Royal Gold has a long and celebrated history that began with our architect,
Stanley Dempsey, whose vision and entrepreneurial spirit laid the foundation
for our
Business Model. Our success did not come as a stroke of luck, but rather a culmination of
hard work and perseverance and the ability to reinvent and adapt ourselves to
changing times.
Our story began in 1981, as Royal Resources Corporation, an oil and gas
exploration and production company. After several good years, oil prices
collapsed in 1986, and this led the company to shift its focus from oil and
gas to gold. At the time, Mr. Dempsey was a director of Royal Resources and
co-founder of Denver Mining Finance Corporation (DMFC), a merchant bank to
mining companies. Later in 1986, Royal Resources acquired DMFC. The newly
formed company was called Royal Gold.
Mr. Dempsey and his co-founding partner at DMFC, Edwin Peiker, were asked to
manage the new company. Initially, Royal Gold had the goal of becoming a gold
operating company and actively pursued the acquisition of gold producers and
prospective exploration properties. But after a stock market pullback in 1987,
Royal Gold refocused again, with the goal of becoming a minority owner of
interests in significant gold properties operated by major mining firms.
It was this final approach that proved the most successful. With the eventual
acquisition of our original cornerstone royalty on the Cortez Pipeline Mining
Complex in Nevada, we established the high-margin business that we recognize
today as Royal Gold. It was also through work on Cortez that Mr. Dempsey would
meet and form a friendship with Tony Jensen, at one time the Mine General
Manager at Cortez, who would eventually succeed him as CEO.
During the first years of this new strategy, we acquired existing royalties on
mining projects. And, as the cash flow from these interests grew, we began
providing financing to mining companies directly in return for new royalties
and streams, which is the most recent iteration of our business.
Today, Royal Gold is a leading precious metals streaming and royalty company,
owning interests on several of the world’s most attractive mines. Collectively
managed by a team possessing a specialized skillset and extensive experience
in the mining industry, we have built a reputation for quality, diligence and
professionalism. Royal Gold has established itself as a partner of choice for
mining operators and a positive contributor to the environment and local
communities.