Gold Royalty Announces Acquisition of Additional Borborema Royalty

Core Viewpoint - Gold Royalty Corp. has announced an agreement to acquire a net smelter royalty on the Borborema gold mine for a total consideration of US$45 million, which includes US$30 million in cash and newly issued common shares [1][3]. Acquisition Details - The acquisition involves a royalty rate of 1.5% on the first 1.5 million ounces of payable gold production and 1.0% until 2.0 million ounces are produced, after which there will be no royalty [2]. - The transaction is expected to be completed in January 2026, subject to customary conditions [3]. Participation of Taurus Mining Royalty Fund - Taurus Mining Royalty Fund intends to acquire a 50% economic interest in the royalty for US$22.5 million in cash, contingent upon the completion of the acquisition and finalizing a definitive participation agreement [3]. Existing Royalty Structure - Gold Royalty already holds a 2.0% net smelter return royalty on the Borborema mine, which will step down to 0.5% after 725,000 ounces of payable gold are produced [4]. Company Statements - The CEO of Gold Royalty expressed confidence in the Borborema Project and highlighted the company's strategy to expand its asset portfolio while prioritizing near-term cash flow from high-quality assets [5]. Project Background - The Borborema Project is located in the Seridó region of Brazil and is operated by Aura Minerals Inc. The mine achieved commercial production on September 22, 2025, operating at 80% of its design capacity [6][7].