ROYAL GOLD ANNOUNCES YEAR END RESULTS AND RECORD REVENUES FOR FISCAL 2003

Royal Gold today announced that it had record revenues of $15,788,212 million for fiscal 2003 (June 30), as compared to $12,323,071 in fiscal 2002.

ROYAL GOLD ANNOUNCES YEAR END RESULTS AND
RECORD REVENUES FOR FISCAL 2003

DENVER, COLORADO (PRWEB)October 20, 2003: ROYAL GOLD, INC. (NASDAQ:RGLD; TSX:RGL) today announced that it had record revenues of $15,788,212 million for fiscal 2003 (June 30), as compared to $12,323,071 in fiscal 2002.

The Company reported net income of $6,752,346, or $0.34 per basic share for fiscal 2003. For the 2003 fiscal year there were non-cash charges for deferred tax expense of $1,708,053, or $0.09 per basic share. Net income for fiscal 2003 compares to net income of
$10,698,723, or $0.60 per diluted share for fiscal 2002. Included in fiscal 2002 year-end earnings was the recognition of a deferred tax asset of $6,849,687, which increased earnings by
$0.38 per share.

Free cash flow for fiscal 2003 was approximately $11.2 million, or 71% of revenues, compared to $8.9 million or 72% of revenues in fiscal 2002. Free cash flow is a non-GAAP financial measure which the Company defines as operating income plus depreciation, depletion
and amortization, non-cash charges, and adding back any impairment of mining assets. For a reconciliation of free cash flow to the most directly comparable GAAP financial measure, see Schedule A-Reconciliation.

For the fourth quarter ended June 30, 2003, royalty revenue was $3,717,089, compared to $3,461,299 for the same period in fiscal 2002. The Company reported net income of $1,621,338, or $0.08 per basic share, as compared to net income of $7,352,856, or $0.36 per basic share, for the fourth quarter of fiscal 2002. The fiscal 2002 fourth quarter included the recognition of the deferred tax asset noted above, or $0.38 per basic share.

At June 30, 2003, the Company had working capital of $34.3 million. Current assets were $36,801,548, compared to current liabilities of $2,505,981, for a current ratio of 15 to 1. General and administrative expenses were $1,966,283 as compared to $1,874,952 in fiscal 2002.

Stanley Dempsey, Chairman and CEO stated, We had another great year. We had record revenues, and have grown the Company to hold royalty positions at the three top mining complexes in the U.S. We increased our annual dividend by one-third to $0.10 per share and our free cash flow remains strong, at $11.2 million for the fiscal year."

REVIEW OF OPERATIONS

Pipeline Mining Complex, Lander County, Nevada
The Company owns two sliding-scale gross smelter return royalties (GSR1" and GSR2"), a fixed gross royalty (GSR3"), and a net value royalty (NVR1") on the Pipeline Mining Complex. The GSR1 royalty covers the current mine footprint, and the GSR2 (Super") royalty covers any reserves that are developed on the claim block lying outside the current mine footprint. The GSR2 royalty pays out at a rate that is 80% higher than that of GSR1, at all gold prices. The GSR3 royalty is a 0.71% fixed rate for the life of the mine. The 0.37% NVR1 royalty covers production from the GAS Claims, an area of interest of approximately 4,000 acres including the South Pipeline deposit and Crossroads area, but not including the Pipeline pit. The NVR1 is calculated by deducting processing-related costs, but this royalty is not burdened by mining costs.

The Pipeline Mining Complex is owned by the Cortez Joint Venture (Cortez"), a joint venture between Placer Cortez Inc. (60%), a subsidiary of Placer Dome Inc., and Kennecott Explorations (Australia) Ltd. (40%), a subsidiary of Rio Tinto.

For the fourth quarter of fiscal 2003, the Pipeline Mining Complex produced 226,505 ounces of gold, providing $3,164,209 of royalty revenue to Royal Gold. This compares to 295,668 ounces of gold produced, providing $3,221,654 of royalty revenue to Royal Gold, for
the same quarter in fiscal 2002.

For fiscal 2003, the Pipeline Mining Complex produced 1,061,071 ounces of gold, providing $13,953,232 of royalty revenue, as compared to 1,174,276 ounces of gold produced, which provided royalty revenues of $11,658,527 in fiscal 2002. The increase in revenue reflects higher gold prices in the period.

For the fourth quarter of fiscal 2003, the average gold price was $347 per ounce and Royal Golds GSR1 royalty rate was 3.00% of production. Current production from the Pipeline Mining Complex is subject to GSR1, GSR3, and NVR1.

For calendar 2003, that operator has advised that the Pipeline Mining Complex will produce about 1.0 million ounces of gold subject to the Companys royalties.

Leeville Project, Eureka County, Nevada
Royal Gold acquired a 1.8% net smelter return (NSR") royalty in December 2002, covering a majority of the Leeville project (Leeville"). Leeville is an underground mine,

currently under development by Newmont Mining Corporation. Newmont has announced its
intention to initiate production at Leeville in late 2005 or early 2006. Current production on the
Leeville royalty land is derived from underground operations on a portion of the Carlin East
deposit. During the fourth quarter, the Carlin East deposit produced 21,269 ounces of gold,
which were subject to Royal Golds royalty interest, providing $134,643 in royalty revenue. For fiscal 2003, the Carlin East deposit produced 64,265 ounces of gold subject to Royal Golds
royalty interest, providing $409,729 of royalty revenue.

For calendar 2003, the operator has advised that the Carlin East deposit will produce
approximately 110,000 ounces of gold subject to the Companys royalty.

SJ Claims (Goldstrike Mine), Eureka County, Nevada
Royal Gold acquired a 0.9% NSR royalty in December 2002, covering a portion of the Betze-Post open pit at the Goldstrike mine known as the SJ Claims. The Goldstrike mine is operated by Barrick Gold Corporation (Barrick"). During the fourth quarter, the SJ Claims produced 105,872 ounces of gold, which were subject to Royal Golds interest, providing $291,345 in royalty revenue. For fiscal year 2003, the SJ Claims produced 239,124 ounces of gold subject to Royal Golds interest, providing $720,724 of royalty revenue.

For calendar 2003, the operator has advised that the SJ Claims will produce 395,866 ounces of gold subject to the Companys royalty.

Bald Mountain, White Pine County, Nevada
Royal Gold owns a 1.75% net smelter returns royalty (NSR") that burdens a portion of the Bald Mountain mine, operated by Placer Dome U.S. Inc. During the quarter, the Bald Mountain mine produced 18,331 ounces of gold, which were subject to Royal Golds interest,
providing $112,588 in royalty revenue. For fiscal 2003, the Bald Mountain mine produced 113,420 ounces of gold, which were subject to Royal Golds interest, providing $652,107 in royalty revenue.

For calendar 2003, the operator has advised that Bald Mountain has exceeded its original production forecast, but has not yet prepared a new production forecast for the year. South American Properties (Argentina) The Company holds a 2% NSR on the Martha silver mine operated by Coeur dAlene Mines Corporation. Royalty revenue for fiscal 2003 was $52,420.

Fiscal 2004 Outlook

We expect our royalty portfolio to continue to generate good cash flow and earnings in fiscal 2004, especially with the strength of the gold price. The sliding-scale features of our royalty structure at the Pipeline Mining Complex were designed to increase payouts to Royal Gold as the gold price increases, and we have been rewarded in fiscal 2002 and 2003 for this stepped price royalty structure. In additio n, we protected our downside with step decreases and floors on our sliding-scale royalties and our fixed price royalties. With the current strong gold price environment, our royalty structure continues to give us exposure to improved revenues.

We also continue to pursue acquisitions to expand our royalty portfolio," Dempsey said.

Royal Gold is a precious metals royalty company engaging in the acquisition and management of precious metal royalty interests. Royal Gold is publicly traded on the NASDAQ National Market System under the symbol RGLD," and on the Toronto Stock Exchange under the symbol RGL." The Companys web page is located at www.royalgold.com.

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Cautionary Safe Harbor" Statement Under the Private Securities Litigation Reform Act of 1995:
With the exception of historical matters, the matters discussed in this press release are forwardlooking statements that involve risks and uncertainties that could cause actual results to differ materially from projections or estimates contained herein. Such forward-looking statements include statements regarding production levels for calendar 2003, royalty acquisitions, cash flow and earnings, and the sliding-scale features of our royalty structure at the Pipeline Mining
Complex. Factors that could cause actual results to differ materially from projections include, among others, precious metals prices, decisions and activities of the operators of our royalty properties, unanticipated grade, geological, metallurgical, processing or other problems the operators of the mining properties may encounter, changes in project parameters as plans continue to be refined, results of current or planned exploration activities, economic and market conditions, future financial needs or opportunities, and the impact of any future acquisitions, as well as other factors described elsewhere in this press release and in our Annual Report on Form 10-K, and other filings with the Securities and Exchange Commission. Most of these factors are beyond the Companys ability to predict or control. The Company disclaims any obligation to update any forward-looking statement made herein. Readers are cautioned not to put undue reliance on forward- looking statements.

The Company discloses information on free cash flow and free cash flow as a percentage of revenues in its reporting. The Company defines free cash flow by operating income plus depreciation, depletion and amoritization, non-cash charges, and adding back any impairment of mining assets. While we believe free cash flow is a useful measure of the Companys performance, we also want to advise that this is not a measure recognized by generally accepted accounting principles. See Schedule A- Reconciliation, attached to this press release.
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