Impact: Mildly Positive
Blackrock announced the final batch of results from its 18-hole (10,802m) resource expansion program at its 100%-owned Tonopah West project in Nevada. The results are from seven holes drilled in the 1km gap between the DPB and NW Step Out resource areas. Highlights include: 1) 467.2 g/t AgEq (283.2 g/t Ag, 2.04 g/t Au) over 10.12m (TXC25-144), and 2) 326.7 g/t AgEq (186.1 g/t Ag, 1.559 g/t Au) over 11.58m (TXC25-145). We view these results positively as they bode well for resource expansion in upcoming MREs. Results have extended the footprint of Au-Ag mineralization for 500m NW from the current DPB resource area. This complements recent resource conversion drill results (read note). We maintain that Blackrock is a prime takeout candidate given its large, high-grade resource in a world-class mining jurisdiction. We view Tonopah West as one of the best junior-owned primary silver projects at the moment. Blackrock Silver is one of our silver top picks (read note).