OR Royalties: A Leveraged Play on Precious Metals with Near-Term Catalysts

In the ever-shifting landscape of mining equities, few companies offer the combination of undervalued royalty exposure, high-margin Tier-1 assets, and imminent catalysts as OR Royalties (TSE: OR). With two critical projects—South Railroad (silver) and Spring Valley (gold)—poised to transform its growth trajectory, OR is positioned to deliver outsized returns as permits, financing, and rising metals prices align. Here's why investors should act now.

The South Railroad Silver Stream: A Nevada Gem in the Making

OR's 100% silver stream on the South Railroad project, located in Nevada's prolific Carlin Trend, is a sleeper asset with a clear path to production. While first gold output isn't expected until 2027, the project's permitting timeline is advancing swiftly. By mid-2025, the U.S. Bureau of Land Management (BLM) will publish the Notice of Intent (NOI), with a Record of Decision (ROD) targeted for mid-2026—unlocking construction and paving the way for production.

Why it matters:
- The Carlin Trend is the world's largest gold-producing region, offering low-cost, high-margin operations.
- OR's silver stream ensures it captures 100% of the silver byproduct from this project, which could exceed 200,000 ounces annually once online.
- Near-term catalyst: The NOI and ROD deadlines in 2025/2026 create binary upside for the stock as permits are secured.

Spring Valley: Permitting & Financing Milestones Drive Imminent Construction

OR's 2.0%-3.5% net smelter return (NSR) royalty on Nevada's Spring Valley project is a game-changer. With $835 million in financing secured from the U.S. EXIM Bank and a Final Environmental Impact Statement (EIS) expected by July 11, 2025, this project is on track to begin construction by Q3 2025—with production targeting 2026.

Key metrics:
- Feasibility Study (FS): 348,000 oz Au/year over the first five years, with a 3.8M oz LOM resource.
- Royalty trigger: The NSR kicks in once 500,000 oz Au are recovered—a milestone Spring Valley is projected to surpass within its first three years.
- Valuation leverage: Gold prices above $2,000/oz (current spot: ~$2,050) amplify NSR payouts, with minimal downside risk for OR.

Near-term catalysts:
- July 11, 2025: Release of the Final EIS—critical for the ROD and construction approval.
- August 11, 2025: ROD decision, finalizing permits and enabling immediate site development.

Why OR Royalties is a Leveraged Buy Now

1. Undervalued relative to growth:
2. Analysts rate OR a Buy with a C$28 price target (currently trading at ~C$22), implying 27% upside.

3. GEO (Gold Equivalent Ounce) guidance: OR's 2025 GEO production of 170,000 oz is set to soar as Spring Valley and South Railroad come online, potentially exceeding 300,000 GEO by .

4. Low execution risk:

5. OR's royalties mean it avoids operational costs and risks; it's purely a beneficiary of production success.

6. Tier-1 jurisdictions (Nevada) ensure stable permitting and mining-friendly regulations.

7. Leverage to rising metals prices:

8. With 80% of its portfolio tied to gold and silver, OR's cash flows expand disproportionately as prices rise.

Final Call: Act Before the Catalysts Hit

OR Royalties is a buy now for investors seeking exposure to two high-margin, near-term catalyst-driven assets. With Spring Valley's permits and financing locked in for 2025 and South Railroad's timeline advancing, the stock is primed to outperform as these projects move from “in development” to “in production.”

Key triggers to watch:
- July 11: Spring Valley's Final EIS release.
- August 11: Spring Valley's ROD decision.
- 2026: First gold from Spring Valley; silver from South Railroad by 2027.

In a market starved for growth, OR's combination of valuation upside, catalyst density, and metal price leverage makes it a rare buy-and-hold opportunity. Don't miss the train.

Risk Note: Mining projects are subject to permitting delays and cost overruns. However, OR's non-operational exposure mitigates execution risk.