As we are now in the early stage of a fundamentally-driven gold uptrend, we’re speaking here, not of gold mining companies that actually own and operate mines, but those companies that provide capital to gold mining operations.
Streaming and Royalty companies provide cash up front to develop a mine, and in exchange, once the mine is active they get to buy a certain amount of gold and silver at far below market prices, or get a percentage of the output.
Companies in the royalty/streaming arena are considered lower risk as they have no direct exposure to the operating risk that mining companies generally face.
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