International Royalty reports record revenues of US$49.9 million

    AMEX:  ROY

    DENVER, CO, March 10 /CNW Telbec/ - International Royalty Corporation
(AMEX:   ROY, TSX: IRC) (the "Company", or "IRC") today reported its fourth
quarter and fiscal 2007 financial results. All figures are in United States
dollars unless noted otherwise.

    Financial Highlights

    Revenues for 2007 increased 245% to $49.9 million, as compared to
$20.3 million for 2006. Royalty revenues in the fourth quarter of 2007 were
$12.7 million, compared to $9.5 million in the fourth quarter of 2006.
    Cash flow from operations increased 677% to $26.5 million or $0.39 per
share for 2007, as compared to $3.9 million or $0.07 per share in 2006. For
the fourth quarter of 2007, cash flow from operations was $7.4 million or
$0.10 per share, compared to $5.7 million or $0.10 per share in the fourth
quarter of 2006.
    For all of 2007, earnings from operations were $19.1 million or $0.28 per
share compared to $4.3 million or $0.07 per share in 2006. This represents an
increase of 447%. Earnings from operations for the fourth quarter of 2007 were
$3.0 million or $0.04 per share compared to $3.7 million or $0.06 per share in
the fourth quarter of 2006. The decrease during the fourth quarter of 2007 was
related to a one time charge of $1.7 million related to the pursuit of a
business opportunity, as well as an increase in royalty impairments of
$0.7 million.
    Net earnings during the fourth quarter of 2007 were $5.3 million or
$0.07 per share compared to $3.0 or $0.05 in the fourth quarter of 2006. The
fourth quarter of 2007 was positively impacted by a future tax credit of
$5.9 million during the quarter related to a reduction in income tax rates by
the Canadian government and negatively impacted by a $2.6 million foreign
currency loss.
    Net earnings for 2007 were $11.2 million or $0.16 per share compared to
$11.7 million or $0.20 per share in 2006.
    Payable production from the Voisey's Bay royalty was 33.8 million pounds
of nickel, a record 42.2 million pounds of copper and 1.5 million pounds of
cobalt in concentrate for the fourth quarter of 2007, compared to
27.9 million, 22.0 million and 0.8 million pounds, respectively, in the fourth
quarter of 2006.

    Business Development Activities

    On December 13, 2007, the Company purchased four royalties from Goldcorp
Inc. ("Goldcorp Royalties") for $4.0 million in cash, including transaction
    On December 21, 2007, the Company agreed to acquire 16 mineral royalties
from Rio Tinto PLC ("Rio Tinto"), including interests on the near-producing
Las Cruces copper and Avebury nickel mines, for $61.5 million in cash
($61.7 million with transaction costs), plus a potential contingency payment.
This transaction will close in two parts. The acquisition of the eleven
non-Australian royalties covered by the agreement closed on December 21, 2007.
On February 25, 2008 IRC received approval from the Australian Foreign
Investment Review Board for the acquisition of the Australian royalties
(Avebury, Bell Creek, Melba Flats, Merlin and Westmoreland). Completion of
this transaction is expected to occur upon resolution of outstanding rights of
first refusal.
    On February 22, 2007, the Company announced that it had entered into an
agreement to acquire a royalty on the Legacy Sand Project ("Legacy") in Nance
County, Nebraska for $12.0 million in cash. The project began production in
the second quarter of 2007, but has experienced technical problems in reaching
targeted output levels. Resolution of these technical issues was stalled by
on-going disputes between the former owners of Legacy. To resolve the dispute,
the partners have sold all of their interests in Legacy to a privately-held
purchaser (the "Buyer"). Under the terms of the sale, the Buyer will become
the manager of a new limited liability company, Preferred Rocks of Genoa
Holding Company, LLC ("Genoa"), formed to finance, own and operate the Legacy
project. A detailed plan has been formed to address existing technical issues
and at the same time double the Legacy plant production capacity to
1,000,000 short tons per year of frac and other products.
    To enable the sale and new investment, the Company restructured its
interest in Legacy, originally a fixed royalty of $4.75 per ton on the first
500,000 tons produced annually for a period of 12 years and a 2% gross royalty
thereafter, as well as a security interest in the sand lease. Accordingly, on
December 24, 2007, the Company and the Buyer completed a restructuring of its
interest in Legacy, wherein the Company received the following:

    - $6.0 million in cash,
    - a membership interest in Genoa paying a 10% preferred return on a
      deemed $8.0 million investment, including return of all capital before
      distribution of any cash to the manager, and
    - a residual net profits interest of 5.25% in the restructured Legacy

    Developments on Existing Royalties

    In the fourth quarter of 2007, Mercator Gold Plc began gold production at
its Meekatharra operations in Western Australia at an initial rate of
120,000 ounces per year. Production began in the Yaloginda project area, where
the Company owns a .045% net smelter return royalty and is expected to expand
into the Paddy's Flat project area in 2009, with a royalty rate of 1.5%.
    St. Barbara Limited also has announced the expected start of production at
its Gwalia Deeps underground project at an initial annual rate of
100,000 ounces of gold and ramping up to 200,000 ounces per year within
18 months. The Company holds a 1.5% net smelter return royalty on Gwalia
    In early 2009, production is expected to begin at Goldbelt Resources
Ltd.'s (recently acquired by Wega Mining) Inata gold project (Belahouro) in
Burkina Faso, West Africa on which the Company holds a 2.5% net smelter return

    Summary of Financial Information:

    ($ thousands,                      Three Months Ended       Year Ended
     except per share data)                December 31,        December 31,
                                       ------------------  ------------------
                                          2007      2006      2007      2006
                                       --------  --------  --------  --------
    Statement of Operations
      Royalty revenues                 $12,734    $9,527   $49,857   $20,346
      Earnings from operations           2,973     3,653    19,126     4,277
      Earnings (loss) before
       income taxes                        (43)    3,691     9,664     2,622
      Net earnings                       5,275     2,955    11,233    11,678
      Basic earnings per share:
        Earnings from operations         $0.04     $0.06     $0.28     $0.07
        Earnings (loss) before
         income taxes                   $(0.00)    $0.06     $0.14     $0.05
        Net earnings                     $0.07     $0.05     $0.16     $0.20
      Diluted earnings per share:
        Earnings from operations         $0.04     $0.06     $0.27     $0.07
        Earnings (loss) before
         income taxes                   $(0.00)    $0.06     $0.14     $0.05
        Net earnings                     $0.07     $0.05     $0.16     $0.20

    Statement of Cash Flows
      Cash provided from
       operating activities             $7,396    $5,669   $26,531    $3,921
      Basic cash flow per share          $0.10     $0.10     $0.39     $0.07
      Diluted cash flow per share        $0.10     $0.10     $0.38     $0.07

    Payable production and revenues on the Company's royalties and average
metal prices received were as follows:

                           Production and Revenue

                                          Quarter Ended         Year Ended
                                           December 31,        December 31,
                                       ------------------  ------------------
    Mine         Commodity    Royalty     2007      2006      2007      2006
    ---------------------------------- --------------------------------------
    Total Payable Metal Production (1)

      Williams        Gold  0.25% NSR       43        64       209       253

       Cross          Gold   1.5% NSR       46        55       166        95

      Voisey's Bay  Nickel   2.7% NSR   33,763    27,866   127,918    67,073
                    Copper   2.7% NSR   42,179    22,042    89,504    53,362
                    Cobalt   2.7% NSR    1,540       810     5,521     2,504

    ---------------------------------- ------------------  ------------------
    Revenue (thousands)
      Williams                             $85       $98      $360      $386
      Southern Cross                       541       497     1,733       870
      Voisey's Bay                      12,056     8,930    47,660    19,061
      Other                                 52         2       104        29
                                       ------------------  ------------------
                                       $12,734    $9,527   $49,857   $20,346
                                       ------------------  ------------------
                                       ------------------  ------------------

    (1) Gold is in thousands of ounces; nickel, copper and cobalt are in
        thousands of contained pounds in concentrate.

    Average metal prices realized
                                          Quarter Ended       Quarter Ended
                                           December 31,        December 31,
                                       ------------------  ------------------
                                          2007      2006      2007      2006
                                       ------------------  ------------------
    Gold, per ounce                       $788      $607      $696      $611
    Nickel, per pound (1)                13.87     13.65     16.63     11.62
    Copper, per pound (1)                 3.59      3.42      3.38      3.25
    Cobalt, per pound (1)                32.59     16.46     28.10     15.32

    (1) Before transportation, smelting and refining costs.

    Complete financial results are available on SEDAR and on the Company's
website at

    IRC invites you to participate in its conference call to discuss the year
end results.
    The Company will host this conference call Wednesday, March 12, 2008 at
1PM EDT, 11 AM MDT. To participate in the conference call, please dial
(416) 644-3418 or toll free (800) 731-5319. To ensure your participation,
please call approximately five minutes prior to the scheduled start of the
    Replay archive: Please dial 877-289-8525, passcode 21264360#. The
conference call will be replayed from Wednesday, March 12, 2008 3:00 PM EDT to
Wednesday March 19, 2008 11:59 PM EDT.
    The conference call will feature Mr. Douglas B. Silver, Chairman & Chief
Executive Officer, and Ray Jenner, Chief Financial Officer & Secretary.

    International Royalty Corporation

    International Royalty Corporation (IRC) is a global mineral royalty
company. IRC holds over 75 royalties including an effective 2.7% NSR on the
Voisey's Bay mine, a sliding-scale NSR on the Pascua gold project, a 1.5% NSR
on the Las Cruces copper project and a 1.5% NSR on more than 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 American Stock Exchange (AMEX:   ROY ).

    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 release are forward-looking
statements, including but not limited to, statements that describe IRC's
expectations as to the closing of the acquisition of the Rio Tinto project,
the resolution of technical issues and beginning of production for the Legacy
project, royalty revenue from the Meekatharra project and the production start
dates for the Gwalia Deeps and Belahouro projects on which IRC has royalties.
Financial information contained in this press release is unaudited. In certain
cases, forward-looking statements can be identified by the use of words such
as "plans", "expects" or "does not expect", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", or "does not
anticipate", or "believes" or variations of such words and phrases, or state
that certain actions, events or results "may", "could", "would", "might" or
"will" be taken, occur or be achieved. Since forward-looking statements are
not statements of historical fact and address future events, conditions and
expectations, forward-looking statements by their nature 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 ability of the mine
operators to finance and successfully place their projects into production.
IRC's forward-looking statements in this release regarding royalty revenue,
ongoing production and royalties, and the anticipated timing of the start of
production on several of the projects on which it has royalties is 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 these properties.
The forward-looking statements included in this release represent IRC's views
as of the date of this release. While IRC anticipates that subsequent events
and developments may cause IRC's views to change, IRC specifically disclaims
any obligation to update these forward-looking statements. These
forward-looking statements should not be relied upon as representing IRC's
views as of any date subsequent to the date of this release. 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.

For further information:

For further information: Jack Perkins, Investor Relations, (303)
991-9500; Douglas B. Silver, Chairman and CEO,(303) 799-9020,;; Renmark Financial
Communications Inc.: Barbara Komorowski:;
Melanie Lecavalier:; (514) 939-3989, Fax:
(514) 939-3717,

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