Consultant – Survey of Metals Streaming and Royalty Financing Transactions.

About

The International Institute for Sustainable Development (IISD) is an award-winning independent think tank working to accelerate solutions for a stable climate, sustainable resource management, and fair economies. Our work inspires better decisions and sparks meaningful action to help people and the planet thrive. We shine a light on what can be achieved when governments, businesses, non-profits, and communities come together. IISD’s staff of more than 200 experts come from across the globe and from many disciplines. With offices in Winnipeg, Geneva, Ottawa, and Toronto, our work affects lives in nearly 100 countries.

Scope

We are conducting forward-looking research on emerging issues affecting mining taxation. One of these issues concerns less traditional means of financing mining operations, namely metals streaming and royalty financing. Specifically, we will review the policy issues, options, and administrative implications for the tax treatment of metals streaming and royalty financing of mining projects. We will focus the research on critical minerals and, initially, the Latin American region

Objectives

We are seeking the services of a Research Assistant to help us gain a comprehensive understanding of metals streaming and royalty financing transactions in the mining industry. This knowledge will inform our research on the policy options to optimize the share of financial benefits that will accrue to governments from mining operations funded through this method, as well as the administrative implications from a governance perspective.

Contractual Arrangement

We expect the Consultant to carry out the work from March 25 to May 20, 2024. The Consultant will be contracted and paid according to IISD’s consultancy policies.

The Consultant will work remotely during this period, reporting to Ekpen Omonbude, Senior Policy Advisor, Tax and Extractives at IISD. They can be located anywhere with a suitable internet connection.

Tasks

Deliverables

• Overview of the nature of metals streaming and royalty financing transaction

• Analyze global historical and current trends in metals streaming and royalty financing transactions.

• Identify major market players (focusing on categorizing the companies involved in these transactions by type).Research the types of metals/minerals commonly involved in such transactions (comparing critical minerals with noncritical minerals

• Conduct interviews with mining industry practitioners on the nature, challenges, and opportunities of this practice.

• Deliverable: table summarizing findings (Word or Excel; Excel preferred)

• Transaction analysis

• Research the typical size range of metals streaming and royalty financing transactions.

• Analyze the key terms and conditions of such agreements, including (but not limited to):

• upfront payments and payment structures,o  minimum production thresholds and penalties

• dispute resolution mechanisms.

• duration of agreements and termination clauses, and

• delivery mechanisms and pricing arrangements,

• Compare and contrast streaming and royalty financing transactions with more traditional forms of financing mining projects (e.g., debt and equity).Deliverable: table summarizing findings (Word or Excel; Excel preferred)

• Regulatory Framework Review

• Examine the relevant legal and regulatory frameworks governing metals streaming and royalty financing transactions in major mining jurisdictions.

• Interview tax authorities and finance ministries to understand the implementation or administrative processes and challenges they face (guiding questions will be provided).

• Analyze the commercial treatment of these transactions by governments, including licensing requirements, environmental regulations, and community engagement considerations.·

• Identify transactions between related parties.

• Identify current tax treatment of such transactions for both mining companies and streaming/royalty companies, such as withholding tax payment made to non-residents or deductions.

• Deliverable: table summarizing findings (Word or Excel)

• Case studies

• Focusing on North, Central, and Latin American countries, conduct an in-depth review of 3–5 real-world examples of metals streaming and royalty financing transactions, covering different minerals.
  Deliverable: 10–15-page summary of findings

• Final Report

• Draft report and submit for internal review (the form of the report can include tables either in Microsoft Excel, Microsoft Word, or PowerPoint).

• Integrate comments and suggestions for changes from review and submit the final report

Ideal Candidate Profile

Required Skills and Qualifications

The Research Assistant is expected to possess the following:

• Strong research and analytical skills.
• Demonstrable knowledge of the mining industry and financial markets, either with an economics, commercial, or legal background.
• The ability to access and interpret legal and regulatory instruments.
• Excellent written communication skills in English and in Spanish

For more details on what we are looking for in our candidates, please refer to the IISD competencies on our website.

Location: Global

Remuneration: Remuneration commensurate with experience

Consultancy Type: Full-Time

Start Date:  March 20, 2024

Closing Date:  The candidates will be reviewed on a rolling basis, and the position will be closed once filled.

Candidates must submit a cover note (one-page maximum) outlining their interest in the consultancy and why they are suitable. They will be required to provide references and a piece of written work on request. This written work should be on a topic relating to tax and investment, e.g., a research report or policy brief.

Application Procedure

All submissions must be in English.

Applications will only be accepted through Bamboo HR.

• A CV (no longer than two pages)
• A cover letter (one page)

We thank all candidates for their interest; however, only those selected for an interview will be contacted.

IISD is committed to fostering a more equitable and sustainable world and welcomes candidates who uphold our values of diversity, equity, and inclusion. In addition, to correct the conditions of social injustice and disadvantage in employment around the world, we encourage candidates from historically marginalized groups, including women, Indigenous Peoples, people with disabilities, people from different racial and ethnic backgrounds, and those who identify themselves as 2SLGBTQIA+, to apply for this position. We offer reasonable accommodations in our recruitment process and seek applicants’ advice on how best to accommodate their needs.

IISD does not discriminate on the basis of age, gender, caste, ethnicity, religion, colour, disability, marital status, pregnancy, gender expression or identity, sexual orientation, or any other legally protected status.

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Keywords

ResearchAnalyticalMiningFinancialLegalRegulatorySpanishEnglishPolicyInvestmentTax