Small-cap stocks remained on the back foot at the start of the week as sharp swings in commodity prices continued to weigh on risk appetite. The Small Ordinaries underperformed the broader market on Monday, sliding 1.96%, as selling pressure in resources spilled over into the junior end of the market.
With metals retracing after last week’s surge, early small-cap updates have been more about positioning than fresh exploration catalysts, with companies focusing on portfolio reshaping, offshore market access and funding flexibility heading into February.
Krakatoa Resources
Krakatoa Resources Ltd updated the market on work at its Mt Clere Project in Western Australia, where late-2025 drilling at the Stone Tank prospect failed to return any significant results. Two diamond holes intersected typical Gascoyne metamorphic rocks, with follow-up multi-element assays delivering no material anomalies, prompting the company to shelve further work at the prospect.
The group has since rationalised its Mt Clere tenement package to focus on higher-priority targets, with attention now centred on the Tower clay-hosted rare earths deposit, which hosts a JORC resource of 101Mt at 801ppm TREO. Processing studies and shallow drilling to test eastern extensions are being assessed, pending grant of additional licences.
Resolution Minerals
Resolution Minerals Ltd flagged progress toward a potential Nasdaq dual listing, having confidentially submitted a Form F-20 registration statement to the US SEC. The company has also launched a Level 1 ADR facility on the OTCQB market, giving US investors access to Resolution shares in US dollars.
Alongside the capital markets update, Resolution confirmed the sale of its non-core 64North Project in Alaska for A$2.2 million, with proceeds to be redirected toward advancing its US-based antimony and tungsten assets, including follow-up drilling and metallurgical work planned for 2026.