Wheaton Precious Metals Corp. (NYSE: WPM) (TSX: WPM) has entered into a definitive precious metals purchase agreement with KGL Resources for a portion of the gold and silver production from the Jervois Project in Australia, marking the company's first streaming transaction in the country. The agreement is expected to provide construction funding for the fully permitted copper project, which is nearing development. This move expands Wheaton's portfolio of assets tied to critical metals in stable jurisdictions aligned with global demand for low-carbon energy infrastructure.
Under the terms of the agreement, Wheaton will make an upfront cash payment of A$60 million to KGL Resources in exchange for 50% of the gold and 25% of the silver produced from the Jervois Project over the life of the mine. Additionally, Wheaton will make ongoing payments equal to 10% of the spot price for gold and silver delivered. The Jervois Project, located in the Northern Territory of Australia, is a high-grade copper-gold-silver deposit that has received all major environmental and mining approvals. KGL Resources plans to use the funds from the streaming deal to advance construction and bring the mine into production.
This transaction underscores Wheaton's strategy to diversify its streaming portfolio geographically and into metals critical for the energy transition. Copper, gold, and silver are essential components in renewable energy technologies, electric vehicles, and power grid infrastructure. By securing a stream from a project in a mining-friendly jurisdiction like Australia, Wheaton reduces geopolitical risk while gaining exposure to a high-quality asset. The Jervois Project is expected to have a mine life of over 10 years, with potential for extension through further exploration.
Wheaton Precious Metals is the world's premier precious metals streaming company, providing shareholders with access to a high-quality portfolio of low-cost, long-life mines. Through strategic streaming agreements, Wheaton partners with mining companies to secure a portion of their future precious metals production. The company is committed to responsible mining practices and employs due diligence processes aimed at unlocking long-term value for shareholders while supporting the broader mining industry. Wheaton's shares are listed on the Toronto Stock Exchange, New York Stock Exchange, and London Stock Exchange under the symbol WPM.
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