RE: RE: Franco Nevada vs. SST...Hi, bb2,
First, the easy question... SST paid $37.5M upfront for the deal, and further is committed to paying CS an additional $300 for each ounce of gold mined at Minto.
The other question is harder to answer, because it depends on what the P&P reserves are for Minto and how much exploration success they'll have. IIRC, the current P&P reserves translate into about 8 1/2 years of gold mined at a rate of around 30,000 ounces per year. However, CS believes that exploration success will bring in more ore beyond 8 1/2 years. SST has purchased the stream is the "life of mine'--for as long as there's a mine, SST will get gold at $300.
Same thing for silver. The deal contemplates around 300,000 ounces per year of silver mined for 8 1/2 years, but CS expects exploration success to prolong the life of the Minto mine, and hence, more silver to SST.
That help?