By: Mining.com.AU

Geopolitical conflicts remain prevalent in the Middle East, as war notions continue regardless of how many truces and ceasefires have been called.

The ongoing war is forecast to both harm and benefit the mining sector worldwide, with oil in high demand and commodities pushing higher amidst explorers’ needs for fuel.

RIU Conferences General Manager Jaxon Crabb explained to Mining.com.au ahead of the annual RIU Sydney Resources Round-Up event, that the conflict was expected to be a big discussion at the conference this year due to the pressures it places on the price of fuel.

“Diesel is such an essential commodity for not just the mining industry, but also the explorers, because their drillers will need it and their service providers will need it,” Crabb tells this news service.

“Most exploration projects these days are reasonably remote, so you’re going to need the diesel to access the project area.

“If governments need to prioritise diesel, then the discussion will be like, ‘Where does the exploration industry fit for a government when it comes to prioritising?’”

As of March 2026 diesel in the US was priced at US$4.92 ($6.89) per gallon, up from US$3.72 per gallon the previous month, according to Trading Economics, representing a 32.36% increase.

The RIU Sydney Resources Round-Up conference was held at the Hyatt Regency Sydney during 5–7 May 2026, welcoming exploration and development resource companies, corporates, brokers, fund managers, and retail investors.

Black Canyon (ASX:BCA) Managing Director Brendan Cummins explains that energy security and costs are likely to play a significant role in the performance of the mining sector this year.

“It is unfortunate that the events happening in the Middle East will strongly influence the mining sector, with rising costs to negatively impact operations — particularly those relying on diesel for transport and power generation,” Cummins tells Mining.com.au.

“From an exploration perspective, we are seeing the impact of increased drilling costs due to high-cost diesel.

“Our budgets are stressed and, in some cases, I have heard drill programs being cancelled, but in most cases, [drilling] reduced in scope.

“Even if the war in Iran ends soon, the fuel shortages will take several months to normalise.”

Gold highs

Kalamazoo Resources (ASX:KZR) Executive Director Ben Ackerman weighed in on the conversation surrounding how these geopolitical tensions may have a dual impact on the mining sector.

“Geopolitical uncertainty is clearly supportive for gold, but it also reinforces the importance of jurisdiction,” Ackerman explains to Mining.com.au.

“Projects in stable, mining-friendly regions like Australia are becoming increasingly valuable in that context.”

As of 21 May the gold price has increased 36.76% year-over-year, with a spot price of US$4,542 per ounce, Trading Economics reports.

While the precious metal appears to be performing slightly higher, this spot price is inclusive of a 3.81% decrease for the past month.

At the Gold Coast Gold Conference in March 2026, Mining.com.au reported a “strong consensus” for the gold market at the two-day event with unchanged macro thematics. However, there were price jitters creeping in for the less experienced investors.

Speaking to this news service on the sidelines of the event, Legacy Minerals (ASX:LGM) Managing Director Christopher Byrne described gold — along with silver and critical minerals — as an investment safe haven, with recent price drops still sitting at “decade-level highs”.

It’s all about positionality

Kalamazoo is centred on its flagship Ashburton Gold Project in Western Australia, which Executive Director Ackerman says reinforces the “strength” of its position in times of geopolitical uncertainty.

“We are operating in a tier-one jurisdiction with a project that delivers strong economics at conservative gold prices, and with clear upside through growth,” Ackerman adds.

“That combination is what we think makes Kalamazoo a compelling investment opportunity as we move through 2026.”

Solis Minerals (ASX:SLM) CEO Mitch Thomas follows up this sentiment on project location, telling Mining.com.au that geopolitical tensions matter “more than ever” for the mining sector.

“Jurisdiction, security of supply, and critical minerals are front of mind for investors, which plays to well-located, well-run projects,” Thomas explains.

Solis is a South America-based explorer focused on advancing its diversified portfolio of projects prospective for energy metals in Brazil and Peru.

Just last month Solis acquired the Brazil Lithium Project in Minas Gerais from mining giant Rio Tinto’s (ASX:RIO) subsidiary, Desenvolvimentos Minerais, for a total purchase price of US$500,000, as reported.

The company is focused on targeting the Mandacaru and Campo Grande prospects for early exploration, which Solis says is suitable for immediate drill testing with well-defined geochemical and structural signatures.

The exploration team has since mobilised at Mandacaru for an initial scout diamond drilling program, subject to surface mapping, land access agreements, and rig availability.

The copper run

Copper is widely recognised as a critical mineral, and one that will stay in high demand while war conflicts remain ongoing.

Critical mineral-focused explorer Lincoln Minerals’ (ASX:LML) CEO Chris Wilcox says capital-favouring companies have been exposed to “strong structural demand”, causing the performance of the mining sector to remain selective.

“Copper remains a key theme in 2026, driven by electrification, grid expansion, renewable energy, and expected future supply constraints,” Wilcox tells this news service.

“For juniors, quality copper assets, near-term drilling, and clear catalysts are likely to attract the strongest interest.”

“Geopolitical uncertainty is reinforcing the importance of secure and diversified supply chains, particularly for metals critical to industrial growth and the energy transition. That can be supportive for well-located projects in stable jurisdictions such as Australia.”

Wilcox explains that Lincoln’s operational location in South Australia “provides the benefit of a well-established mining jurisdiction with strong regulatory frameworks and infrastructure access”.

Lincoln Minerals will be attending theRIU Gold Coast Investment Showcase, held during 11–12 June 2026 at the JW Marriott Gold Coast Resort & Spa.

Trading Economics reports the price of copper at US$6.28 per pound as of 21 May, representing a 35.82% increase year-over-year.

Lesser-known minerals rising

Putting the leading commodities aside, other lesser-known minerals are having their chance to shine in the global uncertainty.

Impact Minerals (ASX:IPT) Managing Director Mike Jones explains that the “booming” mining sector, which has been in effect for the last 12 months, is mostly a reflection of geopolitical events.

“China’s control on many critical minerals has now been recognised, and this is leading to a resurgence of interest across a wide variety of lesser-known minerals including HPA (high purity alumina),” Jones says.

The company has a majority 80% stake in its flagship Lake Hope High Purity Alumina Project in Western Australia, which is intended to produce 99.99% HPA.

The asset encompasses several salt lakes from Hyden through to Norseman in southern Western Australia, covering a vast area of 238km2.

Shanghai Metals Market reports HPA to be traded at ¥20 ($4.13) per kilogram as of 20 May.

Opportunities arise

WA-headquartered Mammoth Minerals (ASX:M79) is one Australian company focused on advancing its portfolio of assets in the US in times of geopolitical uncertainty.

Speaking to Mining.com.au, CEO Glenn Poole says he believes geopolitical concerns will provide “significant opportunities across the globe” for the mining industry.

“It has already been shown what a short-term disruption to critical supply chains can do,” Poole explains.

“Moving forward, securing sovereign supply will de-risk production and supply chains. The first movers will have a significant advantage in time and pick of the bunch of what are increasingly limited assets.”

Recently, Mammoth identified ‘significant growth potential’ at the Blue Dick target within the Excelsior Springs Project in Nevada, with the latest batch of assays supporting a maiden resource estimate.

Mammoth Minerals is a gold and copper explorer focused on developing assets in North and South America.