Q1 2025 Wheaton Precious Metals Corp Earnings Call

Operator: Good morning, ladies and gentlemen. Thank you for standing by.

Good morning, ladies and gentlemen, thank you for setting by welcome to the Wheaton precious metals 2025 first quarter results conference call.

Operator: Welcome to the Wheaton Precious Metals 2025 first quarter results conference call. All lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star then the number one on your telephone keypad or type your answer into the Q&A box of the webinar. If you would like to withdraw your question, press the pound key. Thank you. I'd like to remind everyone that this conference call is being recorded on Friday, May 9th, 2025 at 11 a.m.

All lines have been placed on mute to prevent any background noise.

After the Speakers' remarks, there will be a question and answer session.

If you'd like to ask a question. During this time simply press Star then the number one on your telephone keypad.

Or take your answer into the Q&A box in the webinar.

If you would like to withdraw your question press the pound key thank you.

Speaker Change: I would like to remind everyone that this conference call is being recorded on Friday may nine 2025.

Operator: Eastern Time.

A M eastern time.

Emma Murray: I will now turn the conference over to Emma Murray, Vice President of Investor Relations. Please go ahead.

Speaker Change: I will now turn the conference over to Emma Murray Vice President of Investor Relations. Please go ahead.

Emma Murray: Thank you, Andrew.

Emma Murray: Thank you Andrew good morning, ladies and gentlemen, thank you for participating in today's call.

Emma Murray: Good morning, ladies and gentlemen, and thank you for participating in today's call. I'm joined today by Randy Smallwood, Wheaton Precious Metals President and Chief Executive Officer, Vincent Lau, Senior Vice President and Chief Financial Officer, Haytham Hodaly, Senior Vice President, Corporate Development, and Wes Carson, Vice President, Mining Operations.

Randy Smallwood: And today by Randy Smallwood, Wheaton precious Metals', President and Chief Executive Officer, Mr. Lau, Senior Vice President and Chief Financial Officer, Haytham, <unk> Senior Vice President Corporate development West Carson Vice President mining operations. Please note for those all currently on the webcast and slide presentation accompanying this conference call is available in PDF format presentation.

Emma Murray: Please note for those not currently on the webcast, a slide presentation accompanying this conference call is available in PDF format on the presentations page of our website. Some of the comments on today's call may include forward-looking statements. Please refer to Slide 2 for important cautionary information and to... It should be noted that all figures referred to on today's call are in U.S. dollars.

Speaker Change: Well, let's see.

Speaker Change: Some of the comments on today's call May include forward looking statements. Please refer to slide two for important cautionary information and disclosures. It should be noted that all figures referred to on today's call are in U S dollars with that I'd like to turn the call over to Randy Smallwood, President and Chief Executive Officer.

Randy Smallwood: With that, I'd like to turn the call over to Randy Smallwood, our President and Chief Executive Officer. Thank you, Emma, and good morning, everyone. Thank you for joining us today to discuss Wheaton's first quarter results of 2025.

Speaker Change: Yeah.

Speaker Change: and Good Morning everyone. Thank you for joining us today to discuss Wheaton's first quarter results of 2025.

Randy Smallwood: Before we begin, I would like to take a moment to honor founding board member Peter Gillen who passed away last week. As our longest-serving director, Peter played a pivotal role in shaping Wheaton into the company that it is today. His unwavering integrity, TGIC vision, and deep commitment left a lasting impact on all of us. More than a respected leader, Peter was a trusted colleague and a very dear friend.

Speaker Change: Before we begin, I would like to take a moment to honor founding board member Peter Gillen, who passed away last week . . .

Speaker Change: As our longest serving director, Peter played a pivotal role in shaping Wheaton into the company that it is today. His unwavering integrity, teaching vision and deep commitment left a lasting impact on all of us.

Randy Smallwood: On behalf of the board of directors, management and staff, we extend our heartfelt condolences to Peter's family and loved ones during this difficult time.

Randy Smallwood: And now I'd like to turn back to our quarterly results, which mark a very strong start to the year. With several of our core assets exceeding production expectations, we delivered record quarterly revenue, adjusted net earnings, and operating cash flow. Looking ahead, 2025 is shaping up to be a catalyst-rich year, with four development projects scheduled to come online over the course of this year. Notably, the Blackwater Mine, owned by Artemis Gold, achieved its first gold and silver pour in January, and just last week announced commercial production. Our corporate development team remains actively engaged in evaluating new opportunities.

Speaker Change: I'd now like to turn back to our quarterly results, which mark a very strong start to the year. [inaudible]

Speaker Change: With several of our core assets exceeding production expectations, we deliver record quarterly revenue, adjusted net earnings, and operating cash flow

Speaker Change: Looking ahead, 2025 as shaping up to be a catalyst rich year,

Speaker Change: with four development projects scheduled to come online over the course of this year. Notably, the Blackwater Mine owned by Artemis Gold, achieved its first gold and silver-porn January , and just last week announced commercial production.

Speaker Change: Our corporate development team remains actively engaged in evaluating new opportunities and we continue to see a healthy appetite for streaming as a competitive source of capital for the mining industry.

Randy Smallwood: continue to see a healthy appetite for streaming.

Randy Smallwood: Competitive source of capital for the mining During the quarter, we were once again recognized amongst Corporate Night's 100 Most Sustainable Corporations in the World for 2025, a multi-sector accolade that we are very proud of. Founders and Architects of Sustainable Streaming. This accomplishment is reflective of our continuing commitment to operate responsibly in all facets of our business. This includes our work to help build healthy, vibrant communities through purposeful investments wherever our partners' stream-related operations are located.

Speaker Change: During the quarter, we were once again recognized amongst corporate nights 100 most sustainable corporations in the world for 2025, a multi-sector accolade that we are very proud of.

Speaker Change: As founders and architects of sustainable streaming, this accomplishment is reflective of our continuing commitment to operate responsibly in all facets of our business.

Speaker Change: This includes our work to help build healthy vibrant communities through purposeful investments wherever our partners stream-related operations are located.

Randy Smallwood: Following the success of Wheaton's inaugural Future of Mining Challenge, an initiative that seeks to support the mining industry to become more efficient while minimizing its environmental impact. I am pleased to announce the theme, the 2025-2026 initiative will focus on sustainable water management. an exceptionally important component to any mining operation. The company will begin receiving expressions of interest next month, so please stay tuned for further details.

Speaker Change: I am pleased to announce the theme, the 2025-2026 initiative will focus on sustainable water management and exceptionally important component to any mining operation

Speaker Change: The company will begin receiving expressions of interest next month, so please stay tuned for further details.

Wes Carson: And with that, I would now like to turn the call over to Wes Carson, our Vice President of Operations, who will provide more details on our operating results. Wes? Thanks, Randy. Good morning, everyone. Overall production in first order, even higher than expected, primarily driven by strong outperformance. In the first quarter of 2025, Slobo delivered over 71,300 ounces of attributable gold production, an increase of approximately 16% compared to Q1 2024. is primarily driven by higher throughput and greater A strong overall performance this quarter reflects the ongoing ramp up of the SLOBO3 expansion and continued operational improvements at SLOBO1 and 2.

Speaker Change: And with that, I would now like to turn the call over to West Carson, our Vice President of Operations who will provide more details on our operating results. West. Thanks, Randy. Good morning, everyone.

Wes Carson: Overall production, first quarter, the entire than expected, primarily driven by strong out performance that's a little bit.

Wes Carson: A strong overall performance, this quarter reflects the ongoing ramp-up of the Slobo-3 expansion, and continued operation on provenance at Slobo-1 and-2.

Wes Carson: On March 4th, 2025, Valley Bass Metals informed us that the second phase of the Slowboat 3 expansion had been completed. having achieved a sustained throughput capacity of over 35 million tons per animal for a 90 day period. Following our review of the test results, Wheaton advanced the final expansion payment of $144 million to Vallee-based metals in early April.

Wes Carson: On March 4, 2025, Valley Basemales informed us that the second phase of the Slowwood 3 expansion had been completed Having achieved a sustained throughput capacity of over 35 million tons per animal for a 90-day period [inaudible]

Wes Carson: Following our review of the test results, Wheaton advanced the final expansion payments of $144 million to ballet-based metals in early age [inaudible]

Wes Carson: Insancia produced over 550,000 ounces of attributable silver and 4,900 ounces of attributable gold in Q1 of 2025, a decrease of approximately 13% and 65% respectively compared to Q1 2020. The reduction to gold and silver production was expected and due mainly to lower grades as ore material was mined from the Constantia pit and reclaimed from the stockpile compared to the prior year. The Papakonsha deposit, which contains relatively higher gold grades, is expected to be depleted by early 2025.

Wes Carson: Examsia produced over 550,000 ounces of attributable silver and 4,900 ounces of attributable gold and Q1 of 2025, a decrease of approximately 13% and 65% respectively compared to Q1, 2020 poorer

Wes Carson: The reduction to gold and silver production was expected, and due mainly to lord-raised as the orange material was mined from the constancy pit and reclaimed from the stockpile compared to the prior

Wes Carson: The public conscious deposit, which contains relatively higher gold rates, is expected to be depleted by early 2025.

Wes Carson: As Randy stated, we were excited to see the Blackwater announce the first gold pour and silver in the first quarter, resulting in a tributal production of 1000 ounces of gold, 5000 ounces of silver. Most recently, on May 2nd, Artemis declared that commercial production had been achieved at the Blackwater Mine, delivering in excess of 90% of its planned production. Production is expected to increase throughout the year as Artemis continues to grow. Production outlook for 2025 remains unchanged with total attributable production expected to fall between 600,000 and 670,000 gold equivalent ounces. Production is forecast to be consistent at Slobo through the remainder of 2025, with slightly lower grades as per the mine plan, offset by increasing throughput across Slobo 1, 2, and .

Wes Carson: As Randy stated, we were excited to see the Blackwater announced the first gold port and silver in the first quarter, resulting in a tribunal production of 1000 ounces of gold, 35,000 ounces of silver.

Wes Carson: Most recently on May 2nd, Artemis declared the commercial production had been achieved at the Black Water Mine, delivery and excess of 90% of its planned tonics

Wes Carson: Production is expected to increase throughout the year as Artemis continues to ramp. [inaudible]

Wes Carson: Production Outlook for 2025 remains unchanged, with total attributable production expected to fall between 600,000 and 670,000 gold equivalent ounces

Wes Carson: Production is forecast to be consistent to slow boat through the remainder of 2025, which was slightly lower grades as per the mind plan, offset by increasing throughput across slow boat 1, 2, and 3 . . . . . . . . . .

Wes Carson: Production in Antimena is forecast to increase over the remainder of the year due to expected higher silver grades caused by the ratio of copper zinc ore versus copper only ore. Production from Mineral Park, Goose and Platte Reef continues to be forecast for the second half of 2025, with construction of these assets proceeding in line with expectations.

Wes Carson: Production in Antimena is forecast to increase over the remains of the year due to expected higher silver grids caused by the ratio of copper sink or versus copper only or being.

2021.

Wes Carson: Production from Middle Park, Goose, and Platt Reef continues to be forecast for the second half of 2025 with construction at these assets proceeding in line with expectations.

Wes Carson: Looking ahead, we project annual production to grow at an industry leading rate of approximately 40%, reaching 870,000 GEOs by 2029. This growth will come from operating assets, including Antimida and Blackwater, with additional contributions from development projects that are currently under construction and For more information visit www.fema.gov such as Mineral Park, Goose, Platte Reef, Kermuk, Coney, Phoenix, El Domo, and Copperwater. Furthermore, attributable production is forecast to average over 950,000 GEOs from 2030 to 2034, incorporating expected additional incremental production from these pre-development assets.

Wes Carson: Looking ahead, we project annual production to grow at an industry-leading rate of approximately 40%, reaching 870,000 Geos by 2029.

Wes Carson: This growth will come from operating assets including antimina and block water with additional contributions from development projects that are currently under construction and or permitted.

Wes Carson: such as Mineral Park, Goose Plattery, Trimock, Coney, Phoenix, Aldomo, and Copper Road.

Wes Carson: Furthermore, Tribunal Production is forecast to average over 950,000 GEOs from 2030 to 2034, incorporating expected additional incremental production from these pre-development assets.

Wes Carson: That concludes the operational review.

Vincent Lau: And with that, I will turn the call over. Thank you. As described by Wes, production in Q1 was 151,000 GEOs, a 4% decrease from Q1 of 2024, due mainly to the lower production from Penasquito and Constancia, partially offset by higher production from Salobo and Antigua. Sales volumes were 161,000 GEOs, an increase of 16% from Q1 of 2024, as strong production levels in Q4 of 2024 resulted in an increase to sales realized in Q1 of 2025 due to the inherent timing delay between production and sales. As of March 31, 2025, approximately 136,000 GEOs were produced but not yet delivered, or PB&D, which represents approximately three months of payable production.

Vince: That concludes the operational review, and with that, I will turn the call over to Vince.

Vince: Thank you. As described by Wes, production in Q1 was 151,000 Geos, a 4% decrease from Q1 of 2024, due mainly to the lower production from Panasquito in Constantia, partially offset by higher production from

Vince: Sales volumes were 161,000 Geos, an increase of 16% from Q1 of 2024 as strong production levels in Q4 of 2024 resulted in an increase to sales realized in Q1 of 2025 due to the inherent timing delay between production and sales.

Vince: As at March 31st, 2025, approximately 136,000 GEOs were produced but non-yet delivered, or PBND, which represents approximately three months of payable production

Vincent Lau: The company expects PB&D levels to stay at the higher end of our forecasted range of two to three months by the end of 2025, in part due to the ramp up of new mines forecast to commence operations in the second half of the year. Strong commodity prices, coupled with our strong production, resulted in record quarterly revenue of $470 million, an increase of 59% compared to the prior year, with the increase due mainly to a 36% increase in realized commodity prices, coupled with the 16% increase in sales volume. Gross margin increased by 86% compared to the prior year to $319 million.

Vince: The company expects PBND levels to stay at the higher end of our forecasted range of two to three months by the end of 2025, in part due to the ramp of new minds, forecast to commence operations in the second half of the year. [inaudible]

Vince: Strong commodity prices, coupled with our strong production resulted in record quarterly revenue of $470 million, an increase of 59% compared to the prior year

Vince: The increase due mainly to a 36% increase in realized money devices couples with the 16% increase in sales volume.

Vince: Rose margin increased by 86% compared to the prior year to $319 million dollars.

Vincent Lau: Notably, year-over-year margin growth exceeded the appreciation in gold prices over the same period, underscoring the effectiveness of our business model in leveraging rising commodity prices while maintaining strong cash operating margins. Adjusted net earnings amounted to $251 million, representing a quarterly record at an increase of 53% compared to the prior year. Wheaton delivered robust cash operating margins in the first quarter, resulting in record quarterly cash flow from operations of $361 million, an increase of 65% compared to the prior year, and declared a dividend of 16.5 cents per share, an increase of 6.5% compared to the prior year.

Vince: Notably, year over year margin growth exceeded the appreciation and gold prices over the same period, understoring the effectiveness of our business model and leveraging rising commodity prices while maintaining strong cash operating margins.

Vince: Adjust the net earnings amounted to $251 million, representing a quarterly record, and an increase of 53% compared to the prior year.

Speaker Change: We need a number of robust cash operating margins in the first quarter

Vince: resulting in record quarterly cash flow from operations of $361 million and $1 million.

Vince: An increase of 65% compared to the prior year, and declared a dividend of 16.5 cents per share, an increase of 6.5% compared to the prior years. For 2025, the company continues to expect that GNA expenses will amount to approximately $50 million.

Vincent Lau: For 2025, the company continues to expect that G&A expenses will amount to approximately $50 million. During the quarter, Wheaton paid total upfront cash payments for streams of approximately $95 million. including $40 million for Mineral Park, $30 million for Blackwater, and $25 million for Phoenix. Overall, net cash inflows amounted to $267 million in the quarter, resulting in a cash balance of $1.1 billion at March 31st. This cash balance, combined with the fully undrawn $2 billion revolving credit facility, positions the company exceptionally well to satisfy its funding commitments.

Vince: During the quarter, Wheaton paid total upfront cash payments for streams of approximately $95 million, including $40 million for Minor Park, $30 million for Blackwater, and $25 million for Phoenix.

Vince: Overall, net cash inflow is amounted to $267 million in the quarter, resulting in a cash balance of $1.1 billion at March 31st.

Vince: Discache Balance, Combined with the fully undrawn $2 billion of revolving credit facility, Positions to company exceptionally well to satisfy its funding commitments, and acquire additional

Vincent Lau: and Acquire Additional Accretive Strip.

Vincent Lau: That concludes the financial summary, and with that, I turn the call back to Randy.

Vince: That concludes the financial summary and with that, I turn the call back to Randy [inaudible]

Randy Smallwood: Thank you, Vincent. In summary, the first quarter was a very strong start for the year. Distinguished by several key highlights. We achieved record three-month revenue, earnings, and cash Subs by www.zeoranger.co.uk Declared a $0.165 quarterly dividend, a 6.5% increase from Q1 of 2024. Our pipeline of development projects was further de-risked by construction advancements from multiple assets scheduled to come online within the year, further supporting our impressive anticipated organic growth profile of over 40% by 2029. We continue to maintain low and predictable costs, which, when coupled with our leverage to increasing commodity prices, result in some of the highest margins in the entire precious metals space.

Randy Smallwood: Thank you, Vincent. In summary, the first quarter was a very strong start for the year for Wheaton, distinguished by several key highlights.

Randy Smallwood: We achieved record three months revenue earnings and cashflow, and declared a 16.5 cent quarterly dividend, a 6.5% increase from Q1 of 2024 4.

Randy Smallwood: Our pipeline of development projects was further de-risked by construction advancements from multiple assets scheduled to come online within the year. Further supporting, our impressive, anticipated, organic growth profile of over 40% by 2029.

Randy Smallwood: We continue to maintain low and predictable costs which, when coupled with our leverage to increasing commodity prices, results in some of the highest margins in the entire Precious Metals space.

Randy Smallwood: Our balance sheet also remains strong, providing ample capacity to add accretive high quality streams into our portfolio.

Randy Smallwood: Our balance sheet also remains strong, providing ample capacity to add a creative, high-quality streams into our portfolio [inaudible]

Randy Smallwood: And lastly, we take pride in being a leader amongst precious metal streamers in sustainability by supporting our partners and the communities in which we live and operate.

Randy Smallwood: And lastly, we take pride in being a leader amongst precious metal streamers in sustainability by supporting our partners and the communities in which we live and operate.

Operator: So with that, Operator, I would like to open up this call for questions. Thank you.

Randy Smallwood: So with that operator, I would like to open up this call for questions [inaudible]

Operator: Ladies and gentlemen, we will now conduct a question and answer session. If you would like to ask a question, please press star then the number one on your telephone keypad. If you would like to withdraw your question, please press the pound key. There will be a brief pause while we compile the Q&A roster.

Thank you.

Speaker Change: Ladies and gentlemen, we will now conduct a question and answer session.

Randy Smallwood: If you would like to ask a question, please press star, the men number one on your telephone keypad .

Speaker Change: If you'd like to withdraw your question, please press the pound key.

Randy Smallwood: There will be a brief pause while we compile the Q&A roster.

Cosmos Chiu: Your first question is from Cosmos Chiu from CIBC. Please go ahead.

Speaker Change: Your first question is from Cosmos Chiu, from CIBC, please go ahead [inaudible]

Cosmos Chiu: Thanks Randy and team and welcome, Vincent, congrats on a very strong or record earnings for Q1. Maybe my first question is on the sales versus production. Vincent, as you mentioned, production was 151,000 ounces and sold was actually higher. And as you kind of pointed out, usually production is higher than sales. So, you know, my question is, is there any kind of read through into future quarters or is this really a reflection of what has happened in the past? I guess you kind of answered it by talking about PB and D being consistent. And so I guess I'm trying to confirm, should we just kind of model sales and production being fairly consistent on a go forward basis?

Cosmos Chu: Thanks, Randy and team, and welcome Vincent. Congrats on a very strong or record earnings for Q1.

Speaker Change: Maybe my first question is on the sales versus production, Vincent, as you mentioned, production was 151,000 ounces and sold was actually higher and as you kind of pointed out, usually production is higher than sales.

Speaker Change: So, you know, my question is is there any kind of read through into future quarters or is this really a reflection of what has happened in the past?

Vincent Lau: Yeah, so on a production basis, you know, we're a bit back end loaded this year in terms of the production levels. So being at the higher end of the range that we're forecasting throughout the year, you would expect some pickup in the PB&D. So, you know, about three months is what we're forecasting. So I think you're right. You're gonna see production levels being at the similar levels as the sales, but factoring in this PB&D.

Speaker Change: Yeah, so on a production basis, you know, we're a bit back and loaded this year in terms of the production levels, so being at the higher end of the range that we're forecasting throughout the year, you would expect some pickup in the PB and the

Speaker Change: So, you know, about three months is what we're forecasting. So, I think you're right. You're going to see production levels being at the similar levels as the sales, but factoring in this PBMD movement. [inaudible]

Randy Smallwood: Cosmos, if I could add, you know, a lot of the, we had a really good fourth quarter, but that that overproduction came from Slobo, which is copper concentrates. And it's usually the copper concentrates that take longer to make it through to sales, just because you've got to ship that concentrate overseas and run it through the whole smelting, and then refining process. So it's, you know, if you look at it, the PB&E, and it shows right in the charts on the presentation, it's dominantly gold, and most of our gold comes as in the form of copper concentrates from the from the mines themselves.

Cosmos Chu: Cosmos, if I could add, you know, a lot of the, we had a really good fourth quarter, but that, that overproduction came from Slovo, which is copper concentrates.

Cosmos Chu: and it's usually the copper concentrates that take longer to make it through the sails just because you've got to ship that concentrate overseas and run it through the whole smelting and then refining process. So if you look at it, the PB&D and it shows it right in the charts on the presentation. Thank you.

Cosmos Chu: It's dominantly gold and most of our gold comes as in the form of copper concentrates from the from the minds of cells. So

Randy Smallwood: So, so the fact that we were so high in the fourth quarter, in production at Slobo, we saw, you know, great production out of Slobo in the fourth quarter, you know, we always knew that was going to be a good boost to the sales side in the first quarter, because that concentrate takes that long to come through. And so, you know, it's always going to have, it's always gonna be biased more towards the gold production, because most of our gold production does come from assets, and therefore, that pushes us more towards the three month limit versus with Dore, which is where most of our silver is, it's, it's typically about two months for us to convert it to sales.

Cosmos Chu: So the fact that we were so high in the fourth quarter. [inaudible]

Cosmos Chu: in production at Solombo, we saw a great production out of Solombo in the fourth quarter. We always knew it was going to be a good boost to the sales side in the first quarter because that concentrate takes that long to come through. It's always going to happen.

Cosmos Chu: It's always going to be biased more towards the gold production because most of our gold production does come from copper assets and therefore that pushes us more towards the three-month limit versus with dore, which is where most of our silver is, it's typically about two months for us to convert it to sales.

unknown: That's right.

unknown: Thanks, Randy.

Cosmos Chiu: Maybe that leads to my next question here. So Lobo, you made the final payment on the expansion hundred forty four million dollars on April 4.

Cosmos Chu: That's right. Thanks, Randy. Maybe that leads in well to my next question here at Solobo. You made the final payment on the expansion $144 million on April 4th.

unknown: I can't read my writing, in April 2025. But that might not be the last payment. I believe, you know, there could be the potential to make additional payments of $5.1 to $8.5 million annually if they do go with a high-grade sort of mine plan. Any updates on, you know, potential for you to need to make that payment or any kind of color on the high-grade mine plan?

Cosmos Chu: 2025, I can't read my read, in April 2025, but that might not be the last payment, I believe, you know, there could be the potential to make additional payments of 5.1 [inaudible]

Cosmos Chu: to $8.5 million annually if they do go with a high grade sort of mind plan, any updates on potential for you to see to make that payment or any kind of color on the...

high-grade mind playing.

Thank you.

Cosmos Chu: Thanks, Cosmos. They are working on that high-grade line plan. It really is a higher movement they need from the mine, is the main factor in that along with the higher copper grade from the mine, or consistently higher copper grade from the mine.

Speaker Change: So Smallwood has been working towards that over the last several years. It's not imminent that we're going to hit those levels. We continue to monitor it with valley-based metals and we'll continue to speak to them about it, but I don't see that happening within the next year or so certainly.

unknown: And then, you know, Wes or Randy, I saw in your longer term growth profile, you've included Copper World. Could you maybe give us an update on Copper World? Is that now considered fully permitted, quote unquote, because, you know, I was reading up on your PMPA once again, I guess it says, you know, $50 million could be advanced upon HUD-based receipt of permitting. And so I guess number one, timing, number two, is it considered fully permitted? And number three, you know, this is a negotiation that was completed many years ago, $230 million. Any kind of potential changes to that number?

Speaker Change: And then West or Randy, I saw in your longer term growth profile, you've had included Copperworld. Could you maybe give us an update on Copperworld? Is that now considered? Thank you very much.

Speaker Change: Foley permitted quote unquote because, you know, I was reading up on your PMPA once again, I guess it says, you know, $50 million could be advanced upon head base receipt of permitting. Thank you.

Randy Smallwood: Yeah, no, it's not a negotiation, it was a contract that was signed many, many years ago. And so it's a contract that's in place. Contract, yes. Yeah, yeah. And so it's a contract that's in place.

Speaker Change: Yeah, no, I took it, it started a negotiation, it was a contract that was signed many, many years ago, so it's a contract in place Yeah, yeah, so it's a contract that's in place

Randy Smallwood: You know, there's no money that gets advanced until HADBE delivers not only, you know, all permits, which they do have, but they also have to have proper financing in place that satisfies us that they've got capacity to get the project built. And they also have to commence construction. And so, you know, there will be no payments from us until that happens. I think in our current five-year guidance, we might have it at the tail end, just the very tail end of the five-year guidance. And it's not significant from a production perspective in terms of getting to the 40% growth.

Speaker Change: You know, there's no money that gets advanced until until had bay delivers, not only, you know, all permits, which they do have, but they also have to have proper financing in place, that satisfies us, that they've got capacity to get the project bill, and they also have to commence construction.

Speaker Change: And so, you know, there will be no payments from us until that happens.

Speaker Change: I think in our current five-year guidance, we might have it at the tail end, at just the very tail end of the five-year guidance, and it's not significant for our production perspective in terms of getting to the 40% growth . . . .

Randy Smallwood: You know, we think it's probably five to six years out, hopeful that HADBE moves that faster forward. It's an impressive project. You know, the Rosemont and then the Copper World area itself, all, you know, sort of one collective zone that we're appreciative, you know, in terms of that exploration success that we were originally purchasing, what, 15 years ago, has actually turned into the main resource that's going to be started off at the Copper World. But it's, you know, it's all part of the project going forward. HADBE is a very important partner to us. We are always trying to find ways to support our partners on a go-forward basis, but we have to be reflective of value.

Speaker Change: You know, we think it's probably five to six years old, hopefully that had made moves that faster forward [inaudible]

Speaker Change: It's an impressive project, you know, the Rosemont, and then the Copperworld area itself, all, you know, sort of one collective zone.

Speaker Change: that were appreciative in terms of that expiration success that we were originally purchasing 15 years ago.

Speaker Change: Has actually turned into the main resource that's going to be started off at the Copper World, but it's, you know, it's all part of the project going forward. But Bay is a very important partner to us. We are always trying to find ways to support our partners on a go-forward basis.

Speaker Change: But we have to be reflective of value, and so...

Randy Smallwood: And so, you know, I know there's been lots of talk in the marketplace about how that's going to move forward. We've got a contract in place and we look forward to working with HADBE to move this forward. But, and so, you know, we're waiting. I think their focus currently right now is looking for a joint venture partner to try and offset some of the capital expenses that are going into this project. And so, you know, we look forward to helping them.

Speaker Change: So, you know, I know there's been lots of talk in the marketplace about how that's going to move forward.

Speaker Change: We've got a contract in place, and we look forward to working with Hutbaid and move this forward. So we're waiting. I think their focus currently right now is looking for a joint venture partner. We're going to have a joint venture partner. We're going to have a joint venture partner. [inaudible]

Speaker Change: to try and offset some of the capital expenses that are going into this project. So we look forward to helping them.

Randy Smallwood: So, so Randy, I guess your advancement of any payment will not happen until a joint venture partnership or joint venture partners. the capacity to fund it. So whether they choose to do that with a joint venture partner or choose to find a way to do that internally within themselves and keep 100% ownership of the asset going forward, it is an impressive asset, and so I'm not sure the logic behind that outside of sourcing capital to help get the project built. But it's not contingent on them finding a joint venture partner, it's contingent on them having a satisfactory financial plan.

Speaker Change: So, so, Randy, I guess your advancement of any payment will not have been until a John Venture partnership or John Venture partners in place

Speaker Change: Well, I mean, we would start, I mean, that's if they have to go down that path, if they choose not to go down that path, all they have to do is come up with a financial plan that we're satisfied with the financing plan.

Speaker Change: But, you know, it's not contingent on them finding a joint venture partner. It's contingent on them having a satisfactory natural plan. Yeah, exactly. And so, you know, whenever they choose to get there, that's their choice. That's not contingent on us.

Randy Smallwood: Yeah, exactly. And so, you know, whatever way they choose to get there, that's their choice. That's not contingent on us. Great.

Cosmos Chiu: And then maybe one last question, switching gears a little bit on Cobalt, not the biggest part of your portfolio, but I, you know, noticed that the production has has increased. Kind of makes sense, given that they're ramping up. So two parts of my question, I guess. Number one, it's 540,000 pounds now in Q1. Is that gonna continue to increase, number one? And number two, I noticed that shipping or sales was only about half of that 540,000 pounds. And it's always lumpy. So again, how should we model the shipment or sales, which in turn affects earnings?

Speaker Change: Great. And then maybe one last question, switching gears a little bit on cobalt, not the biggest part of your portfolio. But I, you know, noticed that the production has has increased. [inaudible]

Speaker Change: It kind of makes sense given that they're ramping up. So two parts of my question, I guess number one, it's 540,000 pounds now in Q1. Is that going to continue to increase? Number one, and number two, I noticed that shipping or sales was only about half of that for 540,000 pounds? [inaudible]

Speaker Change: And it's always lumpy. So, again, how should we model the shipment or sales which in turn affects earnings? [inaudible]

Wes Carson: Thanks, Cosmo.

Wes Carson: So they did have an exceptional first quarter there. For the rest of the year, we're forecasting really slightly lower than that, but kind of consistently in more that kind of £450,000 a quarter kind of range. And really, the sales are very lumpy on that one. And it's really just because of the shipments on that. They go over to Europe, and we get paid kind of at that point when they go over there. So there is quite a lag in that. And we will see those sales start to catch up over this quarter with that production.

Thanks, Cosmos

Speaker Change: So, they did have an exceptional first quarter there. So, the rest of the year, we're forecasting really...

Speaker Change: slightly lower than that, but kind of consistently and more that kind of 450,000 pound a quarter kind of range. And really the sales are very lumpy on that one and it's really just because of the shipments on that they go over to Europe and we have paid kind of at that point when they go over there. So there is quite a lag in that and we will see those sales start to catch up over this quarter with that production. So it is that they've had a great ramp up there over the last really 18 months. Thank you very much.

Wes Carson: So it is that they've had a great ramp up there over the last really 18 months. They did announce kind of that they completed earlier this year as well, the undergrounds, and they are at full production on those. So it's been a long project getting it going. It's the worst one in our portfolio that got affected by COVID for sure. So it's always great to see them up and running and getting that consistent high quality production. Yeah, and I forget what is 2 million pounds in annum. Is that what they're aiming for after the expansion?

Speaker Change: They did announce kind of that they completed earlier this year as well that the undergrounds and they are at full production on those.

Speaker Change: It's been a long project to get it going. It's the worst one in our portfolio that got affected by COVID for sure, so it's great to see them up and running and getting that consistent high-quality production out of there.

Wes Carson: Yeah, and I forget what is two million pounds an annum? Is that what they're aiming for after the expansion? I just said I don't remember. Yeah, to our account. Yeah, in that regard. Okay, that's to our account. Yeah, to your account. Yeah, for sure. Yeah, yeah, 42 points.

Cosmos Chiu: Which is I don't know. Yeah. To our account. Yeah. And that's that's to our account. Yeah. To your account. Yes, for sure. Yeah. Great. Cool. Thanks, Randy, Wes, and Vincent. Thanks for answering all my questions and have a good weekend.

Speaker Change: Cool, thanks Randy, Wes and Vincent, thanks for answering all my questions and have a good week

Operator: Thank you, Cosmos.

Thank you, Cosmos [inaudible]

Daniel Major: Your next question comes from Daniel Major from UBS. Please go ahead. Hi, thanks so much for the questions. So, yeah, to couple, start with, Antimene has had some downtime this quarter. Can you provide any feedback you might have had from the joint venture and potential impacts it might have on the profile in the second quarter or indeed the full year? Thanks, Daniel.

Speaker Change: Your next question comes from Daniel Major from UBS, please go ahead [inaudible]

Wes Carson: So they did have a very unfortunate incident there this past month ago now. So and really, it's one of those things that we have been in contact with, with the partner on it. And it's very, very unfortunate to see those types of things happen. We keep very, very close eye on the safety record of all of our operations, certainly. They were down for about 36 hours due to the incident. We don't expect it to affect production for the year at all. We are actually headed down to site in a couple weeks here. So we'll get a good idea of what things look like for the rest of the year after that.

Speaker Change: Thanks Daniel, so they did have it, it's a very unfortunate incident there this past month ago now and really it's one of those things that we have been in contact with the partner on it and it's very very unfortunate to see those types of things happen

Speaker Change: We keep very close eye on the safety record of all of our operations certainly.

Speaker Change: They were down for about 36 hours due to the incident. We don't expect it to affect production for the year at all. We are actually headed down to sight in a couple weeks here, so we'll get a good idea of what things look like for the year after that, but at this point, don't expect any change to our current forecast.

Daniel Major: But at this point, don't expect any, any change to our Okay, thanks.

Wes Carson: And then maybe just follow up on Antimina. Where are you looking at in terms of the delta into 2027? As you see it in terms of the mine plan? Sorry, 2026-27, you know, relative to where we are today, Antimina, just specifically? We are seeing a fairly significant ramp up this year as they move back into those copper zinc zones, which have quite a bit higher silver in them than what we've seen the last couple of years. And we do expect that to continue through 26 and 27 as well. They have moved that primary crusher out of the bottom of the pit now and there was quite a bit of high grade that was tied up with that.

Speaker Change: Okay, thanks. And then maybe just follow up on Antimena. Where are you looking at in terms of the Delta into 2027 as you see it in terms of the mind plan? Sorry, 202627 relative to where we are today, Antimena just specifically.

Speaker Change: We are seeing a fairly significant ramp up this year as they move back into those copper zinc zones which have quite a bit higher silver in them than what we've seen in the last couple of years, and we do expect that to continue through 26 and 27 as well. They have moved that primary crusher out of the bottom of the pit now and there was quite a bit of high grade that was tied up with that. [inaudible]

Daniel Major: So they are moving into really a higher grade silver zones over the next couple of years, which is why you do see that ramp up . Great, thanks.

Speaker Change: So they are moving into really a higher grade silver zones over the next couple of years, which is why you do see that wrap up in front of people [inaudible]

Daniel Major: And then the next question, I appreciate it's associated with the movement in the share price, but you booked 12 million as share based compensation this quarter. How's the distribution through the year? And if shares stay the same here, should we expect a similar run rate? Or how should we be modelling that line? Yeah, the $12 million this quarter is really driven by the share price performance. Run rate on the PSU side will be around $3 to $4 billion going forward per quarter. 3 to 4 million and a quarter. Okay. Yeah, thanks. And then, yeah, that's useful.

Great, thanks, and then a…

Speaker Change: The next question, I appreciate it's associated with the movement in the share price, but you put 12 million share-based compensation, this quarter, has a distribution through the year and if shares stay the same here, should we expect a similar run rate or how should we be modelling that line item?

Speaker Change: Yeah, the $1,000,000 this quarter is really driven by the share price of performance. Run rate on the PSU side will be around 3 to 4,000,000 to 4,000,000.

Network, per quarter.

Haytham

Speaker Change: 34 million or closer. Okay. Yeah. Thanks. And then, yeah, that's useful. Thanks. And then I'm just for the question.

unknown: Thanks.

Daniel Major: And then just a final question. I mean, you've got 1.1 billion on the balance sheet. You know, I guess you're always looking for opportunities.

I mean, you got 1.1 billion on the balance sheet. [inaudible]

Hirat

Speaker Change: I guess you're always looking for opportunities, but yeah, is there any sort of scope if prices stay at this kind of level?

Haytham Hodaly: But yeah, is there any sort of scope if the price is there at this kind of level to look at interim distributions or changing the structure of cash returns or are you just firmly going to accrue cash and look for deals?

Speaker Change: to look at interim distributions or changing the structure of cash returns, or you're just firmly going to have a career cash and look for deals.

Haytham Hodaly: Maybe I'll take that question, Daniel.

Haytham Hodaly: It's Haytham. Thank you for the question. I will say that, you know, given the number of opportunities that we have in the pipeline right now, and it's definitely double digit, and we're seeing a lot of different development stage opportunities looking for funding, we're seeing higher commodity prices have prompted the sale of existing secondary royalties, we're seeing balance sheet repair opportunities. And we're also seeing rationalization of assets by larger seniors. So there's so many opportunities right now for the potential expenditure of capital towards streaming projects, and then some some larger royalty opportunity as well that we are pretty comfortable with our existing structure.

Speaker Change: But maybe I'll take that question, Daniel, to say them. Thank you for the question. We'll say that, you know, given the number of opportunities that we have in the pipeline right now, and it's definitely double digit, and we're seeing a lot of...

Speaker Change: Different development stage opportunities looking for funding. We're seeing higher commodity prices have prompted the sale of existing secondary royalties. We're seeing balance sheet repair opportunities and we're also seeing rationalization of assets by larger seniors. So there's so many opportunities right now for. We're seeing balance sheet repair opportunities. We're seeing balance sheet repair opportunities. We're seeing balance sheet repair opportunities.

Speaker Change: the potential expenditure of capital towards streaming projects, and then some larger royalty opportunities as well that we are pretty comfortable with our existing structure.

Randy Smallwood: Yeah, Daniel, if I would just add, I mean, you know, this run up in in gold prices, and what we've seen is actually really starting to, to, to firm up enough that people are starting to make commitments into building. And so what we are seeing a lot of is gold streams on gold mines, or silver streams on gold mines, there's lots of activity there. I'd love to see a bit of strength in the copper space, because there are some pretty promising copper projects out there that are kind of waiting for, I think, a bit better cost base to make decisions to go into construction.

Speaker Change: Yeah, Daniel, five inches there. I mean, you know, this run up in gold prices and what we've seen is actually really certain to...

Speaker Change: to firm up enough that people are starting to make commitments into building. And so what we are seeing a lot of is gold streams on gold mines or silver streams on gold mines. There's lots of activity there. I'd love to see a bit of strength in the copper space because there are some pretty promising copper projects out there that are kind of waiting for, I think, a bit better cost-based to make decisions to go into construction, but there's definitely a lot of activity on the gold side. [inaudible]

Randy Smallwood: But, but there's definitely a lot of activity on the gold side.

Randy Smallwood: So And just because we've got a billion dollars as of the end of the last quarter, keep in mind, we've managed to spend almost $900 million a year for the last 10 years. So there's there are lots of opportunities, it may be a little bumpy, maybe one year is more than the other. But you know, we've never had an issue deploying capital Great.

So...

Speaker Change: And now just because we've got a billion dollars as of the end of the last quarter, keep in mind we've managed to spend almost $900 million a year for the last ten years. So there are lots of opportunities. It may be a little bumpy, maybe one year is more than the other, but we've never had an issue deploying capital incredibly. [inaudible]

Great.

unknown: Have a great weekend. Thanks, Daniel.

Have a great weekend.

Thanks Daniel. Thank you.

Tanya Jakusconek: Your next question is from Tanya Jakusconek from Scotiabank. Please go ahead. Yes, good morning, everybody. And again, my sympathies for Peter. Very sad to see that. Thank you for that Tanya. I'm going to start, a lot of my questions have been answered. I'm just going to follow up on just a few things that I just wanted confirming.

Speaker Change: Your next question is from Tanya Jakusconek from Scotia Bank. Please go ahead.

Speaker Change: Yes, good morning, everybody. And again, my sympathies are for Peter. I'm very sad to see that news. Thank you for that, Tanya.

Speaker Change: I'm going to start. A lot of my questions have been answered. I'm just going to follow up on just a few things that I just wanted confirming.

Tanya Jakusconek: And just on the distribution for the year, I think in the last conference call, we talked about a 45-55, first half, second half in terms of the production profile. Is that still the case? with all the startups towards the second part of the year. Yeah, I think they say with the the strong performance in Q1, we're actually looking at about kind of 4750 So it's still backend loaded, but a little bit less. Okay, and obviously, you know, depending on what the prices do, that obviously moves the, you know, not your production, but just in case, you know, for the rest of us, the geo sales.

Speaker Change: And just on the distribution for the year, I think in the last conference call we talked about a 45-55 first half second half in terms of the production profile. Is that still the case? [inaudible]

Speaker Change: with all the startups towards the back and part of the year.

Speaker Change: Yeah, thanks, thank you. With the strong performance in Q1, we're actually looking at about 47.53 now.

Speaker Change: I would say if you kind of measure it that way, some...

Speaker Change: I was still, back in loaded, but a little bit less so than...

Speaker Change: Okay, and obviously, you know, pending on what the prices do, that obviously moves the, you know, not your production, but just in case, you know, for the rest of us, the Geo sales. Anyway, yeah, I got it. Just on, and then the P B and D will just follow along with that 4753.

Randy Smallwood: Anyway, yeah, I got it. Just on and then the the P, B and D will just follow along with that $47.53. Yeah, exactly. Yeah. We are we are blessed with the fact that a lot of the new mines that are starting up are producing Dore. And so, you know, as as that new production does come on, it won't be as long. Now, you know, whenever a new mine starts up, you have to get systems in place and such. And so there's probably going to be a bit of initial delays in terms of converting that to sales.

Yes, exactly. Yeah.

Speaker Change: Yeah, we are blessed with the fact that a lot of the new minds that are starting up are producing Dorey.

Speaker Change: And so, you know, as that new production does come on, it won't be as long. Now, you know, whenever a new mind starts up, you have to get systems in place and such. And so there's probably going to be a bit of initial delays in terms of converting that to sales. But, uh...

Randy Smallwood: But, but yeah, you know, there's not a lot of growth on the on the concentrate side in our portfolio over the next while it's mostly in the Dore side.

Speaker Change: But yeah, you know, there's not a lot of growth on the on the concentrate side in our portfolio over the next while it's mostly in the Dore side.

Tanya Jakusconek: And then, if I could circle back to Copper World and just what HUD-FAE is looking for, you know, a financing partner to take on some of the risk. I just want to try and understand if you would increase your exposure further to this asset, but, you know, more on a stream basis rather than, because you said, you know, you'd help with the support them. I just wanted to make sure it wasn't as a joint venture partner. Yeah, definitely wouldn't be as a joint venture partner. It's not in our business model to take that level of risk, and it's one of the reasons why we have value for the streams that we acquire is to gain that confidence for our shareholders.

Speaker Change: Okay, that's good. And then, if I could circle back to Copper World.

Speaker Change: and just what Hutt Bay is looking for, you know, a financing partner to take on some of the risk.

Speaker Change: I just want to not try and understand if you would increase your exposure further to this asset but you know more on a stream basis rather than because you said you, you know, you'd help in help with the support that I just wanted to make sure it wasn't as a joint venture partner. But,

Speaker Change: Yeah, it definitely wouldn't be as a, yeah, definitely wouldn't be as a joint venture partner. It's not in our business model to take that level of risk. And it's one of the reasons why we don't.

Speaker Change: Faith, Folk, you know, to have value for the streams that we acquire is to gain that confidence for our shareholders. So, and so it definitely would be as a joint venture partner, however, you know, there's opportunities. The challenge, one of the challenges is this.

Randy Smallwood: And so it definitely wouldn't be as a joint venture partner. However, you know, the challenge, one of the challenges The current stream is for 100% of the gold and the silver, so we already are getting 100% of the precious metals from that project. But there are other ways to expand the relationship to provide support. We've always said that we're not chasing copper, but we would take it as ancillary support to help a project go forward, so maybe that's an option. They've also got some pretty good gold production from other assets within their portfolio. That's also an option in terms of us being able to access and stream.

Speaker Change: is that the current stream is for 100% of the gold and the silver, so we already are getting 100% of the precious metals from that project, but there are other ways to expand the relationship to provide support, whether it's, you know,

We've always said that...

Speaker Change: We're not chasing copper, but we would take it as incinerary support to help a project go forward and so maybe that's an option

Speaker Change: You know, they've also got some pretty good gold production from other assets within their portfolio, that's also an option in terms of us.

Randy Smallwood: Hudbay is a pretty wide, diverse company. We've already got a good, healthy stream with them at Constancia. We've got a less healthy stream with them at 777, which, of course, isn't operating anymore. It underperformed for us in the past, so it's been a long and healthy relationship. We're looking forward to continuing to grow that relationship in a supportive role, whichever way we can. They've got a good operating team, they've got a good management team, they've got a good track record in terms of bringing projects like this on. Constancia has been a huge success, so we're going to be there whichever way we can.

Speaker Change: We're underperformed for us in the past, and so it's been a long and healthy relationship and we're...

Speaker Change: We're looking forward to continuing to grow that relationship but in a supportive role whichever way we can They've got a good operating team, they've got a good team, they've got a good track record in terms of bringing projects like this on Constancy has been a huge success [inaudible]

Speaker Change: and we're going to be there whichever way we can. They're focused right now as they've stated publicly. The obvious is...

Tanya Jakusconek: Their focus right now, as they stated publicly, is sourcing a potential joint venture partner to help spread it out. We're not sure they need to do that, but that's something that they have to answer for themselves and come forward. We're going to do everything we can to help them. Okay. Thanks for the clarification. Just didn't want to see anyone getting in as an operator. Yeah. I've seen that movie before. Yeah.

Speaker Change: is sourcing potential joint venture partner to help spread it out. We're not sure that Dean Dean need to do that, but that's something that they have to answer for themselves and come forward. So we're going to do everything we can to help them.

Okay.

Speaker Change: Thanks for the clarification. Just didn't want to see anyone getting in as an operator. The operator.

Yeah, I'll be seeing that movie before.

Tanya Jakusconek: Just on the deals environment, if I can circle back, and thanks, Haytham, for some of the color. I just wanted to come back on a couple of things in the environment that you're seeing. Have you seen the deal size increase at all? Yes. There's still a lot of the smaller deals are still out there, Tanya, but we are seeing some of the larger deals. And, you know, it's, I'd say the range is still from initially on the smaller deals was 1 to 350. There are a handful of larger deals that are 500 to a billion now.

Speaker Change: Um, just on operating environment, sorry, the deal is an environment if I can circle back and thank Haytham for some of the color. I just wanted to come back on a couple of things in the environment that you're seeing. Have you seen your deal, the deal size increase at all? [inaudible]

Yes?

Yeah, okay, so in the next video.

Speaker Change: There's still a lot of the smaller deals are still out there, Tanya, but we are seeing some of the larger deals.

And, you know, it's-

I'd say

Speaker Change: The range is still from initially on the smaller deals was $1 to $3.50. There are a handful of larger deals that are $500 to $1 billion now. And so there's lots of things we'll consider. Keep in mind, though, Tanya, not every opportunity out there is a Wheaton opportunity. We're not going to do anything that sacrifices the integrity of our model.

Tanya Jakusconek: And so there's there's lots of things we'll consider. But not keep in mind, though, Tanya, not every opportunity out there is a Wheaton opportunity. We're not going to do anything that sacrifices the integrity of our model. And we're very cautious to continue to add a creative growth. So just keep those things in mind.

Speaker Change: and we're very cautious to continue to add a creative growth so just keep those things in mind.

Randy Smallwood: Tanya, I think it's just worth highlighting. And you can look at two very, very real examples here just recently, Artemis at Blackwater, and how, you know, we've, we've supported them through the startup. I think, I think if you ask the team at Artemis, they'd be very happy with their Wheaton relationship in terms of how we've stepped in to sort of adjust and add a bit of value to the stream at a timely basis for them as they're turning on the switches there. And so, so I think, you know, that example of being supportive through the startup process has, has caught a lot of people's eyes.

Tanya, I think it's just worth highlighting.

Speaker Change: You can look at two very, very real examples here, just recently, Artemis at Blackwater, and how, you know, we've, we've supported them through the startup. I think, I think if you ask the team at that Artemis, they'd be very happy with their wheat and relationship in terms of how we've...

Speaker Change: stepped in to sort of adjust and add a bit of value to the stream at a timely basis for them as they're turning on the switches there and so I think that example of being supportive through the startup process has caught a lot of people's eyes.

Randy Smallwood: And then I would go to the montage deal on Kone. And, you know, the fact that that deal was structured, where we supplied the bulk of the capital in terms of getting that project up and running, and, and they're going to turn the switches on on that mine and have no project debt, and be producing 300,000 ounces a year to their credit. And, and, you know, the those two transactions have really caught the eye of a lot of, of other developers in this space. And, and so we're now starting to get a lot of, you know, larger sized opportunities where they're saying, Okay, well, let's, let's look at Wheaton taking a larger role in terms of how we, how we finance these projects into production on a go forward basis.

Speaker Change: And then I would go to the Montaust deal on Cone, and the fact that the deal was structured where we supplied the bulk of the capital in terms of getting that project up and running.

Speaker Change: and they're going to turn the switches on on that mind and have no project debt and reproducing 300,000 ounces a year to their credit. And, you know, those two transactions have really caught the eye of a lot of other developers in this space.

Speaker Change: And so we're now starting to get a lot of larger sized opportunities where they're saying, okay, well let's...

Speaker Change: Let's look at Wheaton taking a larger role in terms of how we finance these projects into production on a go-forward basis. And we're always happy to invest into high margin, high quality assets, so...

Randy Smallwood: And we're always happy to invest into high margin, high quality assets. So, you know, they're there, they are out there.

They are out there.

Randy Smallwood: And what about, Randy, the, maybe the base metal companies, you know, given the volatility and some of those commodities, the high gold price for them in terms of crystallizing some value on maybe some of their precious metal component to their assets. Has that increased? Have you seen more going to the table? Yeah, there's a lot more discussion about it. I just haven't seen a lot of the base metal projects commit into going into construction and going forward there. I think they're waiting for a bit better copper price to, and you know, it's mostly in the copper space that we're talking, we don't see a lot in the lead zinc space.

Speaker Change: And what about Randy, the, maybe the base metal companies, you know, given the volatility and some of those commodities, the high gold price for them in terms of crystallizing some value on maybe some of their precious metals component to their assets, has that increased?

Have you seen more flow to the table? [inaudible]

Speaker Change: Yeah, there's a lot more discussion about it. I just haven't seen a lot of the base metal projects commit into going into construction and going forward. I think they're waiting for a bit better copper price to, and it's mostly in the copper space that we're talking. We don't see a lot in the lead zinc space. [inaudible]

Randy Smallwood: But, you know, in the copper space, they just want to see a bit stronger. You know, we've lots of predictions for stronger copper prices. But you know, unfortunately, with some of the deglobalization efforts around the world, it's having an impact on demand and therefore pricing in copper. And we just haven't seen people making the commitments in terms of going into construction. I think they want to see a stronger market for copper before they make that decision. So, you know, the talks are ongoing, but they're nowhere near as advanced as what we're seeing in the precious metal space, in the gold space.

But you know, in the copper space, they're...

Speaker Change: I just want to see a bit stronger. We've got lots of predictions for stronger copper prices, but unfortunately with some of the globalization efforts around the world it's having impact on demand and therefore pricing and copper in the future.

Speaker Change: And we just haven't seen people making the commitments in terms of going into construction. I think they want to see a stronger market for copper before they make that decision so that the talks are ongoing but they're nowhere near as advanced as what we're seeing in the pressure spinal space, in the gold space specifically.

Randy Smallwood: We'll add one thing I'd say of the split of opportunities we're looking at approximately half would be for as precious metals as a byproduct from these polymetallic . Okay, and you said you were up to like 20-ish or so, is that what I heard? We're somewhere around 15 to 17 in that range, but it changes every day.

Speaker Change: I will add one thing I'd say of the split of opportunities we're looking at, approximately half would be as Precious Metals as a byproduct from these polymetallic acids [inaudible]

Speaker Change: Okay, and you said you were up to like 20-ish or so, is that what I heard? We're somewhere around 15 to 17 in that range, but it changes every day. Yeah, so sure.

Randy Smallwood: And then I guess the last one I would have to add is just ask is on corporate transactions. How do you view that in your Yeah, I would just say that as long as we've got 15 to 20 assets in front of us looking at it, our preference is to go down that path. You know, we've we've We've been at this business now for over 20 years and I think a good old Wheaton stream has a lot of benefits, a lot of strength in terms of how it's structured. Transcription by https://otter.ai Challenges and what we've seen is a lot of people will give up weaknesses in terms of structure or how a deal is put together.

Speaker Change: And then I guess the last one I would have to add is just ask is on corporate transaction. [inaudible]

How do you view that in your Mac? [inaudible]

Speaker Change: Yeah, I would just say that as long as we've got 15 to 20 assets in front of us looking at it, our preference is to go down that path, you know we've we've

Speaker Change: We've been at this business now for over 20 years and I think the little Wheaton stream has a lot of benefits, a lot of strength in terms of how it's structured.

Speaker Change: The security and stuff. And as soon as you start looking at corporate transactions, what you're doing is acquiring someone else's...

Speaker Change: Challenges and what we've seen is a lot of people will give up weakness in terms of structure or how a deal is put together.

Speaker Change: to try and get their foot in the door. And that means it just doesn't have the same strengths. We've seen lots of evidence of that lately in terms of companies that are challenged because they gave up structural weaknesses and now they're paying the penalty for that. And so, you know, it's...

Randy Smallwood: We've seen lots of evidence of that lately in terms of companies that are challenged because they gave up structural weaknesses and now they're paying the penalty for that. So we like good old Wheaton Streets. That doesn't mean we don't look at other streams. We have acquired portfolios of assets. Two years ago, we bought a bunch of stuff from Orion. They were existing streams. They were priced accordingly. If they'd had good structure, they're probably worth a bit more. So it is something that we're pretty sensitive to. And our preference is to put our own deals in place.

Speaker Change: We like good old wheat streets. That doesn't mean we don't look at other streams. We have acquired, you know, Portfolios of Assets, two years ago we bought a bunch of stuff from Orion.

Speaker Change: You know, much of assets from Ryan, they were existing streams, you know, they were priced accordingly if they'd had good structures, they're probably worth a bit more, right? And so, so it is something that we're pretty sensitive to.

Randy Smallwood: And we still see a lot of appetite on that front. I'll tell you, I'll just add one thing, we do keep our finger on the pulse. So we're always modeling a lot of these junior companies, the ones that we think, you know, have or could could create value for us down the road. But as Randy said, as long as we continue to be able to acquire assets at net asset value or less, streamlines, that's, that's the route we'll take. Okay, great. Thank you and congrats on a good start.

We still see a lot of appetite on that front.

Speaker Change: Now Tanya, on this one thing, we do keep our finger on the pulse so we're always modeling a lot of these junior companies, the ones that we think are could create value for us down the road. But as Randy said, as long as we continue to be able to acquire assets at net asset value or less.

Streams Eyes, that's through, we'll take. Thanks.

Speaker Change: Okay, great. Thank you and congrats on a good start to the year.

unknown: Thank you, Tanya.

Thank you, Tanya.

Derick Ma: Your next question is from Derick Ma from TD Cowan, please go ahead. Thank you very much. Picking up on your comments on HUD Bay, we've talked in the past about levels of royalties, which could potentially overburden any one individual asset. How do you think about royalty burden or leverage more holistically from a corporate level of your partners? And is that something that concerns you? Go ahead. In terms of...

Speaker Change: Your next question is from Derrick Ma, from TD Cowan, please go ahead [inaudible]

Speaker Change: Thank you very much. Picking up on your comments on HUD Day, we've talked in the past about levels of royalty which could potentially overburden any one individual asset. How do you think about royalty burden or leverage more holistically from a corporate level of your partners, and is that looking that concerned to you?

Yes go ahead. In terms of

Randy Smallwood: From our perspective, Derick, we try to not take too much of the economics of any specific asset. A lot of the older contracts, when some of the precious metals were much less important, they did have some higher levels of precious metals streams. But if you see everything we've done of late, we try to stay well under a reasonable amount such that even if commodity prices drop 20, 30, 40%, we are not overburdening the assets such that it has to shut down or make some significant changes. So we're very cautious as to what we do here in this environment.

From our perspective, Daniel, sorry, Derrick. [inaudible]

Speaker Change: We try to not take too much of the economics of any specific asset, a lot of the older contracts [inaudible]

Speaker Change: when some of the precious metals were much less important. And, uh...

Speaker Change: You know, they did have some higher levels of precious metal streams.

Speaker Change: But if you see everything we've done of the link, we try to stay well under a reasonable amount such that even if commodity prices drop 20, 30, 40%, we are not overburdening the assets such as a shutdown or make some significant changes. So we're very cautious as to what we do here in this environment.

Randy Smallwood: What is the reasonable amount of economics in terms of one individual asset? Optimally, we'd like to stay under 20-25%. Yeah, Derick, it's, you know, every project is different in terms of its own operating margins, right? So that's one of the things that we always have to stand top of. It's why Wes and the operations team, we keep such a close pulse to how our partners are doing, right? We, we really do put a focus on first and second quartile assets, because that's why, you know, it delivers healthy margins, not only for us. But I think most importantly, for our operating partners, if our operating partners aren't healthy, we're not.

Speaker Change: What is the reasonable amount of economics in terms of one individual asset?

Optimally, we'd like to stay under 20-25% . . . .

Speaker Change: Yeah, Derick, it's, you know, every project is different in terms of its own operating margins, right? So that's one of the things that we always have to stand off of. It's why, less than the operations team, we keep such a close pulse to how our partners are doing, right?

Speaker Change: We really do put a focus on first and second quartile assets because that's why it delivers healthy margins not only for us.

Speaker Change: but I think most importantly for our operating partners. If our operating partners aren't healthy, we're not. And so we're constantly on the pulse of that. You know, I would say that one of the things that makes

Randy Smallwood: And so, so we're constantly on the pulse of that.

Randy Smallwood: You know, I would say that one of the things that makes Wheaton a little bit unique in that front is that we do manage our portfolio. And, you know, we don't just buy things and stick them on the shelf and wait them out. There's a, there's a life, there's a time in mines when you, when streams make a lot of sense as a competitive source of capital to help run that. But as a mine matures, it may get a little bit too much of a and I guarantee we will again in the future where we look for ways to, to, to, you know, back out of mines as they get a little bit more tired, a little bit more expensive and keep, make sure that we focus on keeping a nice, tight, Transcription by https://otter.ai and I think that's a differentiating factor between us and our peers is that you know we really do focus on we're not we're not here to just sort of take a scattergun lottery approach of just adding assets and trying to cover the world with it we want a nice tight concise profitable group of assets that we focus on and so you know we're constantly managing our existing I'm not just adding to it.

Speaker Change: Wheaton a little bit unique in that front is that we do manage our portfolio and we don't just buy things to come on the shelf and wait them out. There's a life there's a time in mind when you when streams make a lot of sense as a competitive source of capital to help run that. [inaudible]

Speaker Change: But as a mind-mature, it may get a little bit too much of a burden and we're not scared to...

Speaker Change: to Crystalize. We have in the past and I guarantee we will again in the future where we look for ways to you know back out of minds as they get a little bit more tired, a little bit more expensive and keep make sure that we focus on keeping a nice tight.

Speaker Change: Clean, Profitable Portfolio of Assets in our company. And I think that's a differentiating factor between us and our peers is that, you know, we really do focus on, we're not, we're not here to just sort of take a scattered gun lottery approach of just adding assets. [inaudible]

Speaker Change: and trying to cover the world with it. We want a nice tight, concise, profitable group of assets that we focus on. We're constantly managing or existing. [inaudible]

Randy Smallwood: If I'll add one more thing, Derick, I'll say, if you look at our contract structures, they are very thoughtful structures. They typically start with higher streams when they've got higher grades. And as the grades drop off, the streams drop off. And that's all factored into the original valuation. And it's all based on threshold levels being met, etc. So, you know, we ensure that we're not overburdening the asset throughout its existing life. It's so important. It's, you know, if our partners aren't profitable, profitable. So, you know, we need to do everything we can to stay on top of that and make sure that that we work that way.

portfolio, not just adding to it.

Speaker Change: If I'll add one more thing, Derick, I'll say if you look at our contract structures [inaudible]

Speaker Change: They are very thoughtful structures. They typically start with higher streams when they've got higher grains and as the grades drop off, the streams drop off [inaudible] They are very thoughtful.

Speaker Change: It's so important, if our partners aren't profitable, so we need to do everything we can to stay on top of that and make sure that we work that way, and I really think that's the difference of a streaming partnership versus some of the traditional space in this business work. [inaudible]

Derick Ma: And I really think that's the difference of a streaming partnership versus some of the traditional space in this. I appreciate that.

Randy Smallwood: And maybe that's a good segue to my next question, which is on amendments to existing PEMPAs, you know, appreciating every situation is different. But broadly speaking, what kind of considerations are, is Wheaton looking for when you start these negotiations with your partners? And when does amendments make sense? Sure. Listen, we're only looking to change contracts structurally when it makes sense, as you said. And when does that make sense? It usually makes sense towards the latter end, when the mines really mature, the grades come off, and it depends on what commodity price cycle you're in. So we're not out there looking to make amendments.

Speaker Change: I appreciate that, and made up a good segue to my next question, which is on amendments.

Speaker Change: to existing tempas, and appreciating every situation is different but broadly speaking, what kind of considerations is we've been looking for when you've got these negotiations to your partners and when does an amendment to make sense for we've been.

Sure, we're only looking to-

Speaker Change: change contracts structurally when it makes sense, as you said. And when does that make sense? It usually makes sense towards the latter end when the mine's really mature, the grades come off, and depends on what commodity price cycle you're in. So we're not out there looking to make amendments. Our partners typically come to us and say, listen,

Randy Smallwood: Our partners typically come to us and say, listen, this is what we're seeing. We want to make an expansion, or we want to continue to drill this project, but it doesn't make sense because the project is taking too much of the actually expand our overall portfolio through other opportunities that they may have, change the areas of interest, just get... So where we give up value, we always get value. We're not just giving up amendments to our shareholders. I'd say Derick as well, that's one of the reasons that we monitor very closely the health of all of our assets so that we're aware of how these streams are doing and at what point and what things are actually negotiable.

Speaker Change: This is what we're seeing. We want to make an expansion, and we want to continue to drill this project, but it doesn't make sense because the project is taking too much of the economics. Usually we'll come in, we'll look at ways to actually expand our overall portfolio through other streams, other opportunities that they may have, change the areas of interest, just get, so where we give up value, we always get value. We're not just giving up amendments to...

to our shareholders detriments.

Speaker Change: I'd say, Derick, as well, that's one of the reasons that we monitor very closely the health of all our asses, so the we're aware of...

Speaker Change: How these streams are doing and at what point and what things are actually negotiable, so but but as, as the, if it's that really it is, we need to get value back for any of those amendments that we did.

Randy Smallwood: So, but as Haytham said, really, it is we need to get value back for any of those.

unknown: Great, thank you for that.

Great. Thanks for that.

Brian Macarthur: Thanks, Terry.

Thanks, Eric.

Brian Macarthur: Your next question is from Brian MacArthur from Raymond James. Please go ahead.

Speaker Change: Your next question is from Brian MacArthur from Raymond James, please go ahead [inaudible]

Brian Macarthur: Good morning and thank you for taking my question. I kind of want to go back to what Tanya was talking about. When you talk about these $500 to billion deals now, are they what I would call?

Brian Macarthur: The Global Deals, where it's a billion dollars of streaming, or are they more 500 of streams and say 300 of equity and other things? And just in general, if you can maybe comment as you do more of these. [inaudible]

Brian Macarthur: Full funding packages. What sort of ratios you look for in the stream component of the deal on a full value basis? Because obviously, you know, the streaming models very unique and nice and tends to get a better multiple than maybe equity does if you're buying that in a deal.

Haytham Hodaly: Sure, happy to answer the question, Brian, it's Haytham again. I would say that the streams are our core business, and when we're talking 500 to a billion in streams or royalty, that's the primary contract. That's not looking at revolvers or working capital facilities or equity or debt. That's just what we're looking at from a streaming perspective. There are opportunities, obviously, where we will come in and provide a big chunk of the overall funding, but we typically like to see the counterparty with some skin in the game. To answer your second question, is there a ratio?

Brian Macarthur: I would say the streams are our core business. So when we're talking 500 to a 1 billion streams or royalties that that's the primary contract that's not looking at revolvers or working capital facilities or equity or debt. That's just what we're looking at from a streaming perspective, there are opportunities, obviously, where we will come in and provide a big.

Brian Macarthur: A chunk of the overall funding, but we typically like to see some counterparty with some skin in the game and to answer. Your second question is there a ratio I would say.

Brian Macarthur: I would say, if we're going to put up anything that's not a stream, at least 80 plus percent of that value has to be stream. Great. Thanks very much. Very clear.

Brian Macarthur: If we're going to put up anything that's not a stream at least 80 plus percent of that value has to be a st.

Speaker Change: Great. Thanks, very much very clear.

Brian: It's Brian.

Randy Smallwood: And with that, thank you, everyone, for your time today. Q1 set a strong foundation for what we expect will be another strong year as Wheaton's portfolio of high-quality assets, sector-leading growth profile, and commitment to sustainability provides our stakeholders with a solid outlook for the future. In times of economic uncertainty, gold is viewed as a reliable store of value, and our Q1 results demonstrate why we believe Wheaton offers one of the best lower-risk opportunities for investors seeking exposure to gold and precious metals.

Brian: And with that thank you everyone for your time today Q1 set a strong foundation for what we expect will be another strong year as weakness portfolio of high quality assets sector, leading growth profile and commitment to sustainability provides our stakeholders with a solid outlook for the future in times of economic uncertainty gold is viewed as a reliable store valued at our Q1 <unk>.

Brian: Also demonstrate why we believe Wheaton offers one of the best lower risk opportunities for investors seeking exposure to gold and precious metals. We look forward to speaking with you all again. Thank you.

Operator: We look forward to speaking with you all again. Thank you.

Operator: Ladies and gentlemen, this concludes your conference call for today. We thank you for participating and ask that you please disconnect your lines.

Speaker Change: Ladies and gentlemen, this concludes your conference call for today, we thank you for participating and ask that you. Please disconnect your lines.