Royalty Business Model With Low Operating RiskDeterra's royalty model transfers operating and capex risk to mine operators while retaining upside to commodity prices and volumes. This structure yields durable cash flows, minimal capital intensity and scalable earnings as operators expand production, supporting long-term dividend capacity.
High Profitability And Strong Cash ConversionExceptionally high reported margins and near-complete conversion of profits into free cash provide persistent internal funding for dividends, debt servicing and opportunistic investments. This cash generative profile strengthens balance sheet resilience over multiple cycles.
Thacker Pass De-risking And Portfolio DiversificationMaterial de-risking, government/strategic partner funding and an extended 85‑year mine life materially enhance the long-term royalty value from lithium exposure. This diversification reduces sole reliance on iron ore and creates a durable, multi-decade royalty revenue stream.