Royal Gold Provides Update on Pascua-Lama Construction
Royal Gold, Inc. (NASDAQ:RGLD) ?(TSX:RGL) announced
that Barrick Gold Corporation today revised the date for initial gold
production from its Pascua-Lama project. Initial gold production,
previously expected in mid-2013, is now expected in mid-2014, with an
approximate 50-60 percent increase in capital costs from the top end of
its previously announced estimate of $4.7-$5.0 billion. Royal Gold is
not required to contribute to any Pascua-Lama capital costs. The Company
now expects to begin receiving royalty revenue from Pascua-Lama when
production begins in mid-2014, instead of mid-2013 as previously
anticipated. Tony Jensen, President and Chief Executive Officer,
commented, 'We are disappointed that the construction schedule has been
extended but we continue to believe that Pascua-Lama is a world-class
gold project and expect that, upon completion of mine construction,
Pascua-Lama will become one of our cornerstone royalty assets for the
next couple of decades.'
CORPORATE PROFILE
Royal Gold is a precious metals royalty company engaged in the
acquisition and management of precious metal royalties and similar
interests. The Company′s portfolio consists of 193 properties on six
continents, including interests in 39 producing mines and 26 development
stage projects. Royal Gold is publicly traded on the NASDAQ Global
Select Market under the symbol 'RGLD,? and on the Toronto Stock Exchange
under the symbol 'RGL.? The Company′s website is located at www.royalgold.com.
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Cautionary 'Safe Harbor? Statement Under the Private Securities
Litigation Reform Act of 1995: With the exception of historical
matters, the matters discussed in this press release include
forward-looking statements that involve risks and uncertainties that
could cause actual results to differ materially from projections or
estimates contained herein. Such forward-looking statements include
statements regarding the timing of initial production from and capital
costs related to Barrick′s Pascua-Lama project and the commencement of
Royal Gold′s receipt of initial revenues from the project. Factors that
could cause actual results to differ materially from such
forward-looking statements include, among others, Barrick′s ability to
bring the project into production on time and with capital costs in
accordance with its revised budget, precious metals prices, economic and
market conditions, as well as other factors described in our Annual
Report on Form 10-K, and other filings with the SEC. Most of these
factors are beyond the Company′s ability to predict or control. The
Company disclaims any obligation to update any forward-looking statement
made herein. Readers are cautioned not to put undue reliance on
forward-looking statements.
Royal Gold, Inc.
Karen Gross
Vice President and Corporate
Secretary
(303) 575-6504