06:58 AM EDT, 07/15/2024 (MT Newswires) -- Franco-Nevada ( FNV ) on Monday said its subsidiary Franco-Nevada ( FNV ) (Barbados) has acquired a gold stream from SolGold plc ( SLGGF ) with reference to production from the Cascabel project in Ecuador.

Franco-Nevada Barbados (FNB) has partnered with Osisko Gold Royalties ( OR ) subsidiary Osisko Bermuda to provide a syndicated financing package on a 70%/30% basis, under which FNB will provide US$525 million and Osisko will provide US$225 million for a total of US$750 million.

A total of US$100 million, consisting of US$70 million from FNB and US$30 million from Osisko, will be allocated for pre-construction funding available as three equal-sized staged payments. The first tranche will be funded at closing with two further tranches, subject to development milestones.

FNB will make US$455 million available and Osisko will make US$195 million available for a total of US$650 million toward construction once the project is fully funded.

"Cascabel ranks amongst the best copper-gold development projects in the world and has the potential to add significant [gold equivalent ounces] to our growth pipeline," said Franco-Nevada President and CEO Paul Brink.

Franco-Nevada ( FNV ) will finance the transactions from cash on hand, with about US$1.3 billion in cash and cash equivalents and US$2.3 billion in available capital as of March 31.