Sunday Edition: 2nd November

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.

Happy Sunday...

Below is a summary of every stock we wrote about last week.

Quick Takes: AW1, TG1, KAU, HAR, L1M, ONE, AGH, GEN, LKY, RML

Deep Dives: LSR, RML, AVM, PFE, JBY

Here is a link to our Saturday edition where we talked about how the 12 month “truce” between the USA and China will drive gold, silver and US critical minerals in the near to medium term:

Read it here

Without further ado...

Our US critical minerals Investment American West Metals (ASX:AW1) started a resampling program over its giant indium deposit - the biggest in the USA.

Indium is a vital part of phone screens and TV displays - it's listed in the USA critical mineral list, and China controls ~ 70% of production.

Only 35% of AW1’s deposit has been sampled for indium (so the defined resource could get bigger).

AND there is gallium upside... only 5% of drilling at AW1’s project has been tested for gallium with one hole returning 552m of gallium at a peak grade of 77.3g/t...

Our exploration Investment TechGen Metals (ASX:TG1) added another priority drill target at its WA copper-gold project.

TG1 will now have another drill target at its Blue Devil copper-gold project in WA - which it is calling ‘Red Devil’.

TG1 wants to drill these targets before the end of the year (fingers crossed).

Our gold producing Investment Kaiser Reef (ASX:KAU) released high grade results from its Maldon project in Victoria.

KAU hit gold in 18 of 19 holes, hitting mineralisation beneath the historic Union Hill Pit which is close enough to the existing underground decline to make things interesting from a restarting Maldon perspective.

KAU also released its quarterly report this week, showing a production of 8,115 ounces of gold, generating $45.5M in revenue for the September quarter from its Henty mine in Tasmania. KAU ended the quarter with $29.4M cash, which is $4.7M more than last quarter.

Our gold Investment Haranga Resources (ASX:HAR) has approvals in place for drilling to start next week in Senegal.

HAR expanded the drilling from a planned 3,000m to a 4,000m program. The initial drill results from this asset look strong, hopefully we see more of the same next.

Our exploration Investment Lightning Minerals (ASX:L1M) completed drilling at its Queensland gold-copper-silver project.

L1M drilled a total of 9 diamond holes - the first batch of assays hit included a hit of 20.4m at 2.4 g/t gold.

Now we wait for the assays from the remaining holes.

Our health tech Investment Oneview (ASX:ONE), released its September quarterly report.

Cash receipts were slightly lower than expected (mainly due to a US~$2M renewal fee slipping into the later quarter BUT endpoints (live beds) were up by ~850.

Now it's all about converting the 180+ pipeline opportunities (48,000+ endpoints) and its Baxter partnership into sales.

Our THC drinks Investment Althea Group Holdings (ASX:AGH), released its September quarterly report.

AGH’s production numbers in Canada were up (despite the headwinds from strikes in the region). AGH is still the market leader in Canada with 33% of market share.

Importantly though, production looks like it's really starting to ramp up now from the newly opened facilities inside the USA.

Our development stage African iron ore Investment Genmin (ASX:GEN) received further additional funding from two of its directors.

GEN received additional director-related funding from two of its directors for another $200k each.

Tembo Capital (a major shareholder of GEN) transferred $3M of debt to John Hodder (related party of Tembo and a director of GEN). The directors are really putting their money where their mouth is here, funding the company almost solely right now.

Hopefully that means GEN is getting closer to a bigger project financing deal (fingers crossed).

Our US critical minerals Investment Locksley Resources (ASX:LKY) started geophysical surveys across its project in California.

LKY’s first drill program is getting closer now (drilling scheduled for this quarter) so hopefully we see some of the drill targets come up the ranks in terms of priority after the geophysics is completed.

Our US critical minerals Investment Resolution Minerals (ASX:RML) acquired a nearby antimony and tungsten processing mill and existing tungsten stockpiles at its Gold-Antimony-Silver-Tungsten Project.

The acquisition provides strategic advantages for US permitting, Department of War funding, and potential offtake deals, while building on historic high-grade antimony and tungsten mining.

This includes a fully equipped processing mill and historic tungsten stockpiles adjacent to its Horse Heaven Project in Idaho, positioning it to fast-track production.

Lodestar Minerals (ASX:LSR)

We added LSR to the Portfolio this week.

LSR announced the acquisition of an option on a heavy rare earths exploration project in Arizona, USA.

LSR’s project was previously explored for uranium and rare earths in the 1940s and hasn’t really been touched since 1991.

The project contains light rare earths AND high concentrations of heavy rare earth elements, including dysprosium, terbium, and lutetium, as well as yttrium, ytterbium, gadolinium, holmium, erbium, and thulium.

Of the 12 rare earths that China has put restrictions on, channel sampling on LSR’s project demonstrated mineralisations of all 12 of them (source: LSR announcement table 1).

Including high concentrations of the HEAVY rare earths on which China most recently announced controls.

LSR’s new asset is in the early stages of exploration - so drilling the project will determine if they can find commercial quantities of heavy rare earths.

We like that LSR is a fast early mover in heavy rare earths exploration inside US borders.

LSR’s project is on the border of Arizona and Nevada - 200km away (trucking distance) from the USA’s current rare earths champion MP Materials.

MP Materials is aspiring to mine rare earths and produce advanced rare earth magnets 100% inside US borders, but is currently mostly producing light rare earths.

Advanced rare earth magnets need both light and heavy rare earths.

LSR has rare earth mineralisation from trenching and rock chips with over 50% of the rare earths being heavy rare earth elements...

(again, heavy rare earths are the critical inputs into AI, quantum computing and autonomous warfare... where China currently controls supply)

(Source)

(Source)

Read more: Our New Investment: Lodestar Minerals ASX: LSR

Resolution Minerals (ASX:RML)

We Invested in RML because of a theory that it might be sitting on a similar gold-antimony deposit to its neighbor A$4BN Perpetua’s estimated 6 million ounce gold and 206M pound antimony deposit.

The theory is that RML’s ground could host a similar gold-antimony deposit formed by the same underground source structures as Perpetua’s deposit... (called an “Intrusion Related Gold System”)

Drilling was required to either firm up this theory or discount it...

This week RML announced a “DISCOVERY HOLE” from its very first drill hole to test this theory:

189.2m at 1.3g/t gold.

Including the following sections:

• 12.9m at 2.32 g/t gold from 94.4m
• 70.8m at 2.24 g/t gold from 128.8m

(Perpetua’s estimated 6 million ounce gold deposit has an average gold grade of ~1.42g/t gold)

And RML’s deep hole ended in mineralisation...

Which means if they had drilled even deeper, the gold mineralisation may have kept going...

We see a LOT of drill results every day - a monster hit like this (especially on the first hole AND ending in mineralisation) does not come around often.

The "discovery" here is that the ‘deeper than historical’ drilling done by RML has found higher grade gold in sulphides, which are analogous to Perpetua's geology.

It is also open to the north and south - which in layman terms means the discovery could get a lot bigger with more drilling...

We also got lucky in terms of timing on this news - the world’s largest bank, JP Morgan and the world’s third biggest gold miner, Agnico Eagle, announced a US$225M strategic investment into Perpetua 11 hours before RML announced its discovery hole... (more on that in our note)

Read more: RML Gold Discovery: First hole hits 189.2m at 1.3g/t gold... near surface, ending in mineralisation

Advance Metals (ASX:AVM)

Visible gold in the deepest hole from our Investment AVM’s Victorian gold exploration project.

(Source)

(Source)

The visible gold came from a 140m step out hole - which (pending assays in 4-5 weeks) could mean AVM’s gold system runs over ~ 500m vertically.

AVM also said it was considering a strategy to get another rig on site - maybe multiple rigs that can make new discoveries will be the trigger for comparisons being drawn between the $1.1BN Victorian gold explorer Southern Cross Gold and AVM?

AVM’s high grade gold project has in the past produced gold at average grades of 31 g/t.

AVM is now drilling below the old workings, to see if the high grade gold extends beyond the previous mine shafts AND the previous drilling on the project.

The visible gold in today’s announcement is from the deepest hole ever drilled on the project...

We said in our last note that the market will be wanting to see continuity of gold mineralisation as AVM drills deeper to really start to get interested in this project.

Now AVM’s got visible gold 140m below any of the previous drilling...

AND the whole system is open in all directions (meaning it can get a lot bigger with some step out holes to the north, south, east and west).

Read more: AVM step out drilling hits visible gold - assays in coming weeks

Pantera Lithium (ASX:PFE)

Our exploration Investment PFE just added a US silver-antimony asset to its Portfolio - containing 18 historic mines.

The deal comes only a few weeks after PFE closed the $40M sale of the US lithium assets to EnergyX.

The lithium assets it had acquired and been developing since 2023 are also in Arkansas.

(PFE currently owns A$34M in stock of EnergyX - a private US based lithium company. PFE also just received $2M cash and will be receiving another $4M cash over the next ~18 months).

So PFE has “been there and done that” in Arkansas...

They have built local and state government connections, know the land leasing and exploration rules, already once built a land package through direct leasing of mineral rights and then developed and sold the project.

(while lithium was “unloved”)

And now they have turned their attention, operating presence, in-state skills and connections to doing the same thing in Arkansas, but now with US critical minerals.

(which is currently “loved”)

PFE’s new projects have had no modern exploration or mining history, but over 100+ years ago, this was actually a big antimony mining district.

We did a bit of digging and found the below info, which showed the district was producing ~hundreds of tonnes for a large part of 1870s, 1880s and 1890s.

Since then, the projects have been largely untouched...

(Source)

Read more: PFE: Announces new USA land package with 18 historic antimony and silver mines...

James Bay Minerals (ASX: JBY)

On Friday our 2025 Small Cap Pick of the Year JBY put out metallurgical testing results from its 1.37M ounce gold JORC resource in Nevada.

JBY’s project sits next door to N.G.M - a giant gold mine complex owned in a JV between two gold giants: $86BN Barrick and $137BN Newmont.

JBY announced successful test work confirming +95% gold recovery.

(a high gold recovery rate is good because it indicates that a larger proportion of the gold contained in the ore can be efficiently extracted during processing, which boosts project economics and operational efficiency if/when JBY starts extracting and producing the gold)

Importantly, it came from the deeper part of JBY’s resource - which is very similar to the type of gold that was recovered from N.G.M’s Fortitude pit next door.

Fortitude produced ~2.1M ounces of gold between 1984-1993 at an average grade of ~6.68g/t with recoveries over ~90%. (source)

JBY’s resource has almost identical grades at 6.67g/t - and now has much better recoveries at up to 95.9%...

We think JBY’s neighbour (N.G.M) might have read Friday’s announcement at least a few times with how close it is to its Fortitude pit:

(Source)

So far JBY has focused most of its efforts on the shallow resource on its project... With some drilling, if JBY can start to show that its deeper resource is a lot bigger, surely it would at least force the N.G.M JV to do a double take on the project...

(Source)

Read more: JBY: +95% gold recoveries from high grade “skarn” resource

Bloomberg - China ramps up media and military pressure on Taiwan ahead of Xi-Trump summit, signaling it will never tolerate independence as tensions soar.

Reuters - China is racing to weaponize AI with DeepSeek-powered drones, robot dogs, and battlefield planning systems, aiming to outpace the U.S. in next-generation warfare.

Business News Australia - Breakthrough Victoria injects $75M into five venture funds to supercharge climate tech, med-tech, and female-led startups, aiming to turn Victoria into a global innovation powerhouse.

Bloomberg - China’s biotech boom pushes ethical boundaries with gene-edited pigs, monkeys, and dogs to race ahead of the US in groundbreaking and controversial medical research.

Bloomberg - India’s central bank rushes to bring gold home, doubling domestic reserves amid global financial uncertainty and geopolitical shocks.

Bloomberg - Goldman CEO warns US faces a debt ‘reckoning’ unless growth accelerates, as reliance on stimulus soars.

Bloomberg - Central banks ramp up gold buying despite record prices, betting on bullion as a hedge against a shaky US dollar.

AFR - JPMorgan’s bullish lithium forecast sparks a surge in Australian lithium stocks, with spodumene prices expected to soar up to 50% by 2027.

Bloomberg - China’s rare earth chokehold is a wake-up call that the US must urgently build a non-Chinese supply chain before its defence and tech industries are held hostage.

Bloomberg - EU and China scramble to avert a rare earths crisis as export curbs threaten Europe’s auto industry and trade showdown looms.

Bloomberg - US rare-earths producers rush to break China’s monopoly as global demand and government backing ignite a high-stakes magnet boom.

Bloomberg - China buys first US soybeans of the season, signaling a potential thaw in trade tensions ahead of Trump-Xi talks.

FT - US inks $80BN nuclear reactor deal with Westinghouse and Japan to turbocharge Trump’s plan to quadruple national nuclear capacity by 2050.

Reuters - US inks $80B nuclear mega-deal with Westinghouse and Japan to fast-track a Trump-led atomic energy boom amid soaring AI-driven power demand.

Reuters - JPMorgan bets $75M on Perpetua Resources, the first pick of its $1.5 trillion security fund to rebuild America’s antimony supply chain and cut China out of the equation.

AFR - Albanese scores the prime spot next to Trump at APEC, turning a last-minute dash into diplomatic gold.

Bloomberg - Xi makes first public remarks since Trump meeting, urging stable global supply chains amid China’s push for tech independence.

Bloomberg - China suspends rare-earth export controls for a year, giving global buyers a breather while G7 races to counter Beijing’s dominance.

Craig Lindsay | Resolution Minerals (ASX:RML | OTCQB:RLMLF) – 189m Gold Discovery at Horse Heaven

Advance Metals (ASX: AVM) Strikes High-Grade Gold at Happy Valley, Victoria — CATT CALLS

Michael Oliver’s Most IMPORTANT ALERT for GOLD & SILVER Buyers Yet

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.