01:36 PM EDT, 03/13/2024 (MT Newswires) -- Blackrock Silver Corp. ( BKRRF ) on Wednesday rose 3.8% on last look after reporting that it has exercised its option to buy a 100% interest in the Tonopah West project.

The option was exercised under an option agreement between the company's wholly-owned Nevada subsidiary, Blackrock Gold Corp., and Nevada Select Royalty Inc.

The company made payments to Nevada Select Royalty of US$3 million over a four-year term, with a final cash payment of US$1 million.

Nevada Select Royalty retained a net smelter returns royalty on Tonopah West equal to 3% of the net value of all precious and base metals, products, and materials of commercial value mined and removed from Tonopah West and sold by the company.

Under the royalty agreement, the company is required to pay Nevada Select Royalty an annual advance minimum royalty of US$50,000 until the earlier of the commencement of commercial production at Tonopah West or the 20th anniversary of the effective date of the NSR agreement.

All advance royalty payments made by the company will be credited toward any future royalty payments to Nevada Select Royalty.

Price: 0.27, Change: +0.01, Percent Change: +1.89