On December 19, 2024, Franco-Nevada Corporation, through its subsidiary Franco-Nevada (Barbados) Corporation, entered into a US$500 million (approximately C$670 million) precious metals streaming agreement with Sibanye-Stillwater Limited. The stream covers gold and platinum production from Sibanye-Stillwater’s Marikana, Rustenburg, and Kroondal operations in South Africa’s Bushveld Complex. The gold stream extends for the life of mine, while the platinum stream is expected to last about 25 years, providing Franco-Nevada with a stable gold equivalent ounce (GEO) profile.

Gold deliveries are linked to a percentage of 4E PGM production, with a tiered delivery schedule and ongoing payments of 5%–10% of spot prices. Platinum deliveries follow a stepped schedule and conclude after 294 koz. Franco-Nevada also converted its 5% net profit interest on the Pandora property into a 1% net smelter return royalty. The stream agreement includes a right of first refusal on future royalties and streams in the area. First deliveries are expected approximately 45 days after closing.

The stream is underpinned by Sibanye-Stillwater’s extensive reserve base and infrastructure, covering over 500 km² with mine life extending to 2070. Franco-Nevada financed the transaction using cash on hand, supported by its US$1.3 billion liquidity as of September 2024.

Torys LLP acted as legal counsel to Franco-Nevada. McCarthy Tétrault LLP and Linklaters LLP advised Sibanye-Stillwater, while RBC Capital Markets served as Sibanye-Stillwater’s financial advisor.