Good morning, ladies and gentlemen, and welcome to the Osisko Gold Royalties Q3 2018 results conference call. After the presentation, we will conduct a question and answer session. If you would like to ask a question, please pick up your receiver and please press star 1 on your telephone keypad. Please note that this call is being recorded. Today, November 7th, 2018 at 10:00 A.M. Eastern time. Today on the call, we have Mr. Sean Roosen, Chair of the Board of Directors and Chief Executive Officer of Osisko Gold Royalties, Mr. Bryan Coates, President, and Ms. Elif Lévesque, Chief Financial Officer and Vice President of Finance. I would now like to turn the meeting over to our host for today's call, Mr. Sean Roosen.
Welcome everybody to the Q3 conference call. We're in Zurich today, so we may have a bit of sound quality issues in terms of the call. If we don't, we'll look for back to Montreal. As noted today, we have most of the management team with us today. A good quarter again, within our boundaries of our guidance. Three months ended September 30th, 20,000 GEOs. Nine months ended 60,500 GEOs. Right down the middle of the fairway, in terms of what we were expecting. Cash flow continues to come through at CAD 20 million this quarter, CAD 63.6 million today. Adjusted earnings are now at CAD 5.7 million for the Q3, bringing the year's total to CAD 18.3 million. GEO in the Q3 was at 20,000 ounces, up from 16,600 in 2017 for the same quarter.
We also reported 87% cash operating margin on our ounces to date, with 60,548 ounces reported for the first nine months operating. We continue to hold our ground on our margins. Page nine of the PowerPoint presentation that's on the website gives you a breakdown on a by-mine basis. Obviously, Canadian Malartic is by far the strongest asset at this point in time with 8,930 ounces for the quarter. Éléonore at 2,000 ounces CAD, and about 691 in Brucejack, reported about 361. All the other assets are in between the 200 to 500-ounce range for the quarter. I think what the good interest today though, is that we're at 71% of our royalties are in gold, 18% in silver, and 8% in platinum. Definitely, on the precious metal side and continue to dominate with gold assets.
On to the next slide, some performance from Canadian Malartic, as we talked about, with the mine having produced over 527,000 ounces so far in the first nine months of the year, making it Canada's largest gold mine by production and the world's 12th as we sit today with the first quartile cost profile. It's also located in Quebec, one of the best jurisdictions in the world, and continues to have exploration success and development success as they push forward on Barnat, Odyssey, and East Gouldie zones in the development program there. Continue to see good upside at Canadian Malartic. We're delivering here on growth and continue to do so. 2017, we had 58,933 GEOs. With this year, our guidance set between 77,500 GEOs and 82,500 GEOs, and we're on track to make that happen. Revenues from royalties and streams are up 57% year-over-year for the first nine months.
It's a pretty good growth cycle we're in right now, and I'm going to let Elif take you through the next couple of slides here.
Thank you, Sean. We have seen another steady growth in our revenues from royalties and streams in 2018, like Sean mentioned, at CAD 31.4 million for the quarter and CAD 96.8 million for year-to-date, which is a 20% increase for the quarter and a 57% increase for year-to-date compared to the same period last year. This growth is mainly due to another strong performance from our main asset, which is the Canadian Malartic Royalty, and from the assets acquired last year like Manto, Sasa and Renard streams, to name a few. Same growth was also reflected in cash flow from operating activities reaching CAD 20.6 million for the quarter, and CAD 63.6 million for year-to-date. The same period last year was affected by transaction costs related to the Orion transaction of CAD 7.8 million for the quarter, and CAD 8.9 million for the year-to-date.
Even when we exclude the impact of that, we're still looking at 132% growth in operating cash flow for the quarter, and a 76% growth for year-to-date. Adjusted earnings, on the other hand, stood at CAD 5.7 million compared to CAD 8 million for the same quarter last year, and CAD 18.3 million for the current year-to-date compared to CAD 21.7 million last year. We have seen an increase in gross profit this year and a considerable reduction in G&A, but the higher finance costs related to the interest expense on the CAD 300 million debenture, resulted in the lower adjusted earnings. Going to page nine of the deck. The gold price was under pressure during the third quarter of 2018, and pretty much in line with the same period last year for the nine-month period.
Regardless, we had another strong quarter in terms of revenues from royalties and streams at 90% cash operating margin of CAD 28.1 million for the quarter, and an 89% cash operating margin of CAD 86.6 million for year-to-date period. Offtake interest provided the company with an additional CAD 0.8 million for the quarter and CAD 4.1 million for the year. With that, Sean, back to you.
Thank you, Elif Lévesque. We're on to slide 10 now. Activities for Q3. Most recently, the 1.75% NSR additional royalty that we purchased on the Cariboo property held by Barkerville Gold in British Columbia, Canada, giving us a total royalty there of 4%, according to the new agreement. The company at Barkerville also has the option to ask to sell another 1% under the agreement. Second big item was the receipt from Pretium on the Brucejack that they want to repurchase the stream, which is an option on the contract that we purchased from Orion last year. We've received notice that we'll receive $118.5 million U.S., or roughly CAD 153.4 million on December 31st, 2018, which will reinforce our treasury, and give us some dry powder to continue to transact. We also declared a dividend of CAD 0.05 per common share in the quarter.
The record close for the business of September 28th, 2018, paid on October 15th, 2018. Subsequent to September 30th, we've done an amendment on the Renard stream. I'll get Joseph de la Plante to take a quick pass at what that means. We also repaid $10 million U.S. in debt, or CAD 12.9 million, and extended the maturity date by one year to November 14th, 2022. That's good progress there. As we said, we've declared the dividend at CAD 0.05 for next quarter as well, to be paid on January 15th, 2019. On the stream repurchase, we've received a notice. This will give us a purchase back in, as I said, on December 31st, 2018. Pretium had the option of doing this year on December 31st or in 2019.
They've elected to come early, which is probably good for us in terms of the investment opportunities that we see in the space as of today. Slide 12 goes through the Renard diamond stream amendments, I'm going to ask Joseph de la Plante to take you through what that means to the Osisko shareholders.
Thanks, Sean. Subsequent to quarter end with Osisko, as part of a larger syndicate, did enter into an amendment of the Renard stream as part of a larger comprehensive set of financing agreements that was done between Stornoway and its creditors. The total stream amendment was for an additional proceeds to Stornoway of CAD 45 million, of which CAD 21.6 million came from Osisko. Essentially, the main amendment to the contract was to the transfer pricing structure. As you recall, originally the stream had a fixed CAD 50 per carat transfer price. After this amendment, we have modified that to CAD 40 a carat or 40%, so it's the lesser of those two amounts.
The other additional thing that we changed is that the stream now applies to all life of mine diamonds from the entire property, where previously it applied to life of mine diamonds from only the five kimberlites that were part of the original mine plan. It is an important amendment for us. Ultimately, this better aligns us with Stornoway. We result with immediate increased cash margins on stream and increased cash flow. We have better downside exposure to diamond price and to ore recovery of small stones from the mine. Just as a reminder, this comes effective October 2nd, so it was subsequent to quarter end, but it will be reflected in our Q4 results.
Page 13 goes through the increase in the royalty on the Cariboo land package in British Columbia. The royalty covers over 2,000 sq km in one of the more prolific gold belts in the world. This is a camp size play with the strike length here of the main structural T5 fault. Benefits to Osisko, of course, is we have gained exposure to this land package, which has been accelerating quickly. In terms of knowledge of the project and the potential that we see there. The company published a resource update in the spring with about 1.6 million ounces at six grams, and Measured and Indicated another 2 million ounces at over five grams in the inferred category. It is moving well. We see intensified drilling there as well as we unlock the geological knowledge that we need to figure this one out.
It has come a long way in a very short time. Page 14, just to summarize our investment thesis. We have early opportunities, development opportunities, and producing opportunities. What this slide shows you is the time value of money as projects go through the various stages of de-risking and evolution. In terms of early-stage things, we try to invest about 20%-25% of our portfolio in this window. Good examples of that would be Windfall Lake when we purchased a CAD 5 million royalty on the company assets about 30 months ago. Cariboo, which is a Barkerville BGM mine, and the Horne 5 asset that we initiated and we were a catalyst investor to incubate that company in 2012, and we carried it forward with us through the evolution.
A lot of these assets are moving through into the development stage, which involves feasibility studies, permitting, and construction. The third piece that we invest in is existing production opportunities, like we did with Gibraltar in the purchase of the Orion Mine Finance package. Those are the three areas where we see our investment strategy playing out. The latter two, the development opportunities and producing opportunities, represent about 75% of our investment to date. We have stuck with that rough number. It will fluctuate sometimes, but it seems to work pretty well so far. Page 15 is an example of an early-stage successful investment. We bought CAD 5 million worth of equity for Arizona Mining, and we purchased a 1% royalty for CAD 10 million at the same time.
This project has moved quickly with a CAD 2 billion NPV, 100 million tons at 10% zinc, and a 20-year mine life production expected to start in 2020. Was acquired by South32 in 2018. The results for us is that we were able to get monetized in that, and we had a net gain of CAD 34 million on the equity and the warrants, and we still retain the royalty, which is a very significant value. This was a relatively short investment for us with significant returns in the thousands of percent. Page 16 shows you our investment portfolio. We are heavily weighted to Canada with 75% compared to the peer group. We have been successful in Canada. As you know, our origins are in Quebec, where we've had the Canadian Malartic success.
We've continued with that strategy with a focus on brownfield camps in good Canadian mining camp areas and jurisdictions where we think things can move quickly and get to fruition through our royalties to start the cash flow. Summary of the financial position, we have an available credit of CAD 450 million, of which CAD 100 million is drawn, CAD 350 million available there. Cash on hand is CAD 137 million for now, but we will be receiving another CAD 150 million at the end of the year. Long-term debt, we've paid down some of it. We're now at CAD 419 million, and our investment portfolio has value of CAD 364 million at the end of the quarter. Shares outstanding for the company right now standing at 156 million, and our dividend is set at CAD 0.05.
We've also paid back, as we said, CAD 12.9 million in debt this quarter, CAD 51.8 million in Q2, we continue to make progress on that front. Page 18 gives you the escalation of the dividend since we started this company four and a half years ago, with over CAD 78.5 million returned to shareholders in that period. We're currently yielding just under 2%, which gives us one of the highest yield dividends in all the mining categories. Page 19 is the investment opportunity. We're trading at a 70% discount to our peer group of Franco and Randgold right now at 0.97 times NAV, therein lies the opportunity for shareholders at this point. We feel that that gap will close.
We had a bit of noise, a couple of ramp-ups earlier in 2018, I think that as we fast-forward, most of these things are turning the corner, and we should have a lot less to talk about in third-party assets as we get further into the piece. In terms of other things we did this year, we've also purchased the 5% royalty on Victoria Gold's Yukon project, Eagle, and I think that's going to be a good asset for us next year. Construction is on target there and moving forward as well. On page 20, we give you a few swatches here. I think I've covered most of this in the presentation. At the end of the year, assuming that our friends at Fresnillo execute their buyback, we would have over CAD 280 million in cash available for future investments, in addition to our undrawn credit facility.
Lots of ability to get things done, and we continue to work hard to add to our portfolio. On that note, I'd like to open the session up to questions, and please feel free to ask questions either in French or in English. We will answer.
As a reminder, you can ask a question by pressing star followed by the number 1 on your telephone keypad. We'll pause for just a moment to compile the Q&A roster. If you would like to ask a question, please press star followed by the number 1 on your telephone keypad.
All right. It looks like we've got everybody covered. If there are any more questions, please feel free to give any of us a call. Our telephone numbers are available on the website, and we'll be glad to take up any questions that didn't make it into this call. Thanks very much, everybody.
Ladies and gentlemen, this concludes today's conference call. You may now disconnect.