Caserones

OPERATOR: MINERA LUMINA COPPER CHILE, (SUBSIDIARY OF JX NIPPON MINING & METALS)

ACQUISITION DATE: May 14, 2021 & August 19, 2021

TOTAL ACQUISITION PRICE: $50.25 Million

• Tranche 1: $23 Million
• Tranche 2: $27.25 Million

TERMS

The royalty interest represents an effective 0.63% net smelter return royalty

OVERVIEW

Caserones mine is an open-pit copper and molybdenum mine located in Atacama, Chile, commissioned in 2013. The mine is located 15 km west of the international border with Argentina and 162 km southeast of the city of Copiapó (the capital of the Atacama region). Conventional concentrator and flotation (Capacity: 150 ktpa Cu and 3 ktpa Mo Concentrate) to produce Cu and molybdenum concentrates. Dump leaching of oxide and mixed oxide/sulphide ores followed by SX-EW to produce copper cathodes (35ktpa Cu cathode). Reserve life of ~19 years with LOM avg. payable production of ~148kt Cu Eq. As of January 2021, Caserones copper mine has 100% clean and renewable electricity supply. The mine has a 17-year contract with Enel Generación for annual volume of 1 TWh of certified renewable energy (reduces emissions equivalent to 390,000 tons of CO₂ per year).