Weekly Wrap: BUS Joins, TEE Presents & One to Watch for 2025
Victorian gold explorer BUS joins our portfolio, TEE outlines its Kansas hydrogen strategy, LNR starts diamond drilling, and an early look at one of our small-caps to watch
This week we added Bubalus Resources (ASX: BUS) to our portfolio - a tiny gold explorer sitting on prime real estate between two of Australia's highest-grade gold mines. We also saw our natural hydrogen play Top End Energy (ASX: TEE) outline their ambitious plans for 2025.
Before we dive into the week that was, here's what you need to know:
BUS joins our portfolio at 11c with high-grade gold prospects
TEE's investor presentation maps out their natural hydrogen strategy
Lanthanein Resources began diamond drilling at Lady Grey
Plus, a sneak peek at one of our ‘Small-caps to watch in 2025’ from our upcoming eBook.
Let's get into it.
Bubalus Resources: Prime Victorian Gold Ground
We purchased Bubalus Resources on-market this week at 11 cents, seeing value in a compelling mix of strategic ground, strong early results, and advanced development status that's rare for such a small explorer.
At today's price of 13 cents and a $6 million market cap (with $3.5 million in cash), BUS offers exposure to some of Victoria's most prospective gold ground.
The company's tenements sit between two of Australia's highest-grade gold mines, but there's more to this story than just location.
For those that missed it, find their latest update here: Bubalus Investor Presentation
You'd be forgiven for thinking this $6 million-dollar company has just acquired tenements, and nothing more has been done.
However, Bubalus’ Crosbie target has already delivered impressive surface sampling results up to 19.1g/t gold and 1.1% antimony.
The geology also points to an intrusion that looks similar to that of the nearby Fosterville mine, which is a multimillion-ounce high-grade gold mine.
BUS also stood out to us by having already been granted a permit to drill its Crosbie target from existing tracks. This means they can move quickly.
The addition of Brendan Borg to the board brings valuable local expertise. As a Victorian-based geologist with over 28 years of experience taking assets from exploration through to production and takeover, his appointment adds significant strength to the team.
For $6 million, BUS investors get exposure to a company that's:
Well funded with $3.5 million cash
Got exposure to two in-demand metals, gold and antinomy
In a proven tier-1 mining region
Completed surface sampling and returned high-grade results
Identified targets to drill
Drill ready with permit in hand
Bolstered its board experience with deep local expertise
Gold and Antimony: A Timely Combination
There are few better combinations than gold and antinomy in this market.
Gold continues to hold near record highs, up 30% over the past year, as global uncertainty and expectations of falling interest rates drive demand. Goldman Sachs sees this momentum continuing, with a December ‘25 price target of US$3,000/oz.
Central banks are also stockpiling gold at historic levels.
Since 2022, central bank purchases have approached 3,000 tonnes, with China, India, and Turkey leading the charge. China's gold reserves alone have risen by 10 million ounces over the past two years.
With central banks continuing to accumulate and global uncertainty persisting, the outlook for gold remains compelling.
Antimony: China's Supply Squeeze
The antimony story adds more weight to our investment case. Prices have surged since China began restricting exports before enforcing a complete ban on exports to the US over national security concerns.
Since China first limited exports late this year, prices have surged more than 200%.
China controls 48% of global antimony production and supplies 63% of US imports. With antimony crucial for things like bullets and weapons, and the US defence industry already facing production bottlenecks, this supply squeeze isn't likely to ease anytime soon.
It’s fortuitous timing for BUS.
Beyond the gold potential, their antimony prospects now offer exposure to a critical mineral that's caught in the crosshairs of evolving US-China relations.
The US is working overtime to develop alternative supply chains, and the ban looks unlikely to be lifted any time soon.
Top End Energy Delivers Slick Investor Presentation
This week, we also saw our natural hydrogen pick, TEE, drop an investor presentation highlighting the sector, the land, the big players, and their next steps.
For those that missed it, find it here: TEE Investor Presentation
We believe we're onto something special with TEE, and it doesn't take a genius to look at their presentation and realise the potential.
TEE has secured 20,000 acres of prime Kansas land, positioning themselves alongside some heavyweight neighbours including projects backed by Bill Gates, Jeff Bezos, Mitsubishi and Andrew Forrest, who are all betting big on natural hydrogen's potential.
The valuation gap here is striking. At 11c with a market cap of $25 million, TEE offers early entry into this emerging sector. For perspective, the Gates-Bezos backed Koloma has raised US$380 million in just three years for their Kansas project.
With $6 million in fresh funding, TEE laid out clear objectives for 2025 in the below slide as they begin to establish themselves as a serious player:
It's going to be an exciting 2025 now that TEE has acquired land in Kansas and has a clear plan for the future. We've invested and are keen to see the story unfold.
LNR: Diamond Drilling Underway at Lady Grey
Lanthanein Resources has started diamond drilling at their Lady Grey Project, sitting right next door to the historic Bounty Gold Mine that produced 1.3Moz gold. They're going after a promising conductor plate target that lines up nicely with surface gold anomalies.
The team has already completed the initial RC drilling to 150m and is now pushing deeper with diamond drilling to test areas that have never seen a drill bit - despite being in one of WA's most productive gold regions.
We expect an update on progress in the new year.
The Preview With A Stock To Watch In 2025
Our upcoming eBook showcasing small-caps to watch in 2025 is nearly ready, and we're giving readers an early look at one of our picks.
But first, let's reflect on how our 2024 selections performed:
DEG - Acquired at a 70% premium for $5 billion
SS1 - Up 350% from IPO price
AZ9 - Made a significant high-grade copper discovery that continues to grow
For 2025, one of our picks is Intra Energy Corporation (ASX: IEC). Following a recent recapitalisation, IEC trades at just 6c with a $2 million valuation.
IEC holds gold and lithium projects across tier-1 mining jurisdictions in Australia and Canada. The involvement of Jody Dahrouge, the geologist behind Patriot Battery Metals' 100mt+ lithium deposit in Canada, adds significant exploration expertise.
While early-stage explorers always carry risk, we see limited downside at current levels, with significant upside potential if this proven team delivers. Want to see our full list of picks?
Subscribe to be the first to know when the 2025 eBook drops.
