EarthLabs CrashLabs Mid-Year 2026 Recap: Generating Alpha in a Flat Market Through Early Private Deals and District-Scale Copper Plays

Despite a flat TSXV and gold indices halfway through 2026, EarthLabs is generating strong alpha through early private deals now reaching public markets and Sterling Metals' aggressive district-scale expansion in the Batchewana Copper Belt, while Galantis Metals and Allied Critical Metals add near-term production catalysts.

Disclaimer

This article is for informational and educational purposes only and does not constitute investment advice, financial advice, or a solicitation to buy or sell securities. All statements regarding portfolio performance, company developments, exploration results, production timelines, or investment outcomes are forward-looking and involve significant risks and uncertainties. Junior mining and resource investments are highly speculative and can result in total loss of capital. Investors should conduct their own thorough due diligence and consult qualified professionals before making any investment decisions. Past performance is not indicative of future results. CanadianMiningReport.com and its affiliates are not registered investment advisors.

EarthLabs CrashLabs Mid-Year 2026 Recap: Generating Alpha in a Flat Market Through Early Private Deals and District-Scale Copper Plays

Halfway through 2026, the TSX Venture Exchange sits essentially flat for the year, while the GDX and GDXJ gold miner indices show little net progress. In a sector often defined by volatility, this consolidation phase has left many investors questioning momentum. Yet for EarthLabs — the venture capital and merchant banking firm focused on the junior mining sector — the mid-year picture looks markedly different. In a freestyle episode of the CrashLabs Podcast released on June 2, 2026, co-hosts Mat amd Cejay provided a candid, unscripted update on portfolio performance, private-to-public transitions, and high-conviction positions that are delivering meaningful alpha despite the broader market’s sideways action. The conversation offered Canadian mining investors a rare, behind-the-curtain look at how a professional resource investor navigates a flat market: by getting in early on high-quality private deals, maintaining patience through the J-curve, and focusing on district-scale opportunities with clear catalysts. The result, according to the hosts, is a portfolio that has significantly outperformed the benchmarks — even as many public juniors remain range-bound.

Portfolio Performance: Early Private Bets Paying Off

The hosts began by acknowledging the challenging backdrop. “TSX Venture is pretty much even for the year,” one noted. “We’re halfway through the year and that’s why we wanted to have this episode just to recap, recalibrate the bearings and see how the portfolio is doing.” Despite flat indices, EarthLabs reports strong relative performance. Much of the alpha has come from private investments made during tougher market conditions in 2024–2025 that have since gone public or shown substantial value creation.

Key examples cited include:

• Arrington: Entered at $0.40; now trading at $4.00.

• Mackay: Entered at $0.80; now at $2.50.

• Multiple other private companies that have either listed or are advancing toward liquidity events, delivering multiples on cost basis.

Mat emphasized the importance of the J-curve in resource investing: “We were really early in Arrington… we were in the 40-cent deal… that’s $4 today. We were at 80 cents in Mackie… that’s $2.50 today. We’ve had some really nice private companies in our portfolio go public and it’s nice to see because you have to get into these deals early and then they take time to develop.” This approach — deploying capital into high-conviction private situations during periods of market apathy — has allowed EarthLabs to capture significant upside as companies reach public markets. The hosts noted that while NAV is still marked at cost basis for remaining private holdings, the realized and unrealized gains from exited or uplisted positions have driven outperformance.

Sterling Metals: Expanding the Batchawana Copper Belt District

One of the most detailed discussions centered on Sterling Metals and its recent acquisition, which increased the company’s land package by approximately 40%. The hosts described the move as strategic and timely for building a true district-scale copper story in the Batchawana Greenstone Belt. The project area is characterized by the intersection of the Mid-Continent Rift copper system with the ancient Batchawana Greenstone Belt — rocks typically associated with gold but now recognized for significant copper potential. Sterling has identified copper mineralization over 30 kilometres of strike, including a historic high-grade porphyry-style outcrop and past production of 7 million tonnes at 3% copper by Inco in 1974. Mat explained the rationale: “You want all of it. You want everything… when you’re dealing with things like this, which we think is so special… you want to get all of it right.” The acquisition brings in additional ground around the Pegasus target and provides surface rights that simplify future permitting and development.The hosts stressed that the deal was not reactive but part of a deliberate district-building strategy. With assays pending from ongoing drilling and a strengthened treasury, Sterling is positioned to test multiple porphyry centers in 2026. This type of consolidation — assembling contiguous, high-potential ground early — is a recurring theme in successful Canadian mining stories.

Galantis Metals: $100 Million Raise for Near-Term Production

The podcast also highlighted Galantis Metals’ recent $100 million financing, a substantial capital injection for a near-term producer. The hosts viewed the raise positively, noting it provides a clear runway to production while minimizing near-term dilution risk.Matt shared insights from meetings with the Galantis team at the Canaccord Genuity conference in Las Vegas: “They’re buying this thing — 7 million ounces in pit — and it’s next door to this Tech mine… if you just combine the two mines, it’s probably 10 [million ounces].” The company also holds the Indiana project, described as a “wild vein system” with exceptional grades and exploration upside. The financing structure and strong institutional support (including Eric Sprott and other large shareholders) were seen as validation of the asset base. With production expected by the end of 2026, Galantis represents a transition from explorer to cash-flowing producer — a key catalyst for re-rating in the junior mining space.

Allied Critical Metals: Tungsten Pilot Plant by Year-End

Tungsten exposure via Allied Critical Metals was another highlight. The company is advancing a pilot plant expected to be operational by the end of 2026. The hosts noted the strategic importance of tungsten in military and high-tech applications and the strong price performance of the commodity (up significantly from recent lows). Mat described the asset as “one of the best gold projects I’ve ever seen in my whole life” in a prior context but focused here on the tungsten pilot’s potential. With infrastructure already in place in Portugal and a supportive market for critical minerals, Allied offers a differentiated play in the portfolio.

Investment Philosophy: Buy the Boredom, Focus on District Scale

Throughout the episode, the hosts reinforced a consistent investment philosophy tailored to the junior mining sector:

• Buy the boredom: Enter during periods of market apathy when quality assets are overlooked.

• Be early: Accept short-term volatility in exchange for multi-year upside.

• District-scale thinking: Assemble contiguous land packages with multiple targets rather than isolated prospects.

• Patience through the J-curve: Private deals and early-stage projects require time to mature.

• Catalyst-driven selection: Focus on companies with clear upcoming news flow (assays, financing closes, production milestones).

Mat summarized the approach succinctly: “We were playing multi-million ounce things at $10 million pre-money… you’ve got to get into these deals early and then they take time to develop.”

Implications for Canadian Mining Investors

For readers of CanadianMiningReport.com, the EarthLabs mid-year update offers several actionable insights:

1. Alpha is possible in flat markets through selective early-stage private investments that eventually reach public markets.

2. District-scale copper stories in stable Canadian jurisdictions (such as the Batchawana Belt) remain highly attractive amid global electrification and supply chain security concerns.

3. Near-term production catalysts — whether through acquisitions, financings, or pilot plants — can drive significant re-ratings even in sideways markets.

4. Tungsten and critical minerals exposure provides diversification beyond traditional gold and base metals.

5. Portfolio discipline (buying early, holding through development, focusing on quality management) remains the most reliable path to outperformance in the junior mining sector.

While the broader TSX Venture and gold miner indices have been range-bound in 2026, the EarthLabs portfolio demonstrates that careful stock selection and patience can generate meaningful returns. As the hosts noted, the J-curve is working — and several high-conviction positions are approaching key inflection points.The mid-year recap serves as a timely reminder for Canadian resource investors: in a sector defined by volatility and long lead times, the greatest opportunities often emerge during periods of apparent boredom. Those willing to do the work early and hold through the development phase continue to be rewarded as private value creation translates into public market gains.

Sources:

EarthLabs CrashLabs Podcast transcript, June 2, 2026

Public company disclosures from Sterling Metals, Galantis Metals, Allied Critical Metals, and related issuers

General industry context on the Batchawana Copper Belt and Canadian junior mining trendsThis article reflects information available as of June 2026. Exploration results, financing outcomes, production timelines, and market conditions evolve rapidly. Investors must verify the latest company disclosures and conduct independent research before making any decisions. Junior mining investments involve substantial risk of loss.