Our Top 10 Stocks To Watch in 2025
We've dug through hundreds of ASX small-caps to find our top 10 resource stocks for 2025. Last year's picks included a $5B takeover and a 300% runner. Check out what made this year's cut
Deep in the world of ASX small caps, value doesn't announce itself with fanfare. It’s buried in drill results, hides in management track records, and emerges from countless hours of analysis. From hundreds of possibilities, we've narrowed it down to 10 ASX-listed companies we think can reshape portfolios in 2025.
Our approach remains methodical: analyse the fundamentals, scrutinise management, and find the catalysts that could drive substantial returns.
These picks span the commodities spectrum, each chosen for its potential to deliver returns that turn heads and change portfolios.
Last year's picks featured several notable successes:
A $5 billion acquisition of DEG
A world-class copper discovery by AZ9
A 300% share price increase for SS1
While we can't predict the future, our strategy - honed over decades - is grounded in meticulous analysis and a deep understanding of what makes small-cap miners succeed or fail.
These are the ASX small caps you'll want to keep on your radar in 2025.
Top End Energy (ASX: TEE)
Current share price: 11c
Company valuation: $25 million
Commodity in focus: Natural hydrogen
Location of main asset: USA
Development stage: Early-stage explorer
Top End Energy has grabbed a prime spot in Kansas in the US - now the world's hot spot for natural hydrogen exploration. The region has caught the attention of some serious players, with Bill Gates, Jeff Bezos, and Andrew Forrest all securing land nearby, putting TEE right in the thick of the action.
REASONS WE LIKE TOP END ENERGY
The location: TEE couldn't be better placed, with their Kansas land package sitting in what's becoming a land rush in the go-to region for natural hydrogen. When billionaires like Jeff Bezos, Bill Gates and Andrew Forrest are buying up nearby land, you know you're onto something interesting.
Feet on the ground: With a new VP in America, TEE has a lot of local insight and knowledge. It is not just boots on the ground, but bringing a wealth of hydrogen experience is a huge plus in our eyes.
Cash in the bank: TEE recently topped up their coffers with a $6 million raise, meaning they won't need to go back to the market for funds anytime soon.
Cheapest new energy source: Don’t confuse this with green hydrogen. Natural hydrogen is just that, stored in reserves below the earth's surface and released by drilling, similar to oil & gas. No massive overhead costs make it the cheapest new energy source around.
Environmentally friendly: These underground reserves naturally replenish themselves, making natural hydrogen the cheapest energy option and also one of the cleanest, with minimal environmental impact.
THE RISK FACTOR
The main risk isn't about TEE but rather how quickly natural hydrogen takes off as an energy source. Twiggy Forrest recently telling Bloomberg: "There is a new form of hydrogen, which will come onto the marketplace, which will be a lot cheaper ... we’re not yet in a position where I want to talk about it publicly” indicates the big players are keen to keep it under wraps for now.
Even with slower uptake, TEE's small valuation compared to others in the region suggests solid upside potential.
THE EQUITIES CLUB INSIGHT
When you've got billion-dollar players next door, TEE's current valuation looks too cheap to ignore. As the company moves through 2025, we expect this valuation gap might start closing. A number of natural hydrogen companies are starting to pop up, which should add momentum to the natural hydrogen thematic in 2025. With the early-mover advantage and a world-class position, TEE is one we’re chips-in on.
Bubalus Resources (ASX: BUS)
Current share price: 17c
Company valuation: $7 million
Commodities in focus: Gold and Antinomy
Location of main asset: Victoria, Australia
Development stage: Early-stage explorer
Bubalus Resources has picked up ground between two of Australia's highest-grade producing gold mines in Victoria's legendary Bendigo region. With permits already in hand and drilling targets lined up, BUS looks ready to test whether they've found the next chapter in Victoria's rich gold story.
THE REASONS WE LIKE BUBALUS RESOURCES
Prime real estate: Bubalus Resources is in between two of the highest-grade gold mines in Bendigo, Victoria, an area known for large high-grade gold deposits.
Early-stage work complete: The company has identified targets from surveys done on their ground; it’s also found high-grade gold samples, all pointing to strong signs of potential gold.
Drill ready with permits in hand: BUS can drill as soon as it likes and does not have to wait around for government approvals. With targets identified and permits to drill, we expect a big 2025.
New Managing Director: Brendan Borg brings decades of exploration, development and all the way through to production experience. Living nearby means regular site visits and strong local relationships - crucial advantages in Victoria's Goldfields.
Cheap entry point: At just $7 million market cap with $3 million in cash, BUS is trading close to cash backing. With targets identified and permits secured, this modest valuation looks particularly interesting.
THE RISK FACTOR
This is pure exploration - Bubalus is drilling previously untested targets, which always carries risk. However, given its location between two significant producing mines, plus its strong cash position and modest valuation, the downside looks relatively protected while maintaining substantial upside potential.
THE EQUITIES CLUB INSIGHT
It's rare for a company to have the kind of valuation BUS does between two such significant high-grade producing mines. With the drill permit in hand, it provides near-term leverage if a discovery is made. Any significant gold hits could see the share price trade at multiples of current levels.
Ronin Resources (ASX: RON)
Current share price: 17.5c
Company valuation: $7.5 million
Commodities in focus: Gold and copper
Location of main asset: Argentina
Development stage: Early-stage explorer
Ronin Resources is exploring Argentina's San Juan province for significant gold and copper systems. With a new pro-mining government and some of the biggest names in Australian mining backing the company, RON looks well-positioned for 2025.
THE REASONS WE LIKE RONIN RESOURCES
Perfect timing in Argentina: With a pro-mining government led by the newly elected President Milei, the country is cutting through red tape to attract investment in the mineral-rich country.
Strong bank balance: At a company valuation of $7.5 million and $3.5 million in cash, the company will not need to raise funds any time soon, meaning the upside potential is there if a good asset is acquired.
Tight share register: With only 44 million shares on issue and over 50% held by the top 20 shareholders, any good news could see significant share price movement.
In-country team: Chairman Joseph Van Den Elsen and country manager Jordan Webster live in Argentina, so we are confident that the management team will be able to connect with the proper officials in the country.
Largest shareholder, Tolga Kumova: If there is anyone in the small-cap space who knows how to find a good company, acquire a good project and see it run, it's Tolga. Having invested early in several multi-billion-dollar companies, Tolga is the largest shareholder here, which gives us quiet confidence.
THE RISK FACTOR
We aren't concerned about RON's share price falling or the company needing to raise cash. The risk lies in the management team's ability to acquire a valuable asset and get exploring before the winter season hits. If not, it could be the late second half of 2025 before we see a big move in the RON share price.
THE EQUITIES CLUB INSIGHT
RON has a clear mandate to find new projects, and with some of Australia's biggest mining investors as major shareholders, it's looking in a country that's rolling out the welcome mat for explorers. If it secures a quality asset, the share price could run to multiples of the current valuation.
FMR Resources (ASX: FMR)
Current share price: 17.5c
Company valuation: $4 million
Commodities in focus: Copper
Location of main asset: Canada
Development stage: Early-stage explorer
FMR Resources is hunting for copper in northeast Canada, where exploration activity has recently surged. With a tiny valuation and strong cash position, FMR offers an interesting entry point into one of the world's most promising copper regions.
THE REASONS WE LIKE FMR RESOURCES
The location: Northeast Canada has emerged as the place to be for copper exploration. With the region's re-emergence as a serious copper player, FMR sits in the right spot at the right time.
The Copper bull market: This is expected to really hit later this decade as the demand begins to outstrip supply, and significant copper discoveries just aren't being made.
Strong cash position: With $4 million in cash, any acquisition or discovery can be made without having to raise more funds.
Low company valuation: With a $4 million company valuation at 16c and $4 million in cash, FMR is essentially trading at cash backing, meaning the market is giving zero value to the points mentioned above; we think the market has yet to wake up to FMR.
The new company structure: With FMR has been re-capitalised from a previous company. The investors who all took part in this at 20c are all now trading at an unrealised loss. This is an investor's chance to get in at a share price below these investors and before any significant gains are made.
THE RISK FACTOR
The risk for FMR is purely exploration and timing. While drilling might not hit economical copper, the strong bank balance and zero premium to cash valuation provide some cushion. The only potential holdup on the share price moving north is timing a deal to acquire a new asset.
THE EQUITIES CLUB INSIGHT
Looking for copper in Canada with such a low valuation, surrounded by companies worth much more, makes FMR a great leverage play if drilling proves successful. The company is cash-backed and in the right area - it's now a matter of time before things head north.
Breakthrough Minerals (ASX: BTM)
Current share price: 7.9c
Company valuation: $3 million
Commodities in focus: Lithium and Gold
Location of assets: Australia and Canada
Development stage: Early-stage explorer
At just $2 million, Breakthrough Minerals has the smallest valuation of all companies in this list. With a new board and renewed focus on metals crucial for electrification and decarbonisation, BTM offers an incredibly cheap entry point.
THE REASONS WE LIKE BREAKTHROUGH MINERALS
Dual jurisdiction play: With assets in both Canada and Australia, any discovery or successful drilling campaign in either tier-one location could see BTM's valuation climb significantly.
Cheap valuation: Currently trading at 7.9c, BTM has a company valuation of under $3 million. With newly raised funds of just under one million dollars, BTM is lowly valued.
Fresh faces at the helm: The new management team has a track record of taking small-cap explorers from tiny valuations to substantial success stories, and we like their chances of repeating this pattern.
Strategic timing: With recent capital raises completed in late 2024, BTM will look to ensure any future raising happens at a premium to current prices - ideal for investors getting in at these levels.
Renewed focus: With a new board, new name, funds raised, and a clear plan for the commodities, the company will focus on giving confidence that the current tiny valuation won't stick around for long.
THE RISK FACTOR
The risk for BTM isn't the company valuation - it can't get much smaller. The main question is how long it takes to drill targets and generate market interest. With a new board and renewed focus, we don't see this as a major concern.
THE EQUITIES CLUB INSIGHT
The smallest company valuation on our top 10 ASX stocks list this year, BTM offers investors a chance to get in at the ground level. Given the current micro-cap starting point, any positive news could see the share price move substantially.
Kingsrose Mining (ASX: KRM)
Current share price: 3.3c
Company valuation: $26 million
Commodities in focus: Copper, Nickel
Location of main asset: Finland and Norway
Development stage: Late-stage explorer
Kingsrose Mining is a late-stage explorer with projects throughout northwest Europe. With a strategic alliance with BHP, a substantial bank balance, and a previously drilled asset awaiting environmental approval, KRM offers investors a unique opportunity.
THE REASONS WE LIKE KINGSROSE MINING
Smart partnership: The BHP Alliance currently in place allows KRM to use funds from BHP, tens of millions, to explore without giving BHP any equity in KRM. BHP agreed upon this due to KRM's in-house expertise and ability to explore and develop.
Strong cash position: With over $20 million cash, KRM can assess opportunities globally across all commodities and development stages. This puts them in an enviable position for an explorer.
Experienced team: The directors have discovered and sold billion-dollar deposits before. This team knows how to take a greenfield early-stage project through to production, having done it multiple times.
De-risked asset: One of KRM's main projects is in Finland and awaiting approval to drill. The upside to this project is that it has been previously drilled and shown fantastic grades. KRM is now just awaiting the ability to drill and realise value.
Active deal-hunters: With such a strong cash position, a well-experienced team, and awaiting drilling on current assets, KRM has made it clear to the market that they are looking at acquisitions that will help lift the company valuation.
THE RISK FACTOR
The primary risk for KRM lies in securing environmental approvals for their current project in Finland. Progress remains stalled due to regulatory delays, but this appears to be a matter of timing. KRM is expected to overcome this hurdle eventually.
THE EQUITIES CLUB INSIGHT
KRM stands apart - it has previously drilled assets awaiting permits, an alliance with BHP, and experienced management steering the ship. If exploration and permits fall into place in 2025, it could be a transformational year for both the company and investors.
Asian Battery Metals (ASX: AZ9)
Current share price: 3.9
Company valuation: $23 million
Commodities in focus: Copper
Location of main asset: Mongolia
Development stage: Late-stage explorer
Asian Battery Metals has made a significant copper discovery at its Oval project in Mongolia. Over the next 12 months, AZ9 will work to understand the size and scale of what it has found.
THE REASONS WE LIKE ASIAN BATTERY MINERALS
Discovery made: AZ9 has hit high-grade copper at shallow depth. Further drilling could potentially expand this deposit substantially.
Is the discovery not valued? The market doesn't seem to fully appreciate what AZ9 has found - the current valuation looks modest given the discovery's potential.
Continued drilling: The management team has been active with continued rounds of drilling to help understand the orientation of the orebody.
The Mongolian Connection: The Managing Director of AZ9 represented the Mongolian government in the building of Rio Tinto's USD$12 billion copper mine, and the government connection for AZ9 cannot be understated.
Location: Mongolia shares a border with China - the world's biggest copper consumer. If this deposit proves substantial, having the largest customer next door adds significant strategic value.
THE RISK FACTOR
The risk for AZ9 is that further exploration doesn't prove as fruitful as hoped. This applies to all exploration companies, but given that AZ9 has hit copper multiple times in the region, finding a larger system may just be a matter of time.
THE EQUITIES CLUB INSIGHT
We like AZ9's discovery - it's high-grade and, in many ways, world-class. Now, it's time for the company to prove it's big enough to become a mine. With drilling planned throughout 2025, success could see the share price run substantially.
Zinc of Ireland (ASX: ZMI)
Current share price: 1c
Company valuation: $6 million
Commodities in focus: Gold and Zinc
Location of main asset: Australia
Development stage: Early-stage explorer
ZMI is an early-stage explorer with assets exposed to both gold and zinc in Australia. With funds raised, ZMI seems unloved by the market; however, hunting assets, cashed up, and people involved that have turned other unloved small-cap explorers into serious companies, ZMI has the potential to be next.
THE REASONS WE LIKE ZINC OF IRELAND
Small valuation: At just $6 million and with recent funds raised, ZMI sits in an enviable position where any acquisition could trigger a quick re-rate.
In acquisition mode: The team has been assessing opportunities and recently picked up a gold asset in WA. This looks to be just the start, with the company signalling more acquisitions on the horizon.
Gold exposure: Being in Western Australia is a great starting point for ZMI. With a firm gold price and exploration upside potential here
Zinc exposure: The company continues to have zinc exposure, which isn't the sexiest of metals, but it is facing a supply shortage in the coming years. As demand outstrips supply, rising zinc prices will benefit ZMI.
The people: The top 20 shareholders of ZMI show insight into what lies in store. Backers of other companies that have seen valuations run substantially are throughout, meaning it's likely that one of them will see ZMI as a great vehicle to put in an asset and repeat past success.
THE RISK FACTOR
The exploration risk for ZMI is the assets they have acquired or will do so will be fruitless for investors. This is exploration, and it's nearly the same for every company in this article; the benefit lies in getting a cheap valuation and exploration upside, which could be big.
THE EQUITIES CLUB INSIGHT
ZMI has been a sleeper for years, but the introduction of proven dealmakers, recent cash raise, and signals that they're looking at assets make us think something's brewing. If something significant lands in 2025, the share price could run with all the right names backing it.
Broken Hill Mines (ASX: BHM)
Current share price: 20c
Company valuation: $48.5 million
Commodities in focus: Zinc, lead and silver
Location of main asset: Australia
Development stage: Producer
Broken Hill Mines (formerly Coolabah Metals) is the only producer in this article. With an iconic mine in Australia's Broken Hill region, a valuation under $50 million, and a new board, BHM offers something different.
THE REASONS WE LIKE BROKEN HILL MINES
Fast track to production: The acquisition of the Pinnacles mine in Broken Hill transforms this junior explorer into a producer within months. This isn’t just a tenement pick-up - it’s a producing mine.
Hot commodities: Silver, lead and zinc prices are all running, putting BHM in a position to capitalise while the market is hot.
Fresh management: The new team brings proven executives with extensive experience in financing, developing and expanding mines.
Strong treasury: After a recent raise, BHM has $16.5 million in cash against a $48.5 million valuation.
Ready buyers: BHM already has offtake agreements in place, meaning committed buyers for their production. This is crucial for any producing company.
THE RISK FACTOR
Like any producer, BHM faces operational cost risks - the challenge of keeping production costs down for its silver, lead, and zinc. If the company can maintain reasonable costs while commodity prices stay buoyant, we see solid upside potential.
THE EQUITIES CLUB INSIGHT
BHM transitioned from junior explorer to producer through the Pinnacles acquisition in just six months. Compared to other producers, the company looks undervalued. It’s now up to the new management to unlock that value for shareholders.
Lanthanein Resources (ASX: LNR)
Current share price: 0.2c
Company valuation: $7 million
Commodities in focus: Gold
Location of main asset: Western Australia, Australia
Development stage: Early-stage explorer
Lanthanein Resources is a company with a $7 million valuation and $5 million in cash that is currently exploring gold in Western Australia. LNR has a very strong cash position for a junior company, giving it the option to explore and acquire in 2025.
THE REASONS WE LIKE LANTHANEIN RESOURCES
A treasure chest of funds: With nearly $5 million in the bank, LNR sits in an extremely strong position for a company valued at just $7 million.
Cheap valuation: Currently trading at .002, LNR could be easily multiplied if the company is to acquire an asset and drill well in 2025.
Commodity experience: The current directors and chairman of LNR have solid backgrounds in multiple commodities, such as lithium, gold, and copper. This means they can pivot to new opportunities without needing to learn the ropes.
Deal-making DNA: With technical director Brian Thomas closing a $1.7b takeover of Azure Minerals in Western Australia, the management team will be looking for the next big asset.
Strong corporate backing: LNR has strong corporate advisers who have placed deals with other companies whose valuations have boomed from small multi-million-dollar companies into hundreds of millions.
THE RISK FACTOR
The main risk lies in timing - how long it might take for LNR to acquire another asset. However, with such a strong cash position, the company can afford to be patient and wait for the right opportunity.
THE EQUITIES CLUB INSIGHT
LNR offers something different - a large pot of cash, a proven board and strong deal makers backing the company. While you won't know the deal or commodity until it happens, everyone involved has serious form in delivering value.
