"TMR: Could the regulation spawn more offtake or end-user agreements with resource companies that have viable deposits of these commodities in desirable jurisdictions?
"Invest in mining companies that are closest to production. That's still a very viable play."
LR: Definitely. Companies are not looking to skirt the law. They want to try to comply with it. To do that, they are going to be forced to look at alternative sources to develop the supply chain. It's a good opportunity for junior mining companies.
To some extent, the markets already work like that. Tantalum is a great example of a metal where companies basically buy forward. They're not buying on the spot market. They're buying on contracts. They're looking to shore up and lock-in long-term supply contracts. We will see more, not less, of that."