ASX explorers hit record $13 billion cash balance

Australian-listed explorers entered 2026 with a record $13.04 billion in cash, despite capital raising activity easing from the exceptional highs recorded late last year.

BDO's latest explorer quarterly cash update found the March quarter's cash balance surpassed the previous record set in December and marked the highest level recorded since the analysis began in 2013.

BDO Global leader of natural resources and energy, Sherif Andrawes, said the figures showed explorers remained in a strong financial position despite ongoing uncertainty across global markets.

“While financing activity eased from the extraordinary highs we saw at the end of 2025, explorers entered the year in a position of considerable strength,” Sherif said.

“The fact cash balances continued to grow despite softer fundraising conditions highlights the resilience of the sector and the depth of capital that remains available for quality projects.”

Financing inflows totalled $3.15 billion during the quarter, down from the record $5.62 billion raised in December. While fundraising activity cooled, explorers continued to attract significant capital, with funding levels remaining well above those seen a year earlier.

The report also introduced a new analysis of the ASX’s 50 largest explorers by market capitalisation, finding the group accounted for 53 per cent of the sector’s total cash holdings despite representing less than 7 per cent of companies analysed.

“The overall numbers paint a positive picture, but they also highlight how concentrated capital remains across the sector,” Sherif said.

"A relatively small group of larger and more advanced explorers account for a significant share of the sector's available capital, highlighting the growing divide between the industry's largest players and the broader market."

Sherif said the sector would also be watching closely for any impact from the Federal Budget’s proposed capital gains tax changes.

“Early-stage exploration has traditionally relied on investors seeking capital growth, and any change that affects those investment settings has the potential to influence the flow of capital into the sector,” he said.

“It remains to be seen what impact the changes will have on future IPO activity and investor appetite for early-stage exploration opportunities.”

Gold remained the dominant commodity for fundraising, supported by ongoing geopolitical uncertainty and investor demand for safe-haven assets. Investment also remained broadly diversified across copper, rare earths, lithium, oil and gas, and other commodities linked to the global energy transition.

 

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