About Royal Gold Governance Our People Our Operators and Communities ESG Stewardship Appendices 64 2023 INVESTMENT STEWARDSHIP REPORT ROYAL GOLD We have chosen to focus on three indicators – water stress, interannual variability and drought risk – as these directly correlate to our Principal Properties having sufficient water to operate or potentially receiving excess precipitation. An assessment of the three water risk indicators for our full portfolio is presented in the graphs. Approximately 39% of our net GEOs in 2022 were associated with jurisdictions classified as having extremely high or high water stress or being classified as arid/low water use, which has been relatively consistent over the last five years. Interannual variability has a modest increasing trend with time, and about 37% of our 2022 net GEOs were produced from jurisdictions with either extremely high or high designations. With respect to drought risk, none of our 2022 net GEOs were produced from a jurisdiction classified as high or greater, but 36% of the net GEOs were produced from jurisdictions with medium drought risk. The review shows that all our Principal Properties have at least one elevated physical water risk indicator. For example, Andacollo’s water stress indicator is classified as extremely high, as it is located in a very low-precipitation region with significant competition for available water resources from agriculture and domestic uses. The interannual variability is also classified as extremely high, indicating elevated risk in annual precipitation rates. In 2022, Andacollo experienced unusually high precipitation events that caused the curtailment of operations for five days due to flooding and impacted open-pit operations for months, while the Elqui River drainage that provides the recharge of their wellfield is currently undergoing drought conditions, resulting in the reduction in the ore-processing rate. 1 Kuzma, S., M.F.P. Bierkens, S. Lakshman, T. Luo, L. Saccoccia, E. H. Sutanudjaja, and R. Van Beek. 2023. “Aqueduct 4.0: Updated decision-relevant global water risk indicators.” Technical Note. Washington, DC: World Resources Institute. Available online at: doi.org/10.46830/ writn.23.00061. BASELINE WATER STRESS INTERANNUAL VARIABILITY DROUGHT RISK 47.2% Low 13% Low-Medium 0.2% Medium-High 2.4% High 22.3% Extremely High 14.9% Arid/Low Water 59.1% Low-Medium 3.6% Medium-High 15.1% High 22.1 % Extremely High 29.0% Low 32.9% Low-Medium 22.6% Medium 13.9% Medium-High Aqueduct™ Indicators provide estimates of the stated indicators of water risk with a resolution of approximately 10 km x 10 km. 1 Baseline Water Stress measures the ratio of total water withdrawals to available renewable surface and groundwater supplies. Water withdrawals include domestic, industrial, irrigation and livestock consumptive and nonconsumptive uses. Available renewable water supplies include the impact of upstream consumptive water users and large dams on downstream water availability. Higher values indicate more competition among users. Interannual Variability measures the average between year variability of available water supply, including both renewable surface and groundwater supplies. Higher values indicate wider variations in available supply from year to year. Drought Risk measures where droughts are likely to occur, the population and assets exposed, and the vulnerability of the population and assets to adverse effects. Higher values indicate higher risk of drought.