Explorer Quarterly Cash Update: March-June 2014

08 September 2014

Bruce Gordon |

Research into the financial health of Australian-listed explorers | Green shoots emerge for junior explorers

Over the past 12 months, BDO has undertaken quarterly research into the cash position of Australian-listed explorers.

In this edition, we present analysis of the June 2014 quarter, combined with our research findings from the previous four quarters, to provide a commentary on both the quarterly and annual cash flow data for Australian-listed mining, oil and gas exploration entities (who have lodged Appendix 5B cash flow statements with the ASX).

Our analysis provides the following key insights:

  • For the year-ended 30 June 2014 total exploration expenditure was $3.27 billion
  • Explorers have less cash in June 2014 than they had in June 2013
  • The number of explorers not undertaking any exploration in the June quarter has increased
  • An increasing number of companies have only one or two quarters of cash available
  • A large portion of the backdoor listings during the year were mining and energy related.

Please view our Explorer Quarterly Cash Update for insights on the cash position of ASX-listed entities as at the June 2014 quarter.