Recent from talks
Franco-Nevada
Knowledge base stats:
Talk channels stats:
Members stats:
Franco-Nevada
Franco-Nevada Corporation is a Toronto, Ontario, Canada-based, gold-focused royalty and streaming company with a diversified portfolio of cash-flow producing assets. It is traded on the Toronto Stock Exchange and New York Stock Exchange.
The Old Franco-Nevada was a publicly listed company on the Toronto Stock Exchange from 1983 to 2002. In 1986, Old Franco-Nevada made its first royalty acquisition, and acquired or created additional royalties and resource investments from 1986 to 2002. Following several royalty acquisitions in the 1980s and 1990s, Old Franco-Nevada sold its only mining property to Normandy Mining in exchange for 19.9% of the company's shares.
In 2002, Newmont acquired 100% of Franco-Nevada as part of a three-way combination of Newmont, Normandy and Old Franco-Nevada. Newmont maintained Franco-Nevada as a royalty holding division, transferring numerous other royalties to it over the five-year period following the acquisition, building its portfolio of royalties to include investments in almost 300 royalties (two-thirds in base and precious metal miners, and one-third in oil and natural gas) at the time.
In 2007 Newmont spun off Franco-Nevada in an initial public offering (IPO). Franco-Nevada has grown substantially since the IPO through the acquisition of existing royalties but also by acquiring precious metal streams directly from mine operators. The largest acquisitions have been by-product gold and silver streams from some of the world’s largest copper mines including Cobre Panama (Panama), Candelaria (Chile), Antapaccay (Peru) and the Antamina mine (Peru). Franco-Nevada has also continued to add to its oil and gas royalty interests, particularly in the major US oil and gas fracking basins.
Franco-Nevada initially began trading as a public gold exploration company in 1983 and was led by executives Seymour Schulich and Pierre Lassonde. At the time, oil and gas royalty ownership—but not gold royalty ownership—was an established business strategy. In 1985 Franco-Nevada raised $930,000 to purchase gold royalties in a follow-on offering. The company made its first royalty investment in 1986, spending half the corporate treasury ($2 million) to acquire 4% of revenues from a mine in Nevada owned by Western States Minerals, later called Goldstrike mine. Franco-Nevada assumed that known reserves would allow the royalty to pay for itself regardless of additional exploration results. Barrick Gold Corp. acquired the Goldstrike property in 1986 and started production in 1987. The Goldstrike deposit is the largest Carlin-style deposit discovered globally and up until 2018, the mine had produced 44 Moz of gold.
In 1988 Franco-Nevada purchased a royalty on the Castle Mountain mine in California. Despite the Castle Mountain mine being unsuccessful, losing money and eventually closing, Franco-Nevada collected triple its investment of $2.8 million.
Franco-Nevada further went on to purchase royalties in various other commodities, but continued its focus on gold.
In the early 1990s, consulting geologist Ken Snyder convinced the management of Franco-Nevada to stake a play at the intersection of the Carlin and Getchell trends in Nevada, leading to the high-grade gold and silver discovery of what became the Ken Snyder Mine. Franco-Nevada concluded that the mine had a high enough silver credit to carry all operating costs, thereby creating an effective 100% gold royalty. Construction of the $84 million project was completed and first gold was produced in December 1998.
Hub AI
Franco-Nevada AI simulator
(@Franco-Nevada_simulator)
Franco-Nevada
Franco-Nevada Corporation is a Toronto, Ontario, Canada-based, gold-focused royalty and streaming company with a diversified portfolio of cash-flow producing assets. It is traded on the Toronto Stock Exchange and New York Stock Exchange.
The Old Franco-Nevada was a publicly listed company on the Toronto Stock Exchange from 1983 to 2002. In 1986, Old Franco-Nevada made its first royalty acquisition, and acquired or created additional royalties and resource investments from 1986 to 2002. Following several royalty acquisitions in the 1980s and 1990s, Old Franco-Nevada sold its only mining property to Normandy Mining in exchange for 19.9% of the company's shares.
In 2002, Newmont acquired 100% of Franco-Nevada as part of a three-way combination of Newmont, Normandy and Old Franco-Nevada. Newmont maintained Franco-Nevada as a royalty holding division, transferring numerous other royalties to it over the five-year period following the acquisition, building its portfolio of royalties to include investments in almost 300 royalties (two-thirds in base and precious metal miners, and one-third in oil and natural gas) at the time.
In 2007 Newmont spun off Franco-Nevada in an initial public offering (IPO). Franco-Nevada has grown substantially since the IPO through the acquisition of existing royalties but also by acquiring precious metal streams directly from mine operators. The largest acquisitions have been by-product gold and silver streams from some of the world’s largest copper mines including Cobre Panama (Panama), Candelaria (Chile), Antapaccay (Peru) and the Antamina mine (Peru). Franco-Nevada has also continued to add to its oil and gas royalty interests, particularly in the major US oil and gas fracking basins.
Franco-Nevada initially began trading as a public gold exploration company in 1983 and was led by executives Seymour Schulich and Pierre Lassonde. At the time, oil and gas royalty ownership—but not gold royalty ownership—was an established business strategy. In 1985 Franco-Nevada raised $930,000 to purchase gold royalties in a follow-on offering. The company made its first royalty investment in 1986, spending half the corporate treasury ($2 million) to acquire 4% of revenues from a mine in Nevada owned by Western States Minerals, later called Goldstrike mine. Franco-Nevada assumed that known reserves would allow the royalty to pay for itself regardless of additional exploration results. Barrick Gold Corp. acquired the Goldstrike property in 1986 and started production in 1987. The Goldstrike deposit is the largest Carlin-style deposit discovered globally and up until 2018, the mine had produced 44 Moz of gold.
In 1988 Franco-Nevada purchased a royalty on the Castle Mountain mine in California. Despite the Castle Mountain mine being unsuccessful, losing money and eventually closing, Franco-Nevada collected triple its investment of $2.8 million.
Franco-Nevada further went on to purchase royalties in various other commodities, but continued its focus on gold.
In the early 1990s, consulting geologist Ken Snyder convinced the management of Franco-Nevada to stake a play at the intersection of the Carlin and Getchell trends in Nevada, leading to the high-grade gold and silver discovery of what became the Ken Snyder Mine. Franco-Nevada concluded that the mine had a high enough silver credit to carry all operating costs, thereby creating an effective 100% gold royalty. Construction of the $84 million project was completed and first gold was produced in December 1998.