Brian McArthur

Brian McArthur of Raymond James inquired about the Prieska project, specifically the status of the Glencore term sheet and the necessary steps for the project to advance beyond South African regulatory approvals. He also sought clarification on Triple Flag's funding obligations for the stream, asking if they must commit once the 'uppers' section is decided or if they can wait for the 'deeps' section.

Answer

James Dendle, COO, explained that Prieska is being staged, with the 'uppers' developed first and the 'deeps' (which host precious metals and exploration upside) progressively thereafter. He noted the supportive non-binding letter of intent from Glencore. Dendle clarified that Triple Flag has the right, but not the obligation, to fund the stream into the deeps and can wait until the deeps are ready for a final investment decision, likely in 2026, while benefiting from a small royalty on the project as a whole when the uppers begin production.

Brian McArthur sought an update on the Priesca project, specifically regarding the term sheet signed with Glencore and the necessary steps for the project to advance, beyond South African regulatory approvals. He also clarified if Triple Flag's funding option for the deeps zone is independent of the uppers zone development timeline.

Answer

James Dendle, COO, explained that Priesca is being disaggregated into 'uppers' (historical mine remnants) and 'deeps' (untouched sulfide ore body, Triple Flag's primary interest). He noted the supportive non-binding letter of intent from Glencore and stated that Triple Flag has the right, but not the obligation, to fund the stream into the deeps when a final investment decision is made for that specific zone, expected in 2026. He confirmed that Triple Flag can wait for the deeps to be ready, as the company will progress dewatering for the deeps while mining the uppers, and Triple Flag's small royalty applies to both zones.