RE:RE:What am I missing?Yes $900m in debt. They have another choker too that is not officially debt but is an anchor nonetheless.
They have a Mount Milligan obligation to pay $1.5b to $2,5b to RGLD over the long term. This obligation would be similar to a 15% gross overriding royalty. Very few miners can survive with low commodity prices if they have a 15% royalty and a large debt.
Royalties can be sneaky in that a company is not forced to highlight the obligation on its balance sheet. It is like a stealth shifter of cash from the treasury. $100m in royalty payments clobbers the balance sheet by the exact same amount as $100m in interest payments.
mat