Due Diligence Process As a royalty and streaming company, we do not operate mining or energy projects or exercise control over their development or operation. Accordingly, the most critical stage for identifying and assessing risks associated with an asset, including sustainability - related risks, is prior to entering into a royalty or streaming agreement. We believe that giving appropriate consideration to sustainability - related factors in connection with the companies, projects, and jurisdictions in which we deploy capital supports the long - term performance of our business. For each royalty or streaming opportunity, we undertake a comprehensive review of sustainability - related considerations to help inform our investment decisions. When evaluating third - party royalty acquisition opportunities, we may have limited access to project - specific information, as we are not directly engaged with the operator. Notwithstanding this limitation, we review sustainability - related and other relevant information available in the public domain and from external experts, including with respect to the matters described in this section. While our due diligence processes may vary depending on the nature of the opportunity, we typically assess the sustainability - related factors outlined in the following table before making an investment decision. Health, Safety, & Human Rights Community & Social Impacts § Historical and current health, safety, and human rights records of the project and operator § Workplace standards and protections, including policies and practices related to occupational health and safety, labour conditions, and worker protections § Respect for fundamental rights and freedoms, including commitments relating to freedom of association, the elimination of forced labour, human trafficking and child labour, and the promotion of non - discrimination and equal opportunity § Community and social impacts, including the effects of mining, operations, and related activities on surrounding communities, including Indigenous Peoples, women, children, employees, and migrant workers § Social and geopolitical context, including any history of social unrest and relevant political or economic instability in the region where the project is located § Community engagement and consultation practices, including community initiatives, engagement and support programs, and prior consultation with Indigenous groups Climate & Environmental Impacts Governance & Ethical Standards § Tailings and waste rock management, including the design and operation of tailings facilities and adherence to applicable tailings standards § Water - related risks and management, including water sourcing, usage requirements, and management plans § Project design to minimize environmental impacts and environmental performance history, including any material environmental incidents associated with the project § Hazardous and toxic materials management, including handling, storage, and disposal practices § Air quality considerations, including air emissions and dust management § Climate - related impacts, including operators’ carbon footprint, emission - reduction commitments, targets, and alignment with net - zero objectives § Energy profile of operations, including energy sources, consumption requirements, and efficiency measures § Exposure to carbon pricing mechanisms, including applicable carbon taxes or emissions - trading regimes § Impacts on biodiversity and ecosystems, including effects on fauna and flora and any no - net - loss or biodiversity offset commitments § Mine closure and reclamation planning, including closure strategies, reclamation measures, and post - closure monitoring § Ethical conduct and integrity, including the operator’s ethical track record and any history of corruption or regulatory non - compliance § Reputation and standing, including the operator’s reputation at the local, national, and international levels § Policies, programs, and practices, including sustainability - related and governance frameworks implemented by the operator § External certifications and assurance, including any relevant certifications obtained at the operator or project level § Alignment with recognized industry standards, including operator commitments to the Responsible Gold Mining Principles (RGMPs), the principles of the International Council on Mining & Metals (ICMM), the Canadian Institute of Mining, Metallurgy and Petroleum (CIM), Towards Sustainable Mining (TSM), or other applicable standards Franco-Nevada Corporation 5