In the following video, Fool contributor Dan Caplinger explains the basics of the silver streaming business model that Silver Wheaton (TSX:SLW) uses to contract with partner mining companies.
Dan highlights a new agreement with Brazil’s Vale as an example of a partner streaming agreement that focuses on gold. Can Silver Wheaton continue to profit from future agreements with partners such as Barrick Gold (TSX:ABX), Primaro Mining, and Hudbay Minerals (TSX:HBM)?
In addition, the price of silver and its impact on Silver Wheaton’s dividend is also discussed. The dividend is currently based on 20% of cash flow.
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An original version of this post appeared on Fool.com
Fool contributor Dan Caplinger owns shares of Silver Wheaton. The Motley Fool doesn’t own shares in any of the companies mentioned.