International Royalty reports construction decision on world class Pascua gold royalty


    DENVER, CO, May 8 /CNW Telbec/ - International Royalty Corporation (TSX:
IRC, NYSE-Amex:   ROY) ("IRC" or the "Company") reports today that Barrick Gold
Corporation ("Barrick" or the "operator") announced that its world-class
Pascua-Lama project is proceeding to construction. IRC owns the largest
private royalty on the Chilean portion ("Pascua") of the Pascua-Lama project.
It is a sliding scale royalty that varies with the price of gold. At a current
spot gold price of around US$900/oz, the royalty rate would be 3.15% NSR and
is expected to produce US$20 million in annual revenues to the Company. IRC
purchased its Pascua royalty for a total of US$56.5 million in several
transactions occurring in January through August of 2007.
    According to the operator, Pascua-Lama currently has approximately 18
million ounces of contained gold in Proven and Probable Reserves, 4.7 million
ounces of Measured and Indicated Resources(1), and is expected to have a mine
life of more than 25 years. During the first five years of production, Barrick
estimates average cash costs of US$20-US$50/oz gold and average annual
production of about 750,000-800,000 ounces of gold. Commissioning of the
project is expected in late 2012 and production in early 2013. The operator
estimates pre-production construction costs of US$2.8-3.0 billion.(2) As a
royalty holder, IRC is not exposed to this or any future capital expenses for
the Pascua-Lama project.
    Additional information on the construction of the Pascua-Lama project is
available at
<a href=""></a>
<a href="">0Pascua%20Lama%20Go%20Ahead%20Webcast.pdf</a>.
    This press release has been reviewed by Peter Clarke of SRK Consulting, a
qualified person for the purposes of National Instrument 43-101.


    (1). Proven Reserves contain 42.68 million tons of ore at 0.050 oz/ton
         for 2.13 million ounces. Probable Reserves contain 397.55 million
         tons of ore at 0.039 oz/ton for 15.67 million ounces. Measured
         Resources contain 12.51 million tons of ore at 0.039 oz/ton for 487
         thousand ounces and Indicated Resources contain 118.99 million tons
         of ore at 0.035 oz/ton for 4.2 million ounces. Contained silver
         within reported proven gold Reserves are 75.54 million ounces at a
         grade of 1.77 oz/ton and contained silver within reported Probable
         gold Reserves are 642.08 million ounces at a grade of 1.62 oz/ton.
         Mineral Reserves and Resources have been calculated in accordance
         with National Instrument 43-101 as required by Canadian securities
         regulatory authorities. For a breakdown of Reserves and Resources by
         category and additional information relating to Reserves and
         Resources, see pages 21-31 of Barrick's 2008 Form 40-F/Annual
         Information Form on file with the U.S. Securities and Exchange
         Commission and Canadian provincial securities regulatory
    (2). News Release, Barrick Gold Corporation, May 7, 2009

    International Royalty Corporation

    International Royalty Corporation (IRC) is a global mineral-royalty
company. IRC holds more than 85 royalties including an effective 2.7% NSR on
the Voisey's Bay mine, a sliding-scale NSR on the Pascua-Lama gold project in
Chile, a 1.5% NSR on the Las Cruces copper project in Spain and a 1.5% NSR on
approximately 3.0 million acres of gold lands in Western Australia. IRC is
senior listed on the Toronto Stock Exchange (TSX:IRC) as well as the NYSE Amex

    On behalf of the Board of Directors,

    Douglas B. Silver
    Chairman and CEO

    Cautionary Statement Regarding Forward-Looking Statements

    Some of the statements contained in this document are forward-looking
statements, such as statements that describe IRC's future plans, intentions,
objectives or goals, and specifically include but are not limited to IRC's
expectations as to gold production levels at the Pascua-Lama mine, and
corresponding expected royalty revenue. In certain cases, forward-looking
statements can be identified by the use of words such as "expects", "enable",
"anticipates", "estimated" or words of similar effect. Since forward-looking
statements are not statements of historical fact and address future events,
conditions and expectations, forward-looking statements inherently involve
unknown risks, uncertainties, assumptions and other factors well beyond the
Company's ability to control or predict. Actual results and developments may
differ materially from those contemplated by such forward-looking statements
depending on, among others, such key factors as the prices of the underlying
commodities, accuracy of operator estimates, actual production at the
Pascua-Lama gold project, absence of production delays or regulatory issues
and other risks associated with mining operations. IRC's forward-looking
statements in this document regarding the anticipated production are based on
certain assumptions. Such assumptions include, but are not limited to, the
validity of statements made by the project operators in the public domain, and
their ability to finance, construct and successfully operate the Pascua-Lama
project. The forward-looking statements included in this document represent
IRC's views as of the date of this document and subsequent events and
developments may cause IRC's views to change. These forward-looking statements
should not be relied upon as representing IRC's views as of any date
subsequent to the date of this document. Although IRC has attempted to
identify important factors that could cause actual actions, events or results
to differ materially from those described in forward-looking statements, there
may be other factors that cause actions, events or results not to be as
anticipated, estimated or intended. Accordingly, readers should not place
undue reliance on any forward-looking statements.
    Cautionary note to U.S. Investors: The SEC permits the disclosure of only
those mineral deposits that can be economically and legally extracted and
produced. This news release uses the team "Measured and Indicated Resources"
which the SEC guidelines prohibit from inclusion in filing with the SEC.

For further information:

For further information: Jack Perkins, Director of Investor Relations,
(303) 991-9500; Douglas B. Silver, Chairman and CEO, (303) 799-9020,;; Renmark Financial
Communications Inc.: Barbara Komorowski,;
Christine Stewart,; Montreal: (514) 939-3989,
Fax: (514) 939-3717; Toronto: (416) 644-2020, Fax: (416) 644-2021;

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