ASX explorers hit record $12 billion reserves as sector roars back

Australian-listed exploration companies have entered 2026 with record cash reserves and the strongest fundraising environment in more than a decade, signalling a renewed surge of capital into the resources sector as investors back gold and critical minerals projects.

New analysis from BDO shows explorers raised $5.63 billion in the December 2025 quarter, a 61 per cent increase on the previous quarter and the largest quarterly financing inflow since the firm began tracking the sector in 2013.

The capital influx has pushed the combined cash balance of ASX-listed explorers to a record $12.04 billion, underscoring a sharp improvement in funding conditions and investor sentiment across the sector.

BDO Global Leader of Natural Resources and Energy, Sherif Andrawes, said the scale of capital flowing into the exploration sector marked a clear turning point following a subdued period for junior explorers.

“The December quarter confirmed that investor confidence has returned to the exploration sector in a meaningful way,” Sherif said.

“Record financing inflows and the strongest cash positions we have seen in more than a decade indicate the market is once again prepared to fund exploration and project development.”

The rebound has been driven by a combination of record gold prices, intensifying geopolitical competition for critical minerals and renewed institutional appetite for resource investment.

Lithium briefly overtook gold as the most heavily funded commodity during the quarter, attracting $1.09 billion in financing inflows, largely driven by Vulcan Energy’s $957 million capital raise to support development of its European lithium project.

But gold explorers remained a dominant force, collectively raising more than $1 billion as bullion prices surged to record highs during the period.

Sherif said the shift in funding conditions was already translating into higher levels of exploration activity.

“With stronger balance sheets and better access to capital, explorers are now in a position to accelerate drilling programs and advance development projects,” he said.

“Exploration expenditure rose to $915.65 million during the quarter, reflecting renewed investment across gold and critical minerals projects after a slowdown earlier in the cycle.”

“The combination of strong cash reserves, rising exploration expenditure and improving access to capital suggests we are entering a new phase of activity for the exploration sector.”

 “If current market conditions persist, we expect to see a continued increase in exploration investment and corporate activity across the industry.”
 

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For media enquiries:

Tate Papworth 
Manager, Media 
E: Tate.Papworth@bdo.com.au 
Ph: 0433411189