It is an oil and gas royalty company. It is similar to Franco Nevada in the fact that it doesn't face the heavy operating costs and cyclicality of actually operating the oil and gas production. Instead, it simply charges a fee for those to operate on the land.
When oil and gas producers drill wells on Freehold’s land, they pay Freehold a royalty. Either a percentage of revenue or production.
If you're looking for exposure to the oil and gas sector with a higher dividend and lower volatility, could be a solid option. By lower volatility, however, I don't mean no volatility. As I've mentioned, like Franco it tends to be sheltered a bit from the operating environment of an oil and gas producer but that doesn't save it from being sold off in a bear market for oil.
In general, the boom and bust environment of oil and gas makes this one a pretty tough long-term hold. But it's a quality company no question, just not one I'd want exposure to for the long-term.