Sunday Edition: 21st September

Disclosure: S3 Consortium Pty Ltd and its associated entities may hold direct or indirect interests in securities referred to in this publication and may receive fees or other forms of consideration from entities mentioned. These interests and arrangements may create a potential conflict of interest in the preparation of this material.

The information contained in this communication is provided for general information purposes only and may relate to speculative investments. It does not constitute financial product advice, and has been prepared without taking into account your personal objectives, financial situation or needs. You should consider obtaining independent financial advice before making any investment decision.

Silver’s big Friday night price run to a new 14 year record all happened AFTER the ASX closed for the week.

So ASX silver stocks have not had a chance to react to it yet... until trading re-opens on Monday morning at 10AM AEST.

... only about 15 hours to go now.

Our new silver Portfolio addition on Friday was Advance Metals (ASX:AVM)...

.. and it only traded for a total of 97 minutes for the day after trading was paused 7 minutes after market open. It came back on for the final 90 minutes of the day - when most investors had already left the screen.

AVM ended the day up - but still a sub $25M market cap at 8.1c.

Read our AVM initiation note here.

We also added silver stock Rapid Critical Metals (ASX:RCM) on Wednesday.

RCM's share price has delivered two little leg ups already, so Monday should be interesting for RCM too off the back of the Friday night new silver price record.

And then we have our other silver stocks - SS1, MTH, WCE and (sorta) TTM.

We are all in on silver now - let’s see what happens Monday...

Remember we are Investing in high risk small cap speculative stocks - success is never a guarantee. Always invest what you can afford to lose at this end of the market.

If silver hits US $50/oz in the coming weeks/months (currently US $43) it will be its record ALL TIME high (not adjusted for inflation).

We did a deep dive into why we think silver is going up and why we have gone so overweight in silver stocks in our Saturday note yesterday.

Read our Saturday note here.

Tired of hearing us banging on about silver?

Below are some other things that happened

(warning: some silver may also be mentioned):

LKY committed to upsizing exploration works at its US rare earths and antimony project.

LKY holds ground in and around $17BN MP Materials’ Mountain Pass mine in California.

RML announced a batch of sampling results from its second prospect on its ground in Idaho, USA.

RML’s project is next door to $2.8BN Perpetua Resources whose project has the biggest antimony resource and one of the biggest open-pit gold resources in the USA.

The bigger news from RML last week was the $25.1M capital raise completed, and also one of us just returned from a site visit - more on that below.

BPM signed a heritage agreement on its WA gold project.

BPM recently acquired an option on its new WA gold project which sits along a geological trend that is similar to the 8 million ounce Tropicana deposit.

Tropicana is owned by $50BN AngloGold Ashanti and $4BN Regis Resources who are both rumoured to be in discussions regarding M&A on the asset...

CND announced the results of an “independent market and commercialisation study” for its 1Tcf gas discovery.

CND holds 80% of a highly prospective oil and gas block, offshore in Peru.

CND’s block is surrounded by $200BN Total Energies and more recently $476BN Chevron and $67BN Occidental have picked up blocks in offshore Peru.

HAR released an update on future drilling programs at both its US and Senegal project.

Just last week HAR put out drill results from a shallow aircore program at its project in Senegal.

Drilling hit intercepts including a 20m hit with average gold grades of ~6.54g/t from only 12m depths and the market liked the news... HAR’s share price is up 25% from where it was trading pre-results.

PFE provided a progress update on the sale of its US lithium asset to US based EnergyX.

PFE has already locked in shareholder approvals for the deal to proceed.

Now, all financial, legal and technical due diligence has been completed - PFE expects the deal to be completed in October.

SGQ put out exploration results from its project in Brazil.

SGQ owns 100% of the Araxá project which is next door to CBMM, the mine that produces ~80% of the world’s niobium supply.

SGQ’s project is the largest and highest-grade carbonatite-hosted rare earth deposit in South America and second highest grade REE deposit globally in the Western world.

ION signed a binding agreement with ASX listed Livium to commercialise its tech inside Australia.

Livium runs Envirostream, a leading Australian lithium-ion battery recycler.

ILA put out an updated investor presentation on its anti-viral Galidesivir drug.

ILA is seeking a fast tracked approval pathway for its Galidesivir drug to treat Marburg Disease (which has a 88% mortality rate and no existing treatment).

You can see ILA management talk through it all here.

AGH closed a $2.55M capital raise at 1.8c per share

A “strategic reset” has now been completed, allowing the company to focus on its THC beverage manufacturing business in Canada and the US.

KAU appointed Craig Dingley as a Non-Executive director to the company.

Craig is the head of corporate development & investor relations at $2BN Catalyst Metals, KAU’s 19.99% major shareholder

TG1 just started geophysical surveys on its Mt Boggola project.

On this project, TG1 had already identified two copper-gold drill targets.

Sun Silver (ASX:SS1)

The silver price just hit new 14 year highs again this week.

Silver might just have started that breakout to new all-time highs we have been writing about for weeks now:

The past performance is not and should not be taken as an indication of future performance. Caution should be exercised in assessing past performance. This product, like all other financial products, is subject to market forces and unpredictable events that may adversely affect future performance.

As the silver price increases, the in-ground value of silver resources goes up with it...

Our 2024 Small Cap Pick of the Year Sun Silver (ASX:SS1) owns the largest pre-production silver asset on the ASX and one of the largest within the USA.

And now it’s about to list on a US stock exchange.

The US is the place to be for silver companies - some of the biggest pure play silver producers are listed in Canada and the USA... wait til they see SS1.

SS1 has a 480M oz of silver equivalent JORC resource estimate on one asset in the USA:

(Source)

SS1 is drilling right now to grow that resource even further, and lately has been hitting high grade silver at shallower depths than the existing resource estimate.

(SS1’s US based project could ALSO host a giant antimony deposit - antimony is a US critical military metal - SS1’s drill cores keep showing antimony - more on that in the link below).

SS1 is aiming for a silver resource estimate upgrade AND potentially a maiden antimony resource estimate before the end of the year.

Read more: SS1 plots US listing - silver on the draft US critical minerals list

Rapid Critical Metals (ASX:RCM)

One of the two new Investments we made this week - RCM.

Fresh off the back of the Beaver Creek Precious Metals Summit in Colorado, USA - a gathering of the world’s most bullish gold and silver investors.

We noticed that a lot of money has been made in gold over the last 12-18 months.

And now everyone seemed to be turning their attention to silver...

There are expectations from US gold and silver bulls that silver will “do a gold” and run to new all time highs very soon... (no guarantees though..)

We’ve had a good run with our other ASX silver Investments to date.

So now definitely feels like the time to be making new silver Investments on the ASX - where stocks haven’t really properly run yet (despite what’s happening to the silver price).

That’s why we Invested in Rapid Critical Minerals (ASX:RCM).

RCM just raised $14M at 3.5c from some very deep pocketted institutional investors.

For a company of its small size, we were surprised to see three big institutions come onto the RCM register - funds that manage hundreds of millions of dollars of precious metals investments:

• Eric Sprott,
• Jupiter Asset Management, and;
• Tribeca Investment Partners.

Between them, they took $10.5M of the $14M capital raise.

RCM has 67M ounces of high grade silver equivalent resource estimates (at around 400 g/t AgEq) in NSW, across three projects:

• Webbs: 14Moz at 205 g/t AgEq,
• Conrad: 21 Moz at ~ 400 g/t AgEq,
• Webbs Consol: 32 Moz at 636 g/t AgEq (RCM just cut a deal to acquire this asset a few weeks ago).

All projects have had historical mining, metallurgy work, and the potential to get bigger...

Read more: Our New Investment: Rapid Critical Metals (ASX: RCM)

Resolution Minerals (ASX:RML)

A $5B critical minerals fund.

$7.5B set aside for critical minerals grants.

$1B to critical minerals projects from the Department of Energy.

... and we think more to come.

The US is spending BIG on domestic projects to shore up supply chains for critical minerals like antimony, tungsten and rare earths.

One place the US government is looking at is a small town just outside of Boise, Idaho.

There, the $2.8BN capped Perpetua Resources is getting ready to restart the mine that provided 90% of the antimony to the US war effort in WW2. Production is scheduled to start in 2028.

Our Investment Resolution Minerals (ASX:RML) has ground directly next door to Perpetua Resources.

This ground has historical mines, and impressive gold hits - does the mineralisation stem from the same intrusion that generated Perpetua’s $2.8BN resource?

RML is drilling right now, testing for critical minerals tungsten and antimony... as well as gold and silver.

Read more: RML: $25.1M raised... and we just got back from a site visit - here’s what we learnt

Linkedin - Robert Friedland, a well known and colorful mining entrepreneur meeting in Riyadh today with President Trump and MBS. You can bet there’s a few big mining deals sitting behind this discussion. | Todd Clewett

Bloomberg - Qatar’s QIA Takes $500 Million Stake in Copper Miner Ivanhoe

Bloomberg - US looks to boost Uranium reserves for Nuclear Power

Vaneck - Trends with Benefits #140: Inside MP Materials and America’s Rare Earth Revival | VanEck

ZeroHedge - U.S. Reportedly Weighing $5 Billion Rare Earth Investment Fund, Sending Miners Soaring

Financial Times - Mike Pompeo calls on US to move faster on critical minerals

Junior Mining Network - Ivanhoe Mines Announces US$500 Million Strategic Private Placement with Qatar Investment Authority (QIA)

(Source)

RCM - Acquisition of High-Grade Silver Assets

RML - Critical Minerals at a Critical Time

ILA - Galidesivir Update

SS1 - Mining Forum America’s

AL3 - International Expansion Off A Strong US Base

Resources Talks - Is the Mining Bull Market Almost Over? I asked 5 Experts in Beaver Creek

American Uranium (ASX: AMU) - executive director Bruce Lane at RIU Uranium Investment Day 2025

Lowell Resources Fund - Drilling Deeper: Julian Hanna’s lifetime of discovery. From Forrestania to Botswana & now Australia

Resolution Minerals (ASX:RML) - Expands Horse Heaven Project in Idaho – Gold, Silver, Antimony & Tungsten

Bloomberg - Brazil Joins the Global Cooperation to Beat China’s Rare Earths Domination

Island Pharmaceuticals (ASX: ILA) - investor webinar

A word of caution...

While we aim to highlight developments in the small cap space, investing in early-stage and small cap companies - like those we cover - is inherently risky.

These companies often face funding challenges, regulatory hurdles, and market volatility. Announcements may reflect aspirations more than guaranteed outcomes.

Things can, and often do, change.

Just because a company has signed a deal, released drill results, or appointed a new director doesn’t mean success is assured.

Always assume delays, cost overruns, or results that don’t pan out.

We’re here to share insights, not offer personal financial advice - so please do your own research and speak with a licensed adviser before acting on anything mentioned.

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Bye for now.