Ecora Royalties (ECOR) Investor Update summary

Portfolio transformation and growth

• Critical minerals now contribute over half of portfolio value, driven by a 150% year-on-year increase in base metals exposure, especially copper.

• Acquisition of the Mimbula copper stream cemented copper as the core commodity, doubling annual copper production potential.

• Portfolio now features cash flows from assets with mine lives measured in decades, reducing historical volatility.

• Organic growth potential remains strong, with a layered growth profile across producing, expanding, and development-stage assets.

• Significant de-risking milestones achieved in specialty metals and uranium, with further project development expected.

Financial performance and capital allocation

• Portfolio contribution decreased by about 10%, mainly due to higher finance costs from acquisitions and FX impacts.

• Free cash flow conversion improved as Kestrel's share of income declined, reducing effective tax rates.

• Strong performance from Voisey's Bay (tripled contribution), Mantos Blancos (record production), and Mimbula (ramping up).

• Net debt remained flat year-on-year despite a $50 million acquisition, aided by asset disposals and accelerated contingent payments.

• Dividend for 2025 proposed at $0.02 per share, with a payout ratio maintained at 25%-35%.

Outlook and strategic priorities

• Expect further volume growth in copper and base metals in 2026, with Voisey's Bay and Mimbula ramping up.

• Life of mine at Voisey's Bay extended to 2044, with potential for further expansion.

• Mantos Blancos phase II expansion study expected later in the year, potentially increasing copper output to 100,000 tons.

• Portfolio strategy focuses on deep, liquid markets, with copper as the core, while evaluating selective exposure to other critical minerals.

• Comfortable leverage levels and significant headroom in debt facilities support continued acquisition and growth ambitions.