White-hot gold drags WA mining exploration spend out of multi-year slump according to latest BDO report

Rivers of gold mining riches have finally trickled down to the drill bit after exploration spend in WA rebounded from a four-year low.

Exploration spending rose in the June 2025 quarter after four straight quarters of decline, according to BDO’s quarterly explorer’s cash update.

The June quarter expenditure of $729 million was up 13 per cent from the March quarter. The March quarter result of $644m was the weakest since the June quarter of 2021.

ASX-listed mining players looking for gold, which has experienced a prolonged record price run, lead the June quarter charge.

“Of the top 20 exploration spenders in the June 2025 quarter, gold dominated once again, with six companies collectively outlaying $62.4m,” BDO stated.

“Capricorn Metals with $20.4m and Firefly Metals with $17.8m led the list, highlighting gold explorers’ continued ability to convert capital into active drilling and project studies.

“Lithium exploration was subdued, with only Galan Lithium with $8.12 million featuring in the top 20, compared with four lithium companies in the top ten a year earlier. This reflects weaker prices and tighter funding.”

Uranium and rare earths also gained traction, with four companies among the top 20 and spend levels up compared to recent quarters.

But the average cash balance of ASX-listed explorers across the board fell 7 per cent over the June quarter to $9.1m.

“This is the fourth quarterly decline from the peak of over $10 million a year ago, as spending slightly outpaced fundraising.”

Gold companies unsurprisingly topped the fundraising leaderboard over the three months ended June 30 with $647m raised.

Copper-gold was second with $192.5m, oil and gas third with $184m and lithium in fourth with $71.5m.

Overall, 42 explorers raised more than $10m for the June quarter, compared to 26 during the first three months of the year.

The top three fundraisers were Minerals 260, Bellevue Gold and Strike Energy.

BDO global natural resources and energy leader Sherif Andrawes said the exploration spend and fundraising rebound signalled “cautious confidence returning to the field”.