Core Viewpoint - OR Royalties Inc. has entered into a definitive agreement to acquire a portfolio of precious metals assets from Gold Fields Limited for a total consideration of $115 million, which includes a 1.5% net smelter return royalty on the San Gabriel gold and silver mine in Peru, expected to enhance the company's cash flow and growth outlook [1][3][6]. Transaction Highlights - The acquisition includes eight royalties, with immediate contributions to expected gold equivalent ounce (GEO) deliveries for 2026, particularly from the San Gabriel mine [3]. - The transaction is projected to increase OR Royalties' GEO delivery range to 80,000 - 90,000 in 2026 and 120,000 - 135,000 by 2030, representing approximately 50% growth without requiring contingent capital [3]. - The portfolio also includes royalties on development and exploration projects in Tier-1 mining jurisdictions, maintaining a focus on precious metals [3][4]. Acquired Assets - The San Gabriel mine has proven and probable mineral reserves estimated at 15.3 million tonnes with average grades of 3.71 g/t gold and 6.32 g/t silver, supporting a mine life of 14.6 years [3]. - Buenaventura's production guidance for San Gabriel includes 48-55 thousand ounces of gold in 2026, increasing to 95-110 thousand ounces from 2028 onwards [3]. - The portfolio features a 2.0% NSR royalty on Torque Metals' Paris project in Australia and a 2.5% NPI royalty on Freeport and Amarc's JOY district exploration project in British Columbia [3][4]. Additional Royalties and Considerations - The acquisition includes deferred payment obligations of $60 million from Galiano, with $30 million due by December 31, 2026, and another $30 million upon the production of 100,000 ounces of gold from Nkran [5]. - The portfolio also consists of additional royalties over various projects, including a 2.0% NSR royalty over Northern Star Resources' Warrida Well tenements and a 0.5-1.0% NSR royalty over Mineral Resources' Kambalda Lithium project [5]. - OR Royalties has been granted a Right-of-First-Offer on Gold Fields' 2.0% NSR royalty covering the Suhanko platinum-group metals project in Finland [5]. Strategic Commentary - The acquisition is viewed as a strategic win for OR Royalties, enhancing immediate cash flows and long-term growth potential through partnerships with established operators like Buenaventura [6].