Explorers Rise as Copper Prices Hit Records, Lithium Producers Await Bounce

A potential new mining supercycle is being called by several professional investors and fund managers. Acorn Capital's Rick Squire says that not all metals run through this cycle at the same pace, as seen with gold and lithium prices pulling back but uranium and copper continuing to rise.

The current market has been driven by scarcity, geopolitical conflict, AI, and the energy transition. However, Squire notes that nuance is important when considering individual metals. Gold's pullback has revealed value in producers, while copper explorers are gaining attention due to record-high prices.

Squire points out that companies like Elevra Lithium, Liontown, and PLS Group have pulled back despite their operations remaining strong. He also notes that rare earths are volatile but heavy rare earths like dysprosium and terbium remain in favor.

In terms of top picks, Squire recommends Waratah Minerals for its recent drill hits, Solstice Minerals for its new discovery story, and Midas Minerals for its early-stage developer status. He also likes Bellevue Gold as a producer and Rox Resources as a developer pick due to their management teams and company positioning.