As the resources landscape continues to decline, junior miners are continuing to seek investment outside the sector.
A number of novel approaches such as tech startups, bioscience, and even the entertainment industry have been explored.
Despite Artemis Resources recently deciding against investment in the Hollywood film Tango Down – due to the lack of sufficient support and commitment from potential investors – they are still seeking more opportunities.
Other junior miners have been more successful with International Goldfields moving into the medical marijuana market after acquiring an 85 per cent interest in Winter Garden Biosciences last year.
Capital Mining also sought investment into medical marihuana, aiming to acquire almost half of a Canadian medical marijuana producer and distributor in an effort to become Australia’s first domestic cannabis producer.
Mining operations are also being used as shell companies for other industries such as tech startups.
As the mining boom continues to decline, more companies are steadily joining the market, with some lured by the low listing fees.
General manager for listings at the ASX Max Cunningham said, “We’re doing the same thing that we’ve been doing for mining startups for the last 100 years”, according to the Wall Street Journal.
“The resources sector is in a deep recession, so the market is increasingly looking for alternatives.”