OR Royalties

OR Royalties is a Canadian mining-finance company focused on royalty, net smelter return and precious-metals streaming interests in gold, silver and diamond mines. Rather than operating most mines itself, the company provides capital to exploration, development and producing-mining businesses. In return, its contracts generally give it a percentage of mine revenue or the right to purchase an agreed quantity of metal at a predetermined price. This model allows OR Royalties to participate in mining economics without bearing the full operating and capital-cost burden of mine ownership. The business was incorporated on April 29, 2014, as Osisko Gold Royalties. It emerged from the restructuring of Osisko Mining following the successful defence against Goldcorp's hostile takeover attempt. Yamana Gold and Agnico Eagle Mines acquired Osisko Mining, while the royalty business was separated and received a 5% net smelter return interest in the Canadian Malartic mine, a 2% net smelter return interest in several Kirkland Lake-area mines, and approximately C$157 million in cash intended to support future acquisitions. Sean Roosen, who had led the predecessor Osisko Mining, continued as chief executive during the company's formative period. The company expanded its portfolio through acquisitions and strategic investments. In 2014 it purchased a 20% interest in NioGold Mining and combined with Virginia Mines. That transaction added Virginia Mines' net smelter return contract on the Éléonore gold mine and made Virginia Mines a subsidiary, subsequently renamed Osisko Exploration James Bay. Further transactions added interests connected with the Gibraltar copper mine, the Vezza gold project, the Hermosa lead-zinc project, the White Pine-Copperwood copper and silver project, and contracts previously held by Teck Resources. A major expansion occurred in June 2017, when the company reached an agreement with Orion Mine Finance Group involving approximately US$675 million in cash and a 20% equity interest in the company. The transaction more than doubled the number of royalties and streams in the portfolio, from 57 to 131, and added interests associated with assets including the Renard diamond mine in Quebec, the Mantos Blancos mine in Chile and the Brucejack gold and silver mine in British Columbia. The company also provided C$20 million to support a transaction that brought together a group of mining companies and reunited former Osisko Mining executives under a new Osisko Mining. In 2019, the company acquired the bankrupt Stornoway Diamond Corp., obtaining the remaining interest in the Renard diamond mine. It also acquired Barkerville Gold Mines, adding the developing Cariboo gold project in British Columbia. In 2022, its wholly owned Bermuda subsidiary agreed to provide a US$90 million silver stream to Metals Acquisition in connection with the proposed acquisition of the producing CSA Mine in Cobar, Australia, from Glencore. The company distributes part of the cash generated by its royalty and streaming portfolio to shareholders through regular dividends. Its competitive position is commonly compared with other specialist precious-metals finance companies, including Franco-Nevada, Wheaton Precious Metals and Sandstorm Gold. The available reference material does not establish a separate current operating headquarters, ownership structure or detailed post-2023 management roster beyond the documented departure of Sean Roosen in November 2023.

OR Royalties was incorporated on April 29, 2014, as Osisko Gold Royalties. Its creation followed the contest for control of Osisko Mining, in which Yamana Gold and Agnico Eagle Mines acted as alternative purchasers and prevented Goldcorp's hostile takeover from proceeding. The transaction separated a royalty-finance business from the mine-owning company. The new entity received a 5% net smelter return royalty on the Canadian Malartic mine, a 2% net smelter return royalty on several Agnico and Yamana properties in the Kirkland Lake area of Ontario, and about C$157 million in cash for acquisitions. Sean Roosen remained chief executive during the initial development of the business. The company began building its portfolio later in 2014. It acquired a 20% interest in NioGold Mining and merged with Virginia Mines Inc. The Virginia transaction gave the combined company a net smelter return contract on Goldcorp's Éléonore mine. Virginia Mines became a subsidiary under the name Osisko Exploration James Bay Inc., strengthening the company's exposure to exploration and development assets in Quebec. During 2015 and 2017, the company added royalty contracts and project interests covering a range of commodities. These included Taseko Mines' Gibraltar copper mine, Nottaway Resources' Vezza gold mine, Arizona Mining's Hermosa lead-zinc project, Highland Copper's White Pine-Copperwood silver-copper project and several third-party contracts formerly held by Teck Resources. The portfolio was substantially enlarged in June 2017 through an agreement with Orion Mine Finance Group. In exchange for approximately US$675 million and a 20% interest in the company, OR Royalties acquired royalties and streams that increased its holdings from 57 to 131. The acquired interests included assets associated with the Renard diamond mine in Quebec, Mantos Blancos in Chile and Brucejack in British Columbia. The company also supplied C$20 million to support a corporate combination involving five smaller mining companies, helping reunite management associated with the former Osisko Mining. In 2019, the company acquired bankrupt Stornoway Diamond Corp. and thereby obtained the remaining interest in the Renard diamond mine. It also acquired Barkerville Gold Mines Ltd., gaining exposure to the developing Cariboo gold project in British Columbia. These transactions broadened the portfolio beyond contractual royalties into ownership and development exposure connected with important mining projects. On March 17, 2022, OR Royalties International Ltd., described as a wholly owned Bermuda subsidiary, entered into a binding agreement with Metals Acquisition for a US$90 million silver stream. The financing was intended to facilitate Metals Acquisition's acquisition of the producing CSA Mine in Cobar, New South Wales, Australia, from Glencore. The transaction illustrates the company's continuing use of streaming finance to secure future precious-metals production from operating mines. OR Royalties' business model is based principally on royalties, net smelter returns and streaming agreements. Mining companies can obtain capital without relying exclusively on additional debt or share issuance, while OR Royalties receives a contractual claim on future revenue or metal production. The company states its shareholder-return model through regular dividend payments. Its peer group includes Franco-Nevada, Wheaton Precious Metals and Sandstorm Gold. The available source material records Roosen's departure from the company in November 2023 but does not provide a sufficiently complete current executive roster or detailed information about the subsequent corporate transition.

• 2023

  Departure of Sean Roosen

  [1]OR Royaltiesen.wikipedia.org

  Sean Roosen's tenure as chief executive ended in November 2023, according to the available reference material.

• 2022

  CSA Mine silver-stream agreement

  [1]OR Royaltiesen.wikipedia.org

  A wholly owned subsidiary agreed to provide a US$90 million silver stream to Metals Acquisition for the proposed acquisition of the CSA Mine in Australia.

• 2019

  Stornoway and Barkerville acquisitions

  [1]OR Royaltiesen.wikipedia.org

  The company acquired bankrupt Stornoway Diamond Corp. and Barkerville Gold Mines, expanding its Renard and Cariboo project exposure.

• 2017

  Orion Mine Finance portfolio transaction

  [1]OR Royaltiesen.wikipedia.org

  An agreement involving approximately US$675 million and a 20% equity interest more than doubled the company's royalties and streams from 57 to 131.

• 2014

  Incorporation as Osisko Gold Royalties

  [1]OR Royaltiesen.wikipedia.org

  The royalty company was incorporated on April 29, 2014, as part of the restructuring of Osisko Mining after the Yamana Gold and Agnico Eagle Mines transaction.

• 2014

  First portfolio investments

  [1]OR Royaltiesen.wikipedia.org

  The company purchased a 20% interest in NioGold Mining and merged with Virginia Mines, adding a net smelter return contract on the Éléonore mine.

A precious-metals royalty and streaming specialist that seeks mining exposure with lower direct operating responsibility than a conventional mine owner, while returning cash flow to shareholders through dividends.

• Mining royalty · 2014

  Net smelter return royalties

  Contractual interests that entitle OR Royalties to a percentage of the value of minerals sold from a mine, usually after specified deductions. The company's founding portfolio included a 5% net smelter return on Canadian Malartic and a 2% interest in several Kirkland Lake-area properties.

• Mining stream

  Precious-metals streams

  Financing arrangements under which OR Royalties provides capital and receives rights to purchase or receive an agreed share of future metal production, typically at a predetermined price. The CSA Mine agreement is an example of the company's silver-stream financing model.

• Mining finance · 2014

  Mining-project investments

  Equity and royalty-related investments in exploration, development and producing mining companies and projects. Documented examples include NioGold Mining, Barkerville Gold Mines and interests associated with copper, gold, silver, lead-zinc and diamond operations.

• 2022

  CSA Mine silver-stream financingM&A

  Background

  Metals Acquisition sought financing for its proposed purchase of the producing CSA Mine from Glencore.

  Action taken

  OR Royalties International Ltd. entered into a binding agreement for a US$90 million silver stream tied to the mine.

  Aftermath

  The agreement provided OR Royalties with exposure to silver production from an operating Australian mine, subject to the proposed acquisition and stream terms.

  Streaming investment. US$90 million (2022)

  Source

• 2017

  Agreement with Orion Mine Finance GroupM&A

  Background

  The company sought to expand its royalty and streaming portfolio through a large transaction with Orion Mine Finance Group.

  Action taken

  It agreed to provide approximately US$675 million and issue a 20% equity interest in exchange for royalties and streams that increased the portfolio from 57 to 131 interests.

  Aftermath

  The transaction became the company's most significant documented portfolio expansion and added exposure to assets including Renard, Mantos Blancos and Brucejack.

  Transaction consideration. Approximately US$675 million plus a 20% equity interest (2017)

  Source

• 2022

  OR Royalties agrees to US$90 million silver stream for CSA Mine transaction[1]OR Royaltiesen.wikipedia.org

  M&A · Product launch

  OR Royalties International Ltd., a wholly owned Bermuda subsidiary, entered into a binding agreement with Metals Acquisition for a US$90 million silver stream connected with Metals Acquisition's proposed purchase of the producing CSA Mine in Cobar, Australia, from Glencore.

1. 1OR Royaltiesen.wikipedia.org
2. 2Osisko Metals Announces Corporate Changes and Execution of Royalty Sale on Pine Pointgoldseiten.de