Wheaton Precious Metals is one of the largest precious metals streaming companies in the world. And with gold prices rising, they are cutting new deals.

‍What’s happening:‍

• Wheaton Precious Metals (NYSE: WPM) has entered into a new gold streaming deal with Montage Gold (TSXV: MAU)
  

By the numbers:‍

• Wheaton Precious Metals will pay Montage Gold $625M USD in cash upfront and ongoing payments for gold ounces that are delivered at 20% of the price of spot gold
  
• Wheaton Precious Metals will also provide $75M USD in debt financing to Montage Gold to help fund production from their One gold project
  
• Montage Gold expects they will produce 60,000 ounces of gold annually for the first 5 years of mining operations and 47,000 ounces of gold for the following 10 years
  

Why it matters:‍

• Gold prices have soared to new all time highs, which has caused a spike in capital inflows to promising early stage publicly listed gold exploration projects and even caused Costco (NASDAQ: COST) to be unable to keep up with the demand for physical gold purchases from customers
  

Going deeper:‍

• Montage Gold has some of the world’s largest precious metals companies as shareholders, including the Lundin Group and Zijin Mining
  
• Montage Gold’s Kone project is widely considered to be one of the highest quality gold mines in all of Africa, with high grade deposits and very low production costs

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