Wheaton Precious Metals (WPM) M&A Announcement summary

Deal rationale and strategic fit

• Acquisition of gold streams on the Koné Project in Côte d'Ivoire and Fenix Project in Chile for $625 million upfront and $75 million secured debt facility, plus $100 million for Fenix, enhances portfolio with near-term production and long-term growth.

• Koné is expected to become a top-producing asset, accounting for over 7% of total gold equivalent production by 2028, and leverages Montage's West African expertise.

• Both projects are operated by experienced teams, have strong shareholder backing, and emphasize ESG commitments and community benefits.

• Fenix is positioned as a significant near-term growth opportunity with strong expansion potential.

Financial terms and conditions

• $625 million for Koné paid in four equal installments from early 2025 to end of 2026, with $75 million secured debt facility and right of first refusal on future streams.

• Fenix Project: $100 million additional upfront in two installments, $20 million contingent cost overrun facility, and C$5 million private placement.

• Ongoing payments for delivered gold set at 20% of spot price, with a price adjustment if gold is below $2,100 or above $2,700 per ounce for the first five years.

• WPMI will purchase 19.5% of payable gold until 400,000 oz are delivered, then 10.8% for the next 130,000 oz, and 5.4% for life of mine.

• Both acquisitions funded from operating cash flow, maintaining financial flexibility.

Synergies and expected cost savings

• Full financing package replaces need for Montage to secure project debt, reducing dilution and aligning interests for long-term success.

• Both projects are expected to deliver meaningful near-term production, supporting growth in annual operating cash flows to over $1.4 billion for the next five years at current prices.

• Koné Project's low AISC of $998/oz and long 16-year mine life support strategy of acquiring low-cost, long-life assets.