Gold has emerged as a standout performer in BDO’s latest explorer quarterly cash update, attracting more than $600 million in financing.
Exploration expenditure fell 19 per cent from the previous quarter to $643.52 million, the lowest level since June 2021. While capital raisings dropped 45 per cent to $1.57 billion and 26 companies raised over $10 million, down from 57 in December.
Despite a turbulent backdrop for global commodities, gold has reasserted its dominance in the March 2025 quarter, attracting $621.22 million in financing inflows, more than double the March 2024 quarter.
“This surge is attributed to gold’s status as a safe-haven asset amidst ongoing macroeconomic volatility,” BDO’s global natural resources and energy leader Sherif Andrawes said.
“M&A activity in the gold sector has also increased, with notable transactions such as Gold Fields’ acquisition of Gold Road Resources and Ramelius’ offer for Spartan Resources.”
Gold explorers made up the majority of BDO’s “fund finders”, companies that have raised over $10 million.
This includes standouts such as Predictive Discovery who secured $69.2 million to advance its Bankan gold project and Black Cat Syndicate raising $53 million to accerate development at its Kal East operations.
M&A activity in the sector also gathered pace, highlighted by Gold Fields’ successful acquisition of Gold Road Resources and Ramelius Resources’ bid for Spartan Resources.
BDO expects gold to remain the dominant theme for the remainder of 2025, buoyed by strong pricing, strategic investment, and defensive investor sentiment.
This comes as State Street Global Advisors (SSGA) is predicting gold to maintain or even extend its record-setting trajectory throughout the remainder of 2025.
SSGA released its mid-year 2025 gold outlook, expecting gold to trade between $US3100–3500 per ounce in 2025, supported by ongoing economic uncertainty, investor anxiety, and persistent weakness in the US dollar.
A more bullish scenario, which SSGA assigns a 30 per cent probability, suggests gold could climb towards $US4000 per ounce over the next six to nine months if macroeconomic conditions deteriorate further.
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