Royal Gold Reports Results for Second Quarter Fiscal Year 2013

Royal Gold, Inc. (NASDAQ:RGLD) ?(TSX:RGL) today announced net
income attributable to Royal Gold stockholders of $27.2 million, or $0.42per basic share, on record royalty revenue of $79.9 million for the
second quarter of fiscal 2013. This compares to net income attributable
to Royal Gold stockholders of $23.4 million, or $0.42 per basic share,
on royalty revenue of $68.8 million for the second quarter of fiscal
2012.

For the six-month period ended December 31, 2012, royalty revenue was
$157.7 million and net income attributable to Royal Gold stockholders
was $52.0 million, or $0.84 per basic share. This compares to royalty
revenue of $133.3 million and net income attributable to Royal Gold
stockholders of $45.9 million, or $0.83 per basic share, for the
six-month period ended December 31, 2011.

Adjusted EBITDA¹ for the second quarter of fiscal 2013 was a
record $73.4 million representing 92% of revenue, an increase of 18%
compared to Adjusted EBITDA of $62.1 million or 90% of revenue for the
prior year period. Cash flow from operations for the quarter was $10.9
million, or $0.17 per basic share compared with $29.3 million or $0.53
per share for the second quarter of fiscal 2012. Cash flow from
operations was negatively impacted by provisional income tax payments of
$22.6 million normally due during the quarter, and the timing of a
withholding tax payment of $17.2 million, which is expected to be
recovered in future periods.

The 16% increase in revenue for the quarter was largely driven by
increased production at Andacollo, Holt, Robinson, Mulatos, Las Cruces,
Canadian Malartic and Wolverine, as well as the higher average price of
gold and other metals. These increases were partially offset during the
period by production declines at Voisey′s Bay, Cortez, Leeville and
Dolores. The average price of gold for the quarter was $1,722 per ounce
compared with $1,688 per ounce for the comparable period, an increase of
2%.

As of December 31, 2012, the Company had a working capital surplus of
$762.5 million. Current assets were $781.1 million (including $680.7
million in cash and equivalents), compared to current liabilities of
$18.6 million, resulting in a current ratio of approximately 42 to 1. In
addition to available working capital, the Company had $350 million
available under its revolving line of credit.

Tony Jensen, President and CEO, commented, 'Our broad and diverse
portfolio of assets continues to provide strong financial results as
demonstrated by our record quarterly royalty revenue and Adjusted
EBITDA. During the quarter, the majority of our producing properties
performed well and, in particular, Andacollo recorded record gold
production. We were also pleased that Las Cruces reached its design
capacity, and several other properties continued to make steady progress
toward targeted production levels.?

RECENT DEVELOPMENTS

Acquisition of Additional Royalty Option on the KSM Project

In December, the Company increased the net smelter return ('NSR?)
royalty option it may acquire on the Kerr-Sulphurets-Mitchell ('KSM?)
project from 1.25% to 2.0%. The net cost to acquire the option was
approximately $3.6 million. The Company now holds the right to purchase
either a 1.25% NSR royalty for C$100 million, or a 2.0% NSR royalty for
C$160 million on all of the gold and silver production from the project,
payable in three equal installments over a 540-day period following
exercise of its purchase right. The options to purchase the NSR royalty
will remain exercisable for 60 days following Royal Gold′s satisfaction
that the project has received all material approvals and permits, has
sufficient committed funding for construction, and certain other
conditions have been met.

PROPERTY HIGHLIGHTS

Highlights at certain of the Company′s principal producing and
development properties during the quarter ended December 31, 2012 are
listed below:

Producing Properties

Andacollo ? Gold production increased during the quarter due to
higher grade ore and improved recoveries. Teck continues to increase
mill throughput rates as they de-bottleneck and optimize the plant.

Canadian Malartic ? Osisko reported that fourth quarter gold
production totaled 101,544 ounces with calendar 2012 output of 388,478
ounces. During the quarter, throughput was affected by a 6-day shutdown
to complete the installation of the second pebble crusher and to make
modifications to various conveying systems in the crushing and grinding
circuits. Osisko also announced calendar 2013 gold production guidance
of between 485,000 and 510,000 ounces.

Cortez ? Barrick continued to prioritize production from their
higher grade Cortez Hills operations that is not covered by our royalty
interest. As a result, production decreased during the period.

Dolores ? Pan American announced that calendar 2013 capital
expenditures will include construction of a third leach pad, significant
pre-stripping and the systematic rehabilitation of the mining fleet. Pan
American also announced calendar 2013 production guidance of between
3.25 million to 3.45 million ounces of silver and between 63,500 to
68,000 ounces of gold.

Holt ? St Andrew Goldfields reported production of 15,082 ounces
of gold for the quarter with mill recoveries at 94%. The operator stated
that construction of a new ore pass is complete and that it expects to
see increased production capacity once commissioning is finalized in
mid-January.

Las Cruces ? Inmet announced that calendar 2012 copper production
at Las Cruces increased by more than 60% to 67,700 tonnes from 42,100
tonnes in calendar 2011. The operator also announced calendar 2013
production guidance of between 68,500 to 72,000 tonnes of copper.

Leeville ? A portion of the mine production at Leeville was
derived from an area outside of our royalty interest resulting in a
decrease in royalty revenue over the prior period.

Mulatos ? Alamos reported record production of 67,800 ounces of
gold during the fourth quarter achieving its production guidance for the
year of 200,000 ounces of gold. Production for the quarter benefitted
from higher than budgeted throughput and grade from the gravity mill in
addition to record levels of quarterly crusher throughput that averaged
17,900 tonnes of ore per day.

Peñasquito ?Goldcorp reported that water availability
issues limited mill throughput rates. They plan to bring additional
water wells into production within the Cedros Basin in addition to new
dewatering wells within the Chile Colorado pit. The additional water
wells in calendar 2013 are expected to increase mill throughput to
105,000 tonnes per day. A hydrology study is underway to develop a
long-term water strategy and is expected to be completed during the
first half of 2013. Goldcorp also announced calendar 2013 production
guidance of between 360,000 to 400,000 ounces of gold and between 20 to
21 million ounces of silver.

Voisey′s Bay ? The variability in Vale′s shipping schedule
continues to result in uneven metal sales quarter-over-quarter. Copper
sales for the quarter were lower than expected due to increased sales
during the period ended September 30, 2012.

Wolverine ?Yukon Zinc stated that production growth
during the quarter was due to increased throughput, as they continue to
ramp up to design capacity, with improved metallurgical performance and
recoveries in the mill.

Development Properties

Mt. Milligan ? Thompson Creek announced that they received
notification from the Department of Fisheries and Oceans approving its
fish habitat compensation plan, as required by Environment Canada's
Metal Mining Effluent Regulations. This approval was the final step to
authorize deposition of tailings material into the zero discharge
tailings storage facility and the final authorization required to
operate the Mt. Milligan mine. Thompson Creek also reiterated that the
Mt. Milligan project remains on schedule with commercial production
expected in the fourth quarter of calendar 2013.

Pascua-Lama ? Barrick reported that construction management has
been transferred to Fluor and that the project team has been
significantly strengthened. As disclosed with its third quarter 2012
financial results, Barrick indicated it expected initial gold production
in the second half of 2014, and that the definitive estimate of costs
and schedule for the project would be complete by the time of its 2012
year-end results in mid-February.

Additional Property Information

Second quarter fiscal 2013 production and revenue for the Company′s
principal interests are shown in Table 1 and historical production data
is shown in Table 2. For more detailed information about each of our
principal interests, please refer to the Company′s most recent Annual
Report on Form 10-K, our Quarterly Reports on Form 10-Q and Current
Reports on Form 8-K filed with the SEC and available on the SEC′s
website located at www.sec.gov,
or our website located at www.royalgold.com.

CORPORATE PROFILE

Royal Gold is a precious metals royalty company engaged in the
acquisition and management of precious metals royalties and similar
interests. The Company owns interests on 205 properties on six
continents, including interests on 39 producing mines and 28 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.

Note: Management′s conference call reviewing the second quarter
results will be held todayat 10:00 a.m. Mountain Time (noon
Eastern Time) and will be available by calling (800) 603-2779 (North
America) or (973) 200-3960(international), access #85826820. The
call will be simultaneously broadcast on the Company′s website at www.royalgold.com
under the 'Presentations? section. A replay of this webcast will be
available on the Company′s website approximately two hours after the
call ends.

________________________

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 are 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 about the
Company′s assets continuing to deliver strong financial results; further
production increases at Andacollo, Peñasquito, Canadian Malartic, Holt,
and Wolverine; and the operators′ expectation of production,
construction, ramp up, reaching design capacity, throughput, water
availability and other developments at various mines. Factors that could
cause actual results to differ materially from the projections include,
among others, precious metals, copper and nickel prices; performance of
and production at the Company's royalty properties; decisions and
activities of the operators of the Company's various properties;
unanticipated grade, geological, metallurgical, processing or other
problems the operators of the mining properties may encounter; delays in
the operators securing or their inability to secure necessary
governmental permits; changes in operator′s project parameters as plans
continue to be refined; economic and market conditions; the ability of
the various operators to bring projects into production as expected; and
other subsequent events; as well as other factors described in the
Company's Annual Report on Form 10-K, Quarterly Report on Form 10-Q, and
other filings with the Securities and Exchange Commission. 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.

SCHEDULE A

Non-GAAP Financial Measures

The Company computes and discloses Adjusted EBITDA. Adjusted EBITDA is a
non-GAAP financial measure. Adjusted EBITDA is defined by the Company as
net income plus depreciation, depletion and amortization, non-cash
charges, income tax expense, interest and other expense, and any
impairment of mining assets, less non-controlling interests in operating
income of consolidated subsidiaries, interest and other income, and any
royalty portfolio restructuring gains or losses. Other companies may
define and calculate this measure differently. Management believes that
Adjusted EBITDA is a useful measure of the performance of our royalty
portfolio. Adjusted EBITDA identifies the cash generated in a given
period that will be available to fund the Company's future operations,
growth opportunities, shareholder dividends and to service the Company's
debt obligations. This information differs from measures of performance
determined in accordance with U.S. generally accepted accounting
principles ('GAAP?) and should not be considered in isolation or as a
substitute for measures of performance determined in accordance with
U.S. GAAP. Below is a reconciliation of net income to Adjusted EBITDA: