Insight

The cost of stream financing for copper miners

Loading current market price

Get this report

Loading current market price

Get this report as part of a subscription

Enquire about Subscriptions

Already have subscription? Sign In

Further information

Pay by Invoice or Credit Card FAQs

Contact us

Submit your details to receive further information about this report.

  • An error has occurred while getting captcha image

Report summary

Project financing through streaming and royalty contracts was fairly inconsequential in 2004. Since then, these contracts have cumulatively injected US$10.3 billion into the mining sector. When considering mines affected by a streaming or NSR contract (roughly 5% of our copper mine coverage, or 2Mlb) we conclude that at the C1 cash cost level, the inclusion of streaming contracts results in a 15c/lb paid Cu increase in costs due to the lower net revenue received from precious metals.

What's included

This report contains

  • Document

    Price scenario analysis.xls

    XLS 75.00 KB

  • Document

    List of major streams and royalties.xls

    XLS 166.50 KB

  • Document

    The cost of stream financing for copper miners

    PDF 449.77 KB

  • Document

    The cost of stream financing for copper miners

    ZIP 517.21 KB

Table of contents

Tables and charts

This report includes 10 images and tables including:

Images

  • The cost of stream financing for copper miners: Image 1
  • Degree of contract leverage to metal price changes (Bull versus Bear case scenario)
  • Relationship between life of contract (LoC) yields and capital raised from 2004 until 2015
  • C1 cash cost sensitivity for mines affected by stream financing
  • C3 cost sensitivity for mines affected by streaming and royalty financing
  • Indexed price performance of the major stream/royalty financiers compared with copper and gold miners

Tables

  • Base case metal price assumptions
  • Bear case metal price assumptions
  • Bull case metal price assumptions
  • Valuations for 31 streaming and royalty contracts – valued under our base case scenario

You may be interested in

    
            
            
            
            
            
            
            
            
    

Questions about this report?

  • Europe:
    +44 131 243 4699
  • Americas:
    +1 713 470 1900
  • Asia Pacific:
    +61 2 8224 8898