SS1 - Index buying now in play?

Our 2024 Small Cap Pick of the Year Sun Silver (ASX: SS1) is now officially included in an index…

This morning, we noticed Sun Silver was actually added to the Sprott Silver Miners and Physical ETF (Exchange Traded Fund) - which trades on the NASDAQ under the ticker SLVR.

As of 30 June 2025 - SS1 made up 0.36% of the ETF:

(Source)

In our SS1 note yesterday we shared six catalysts that we thought could trigger a run in SS1’s share price in 2025.

One of those was the following:

We think index inclusion into the Sprott ETF is proof of this catalyst playing out - and we think it could be a precursor for entry into other indexes (like the ASX indices).

Getting into more indices should mean more passive funds flow into SS1.

We wrote about how index inclusion can open up a stock to a whole new pool of capital in a weekend note a few weeks ago.

Check that note out here: Index Inclusion: A Small Cap’s Big Leap

Index inclusion was something that some of our best ever resource Investments have had going into a period of strong newsflow.

Some of our best ever Investments ran to their all time highs off the back of index inclusion.

Here is what happened to Vulcan Energy Resources after it got included in the S&P All Ordinaries index:

(At its peak, VUL was up 8,225% from our Initial Entry Price)

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.

Also Latin Resources, which went from our Initial Entry Price of 1.8c to a high of ~42c (up 2,332% at its peak):

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.

Both of those companies started run ups off the back of index inclusion.

Index inclusion alone didn’t spark these rallies nor does it guarantee sustained price increases, but it played a part in adding “fuel to fire” as larger pools of capital become unlocked.

Now having been included into one index fund (Sprott’s ETF) we are hoping SS1 gets into a major ASX index and attracts another wave of institutional capital.

What other catalysts are we tracking for SS1?

We detailed it in our note yesterday, but here are some other catalysts we think could move SS1’s share price in the short-medium term:

• Silver price runs: if the silver price runs, then we expect SS1’s share price to follow. The silver price could run due to a hedge against persistent inflation or industrial demand.
  
  
• More silver discovered from drilling: after today’s assays, we think it is clear where SS1 should drill next. If SS1 can continue to build on this identified silver mineralisation, we think that it could follow a similar path as Spartan Resources - which discovered and defined a giant gold resource in a short period of time.
  
  
• SS1 silver resource update: If SS1 publishes a JORC resource update that increases the level of confidence in the project and the size of the silver equivalent resource (above investor expectations), this could be a big catalyst for the company.
  
  
• Antimony surprise: SS1 could publish an antimony resource by re-assaying historical drill cores that were not tested for antimony. On top of this, if SS1 is able to secure any US DoD funding for this project (it happened for Perpetua - more on this below) it could be a big signal to the market that SS1’s project is of ‘strategic importance’ to the US Government.

Check out our note from yesterday here: Silver just hit a new 14 year high: SS1 has the biggest pre-production silver equivalent project on the ASX and in the USA