Franco-Nevada Provides Update on Corporate Activities; Over $100 Million Invested YTD

Franco-Nevada Corporation

is pleased to provide an update on its corporate activities and details for the release of its 2011 financial results. Recent transactions - over $100 million invested YTD Timmins West - Franco-Nevada has acquired a 2.25% net smelter return ("NSR") royalty from Lake Shore Gold Corp. on the Timmins West Complex in Ontario for US$35 million. Timmins West is currently undergoing a production expansion and the royalty covers a large land position with promising resource growth potential. In addition to the royalty, Franco-Nevada acquired 10,050,591 common shares of Lake Shore Gold for C$15 million. Weyburn Unit - Franco-Nevada has added to its working interest in the Weyburn Unit in southeast Saskatchewan for approximately C$55 million. This is a long-life, conventional unitized oil operation operated by Cenovus Energy Inc. With this addition, Franco-Nevada's existing 1.11% working interest in the Weyburn Unit has more than doubled to 2.26%. Bronzewing - Franco-Nevada has increased its royalty on Navigator Resources Limited's Bronzewing mine in Western Australia from 1% to 2% for A$4.5 million. All three acquisitions are on producing assets that are expected to contribute cash flow in the first quarter of 2012. Net of these acquisitions, the Company has a remaining cash balance of over $700 million available for further investments. First Uranium asset sales and Sudbury mine plans In March 2011, Franco-Nevada acquired Gold Wheaton Gold Corp. which owned two South African gold stream assets managed by First Uranium Corporation and three precious metals stream assets in Sudbury managed by Quadra FNX Mining Ltd. On March 2, 2012 First Uranium announced that it has agreed to sell its principal operating assets, both of which are subject to Franco-Nevada's gold streams. The sales are subject to certain conditions, including security holder and other approvals. Mine Waste Solutions (MWS): AngloGold Ashanti Limited has agreed to acquire MWS for US$335 million. Franco-Nevada has been advised that AngloGold intends to continue to process the MWS tailings dumps but will also start to process its own tailings dumps through the MWS plant. The parties have agreed that Franco-Nevada will be entitled to receive 25% of all the gold produced through the MWS plant including treatment of the AngloGold tailings until Franco-Nevada has received 312,500 ounces of gold starting January 1, 2012. Ezulwini: Gold One International Limited has agreed to acquire the Ezulwini mine for $70 million. Franco-Nevada will continue to receive its 7% gold stream interest on Ezulwini's gold production. Franco-Nevada has been advised Gold One is exploring the potential to process ore from its nearby Cooke operation at the Ezulwini mill and while this ore will not be subject to the Franco-Nevada gold stream, it could improve the overall economics of the Ezulwini operation. First Uranium had previously announced that it would consolidate mining to higher grade areas, reduce the workforce and partially write down the carrying value of this asset.