Lithium Royalty Corp (LRC) is a Canadian company focused on revenue royalties and streaming agreements in the lithium sector, positioning itself at the upstream end of the battery supply chain. Instead of directly mining or manufacturing batteries, LRC secures ownership stakes—typically through net smelter return (NSR) or gross ore (GOR) royalties—in lithium extraction projects, gaining exposure to commodity prices and production volumes while avoiding operational and capital risks. This model leverages the rapidly growing demand for lithium, driven by the global shift to electric vehicles (EVs) and energy storage systems.
With 35 lithium royalty interests across seven countries, including key projects in Australia, Brazil, Argentina, and Canada, LRC offers geographic diversification and risk-mitigated cash flow generation. Since its Toronto Stock Exchange IPO in March 2023, LRC has completed eight acquisitions, strengthening its portfolio of royalties in varying stages: three operational, three under construction, and 29 in exploration or development. The company’s mission aligns with decarbonization efforts, aiming to support the transition from fossil fuels by enabling the low-cost, efficient production of battery materials essential for EVs and renewable energy infrastructure.
Battery Technology
Lithium Royalty Corp does not produce battery components or manage their technical development but operates at the critical intersection of lithium supply and demand. Its business hinges on funding lithium extraction projects that supply raw materials for lithium-ion batteries. By holding royalties, LRC benefits as these projects deliver lithium carbonate equivalent (LCE) and other lithium compounds used in EV batteries, energy storage systems, and industrial applications.
The company’s portfolio includes assets like Sigma Lithium’s Grota do Cirilo in Brazil, a top-tier spodumene producer, and Ganfeng Lithium’s Mariana project in Argentina, which employs Direct Lithium Extraction (DLE) technology. DLE, a focus area for many projects in LRC’s pipeline, promises higher lithium recovery rates and reduced environmental footprints by extracting the metal directly from brine, bypassing traditional evaporation ponds.
LRC further supports advancements in lithium production efficiency and sustainability through strategic partnerships, such as its GOR interest in the Seymour project in Ontario, which could reduce Canada’s reliance on imported lithium.
Recent Projects
In early 2024, LRC reported an 81% year-over-year increase in its forecasted lithium production, projecting 233,000 LCE tonnes by 2024. Critical recent milestones include:
- Mariana Project (Argentina): Development began in early 2024, with full-scale production anticipated to deliver 20,000 tonnes of lithium chloride annually. LRC’s 0.45% NSR royalty here links directly to output.
- Sigma Lithium: A record peak production rate of 890 tonnes per day at Grota do Cirilo in late 2024 solidified the asset’s role in LRC’s portfolio, supported by a 0.90% NSR royalty.
- Portfolio Management: A March 2025 partial sale of the Tres Quebradas royalty in Argentina to Triple Flag Precious Metals Corp generated $28 million, allowing LRC to balance its asset mix and bolster liquidity.
- Seymour Project (Ontario): Results from a positive preliminary economic assessment in late 2024 advanced plans for a 1.0% GOR royalty on future production of high-purity lithium.
In 2023, LRC expanded its global footprint with eight new royalties, including projects in South America and the U.S., underscoring its commitment to capturing emerging lithium supply opportunities.
Investors
LRC’s shareholder base reflects institutional and strategic backing aligning with its lithium-focused strategy. Founding investor Waratah Capital Advisors—a leader in the battery minerals space—serves as the company’s investment manager. Riverstone VI LRC B.V. holds a significant 63.6% stake, while Altius Minerals Corporation also claims equity. Public investors include individual shareholders and institutions, alongside executives and insiders. LRC’s March 2023 IPO on the Toronto Stock Exchange raised approximately C$150 million, marking a pivotal scaling milestone. These partnerships and capital injections support continued portfolio growth and diversification, enabling LRC to pursue new royalties and sustainably contribute to the lithium assets fueling EV adoption.
Business Details
Location: Toronto, Ontario, Canada
Website: https://www.lithiumroyaltycorp.com/
LinkedIn: https://www.linkedin.com/company/90953561
