La adquisición de Pedra Branca por Gold Royalty: ¿Un movimiento estratégico que desbloquea activos de royalty infravalorados?

The gold royalty sector has long been a niche but critical component of the broader mining and precious metals ecosystem. In recent months, Gold Royalty Corp. (GROY) has made a bold move to acquire a royalty stake in the Pedra Branca mine in Brazil, paying $70 million for a 25% net smelter return on gold and a 2% NSR on copper from the asset. This acquisition, which adds to Gold Royalty's portfolio of cash-flowing royalties and streaming interests, raises an important question: Is the company tapping into a broader trend of undervalued royalty assets in the gold sector?

A High-Grade Addition to Gold Royalty's Portfolio

The Pedra Branca mine, located in the Carajás region of Pará state, Brazil, is a copper-gold operation with robust reserves. According to BHP's annual report for the year ended June 30, 2025, the mine holds 3.8 million tonnes of proven and probable reserves at 1.83% copper and 0.49 grams per tonne (g/t) gold. The prior royalty holder received approximately $7.9 million in royalty expenses for the 12 months ended June 30, 2025, equivalent to 2,800 gold equivalent ounces at an average gold price of $2,811 per ounce.

This translates to a valuation multiple of roughly 8.9x (price-to-cash flow) for the royalty, a figure that appears strikingly low compared to historical benchmarks for the sector.

Gold Royalty's acquisition of the Pedra Branca royalty is particularly strategic given the mine's operational stability. The asset, operated by BHP, is set to be acquired by CoreX Holding BV, a move that is expected to extend the mine's life and unlock further value. The royalty structure, which covers both the Pedra Branca East and West deposits without step-down options, ensures full exposure to the asset's long-term potential.

Valuation Gaps in the Gold Royalty Sector

The Pedra Branca royalty's 8.9x multiple stands in stark contrast to the valuation multiples of its peers. As of August 2025, Royal Gold (RGLD) traded at an enterprise value (EV)/EBITDA multiple of 22.3x, while Osisko Gold Royalties (OR) commanded a multiple of 41.7x. Even Gold Royalty itself, despite reporting negative EBITDA in 2024, saw its EV/EBITDA multiple reach -171.4x, reflecting the volatility inherent in the sector. These figures suggest that the Pedra Branca royalty is priced at a significant discount to the broader market, even as gold prices hover near historic highs.

The valuation gap is further underscored by historical trends. The top 25 GDX constituents-gold mining stocks-currently trade at around 9x cash flow, a fraction of the 25x–35x multiples seen during the mid-2000s bull market. This disparity highlights a broader undervaluation of gold-related assets, including royalties, which offer structural advantages such as no operational costs and diversified revenue streams.

Sector Tailwinds and Strategic Positioning

Gold Royalty's acquisition aligns with a sector-wide shift toward leveraging high-grade, low-cost assets. The company's portfolio now includes eight cash-flowing assets and a pipeline of over 250 royalty and streaming interests. This diversification is critical in an environment where gold miners are consistently meeting or exceeding production and cost targets, bolstering investor confidence.

Moreover, the structural benefits of royalty and streaming models-such as leverage to rising gold prices and insulation from operational risks-have made them increasingly attractive to investors. With gold prices near $2,800 per ounce and ETF inflows surging, the sector is primed for a re-rating. Gold Royalty's acquisition of the Pedra Branca royalty, priced at a fraction of its peers' valuations, could serve as a catalyst for this shift.

Conclusion: A Case for Value Creation

Gold Royalty's $70 million acquisition of the Pedra Branca royalty is more than a tactical move-it is a strategic bet on the undervaluation of gold royalty assets. At a multiple of 8.9x, the royalty is priced well below historical averages and peer valuations, offering a compelling entry point in a sector poised for growth. As the company expands its portfolio and capitalizes on favorable macroeconomic conditions, the Pedra Branca royalty could become a cornerstone of its value creation story.

For investors, the lesson is clear: In a market where gold and mining stocks trade at historical lows relative to cash flow, the royalty sector presents an opportunity to unlock value through disciplined, high-conviction acquisitions. Gold Royalty's latest move suggests it is playing this hand with precision.