Australian Mines (ASX: AUZ) is an exploration and development company focused on minerals critical to the green energy transition, including battery metals, rare earth elements (REE), and gold. The company operates primarily across Australia and Brazil to supply advanced materials for the electric vehicle (EV) and energy storage markets.

Business Segments & Field of Activity

AUZ divides its corporate operations across two geographic segments: Australia and Brazil. Its core mineral focus spans:

· Nickel, Cobalt & Scandium – developing battery precursor chemicals targeting the electric vehicle (EV) and clean energy storage supply chain

· Rare Earth Elements (REE) – exploration at the Resende project in Brazil, including rare earth targets

· Gold – exploration at the Boa Vista project in Brazil

· Energy Storage Technology – downstream metal hydride technology as a strategic link between resource ownership and clean energy applications

Its key Australian project portfolio includes:

Project	Location	Focus
Flemington	New South Wales	High-grade scandium
Sconi	Queensland	Nickel-cobalt-scandium battery materials
Broken Hill	New South Wales	Base/battery metals
Bell Creek	Western Australia	Nickel-cobalt

Strategic Initiatives

Australian Mines is strategically positioning itself as an ethical, cost-competitive supplier of technology metals for the electric vehicle industry through its Energy Storage program. A primary focus is the fully-owned Sconi Project, designed as a low-cost operation with a 30-year lifespan that integrates mining and chemical processing on a single site. Additionally, a recent 2026 scoping study for the Flemington project highlights a robust $860 million post-tax Net Present Value (NPV) with low initial capital intensity, further strengthening the company's clean asx technology stocks pipeline.

Capital Allocation and Structuring

Australian Mines has undergone notable structural changes and capital management in recent years:

· In March 2021, AUZ executed a demerger of Norwest Minerals Limited (NWM), spinning off its gold and base metals exploration assets as a separate ASX-listed entity.

· In January 2026, the company raised A$4.0 million to fund drilling programs and working capital across its project portfolio.

· In May 2026, AUZ raised a further A$3.0 million via a strategic placement led by Tribeca Investment Partners, a prominent resource-focused fund, specifically to fast-track Flemington to PFS, expand Brazilian gold drilling, advance REE targets at Resende, and fund energy storage pilot work.

The company employs 34 staff and is audited by BDO Audit Pty Ltd, with its share registry managed by Automic Group. Its fiscal year ends on 30 June 2026.

What's Driving the AUZ Price Recovery in 2026?

Australian Mines (ASX: AUZ) has seen its share price rally from a 2026 low of AU$0.014 to a high of AU$0.034 — nearly doubling from the bottom. A convergence of company-specific catalysts, commodity tailwinds, and broader sector momentum is driving this recovery.

1- Flemington Scandium Project — Key Catalyst

The most immediate driver is AUZ's pivot toward its Flemington Scandium Project in New South Wales. In May 2026, AUZ raised $3 million in a Tribeca-led strategic placement specifically to fast-track Flemington toward a Pre-Feasibility Study (PFS), lifting the company's cash position to over $6 million. An investor presentation was delivered in April 2026 highlighting Flemington's strategic location adjacent to Sunrise Energy Metals' Syerston Project, a high-grade mineralised zone, and strong demand drivers for scandium in fuel cells, aerospace alloys, electronics, and energy storage. This development pipeline has directly re-rated the stock.

2- Cobalt Price Surge

AUZ's Sconi Project (nickel, cobalt, scandium in Queensland) has regained investor attention as cobalt prices have more than doubled since 2024 lows. The metal averaged US$26/lb year-to-date in 2026, with cobalt sulphate trading around US$31/lb on a Co-equivalent basis. The recovery reflects structural tightening driven by the DRC government's supply management, surging global EV adoption, and intensifying geopolitical pressure on critical mineral supply chains.

3- Nickel Market Recovery

Beyond cobalt, AUZ also carries material nickel exposure through Sconi. The broader ASX materials sector is supported in 2026 by recovering nickel prices, a weaker US dollar boosting commodity valuations in AUD terms and continued Chinese stimulus targeting energy-transition metals. Analysts note that a rotation from financials into materials has been building, with mining stocks seeing the strongest earnings momentum of any ASX sector.

4- Sconi Project Re-Rating Potential

Australian Mines' own project page identifies several near-term value catalysts, including advancing development and funding pathways, pursuing strategic partnerships or offtake discussions, and securing government support for critical minerals development. Australia's federal government has intensified support for domestic critical minerals production through 2026, which could unlock strategic funding for a project of Sconi's scale.

Key Risks to Monitor

Despite the recovery narrative, AUZ remains a micro-cap explorer with no production revenue, meaning the stock remains highly sensitive to:

· Any reversal in cobalt or nickel prices

· Delays in Sconi funding or offtake agreements

· Broader ASX small-cap sentiment shifts driven by RBA policy

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Technical Analysis of Australian Mines (ASX: AUZ)

Source: TradingView

Price action

AUZ has recently experienced a strong bullish breakout, surging past previous consolidation zones to hit a high near 0.032. The stock is currently trading at 0.027 and is undergoing a standard retracement. The chart outlines two potential bullish trajectories, suggesting a continuation of the upward trend toward a Take Profit (TP) target around 0.040 after testing lower support zones.

Key Price Levels

Resistance: The immediate overhead resistance is positioned at 0.032, corresponding to the recent peak and the 0 Fibonacci level.

Support 1: The primary support level sits at 0.023, aligning with previous structural highs and the 0.5 Fibonacci retracement level. This is the first expected bounce zone.

Support 2: A deeper, secondary support zone is located around 0.015, reinforced by an ascending trendline and the 1 Fibonacci level.

Stop Loss Analysis

We have placed the stop loss around 0.013. This positioning is just below Support 2 and the ascending trendline, protecting against a structural breakdown while allowing room for normal market volatility.

Volume Analysis

Volume expanded strongly on the recent breakout candles, which support the upside move and show real participation. Still, the latest pullback after the spike means buyers need to defend support to keep the breakout credible.

RSI~64

RSI is around 63.94, which is bullish and shows strong momentum without being deeply overbought yet. If RSI stays above 50, the trend remains healthy; a push back toward 70 would support another attempt at 0.032 and above.

FAQs about Australian Mines (ASX: AUZ)

1- What makes Australian Mines different from other ASX miners?

Its mix of battery metals, rare earths, scandium, and gold across Australia and Brazil gives it a diversified critical-minerals profile.

2- When is the Sconi project expected to begin production?

The Sconi project's operational phase is expected to commence in 2028, following a commissioning period. Construction will create approximately 500 jobs, with 300 permanent positions during operations.

3- What is scandium used for?

Scandium is a rare critical metal used in solid oxide fuel cells, aluminium alloys, and hydrogen storage applications. Australian Mines is leveraging its Flemington scandium deposit and proprietary metal hydride technology to position AUZ as a future scandium supply chain partner.

4- What are Australian Mines' ESG commitments?

AUZ is committed to best-in-class ESG standards, including respecting human rights in affected communities, maintaining safe workplaces, minimising environmental harm, and leaving positive legacies. The company holds various ESG memberships and provides detailed public disclosures as an ASX-listed entity.