You raise valid points regarding the difference between extra...

You raise valid points regarding the difference between extra principal repayments and a proportion of cashflow after tax and debt. However, it is not uncommon for lenders to require a royalty payment as a condition of financing, particularly in the mining industry. Royalty agreements are a way for lenders to share in the future success of the project without taking on additional risk.

In fact, many mining projects in both developed and emerging markets have royalty agreements in place. For example, Franco-Nevada, one of the largest royalty and streaming companies, has agreements with numerous mining companies around the world, including Barrick Gold, Newmont Goldcorp, and Glencore.

Regarding the duration of the royalty, this information is not included in the release, so it is unclear if it will be for the life of the mine or the debt. However, it is common for royalty agreements to last for the life of the mine.

While it may be true that royalty incentives are not as common as other financing terms, it is not accurate to say that they are rare or "predatory." Many mining companies, particularly those in the early stages of development, rely on royalty agreements as a way to secure financing and bring their projects to fruition.