Gold Offtakes
8 Offtake contracts
6 Project operators
10 Mines
How it works
Offtake contracts are long-volatility, path dependent options that provide “royalty-like” exposure
- Margins are driven by gold price, volatility and production profile
- Offtakes allow the holder to purchase a percentage of gold produced by a mine operator. The purchase price is set by reference to certain reference gold prices between a set quotation period (typically 6-8 days)
- The Offtake holder profits from the difference between the lowest reference price set during the QP and the offtake holder’s onward sale price
- Gold deliveries continue to ramp up across the portfolio as assets execute expansions and/or production ramp-ups
- 1.34% realised offtake margin(1) was achieved between 2022 and 2023.
Notes:
- Estimated as realised margins divided by average gold price over CY22 and CY23.
Summary of Offtake Key Terms
| Asset | Operator | Location | Status | Quotation Period | Royalty Key Terms |
|---|---|---|---|---|---|
| Los Filos | Equinox Gold | Mexico | Producing | 6 days | Offtake on 50% of all refined gold production, up to cap of 1,100,000 ounces of refined gold |
| Fazenda, RDM & Santa Luz | Equinox Gold | Brazil | Producing | 6 days | Offtake on 35% of all refined gold & Santa Luz production, up to a cap of 658,333 ounces of refined gold |
| Greenstone | Equinox Gold | Canada | Producing | 6 days | Offtake on 100% of refined gold production, up to cap of 58,500 ounces per year through March 2027. If annual production cap not achieved in 2024-25, then US$23.50/oz on any shortfall |
| Blyvoor | Aurous Resources | South Africa | Producing | 8 days | Offtake on 100% of all refined gold production (after deduction of streamed ounces), up to cap of 2,700,000 ounces of refined gold |
| Bonikro | Allied Gold | Mali | Producing | 6 days | Offtake on 50% of all refined gold production (after deduction of streamed ounces), no cap |
| Ruby Hill, McCoy Cove & Granite Creek | i-80 | USA | Producing | 7 days | Offtake on 100% of refined gold production subject to a 40,000 ounce per annum cap until 2028 |
| Sugar Zone | Vault Minerals | Canada | Development | 7 days | Offtake on 80% of the gold doré produced at Red 5’s Sugar Zone Gold Mine up to 961,250 delivered ounces |
| Eagle | Victoria Gold | Canada | Suspended | 7 days | Offtake on 25% of all refined gold production, up to cap of 1,111,500 ounces of refined gold |
