens of I think SOQUEM. So Quebec this But I in more in meaningfully, have deals that well. us And

commercial vehicle, public that going their to and they're royalties within in royalties arrangement for Quebec, established relationship, those to the look formal monetize way is a exploration going royalty. we've normal a a this a they generate continue vehicle to in mandate, have in we they're to Now like which fundamental more to course invest as

we structure I be now hopefully, through SOQUEM. leverage it But is that again can going forward. can with strong fundamental guarantee So hopefully, established timing relationship that that we've the exclusive will something

Joanne Jobin

guess the the million proceeds question Why they like, I getting take that keep royalty? just why I mid the here dollars Okay. is asked And did off they keep spin and parcel wouldn't from out royalties? or

David Garofalo

opportunities. a that reserves SOQUEM's in mandate to and Their not in those to assets these incentivize Quebec, metals, spectrum make metals, on resources ultimately of growth is into exploration just in those investments the not catalyze and and precious forever. to over capital ground positions to time across exploration cycle exit broad mandate is new hold

X Quebec, fit to will mandate. of reinvest royalties them capital time those this back use put their doesn't out is, they exploration provide work looking forever, over mandate. can to into in again, capital holding their back some to which So new to and really fundamental They're

Joanne Jobin

on clearly at last do Gold for early this hard you looks any how end metrics have at the Okay. model question Royalty? but is of in And the out to actually stage, shakes SOQUEM this deal

David Garofalo

contents the a look couple Peter buydowns the of get There's XX%. it. ways of at talked $XX within which we about royalty to would of million

get all a money back Xx in scenario, in our down, those So would very we aggressive dispatch. [indiscernible] assuming

any So fundamentals royalties. that's those excluding for value option

comparable it claims, The about It's terms what other way at proven royalty. is in USD staking of got for our down we people looking -- the a real. $XX,XXX XXX,XXX to so [indiscernible] that's generator of XX costs royalties the of model in royalty

very organically So royalties to cost. comfortable terms entry generating in the of

cost-effective very very, royalty to portfolio. into So optionality additional add way the

Joanne Jobin

another question. going combine Okay. to And this North let's and with metals in talk America, I'm precious about

the valuations Someone regarding entering ever. streams contracts? gold platinum the is cheapest pricing, Are royalty and we platinum nearing

David Garofalo

Yes. stay quite Look, LME-traded to ones that liquid. on we're focused are metals going

our myself, the add look [indiscernible] precious mines and that clean understand zinc, time spent those silver, think equal my ones of my course where at are management, gold and value. over I've in amounts you career, nickel, If we metals Board built copper, we we of

metals with that at. we you that core [indiscernible]. context something something there the mineral us But more wouldn't exotic, certainly [indiscernible] of polymetalic those a in see be liquid less in are going to some If deposit, would them. it's the metal diversification look has really in. of we're Some precious That's

Peter Behncke

just with argument gold, as that pressures the looking much in within on that bucket. said, the quantity opportunities smaller. platinum that much do of there palladium silver, commodity I the David, including see we But space commodities, the the at space expand to is larger and relative copper we would see

were XXX only spectrum, seeing been We the gold, those we opportunities, copper to vast as go majority opportunities then and of We'll opportunities of looked at commodity we're handful XXX-plus since consistently, some a on. public, went on opportunities and silver, able well. across but at high-quality over I look the executed what know those. we've

Joanne Jobin

look your expected come next over is portfolio. Odyssey the ramp like generated or go several expected to revenue? terms of much years to the what let's How -- Okay. How does back And from next be year? revenue your in of

David Garofalo

to? you do want Peter,

Peter Behncke

Yes.

come our Malartic Barnett primarily Canadian from XXXX, to in attributable production was So expected pit. from

have been that Barnett sequencing the just to the Malartic. seen we has -- from production Now real at Canadian

expect pit. of closer the production be our into from to of that We total NSR most XX,XXX reporting to caught XXXX up in X% targeting and ounces

South and awaiting across any the guidance zones. are specific internal on Odyssey We

next we But are As into key and a zones I as that clarity we noted, speed out delineating incorporating the our on resource it see really mine the something focus decade, Where our by plan as and certainly as on closer the about. soon year. North through most the 'XX. the of or and towards end internal metric X% it's Malartic Odyssey and total XXX,XXX of end to still can ramp NSR East such decade, starts and up to a ounces that assets of into basis, 'XX really combined reporting reporting with the production they

Joanne Jobin

assets do And be Okay. 'XX? we'll think how producing many do XXXX, by you you

Peter Behncke

Yes.

the end we and also producing assets. next by Cote supplement entry the our that. underground can have potential excited Odyssey to the production So year, X to see of for We're

producing of end of handful royalties X the by that of of end at upwards XXXX. a number end the looking XXXX. of royalties by we by then in we're of producing royalties X XXXX, And that smaller supplement So Nevada the could have

Joanne Jobin

try a touched or your think little questions royalty you are to on this. market underperforming put thoughts? you this Do performing mergers I so that And why into answer the couple going more you in I What a it with has be can among -- maybe to really royalty next Okay. David, companies one, this do companies. are going there's to I'm but are badly here have bit, they know why they of And point? and year? at

David Garofalo

bit has a actually M&A of since IPO. been there our activity Yes, quite

our consolidation the We since over peer XXXX. a instigated lot occurring. [indiscernible], our no consolidation [indiscernible] there was IPO other March course of XXXX, activity. Golden Valley and saw of then So companies, of in And of M&A we by merging the X with

that years. disappeared. have know a mad, you et cetera. Ulta companies strategies, the them of royalty the Maverick There's some And number other disputed and X that of fact, of last couple In

from has there haven't of seen some royalty to because not been massive consolidation, in what of achieve drive been been capital. universe. have honestly. And is equities out cost objective down with That would rerate trying capital we seen meaningful hasn't gold generally, [indiscernible] cost So the the that, you driving just there's that streaming what's of consolidation the of scale consolidation again, [indiscernible] quickly a expected has been out, inflation. capital We've that but borne

cost the shrunk among years. producers, bound always operating capital stable stable of has been last range in an price low that growing between costs margins and So the environment couple ounce $X,XXX -- a over

So [indiscernible] I costs reaction think resulted that's gold to that's lessening are but the in and have. Gap] gold sector globally. [Audio gold to type who leverage for And price disappointing obviously of investors, looking

into and to optimum they so a they that precious while the producers particular, inevitably dollars much start held money a dollar, leverage metals going in major we of gold and inevitably gold royalty better And risky think as out provide into royalty the streaming to is the because has the location developers. risky but I haven't leverage Again, other go general hit seen exposure see as do proposition, the than because into currency and the resources less space U.S. and back come perform. they the we every inflation. from and price protecting see first will, streaming natural provide those equity gold markets price companies But will you're against other exploration highs companies in generalist the all-time we

Joanne Jobin

plan hostile a proposed you the you yourselves place see is someone now? if bid were to guess a to either on a you where in do or I approach X actually from have X in And merger? do question years

Peter Behncke

there they consumption for that significant that ahead I void them I inevitable and -- multiples There's growth conceivable mid-tier them said the getting company big liquid. to earlier streaming companies they meaningful half as in there Look, among think big can't. the are isn't imply for significant other to guys how no quality They they are opportunities capital they guys. are a are. XX royalty on, royalty plays because streaming dozen is have And grow given and other the a compete sector, big of to very a is way don't for

well. on I takes you're come our of going phone specialist better metals I create that, funds capital into of for the kind the think prices we're provide if going what's to for they over be liquidity sequencing we And the Joanne think or the invariably, so wait shareholders any when relevance. the think predict play now. to growth vehicles be amongst while generals back And out But park it's invariably, we leverage. while a come that to see start growth provide that I the space, in players trading many good absent and covered What specialists for the will can us, of remaining that the providing institutional as to the right see company consolidate. smaller their to to I you, generalist and place the the rest to the And for [indiscernible] mid-tier of and looking be for something business who space space start is going in That's that's whom. in for

over stage. to values. cap when to to asset their difficult kind planning of or tough those severely have everybody a universe net smaller the quite too is [indiscernible], virtually discounted last so conversations the at But It's been space because royalty in everybody predict in been this year and have it's quiet the streaming

Joanne Jobin

questions. Excellent. just few more And a

you are I producing guess years? does the top hold? not sense make cash do what to be contracts hour. We At for to of at off value rate spin the it that what are the

Peter Behncke

But better ourselves, larger end I've the in heard it market before. that the option would cap, that paid we're of valuation the larger is even for like flow. value company arguably $XXX smaller -- argument reality small-cap million Look, vehicle, which caps, terms smaller of spectrum in a why getting get not a

see we spinning count Why would for companies and in that? kind out additional G&A effectively create I fees fixed vehicle. get and have And economic no gets and for rationale as what it direction less it We've valuation. think, consolidation. duplicate avoid other realizing a them, those associated -- we going whatnot. with insurance in long-dated that vehicle fact, that small not of for just [indiscernible]. because costs yet the And There's in In zero you through doesn't been options can't synergies public listing fact,

system. just deconsolidating costs introduces the back into So those

Andrew Gubbels

that also production. will ] a of point sometimes Gold I but portfolios companies the World [ add Nevada, the think to we're like at time exploration ] in with assets [ Franco core I assets forget and the that within

a So options on whole if lot of to future. some of of off long-dated more these they could to now in have holding a lot value value don't have spin the

Peter Behncke

to don't them, be what, an there's value waste. G&A because time. and zero They all occupy our they're the And guess We is at and don't They They footprint achieve. that wait. beauty optionality don't there's decay. of that's in port. but realization, infinite excellent there point, our eat. It's sit cost. shareholders bought just the now, right have we at have They going Andrew, of the eventually, They They can provide to we don't just model no royalties same effectively clearly, X,XXX wait. not diversification can they

Joanne Jobin

Okay.

do certain companies? question of own those it those have we we what say, buying have a do stream levels? -- price that is to introduce levels, if barrels our other If question publicly or do financial valuation buyback plan I we make and at when we on shareholders traded monitor And the the And back RT hit it here. multiple shares? about final determine a day would when of multiple So the love sense to

Peter Behncke

have clear What's to whatever reintroduce of to the into returning concept is year, to get when to capital start to Yes. we shareholders that flow cash next we're me form. going free in sustainable

in With years having that that we've [indiscernible] that the with tipping year do next with on point of to several And reach Odyssey, Cote discussion once coming that's looking coming something we as advertised. I'm forward ramp-up on with on REN a board my well.

now We our while, last stewardship structure since year have growth profile the he revenue over hockey-stick over the nice stabilized next almost CFO. little profile, while over our course Andrew's been quite in cost as of the under has well a took

sit position the can happy in, what's flow I'm with next way about our where share say cash to the we share free price and Board some how with to of it shareholders we're So Is returning most effective forms to shareholders? year dividends? Are return our our down very -- capital start return buybacks? that up? that Is helps of there other it go

Joanne Jobin

Excellent.

going and great management sign I was you'd to presentation is answered off, ask before So shareholders Great everything. we what on think just as your to you team, to I if but words like you few say usual. shareholders your quite valuable, a appreciate stance

at now the hour. the are top of We

a to next our end will very for Thanks, we forum. It's pleasure Town the you much, Hall you, Hall been in. you Forum. Thank and everyone. tuning host VID we So on see everyone, will Town

Gold Royalty (GROY) 15 Nov 232023 Q3 Earnings call transcript