Triple Flag Precious Q2 2026 Earnings Call: Complete Transcript

Triple Flag Precious (NYSE:TFPM) held its second-quarter earnings conference call on Thursday. Below is the complete transcript from the call.

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Summary

Triple Flag Precious reported a strong Q2 2026, with 29,000 GEOs sold, $117 million in adjusted EBITDA, and a 42% increase in operating cash flow per share year-over-year.

The company announced a settlement with StepGold, a $440 million acquisition of a gold stream on Ravenswood Gold mine, and increased 2026 GEO guidance to 100-110,000 ounces.

Strategic growth initiatives include mine developments at Hope Bay and Northparkes, and feasibility work at Arthur, supporting long-term growth beyond 2030.

The company increased its annual dividend to $0.24 per share and repurchased $20 million of shares, emphasizing shareholder returns.

Triple Flag Precious maintains a strong balance sheet with $1.1 billion in liquidity, positioning it for future growth opportunities.

Management highlighted the robust cash flow and strategic acquisitions as drivers for ongoing shareholder value creation.

Full Transcript

OPERATOR (Angela)

Ladies and gentlemen, thank you for standing by. My name is Angela and I will be your conference operator today. At this time I would like to welcome everyone to the Triple Flag Precious second quarter 2026 conference call. I'd like to remind everyone that this call is being recorded and that all lines have been placed on mute to prevent any background noise. After the speaker's remarks, there will be a question and answer session. If you would like to ask a question during this time, simply press star followed by the number one on your telephone keypad to raise your hand and enter the queue.

If you would like to withdraw your question, press star one again. Thank you. I would now like to turn the call over to Mr. Sheldon van der Koy, Chief Executive Officer and Director. Please go ahead.

Sheldon van der Koy, Chief Executive Officer and Director

Thank you, Angela, and thank you for joining us to discuss Triple Flag Precious second quarter 2026 results. With me on the call this morning are Iban Bari, our Chief Financial Officer, and James Dendel, our Chief Operating Officer. This quarter marks a milestone for our company. Triple Flag is entering its second decade, and we are doing so with the strongest organic growth profile in our history and a clear track record of compounding shareholder value.

H1 was the strongest six months in the history of our company. Q2 was another strong quarter. We sold nearly 29,000 GEOs, we generated $117 million of adjusted EBITDA, and we delivered operating cash flow per share of $0.54, up from $0.38 in Q2 of last year. This represents 42% growth in cash flow per share, with our high-margin, top-line exposure to gold and silver prices translating directly into per share cash flow. June was a milestone month for Triple Flag.

In the span of two weeks, we announced three important developments. First, we reached the settlement agreement with StepGold that fully resolves all our outstanding disputes. We received all obligations and arrears on signing, and we have secured guaranteed fixed gold deliveries over the next 10 years along with long-term exposure to production from the Ato mine. We initially invested $28 million in Step and have already received over $60 million of returns to date in addition to the over 34,000 ounces of gold to be delivered over the next 10 years.

Second, we announced and closed the acquisition of a $440 million gold stream on the Ravenswood Gold mine in Queensland, Australia. This is a cornerstone addition to our portfolio that delivers immediate cash flow from a large-scale, long-life, low-cost operation. The first deliveries were received in July of this year. And third, on the strength of these two developments, we increased our 2026 GEO guidance to 100 to 110,000 ounces and raised our 2030 outlook to 150 to 160,000 GEOs.

Q2 was also a fantastic quarter for demonstrating the organic growth driven by mine development and mine life extension. In May, Agnico Eagle announced a positive construction decision at Hope Bay, a milestone that we have pointed to for several quarters and one that firmly anchors our growth beyond 2030 outlook. At Northparkes, the E48 sublevel cave is ramping up and its growth plans continue to advance, including a mill expansion study to 10 million tons per annum.

And at Arthur, feasibility work and drilling are underway on a world-class greenfield deposit following the pre-feas released earlier this year. Finally, an important part of our capital allocation strategy remains returns to shareholders. We are pleased to announce our fifth consecutive annual increase of our dividend since we listed in 2021, which now equates to an annualized dividend of $0.24 per share. Additionally, we repurchased $20 million of shares in the open market during the quarter, taking advantage of the opportunity presented by the markets.

I will now turn it over to Ivan to discuss our financial results for Q2 2026.

Iban Bari, Chief Financial Officer

Thank you, Sheldon. As Sheldon highlighted, we had a very strong quarter, a portfolio producing 28.7 thousand GEOs, resulting in the first half of nearly 59,000 GEOs. This puts Triple Flag Precious on track to achieve our increased 2026 guidance. Across the chart, adjusted EPS were up 63%, adjusted EBITDA was up 54%, and most importantly, cash flow per share was up 42% year over year. Operating cash flow per share is the metric that most directly compounds to shareholders over time, and our strong margins ensure that higher metal prices flow directly through to our shareholders.

This strong cash flow generation continues to support all our capital allocation priorities. We view a progressively growing dividend as a core part of our capital allocation strategy and one that's sustainable across all metal prices. Our dividend has now been increased to $0.24 on an annualized basis, up 4% from the prior dividend. I'm proud that we've increased our dividend every year since our IPO. On buybacks, we have said that we view our shares as being undervalued, and we acted on that view this quarter, repurchasing $20 million worth of shares in the open market.

The NCIB remains an active part of our shareholder return strategy, and we will continue to be opportunistic. Lastly, I would like to comment on our balance sheet. Despite deploying $440 million on the Ravenswood acquisition, $20 million in share buybacks, and our normal course dividend, we exited the quarter with over $1.1 billion of available liquidity. We funded Ravenswood with cash on hand and drawings from our revolving credit facility, and given the cash-generating power of our business, with over $100 million of operating cash flow this quarter alone, we expect to repay this facility rapidly during 2027 based on current metal brands.

Overall, a strong balance sheet, robust operating cash flows, and total liquidity over $1.1 billion gives us the capital to continue deploying dollars into accretive opportunities to drive future growth for the benefit of our shareholders. With that, I will turn it over to James to walk you through Ravenswood, Hope Bay, and our growth pipeline.

James Dendel, Chief Operating Officer

Thank you, Ivan. Starting with Ravenswood, where we hold a 5.5% gold stream, the mine is Queensland's largest gold mine and a top-10 Australian gold mine by reserves. There are several attributes we particularly like about this transaction. First, this is a producing, proven operation. Ravenswood has been in continuous production since 1987 and has produced a lot of gold. The gold stream generates cash flow immediately, with the first deliveries having commenced in Q3.

Second, the asset offers attractive scale, mine life, and costs. The expansion, completed in 2023, supports growth in annual production to more than 200,000 ounces, with the operation ramping towards that level by 2028 while sitting in the lower half of the global cost curve. Third, the mineral endowment is extensive and the exploration is compelling. Since 2020, roughly 800,000 ounces of reserve additions have outpaced 600,000 ounces of depletion, with multiple in-pit and near-mine targets adjacent to the Buck Reef West and Southfield pits.

Turning to Hope Bay, we hold a 1% NSR royalty on this Agnico Eagle project in Nunavut. In late May, Agnico Eagle announced a positive construction decision. The accompanying study contemplates a 6,000 tonnes per day underground operation producing 400 to 435,000 ounces of gold per year over an initial 11-year life. Mine host production is expected in 2030. What makes Hope Bay particularly exciting is what the initial plan leaves out. The 11-year mine life incorporates only about half of the declared mineral resource—55% of the measured and indicated and 48% of the inferred.

Beyond that, Agnico has over 90 regional targets across a highly prospective 80-kilometre greenstone belt, with 700,000 metres of drilling planned over the next five years. This includes drilling up the Boston deposit, which is not included in the PEA and is located 50 kilometres south of the producing deposits. Hope Bay has the potential to develop into a multi-decade, district-scale mining camp, and Agnico's decades of proven Arctic operating experience and established logistics routes make them the ideal operator to realize its potential.

Finally, I want to discuss some of the assets that will drive further growth beyond our 2030 outlook. This should provide a clear view to our shareholders of what will become core paying assets to Triple Flag. Arthur, Kemess, Hope Bay, and Northparkes are world-class, long-life assets located in established mining jurisdictions. At Arthur, a pre-feasibility study was released in February, forming the basis of permitting to commence 2027. The current nine-year life of mine is the beginning of a much longer life.

AngloGold has described the study as the top of the iceberg, noting that Arthur is a marquee asset that will anchor AngloGold's portfolio in the 2050s. At Kemess, Triple Flag holds a 100% silver stream. The 2026 PEA supports a large-scale copper-gold-silver operation reaching production by 2031, leveraging existing brownfield infrastructure and permits from previous mining operations. The PEA mine plan represents only 47% of the total resource tonnes, providing upside for further ounces to be included in an upcoming PFS in mid-2027.

As I mentioned, we expect Hope Bay to commence production in 2030 with a ramp-up thereafter. And finally, Northparkes and Triple Flag's large asset there. Numerous growth projects have recently been approved by Evolution which will unlock value for a world-class copper and gold mine. These include the E22 block cave, the E44 gold open pit with minimum delivery guarantees, and most importantly a potential mill expansion to at least 10 million tons per annum, the latter two of which are currently being studied over the next year.

We believe that the mill expansion is the optimal path to unlock value for not only the 625 million tonnes of total current resources, but other prospective underexplored targets that could materially add to the production profile with increased scale and processing optionality. Taken together, these four assets are diversified across long-life, district-scale systems in Nevada, British Columbia, Nunavut, and Australia, and they are all operated by high-quality counterparties, representing the foundation for further organic growth beyond 2030.

I'll now pass it back to Sheldon.

Sheldon van der Koy, Chief Executive Officer and Director

Thank you, James. Our business model generates shareholder value through reinvesting our robust cash flows into accretive additions to the portfolio. In the past 18 months since the start of 2025 we've deployed over $900 million into new high quality streams and royalties. Trey Crabatis, Arcata and Azuka, Arthur Monera Florida, the Johnson Camp and Gunnison royalties, the North Parks E44 stream, and now Ravenswood. These are all high quality assets operated by high quality operating teams.

The bulk of this capital has been deployed in Australia and the United States. We are deployed on attractive returns for our shareholders. Triple Flag Precious shareholders will benefit from these portfolio additions for decades to come. I'd like to close by stepping back and looking at what Triple Flag Precious has created over its first decade. A portfolio of 242 streams and royalties, 36 of them producing with peer-leading exposure to Australia.

We remain firmly focused on generating shareholder value. We have increased our GEO production every year since our 2016 founding. We have increased our dividend every year since our 2021 IPO. We are active buyers of our own shares and management and the board remain founders and substantial owners of the company. Looking forward, the picture is even stronger. We had a strong first half with robust growth in operating cash flow per share and we delivered $550 million of transactions that will benefit our shareholders for decades to come.

Our increased guidance calls for 100 to 110,000 GEOs this year, growing to 150 to 160,000 GEOs in 2030 from a de-risked pipeline that James just walked you through. And finally, we have over 1.1 billion of available liquidity to continue pursuing accretive opportunities over the remainder of the year and beyond. That concludes our prepared remarks. Operator, please open the floor to questions.

OPERATOR (Angela)

Thank you. We will now begin the question and answer session. If you have dialed in and would like to ask a question, please press star one on your telephone keypad to raise your hand and enter the queue. If you would like to withdraw your question, simply press star one again. If you are called upon to ask your question and are listening by a loudspeaker on your device, please pick up your handset and ensure that your phone is not on mute when asking your question.

And your first question comes from the line of Cosmos with CIBC. Your line is now open.

Cosmos Chiu, Analyst at CIBC

Hi. Thanks Sheldon, Yvonne and James and congrats on a strong first half. Maybe my first question is on North Parks. James, you kind of touched on it, but the E44 development study is expected by the end of June 2027. Still some time away, but is there any kind of progress or any kind of updates at least on that study that you can provide to us?

James Dendel, Chief Operating Officer

Yeah, obviously can't get too far ahead on the studies, but I think it's important to highlight there's a number of things happening at North Parks. Evolution has recently approved coarse particle flotation project and debottlenecking in the processing plant that opened up capacity. And then the two big milestones or developments in conjunction with that. And one, the development of the E22 block cave, which is the next kind of frontier of mining at North Parks in conjunction with the expansion of the mill.

And the base expansion of the mill is 10 million tonnes, but it could be higher than that. That's precisely what Evolution is studying at the moment. So that work's ongoing and there's been capital allocated towards those studies. So we look forward to seeing the results of that next year. And then E44 is relatively straightforward from a study point of view. It's, you know, a reasonably well-defined pit that really requires, you know, ore mining and then treatment in conjunction with the other ore feeds.

So the study element of that is quite straightforward. So, you know, I think that the focal point for us will be seeing, you know, how big of an expansion is done at the mill next year.

Cosmos Chiu, Analyst at CIBC

Great, that's great to hear. Maybe, you know, sticking with Australia. Ravenswood, good to see. You know, the first monthly delivery was received in July 2026. So can I take it that I guess Q3 is going to be a normal sort of quarter or is there still some kind of ramp up factors that, you know, we should be aware of? And as you mentioned during the acquisition presentation, a normal quarter will be 2,300 to 3,300, you know, GEOs per quarter. So again, is it Q3 going to be a normal quarter or is there any factors that we should still consider?

James Dendel, Chief Operating Officer

Yeah, look, it will be ramping up because there are capital projects going on to open up the Sarsfield Lowland pits and then that scales up towards 200,000 ounces plus run rates up to 2028. During that period it'll be relatively normal, but there's a ramping profile for that asset.

Cosmos Chiu, Analyst at CIBC

Okay, maybe switching gears a little bit. Sierra Lindo, it's been a great, you know, asset for Triple Flag Precious, but now there's been a step down that happened in April. You know, Sierra Lindo is one of your larger silver, you know, streams. I guess my question is, you know, with that sort of coming down and a bit of a, you know, decrease in silver at least contribution wise. Are you still happy, Sheldon, with your, you know, gold, silver, copper and other mix as it stands today?

Sheldon van der Koy, Chief Executive Officer and Director

Yeah, thanks. Thanks, Kaz. Bottom line is we are happy. Like we're a precious metals company and we're always looking for high quality gold, high quality silver exposure and we think we have that in spades. You know, we long anticipated the Sierra Lindo step down and, you know, and as you pointed out, hitting the step down is significant and Sierra Lindo remains a very substantial asset for Triple Flag Precious going forward. It's still going to be one of our largest contributors.

There are no further step downs after this. You know, Sierra Lindo's even looking at putting new capital into that project. So that's great. We benefit from that. And in terms of silver exposure over the longer term, I mean we have Sierra Lindo, we have Veridica, we actually get quite a bit of silver out of North Parks, so that's fantastic. We have things like Arcada and Azuka which are silver and, you know, we've highlighted chemist as well, you know, and so that's silver exposure as well.

So there's still a lot of silver in the portfolio.

Cosmos Chiu, Analyst at CIBC

Great. And then maybe one last question. You know, likely for Eban, but going through your income statement I noticed that taxes were fairly low. One slightly over a million dollars. G&A was also very fairly low, 3.8 million whereas first half totaled, you know, closer to 10 million. So, you know, decrease from Q1. So I guess, you know, Eban, what's the sustainable rate here? Is this representative of what we can expect for the remainder of the year?

Iban Bari, Chief Financial Officer

Well, thanks, thanks for the question. Our G&A largely was impacted by mark-to-market on our share price, which has a pretty significant impact on the DSUs, RSUs and so forth. Our run rate is, you know, essentially it's based on what we've guided to the market, which is about 30 to 32. So on a quarterly basis, assuming all things being equal, we expect $7 to $8 million worth of G&A for the quarter. With respect to tax being lower, you know, it's a combination of tax benefits due to the share price decreases.

Right. You get a benefit as well as mark-to-market on some of our prepays. So these are recoveries essentially, but the cash taxes remain pretty consistent.

Cosmos Chiu, Analyst at CIBC

Yeah, it's kind of funny, Eban, you know, talking about the benefits because the share price decreased. So for you I hope that you pay more taxes because that means the share price is going up. But again those are all the questions I have. Thanks for answering all my questions and congrats again on a very strong first half.

Sheldon van der Koy, Chief Executive Officer and Director

Thanks, Kaz.

OPERATOR (Angela)

Your next question comes from the line of Josh Wolfson with RBC Capital Markets. Your line is now open.

Josh Wolfson, Analyst at RBC Capital Markets

Yeah, thank you very much. Just sort of two quick ones. First question is on Presca. It sounds like the operator there is moving forward towards construction commencement. You know, how should we think about the stream option? I guess also when could we expect that to be exercised, if it's exercised? And what would be the timelines for funding? Thank you,

Sheldon van der Koy, Chief Executive Officer and Director

Josh, I can answer that. It's worth just remembering that when we entered into the stream transaction, the development plan was the deeper part of the ore body. There's an upper zone and a deeper zone and the deeper zone is the lion's share of the economics, probably over 95% of the value. So the streamer is predicated on getting the deeper zone into production. The company has subsequently reorientated the development of the asset to do it in more of a staged manner, which actually is a very appropriate way of developing an asset for developing companies.

So all that to say we still have the right but not obligation to fund the stream and, you know, the asset looks great. Glencore has come in with a very considerable financing to get them off the ground. But our focus is still on the deeps. So when the company moves towards an investment decision on the deeps, which we expect to be next year, we'll look to do a valuation and presumably invest in the stream at that time. But all the signs we have at the moment are great.

You know, the economics of our stream are very robust and I think having a supportive capital provider alongside us in Glencore is a good endorsement of the project and provides ample capital to get the project up and running and fully developed deeps as well.

Josh Wolfson, Analyst at RBC Capital Markets

Okay, thanks. And then Teresa brought us. I know it's a pretty small contributor today. You know, the release talks about phase two. Is there any, you know, goalposts that can be provided in terms of what production could look like when it's expanded?

James Dendel, Chief Operating Officer

Yeah, there's been numerous expansion options there, Josh. You know, the phase two essentially doubles, but there's an opportunity to triple it from current levels. It is not fully determined as to how large the production rate goes. There are opportunities to take it even beyond the tripling of current levels. You know, our investment case is predicated on the mine running, you know, at the current nameplate of about 20,000 tonnes. So anything beyond that is great upside for us.

Josh Wolfson, Analyst at RBC Capital Markets

Great. Those are all my questions.

OPERATOR (Angela)

Thank you.

Sheldon van der Koy, Chief Executive Officer and Director

Thanks, Josh.

OPERATOR (Angela)

Your next question comes from the line of Fahad Tariq with Jefferies. Your line is now open.

Fahad Tariq, Analyst at Jefferies

Hi. Thanks for taking my questions. I wanted to come back to Ravenswood in the second half of the year. Can you just remind us if that's factored into the 2026 guidance or, and I think I may have missed this, but is it fair to assume the low end of the quarterly deliveries at 2,300 ounces per quarter in the third and fourth quarter of this year? Thanks.

Sheldon van der Koy, Chief Executive Officer and Director

Hi, Fahad, it's Sheldon. I'll answer that. So we've updated our guidance to say we're looking at the top half of our updated guidance. So, you know, the top half of that 100 to 110. And that does include the Ravenswood stream as well.

Fahad Tariq, Analyst at Jefferies

Okay, got it. And then maybe just switching gears, one for Eban on the balance sheet. I noticed the cash balance obviously came down just because of the transaction and the buybacks, but can you just remind us, like, minimum cash balance that the company typically targets going forward?

Iban Bari, Chief Financial Officer

Yeah, thanks. We generally, we're a business that we don't really need a whole lot of money to maintain the business. We generally try and limit how much cash we have on the balance sheet just given we've got a facility that's on. So for us, about $10 to $15 million is probably about the right number.

Fahad Tariq, Analyst at Jefferies

Okay, sounds good. That's it for me.

OPERATOR (Angela)

Thank you.

Sheldon van der Koy, Chief Executive Officer and Director

Thanks, bud.

OPERATOR (Angela)

Your next question comes from the line of Tanya Jokuskonek with Scotiabank. Your line is now open.

Tanya Jakusconek, Analyst

Oh, great. Good morning, everybody. Thank you so much for taking my questions. Maybe just to finish off on the outlook for the second half of the year, just, you know, Sierra Lindo stepped down, so that's occurring. We've got then Ravenswood production, you know, starting to contribute. How should we think the rest of the year with respect to Q3 and Q4? Originally it had been that the first half was supposed to be higher than the second half. But how should I be thinking about the second half in Q3 and Q4?

Sheldon van der Koy, Chief Executive Officer and Director

Yeah. Hi, Tanya, this is Sheldon. You know, we obviously have our, you know, H1 to date and we have our full-year guidance. And so, you know, if you're looking for the split between Q3 and Q4, there's no real big differences we're seeing between the quarters. But again, we don't give quarterly guidance. So it's really the annual guidance and working towards that annual figure we give in the market.

Tanya Jakusconek, Analyst

No, it's just more with Q3 and Q4. Like, if there's not that much difference, that's fair enough. Maybe my next question, if I could, was to come back to James. When you talked about those four key assets, beyond 2030, you know, you can quickly do the math on, you know, Hope and Arthur Gold and see that contribution. So as you think about beyond 2030 you've got that 150 to 160,000 GEOs. Are we looking with the remaining two getting closer to 200,000?

Like is it something in the 20 to 50,000 ounce range that these additional ounces will contribute?

James Dendel, Chief Operating Officer

Yeah, I mean obviously, Tanya, defining the outlook, we're focused on the assets that we think have a clear line of sight contributing in that time frame. Of course there are other development-stage projects earlier and, you know, at study level and need a few things to happen before they could contribute. But they certainly have studies that could show contributions that build, you know, above the outlook range. But, you know, we're always reluctant to include those in our outlook until we gain confidence.

You know, I think one of the other big variables is Northparkes. There's a lot of potential to add incremental gold to Northparkes, particularly given the increased processing capacity and the way that Evolution is looking at gold-only mineralization of that property. You know, of course beyond E44 we don't have a great line of sight on that right now because there's still work to be done. But I think E44 will certainly continue far beyond the minimum deliveries.

The life of that pit is likely, you know, at least double the minimum delivery quantum. I'm very confident there are further gold discoveries to be made. So I think I'd be looking to Northparkes for some sort of unexpected additions to that profile. And then of course as we see projects become more solid from a permitting and capital provision perspective, we'll add those to profile too and we expect that to stack on top of the numbers we've shared.

Tanya Jakusconek, Analyst

Yeah, I'm just really interested, James, in these four. Like what could these four contribute?

James Dendel, Chief Operating Officer

Well, yeah, I mean you could put the studies together, Tanya, and I think that there's probably quite a bit more that Arthur could contribute beyond the PFS. You know, I think Hope has a great deal of potential over and above the 400 to 435,000. I think in the mid-2030s that could be a much bigger number. You know, I think Ms. Go for longer but the annual outputs are probably, you know, fairly fixed by the study. But I really think it's Arthur and Hope that have the greatest potential to grow annual production above the numbers we have in front of us today.

Tanya Jakusconek, Analyst

Yeah, that's about 15,000 GEOs. I don't know what the other two would contribute. Sorry, I was just trying to. So greater than 15,000. Okay, my next question then comes back to just, maybe even how are we handling—just how should I think about the capital returns from your share buyback versus your dividend? You know, you bought back that 20 million this quarter. Should I be thinking that, you know, if we were to stay in this share price range that you will continue the share buyback?

Iban Bari, Chief Financial Officer

Yeah, thanks. Thanks for the question. You know, we just raised our dividend and NCIB is part of our broader capital allocation strategy and we look at that along with deals that we're working towards and coming down the pipeline. So we'll be active on the market opportunistically and we'll step in when we see value. So that's pretty much it. We've got a program in place and we'll exercise discretion as we see fit.

Tanya Jakusconek, Analyst

Okay, and I guess my final question then is just on the transaction environment, maybe just kind of review if anything in that has changed. We talked about it last quarter. It was in the 100 to 500 million range. It was mainly in asset builds and maybe some third-party royalty transactions. So where are we on this now? Has anything changed? Has the structure of some of the deals changed? Anything for us to be aware of?

Sheldon van der Koy, Chief Executive Officer and Director

Hi, Tanya. Sheldon. I'll take that one. Really. It's remarkably the same and you've seen, you know, how much we've managed to deploy over the last 18 months. And I would say the pipeline right now seems as robust as it's ever been. That transaction range that you cited I think is still pretty accurate, that 100 to 500. But, you know, we're also seeing some transactions that would even be larger than that. Also comments on jurisdictions: I'd say generally what we're seeing are jurisdictions that shareholders would generally be comfortable with.

So anyway, we're still active. The corp dev team is busy and, you know, we're going to see what we can do.

Tanya Jakusconek, Analyst

And Sheldon, are they mainly in gold or are you seeing some silver transactions as well?

Sheldon van der Koy, Chief Executive Officer and Director

You know, it's really a mix of metals, you know, including like, you know, I’d say predominantly gold. You know, there's some silver as well. There's probably some non-precious that might be attractive as well. But the bulk of what we're looking at really falls into that precious metals, again, right down the fairway of what our shareholders really are looking for.

Tanya Jakusconek, Analyst

You said non-precious metals as well. Is that something like you're looking at beyond gold and silver and non-precious?

Sheldon van der Koy, Chief Executive Officer and Director

Yeah, I mean, like, we have a long list of things we look at and there are some non-precious and we've done that before, right. Like Tricomatis has been a fantastic investment for us, you know, and so we'll look at that on a very opportunistic basis. We're never going to take the portfolio away from being like a 90% gold and silver.

Tanya Jakusconek, Analyst

Okay. All right. Thank you so much for taking my questions and good luck.

Sheldon van der Koy, Chief Executive Officer and Director

Thanks, Tanya.

OPERATOR (Angela)

Again, if you would like to ask a question, please press star one in your telephone keypad to raise your hand and enter the queue. And your next question comes from the line of Brian MacArthur with Raymond James. Your line is now open.

Brian MacArthur, Analyst at Raymond James

Good morning and thank you for taking my questions. Most of them have been answered. But can I just ask about Mpowa? I mean you got $10.5 million this quarter. I'm not as familiar with that asset but it's ramped, you know, it's changed over the last number of years, but that's like up significant versus any other time period and, you know, gold price is down over Q1. Is that a normal run rate going forward? Has something changed there or was there a catch up or how should I think about that going forward?

Iban Bari, Chief Financial Officer

Brian, thanks. I'll take that question. So typically Mpala has been pretty consistent on a quarter over quarter. I think you're probably seeing this quarter is one of the last deliveries slipped into Q2 from Q1. That's probably why Q2 is a little bit higher than the prior quarters, but typically they're pretty consistent in terms of quantum of the deliveries.

James Dendel, Chief Operating Officer

Though, Brian, you can expect to see slightly higher deliveries coming out of the steel drift mining area in the next year or two. The company's been very public about increasing the output of that mine. Not hugely, but there is an uptick from the current levels expected.

Brian MacArthur, Analyst at Raymond James

Right. But if I was sort of just to look at—so divide by two over the six months and have a bit of a ramp and adjust for the gold price is how I should think about it.

Iban Bari, Chief Financial Officer

Yeah, that's a reasonable perspective.

Brian MacArthur, Analyst at Raymond James

Great, thanks very much.

Sheldon van der Koy, Chief Executive Officer and Director

Thanks, Brian.

OPERATOR (Angela)

That concludes our question and answer session. I will now turn the conference back over to Mr. Sheldon van der Koy for closing remarks.

Sheldon van der Koy, Chief Executive Officer and Director

Thank you, Angela, and thanks everyone for dialing into our call. We've had a very strong start to the year and we're looking forward to continuing the performance over the back half of the year. Thank you all for attending. Bye.

OPERATOR (Angela)

Ladies and gentlemen, that concludes today's call. Thank you all for joining. You may now disconnect.

Disclaimer: This transcript is provided for informational purposes only. While we strive for accuracy, there may be errors or omissions in this automated transcription. For official company statements and financial information, please refer to the company's SEC filings and official press releases. Corporate participants' and analysts' statements reflect their views as of the date of this call and are subject to change without notice.