What you need to know: • Sailfish Royalty is a precious metals royalty and streaming company focusing on assets in the Americas. The Company has a strong respect for shareholder capital, currently offering a 5.0% dividend yield and actively repurchasing shares. • FISH has a 3% NSR on the Spring Valley project in Nevada that is expected to begin production in 2028 and scale to 349Koz Au per year. • FISH is generating steady cash flow from its royalties and a silver purchase agreement with Mako Mining in Nicaragua. Sailfish Royalty (FISH:TSXV, SROYF:OTC) is a mining royalty and streaming company focusing on gold and silver assets in the Americas. The Company’s crown jewel asset is a 3% NSR on the Spring Valley Gold Project in Nevada which is expected to produce 349Koz Au per year. FISH has a strong focus on returning capital to shareholders, currently offering a 5.0% yield and actively repurchasing stock. We are initiating coverage on Sailfish Royalty with a BUY rating and target price of C$2.00/share. Investment Thesis Summary Focusing on Returning Capital to Shareholders. FISH is focusing on returning capital to shareholders via share buybacks and dividends while keeping G&A to a minimum. Sailfish has repurchased over 12M shares since June 2019, representing 16% of its shares outstanding and currently offers a 5.0% dividend yield, the highest yield amongst all mining royalty firms. Steady Cashflow from Nicaragua. San Albino is a high-grade gold mine in Nicaragua owned by Mako Mining (MKO:TSXV) that started commercial production in July 2021. Sailfish has a gold stream equivalent to a 3% NSR on the mine. FISH also holds a 2% NSR on Mako’s Las Conchitas mine in Nicaragua which reached steady state production in 2024. Additionally, FISH has a Silver Purchase Agreement with Mako, providing FISH with 13,500oz of silver per month. This all combines to generate steady cash flow for FISH that covers the dividend. Upside from Spring Valley. FISH has various royalties on the Spring Valley Gold Project in Pershing County, Nevada. This is an advanced development project with a >$1B NPV and is owned by Waterton Global Resource Management. The mine is expected to begin production in 2028 and scale to 349Koz Au per year. Strong Portfolio of Other Assets. FISH owns a basket of other royalties including a 2% NSR on the Moonlight Property in Nevada, 1% NSR on the La Cigarra Project in Mexico, 1.5% NSR on the El Compas Project in Mexico, and 100% ownership of the Gavilanes Project in Mexico. Management & Institutional Backing. Given that access to capital is highly important for royalty companies, FISH has a major competitive advantage of having Wexford Capital as its majority shareholder (61.5%). Management owns 4.3% and is highly experienced in the mining royalties and capital markets. Cheap on a P/NAV Basis. Sailfish currently trades at 0.5x P/NAV compared to small/mid-cap peers at 0.7x and large-cap peers at 1.4x. We believe this makes FISH an attractive takeout candidate for the major firms and expect the discount to narrow as Spring Valley secures permits and progresses towards production.