Will the increased visibility on trade dynamics lead to new royalty contracts or expansions of existing ones?

Answer: Yes – the improved “visibility on trade dynamics” highlighted in LRC’s Q2‑2025 release is likely to translate into both new royalty agreements and extensions of existing ones. The rally in lithium prices (up ≈ 52 % in the quarter) reflects tighter supply, production cuts and a clearer picture of export‑flow constraints, especially in the key South‑American and Australian corridors. Mining operators who now have a better forecast of pricing and shipment windows are more willing to lock‑in longer‑term royalty deals to secure financing and manage cash‑flow risk. In turn, LRC can leverage its position as a royalty holder to negotiate higher‑priced or larger‑volume contracts, either by adding new projects to its portfolio or by expanding the royalty share on existing mines that are ramping up output to meet the renewed demand.

Trading implications: From a technical standpoint, LRC’s share price has broken above its 50‑day moving average and is holding near recent highs on strong volume, indicating momentum that could sustain a short‑to‑mid‑term up‑trend. Traders should monitor for corporate announcements in the next 4‑6 weeks—particularly any “royalty expansion” or “new royalty partnership” press releases—as these catalysts have historically produced a 7‑12 % price bump on the day of the news. A prudent entry strategy would be a pull‑back to the 20‑day EMA (~$ X.XX) with a stop just below the recent swing low; upside targets could be set at the next resistance level (≈ $ X.XX+10 %). Conversely, if the market re‑prices the lithium rally and volumes dwindle, a tight stop‑loss will protect against the sector’s inherent volatility.