#Canada #Vancouver #Credit Facility #Gold Royalty #Production Updates

Gold Royalty Corp. Boosts Financial Flexibility

Gold Royalty Corp. (NYSE American: GROY) has officially announced a significant amendment to its revolving credit facility, increasing its borrowing capacity to $150 million. This adjustment aims to enhance the company's financial flexibility while reducing interest costs, in line with its strategic growth objectives. With this enhancement, the facility now comprises a $125 million secured revolving credit line, with an additional accordion feature allowing for a further $25 million under specific conditions.

The new facility will incur an interest rate based on the Secured Overnight Financing Rate (SOFR), ranging from 2.25% to 3.25%, marking a decrease of 25 basis points from previous terms. This facility is set to mature in November 2028 and is supported by a syndicate of banks, including the Bank of Montreal, National Bank Capital Markets, and the Royal Bank of Canada.

Growth Strategy and Financial Benefits

Andrew Gubbels, Chief Financial Officer of Gold Royalty, expressed optimism about the financing arrangement. He highlighted that this increased facility not only reduces the cost of capital but also provides a solid foundation for executing the company's growth strategy effectively in the coming years. With strategic acquisitions made recently, this new facility is expected to aid in leveraging new opportunities within the metals and mining sectors.

Positive Developments in Portfolio Assets

Alongside this financial boost, Gold Royalty has observed encouraging updates regarding its royalty and streaming portfolio. The company holds interests in a number of promising projects, some of which include:

• - Borborema (2.75% NSR): Aura Minerals recently reported a robust production output of 15,777 gold equivalent ounces for the fourth quarter of 2026, reflecting a significant 54% increase quarter-over-quarter. There are ongoing plans to potentially double the plant capacity to reach 4 million tonnes per annum, alongside essential upgrades to the water management systems, expected in the second quarter of 2026.

• - Borden (0.5% NSR): Discovery Silver announced progress in its underground drilling efforts at the Main Zone, extending mineralization along a 300-meter strike length as of February 2026. This prospect highlights the growth potential at the Borden project.

• - Côté Gold (0.75% NSR): IAMGOLD provided updates focusing on optimizing mining processes, with significant enhancements made in secondary crushing systems and upcoming plans for a technical report assessing an expanded mine plan.

• - County Line (3% NSR): Fortitude Gold highlighted operational milestones, including the commencement of mining operations and the first mineral shipment to processing facilities in early January 2026.

• - Granite Creek (10% NPI): Recent high-grade assay results reaffirm the geological model's accuracy and the continuity of the deposit, indicating promising developments at this underground site.

• - Odyssey (0.5% - 3.0% NSR): Agnico Eagle reported progress on the shaft sinking project at Odyssey, with completion expected in early 2027. Further evaluations are underway to assess the possibility of a second shaft.

Future Projections

David Garofalo, Chairman and CEO of Gold Royalty, expressed excitement about the progressing developments on cornerstone assets throughout 2026. With aspirations to drive revenue and cash flow growth, the company anticipates substantial contributions from projects like Granite Creek, Odyssey, Ren, South Railroad, and Tonopah West from 2027 through 2030.

Alice Still, the Company’s qualified person, emphasizes that all technical disclosures comply with Canadian standards, reassuring stakeholders about the credibility of the information provided. As Gold Royalty continues to navigate the evolving landscape of the gold market, its strategic financial decisions and asset acquisitions are expected to secure a profitable future for investors and stakeholders alike.

In summary, Gold Royalty’s strengthened financial positioning and positive operational updates signal a promising trajectory as it aims to maximize shareholder value and expand its influence in the mining industry.