Royal Gold, Inc. (NASDAQ:RGLD; TSX:RGL) (together with its subsidiaries, “Royal Gold” or the “Company”) has announced that its wholly-owned subsidiary RGLD Gold AG sold approximately 52,500 gold ounces and 208,900 silver ounces related to its streaming agreements during its fiscal 2016 fourth-quarter ended June 30, 2016.
The Company had 19,800 gold ounces and 323,700 silver ounces in inventory at June 30, 2016. As anticipated, stream segment sales were relatively flat and inventory increased slightly as compared to the prior quarter.
RGLD Gold AG’s average realised gold price was $1,257 per ounce sold, compared to $1,168 per ounce sold in the prior quarter, while cost of sales was approximately $344 per gold equivalent ounce for the fourth-quarter, compared to $330 per gold equivalent ounce in the prior quarter, using the quarterly average silver-gold ratio of approximately 75 to 1.
Royal Gold said in a statement that “cost of sales is specific to our stream agreements and is the result of the Company’s purchase of gold or silver for cash payments at a set contractual price, or a percentage of the prevailing market price of gold or silver when purchased”.
Also during the fourth-quarter, Royal Gold repaid $25 million of the outstanding balance on its revolving credit facility. As of June 30, 2016 there was $275 million outstanding on the revolver resulting in $375 million of available revolver capacity.
Royal Gold’s fourth-quarter results will be released before the market opens for trading on Thursday, August 11, 2016, followed by a conference call that day at noon Eastern Daylight Time (10:00 a.m. Mountain Daylight Time). The call will be webcast and archived on the Company’s website for a limited time.
Royal Gold is a precious metals royalty and stream company engaged in the acquisition and management of precious metal royalties, streams and similar production based interests. The Company owns interests on 193 properties on six continents, including interests on 38 producing mines and 24 development stage projects. Royal Gold is publicly traded on the NASDAQ Global Select Market under the symbol “RGLD,” and, until the close of business on July 8, 2016, on the Toronto Stock Exchange under the symbol “RGL.”