Franco-Nevada acquires a silver stream on the Antamina mine from Teck for US$610 million

On October 7, 2015, Franco-Nevada Corporation (Franco-Nevada) agreed to acquire a silver stream on production from the Antamina mine (Antamina) in Peru from Teck Resources Limited (Teck). Teck owns a 22.50% interest in Compania Miñera Antamina S.A. ("CMA"), the Antamina joint venture company, along with partners BHP Billiton Plc (33.75%), Glencore Plc (33.75%) and Mitsubishi Corporation (10.00%). The stream will be based on all recovered silver from Teck's attributable 22.50% interest in the Antamina mine, subject to a fixed silver payability of 90%. Franco-Nevada will make a one-time US$610 million advance payment to Teck, funded by a wholly-owned, Canadian subsidiary of Franco-Nevada, upon closing of the transaction.

Antamina, located in the Peruvian Andes 270 km north-east of Lima, is the 8th largest copper mine in the world and is one of the lowest cost copper mines in the world.

Franco-Nevada is the leading gold-focused royalty and stream company with the largest and most diversified portfolio of cash-flow producing assets.

Teck is a diversified resource company committed to responsible mining and mineral development with major business units focused on copper, steelmaking coal, zinc and energy.

Further information can be found on Franco-Nevada's website.