HY 2024 RESULTS
Our portfolio contribution in the first half of 2024 was up 15% year-on-year, driven by a strong performance from Kestrel. H2 portfolio contribution is expected to be principally weighted to the Group’s other producing royalties including production volume growth at the Voisey’s Bay and Mantos Blancos mines. Further production growth at Voisey’s Bay is expected thereafter as underground operations ramp-up up to steady state production levels.
“Capstone Copper’s updated Feasibility Study on the Santo Domingo project reiterated the project’s robust economics and potential to operate within the lowest cost quartile of global copper mines. BHP’s decision to temporarily suspend operations at its Australian Nickel division, in light of current nickel market weakness, including the construction of West Musgrave, was disappointing but we remain confident in the project’s potential as a low-cost producer of nickel and copper.
“We have seen a strong uptick in opportunities to further grow our portfolio, which we continue to evaluate applying our stated investment criteria and a capital allocation priority to maintain a strong balance sheet.
Marc Bishop Lafleche
Chief Executive Officer
2023 Full Year Results
We look forward with confidence in the business and in 2024, we anticipate year on-year production volume growth from the key assets underlying our royalty portfolio, and in the medium term onwards, our royalty portfolio is aligned to strong multi-decade structural demand growth trends driven by the energy transition.
Marc Bishop Lafleche
Chief Executive Officer
Q2 2024 Highlights
We are pleased to have substantially beaten market expectations in the first half of the year. Kestrel was the primary contributor; in the second half we expect to see an increase in the number of deliveries from Voisey’s Bay as the underground operations have started the ramp-up towards steady state production levels which should be achieved in 2026. Although a weak nickel price environment has resulted in BHP pausing the construction of the West Musgrave nickel-copper project, we remain confident in the project’s potential as a low-cost operation over a 25 year mine life with the possibility of further extension.
“Further to our recent Phalaborwa rare earths royalty acquisition, we continue to see opportunities to diversify and grow our royalty portfolio in line with our stated investment criteria and will balance growth with the maintenance of a strong balance sheet.”
Marc Bishop Lafleche
Chief Executive Officer
