Impact: Mildly Positive
Blackrock reported final assays from its 2022 drill program (23,227m) completed at its 100%-controlled Tonopah West project in Nevada. These results have returned multiple Au and Ag intercepts boding well for future resource expansion. We view all results from the 2022 program positively as drilling has extended mineralization beyond the current resource boundary and confirmed that the southern end of the resource hosts high-grade Ag and Au mineralization, remaining open for expansion. We continue to believe that Tonopah West has considerable room to grow beyond its current ~42.6M oz AuEq resource base, with our base and upside mineral case inventory calculations estimating ~79.7M oz and ~106.3M oz AgEq, respectively.