OR Royalties Inc. (NYSE: OR)

OR Royalties Inc. specializes in acquiring and managing royalties, streams, and similar interests tied to precious metals and other commodities. The company focuses on building a diversified portfolio of long-term assets, primarily in gold and silver, by securing net smelter return (NSR) royalties, metal streams, and offtake agreements on mining projects. Its cornerstone asset is a 3-5% NSR royalty on the Canadian Malartic Complex in Québec, Canada, one of the largest gold mining operations in the country. OR Royalties targets investments in projects located in stable jurisdictions and operated by established mining companies, aiming to provide investors with exposure to precious metals while mitigating operational risks.

OR Royalties generates revenue through royalty and streaming agreements, where it receives a percentage of the metals produced or revenue generated from mining operations without bearing the costs of extraction or development. Royalties typically involve a fixed percentage of the value of metals sold, while streams provide the company with the right to purchase metals at a predetermined price. In 2025, the company earned 80,775 gold equivalent ounces (GEOs) and reported record revenues of $277.4 million, driven by its portfolio of producing and development-stage assets. The company also benefits from toll milling fees, such as a C$0.40 per tonne charge on ore processed from properties outside its core Canadian Malartic Complex.

OR Royalties operates in the specialized niche of precious metals royalty and streaming companies, a sector dominated by a handful of key players. Its primary competitors include Franco-Nevada Corporation, Wheaton Precious Metals, and Royal Gold, all of which share a similar business model of acquiring non-operating interests in mining projects. OR Royalties differentiates itself through its focus on high-quality, long-life assets in politically stable regions, such as Canada, the United States, and Peru. The company’s diversified portfolio, which spans producing mines and development projects, reduces exposure to single-asset risk and provides a balanced mix of near-term cash flow and long-term growth potential. Its strong financial position, including a debt-free balance sheet and $142.1 million in cash as of December 31, 2025, further strengthens its ability to pursue accretive acquisitions and return capital to shareholders through dividends and share buybacks.

OR Royalties’ customer base consists of mining companies that operate the projects underlying its royalty and streaming agreements. These include large, established producers as well as mid-tier and junior miners developing new projects. Notable counterparties include Agnico Eagle Mines, which operates the Canadian Malartic Complex, Cardinal Namdini Mining Ltd., Talisker Resources Ltd., Orla Mining Ltd., and Buenaventura. The company’s royalties and streams also cover projects operated by Ramelius Resources Ltd., Capstone Copper Corp., and Harmony Gold Mining Company Limited. By partnering with a diverse range of operators, OR Royalties ensures a steady stream of revenue from multiple sources while minimizing concentration risk.