Franco-Nevada Moves Focus From Gold To This

KITCO NEWS -- Although well-known mining executive David Harquail remains optimistic on the gold sector, he says it may be time for Franco-Nevada to be looking at other commodities. Chief executive of the royalty company noted that it may be harder for royalty companies to find bargains in the precious metals space right now. "I think the reality right now in the gold space, in terms of us getting good deals, we can't really compete with the brokers," he told Kitco News at the Mines & Money conference in Toronto. "So, it might be time to look at other commodities and find better bargains in other commodities." However, Harquail remains optimistic on Franco-Nevada's potential, noting that he is "very relaxed" in this environment and the company continues to benefit from the $1.2 billion deployed for acquisitions this year. "If we do nothing, we've got growth for the next 5 years and pretty steady production."

This article is commentary by an independent contributor. At the time of publication, the author held TK positions in the stocks mentioned.