Fast-Track America: ASX Mining's New Opportunity
Trump's promise to slash mining permits from years to months could accelerate timelines for ASX companies with US projects. We identified a couple stocks we think are worth watching
Big Don is back in charge. Love him or hate him, Donald Trump's impending return to the White House means big changes coming for the US mining sector.
We've spent the last month digging through every ASX-listed explorer with US dirt. Most didn't make the cut. But we've found a couple stocks we think could ignite under a Trump presidency:
A silver play in Nevada sitting on a monster 423Moz resource
A gold explorer next door to Barrick and Newmont's best ground
An emerging energy sector worth keeping an eye on
We’ll dig into those more below.
Why Does it Matter?
As a small-cap investor, it's crucial to understand the implications of Trump's election - regardless of your political stance.
The US mining sector should boom under Trump. His playbook is clear from his last term - slash regulations, speed up permits, and relax environmental standards. For junior miners on the ASX with American-based projects, this aggressive pro-development stance removes major roadblocks to getting projects moving.
We covered what we thought would do well before the election, but now we can dive into what Trump has said since being elected and what he wants to get out of the American mining industry.
"We Will Drill, Baby, Drill"
Trump’s campaign rallies became ground zero for his now common catchphrase: "Drill, baby, drill." He's pledged to accelerate the mining permit process and reopen federal lands for exploration, promising to reduce environmental review processes that he says are slowing down project development.
What This Means for ASX Investors
For ASX companies operating in the US, Trump's pro-business stance means more than just catchphrases. His pledge to prioritise domestic mineral production could help ASX juniors fast-track their US projects. The next four years could reshape the landscape for ASX mining stocks with American assets - lower costs, faster approvals, and easier paths to production.
Many predict Trump spells doom for clean energy. We see it differently. While traditional energy sources will get a boost, the global clean energy transition has too much momentum to reverse. What we do expect: commodities that fell from favour - oil, gas, and coal - should all see strong runs under Trump.
Trump’s pledge to the mining sector
Trump's business-friendly policies could significantly impact ASX companies operating in the US. For everyday investors, this means greater stability and growth potential, with companies likely to experience fewer disruptions and lower operational costs. Most importantly for our readers, ASX juniors could fast-track their exploration programs.
After analysing every ASX-listed company with US-based projects, we've narrowed down our focus to some standouts we think are poised to benefit from Trump's pro-mining stance:
Sun Silver (ASX:SS1)
We covered Sun Silver before it was listed back in May. Since then, SS1 has gone from a 20c IPO to over $1 and now sits at a very respectable 77c.
SS1 has now established itself with the largest pre-production primary silver project on the ASX, at 423Moz at 67.25g/t AgEq. This is a significant achievement that showcases the company's focused management and potential for growth.
With silver’s demand surging from industrial applications, especially in electronics and solar panels, and its historical role as a safe-haven asset coupled with a supply deficit, we see a potential upside in SunSilver’s silver current valuation.
SunSilver’s Maverick project is located in Nevada, one of the world's most mining-friendly states. You can see it in the permitting timelines - while other jurisdictions get bogged down in red tape, Nevada projects just keep moving forward. When your state's entire economy runs on mining, things tend to get done.
The jurisdiction will help a company like SS1 move to develop their project quickly, and investors realise returns.
With drills turning as we type, and given the results we've seen so far, don't be surprised if that 423Moz resource gets bigger before our next update.
James Bay Minerals (ASX:JBY)
Don't let the name fool you. James Bay Minerals' recent acquisition of a Gold Project in the heart of America's premier gold district - Nevada - is shaping up as one of the more exciting opportunities in the ASX gold space.
With a NI 43-101 Mineral Resource Estimate of 1.18Moz Gold, which has a high-grade component of 796,000 ounces at 6.53g/t to be converted to a JORC resource, investors can start to benchmark James Bay Minerals against other ASX-listed gold companies.
What really caught our attention is the project's location - adjacent to Nevada Gold Mines, a joint venture between two of the world's largest gold producers, Newmont and Barrick. When you're next door to giants like these, you know you're in the right postcode.
With gold seeing sustained demand due to its role as a safe-haven asset, JBY's timing couldn't be better. The company plans to expand the resource base with a targeted drilling program, which we believe will further enhance investor appeal. This strategic acquisition positions JBY to benefit from high-demand precious metals markets while advancing a significant asset in a Tier-1 mining district.
The Next Booming Sector
While a lot of investors are focused on Trump's impact on traditional energy, we're also tracking an emerging sector that's flying under the radar: natural hydrogen.
The continuous influx of funds into this sector, which is perceived as the most cost-effective form of energy, is a testament to its potential. The use of naturally occurring hydrogen could significantly reduce energy costs, a key issue that dominated the election.
The potential cost advantages over conventional hydrogen production have attracted serious capital, with tech heavyweights like Bill Gates and Jeff Bezos making significant investments in private natural hydrogen companies.
With numerous companies now embarking on exploration projects across the US, and Trump's streamlined permitting approach, we could see this sector develop faster than many expect.
The Art of The Deal
Trump's return to the White House changes the game for US-focused mining stocks. With faster permitting, less red tape, and a clear focus on domestic resource development, we see significant upside for well-positioned ASX companies.
Gold and silver have both been having tremendous runs recently and look to have bullish signs for the coming years, given continued global economic uncertainty. Meanwhile, natural hydrogen, backed by some of the world's most successful investors, could help drive energy prices down for heavy industry and reshape the energy landscape.
If you like Trump or hate him, it really doesn't matter now. We've all got him for the next four years. The goal of all investors should be to understand what comes next and how they can best benefit from it.