BPM: WA gold drill results near 8Moz Tropicana will be the next news… just as gold about to hit new all time highs.

Disclosure: S3 Consortium Pty Ltd (the Company) and Associated Entities own 4,203,198 BPM Shares at the time of publishing this article. The Company has been engaged by BPM to share our commentary on the progress of our Investment in BPM over time. This information is general in nature about a speculative investment and does not constitute personal advice. It does not consider your objectives, financial situation, or needs. Any forward-looking statements are uncertain and not a guaranteed outcome.

The next thing we are expecting to see from our gold explorer BPM Minerals (ASX:BPM) is the drill results...

From similar geological trends to one of WA’s mega mines - the 8Moz Tropicana deposit.

BPM just finished drilling its WA gold project and assays are due “early 2026”.

A very good setup for BPM if the results come out at the same time that gold breaks out to new all time highs AGAIN:

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BPM’s projects sit on similar geology to the 8M ounce Tropicana deposit - which was rumoured by the AFR to be in the center of a $2.5BN M&A deal between its JV partners.

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And is in a part of WA where there are plenty of processing options (east of Kalgoorlie).

Being near existing mills means any gold that BPM discovers could attract interest from neighbours with hungry mills that are operating below full capacity.

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BPM’s ground sits along the same “shear zone” (geology speak for rock structures) that supposedly hosts that 8M ounce Tropicana deposit.

AND BPM just drilled a target that $61BN AngloGold Ashanti drilled ~19 years ago (Anglo are the majority owner of Tropicana).

Anglo hit ~3m at 65.8 g/t gold and 9.7m at 4.5 g/t gold from that project, but then the gold price fell and regional exploration was stopped in favour of drilling out the Tropicana discovery.

Since then the project has been basically untouched (until now).

BPM just finished a 24-hole program (over ~3,180m) and assays are due in “early 2026”.

Given BPM is following up Anglo’s old hits - here is what we are hoping to see from the drilling program:

(Source)

A big win for us would be IF BPM can extend and replicate the Anglo hits showing that Beachcomber is bigger than first thought...

And we don't have to wait long to find out - results are due in “early 2026”.

IF the market re-rates BPM higher off Beachcomber, it will give BPM a big enough market cap to start lobbing holes into some of its giant, more risky regional targets...

Two targets that we especially like are the “Bonnie” and “Clyde” prospect - a ~6km long gold in soil anomaly... that has NEVER been drilled before.

On targets like these, BPM would be drilling with no previous drilling results to guide them - so any big unexpected hits could bring with it a lot of market interest.

Especially considering the scale - a ~6km long soil anomaly.

The below slide from BPM’s most recent presentation compares BPM’s Bonnie and Clyde to both the Tropicana discovery (owned by ($61BN AngloGold Ashanti and $5.3BN Regis Resources) and the recent discovery by $457M Benz Mining:

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Benz Mining hit a “new discovery” from its project back in April this year and is now trading up ~350% from the pre-news share price.

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Past performance is not and should not be taken as an indication of future performance. Caution should be exercised in assessing past performance. This product, like all other financial products, is subject to market forces and unpredictable events that may adversely affect future performance.

BPM also mentioned it had 1,742 soil samples due in “early 2026” from three other prospects (Sidecar, Ambrosia and Brass Monkey) as well as around Beachcomber where the first round of drilling was done.

BPM is already approved to go back in and drill again pending those assays - so any interesting targets from these areas could be followed up pretty quickly too:

(source)

Beyond the targets above we are also looking forward to seeing the results from BPM’s regional soil sampling programs.

A win for us from the soil sampling programs will be if we can see more targets like BPM’s “Bonnie and Clyde” prospects.

If we see a few more targets like these ranked for drilling later next year, we could see a fair bit of interest come into the stock - especially if this first round of drilling delivers strong results.

Here is that broader ground package where there is still a lot of work to be done to fully investigate potential discoveries:

(Source)

Why we think a discovery by BPM would be valuable in this part of WA

We think that a big discovery on BPM’s project could be valuable because:

1. The market has an obvious comparison to point to when it comes to success in this part of WA (The 8M ounce Tropicana discovery), and;
2. The project is in an area that should get both corporate and market interest into it IF a discovery is made.

BPM’s project sits across major cross cutting shear zones - similar to Tropicana...

(We are not geologists, but just by looking at the map below, we can see there is correlation between the shear zones and gold deposits forming nearby)

(source)

BPM’s project is also close to multiple operating processing plants within a 200km radius of the project, which means if BPM is able to make a new discovery, it would have inherent value to the owners of those mills.

The positive from that is that there will be a fundamental valuation backstop on the discovery guided by what those mill owners are willing to pay for the resources in the ground.

Alternatively, BPM also gets multiple picks of mill owners it could negotiate toll-milling deals with.

(source)

Obviously it's still far too early to be thinking about who and which mill might take BPM ore, but it's nice to know there are options IF something is found.

At this stage the company has no defined resource estimates so talks of production are premature and more speculative than anything else.

Ultimately we are Invested in BPM to see the company make a material discovery and we are backing the BPM team to do just that.

BPM’s team were behind the rare earth discovery for Dreadnought Resources back in 2021-2022 which took its share price from 2.4c to 15.5c.

Past performance of Dreadnought is not an indicator of future performance of BPM.

See our deep dive on those guys here: BPM’s got a team who knows how to make a discovery

We are hoping they can help deliver our BPM Big Bet as follows:

Our BPM Big Bet:

“BPM discovers and defines a large resource, leading to a long term re-rate in the company’s share price by >1,000%”

NOTE: our “Big Bet” is what we HOPE the ultimate success scenario looks like for this particular Investment over the long term (3+ years). There is no guarantee that our Big Bet will ever come true. There is a lot of work to be done, many risks involved, including development risk, country risk and commodity price risk - just some of which we list in our BPM Investment Memo.

Success will require a significant amount of luck. Past performance is not an indicator of future performance.

What’s next for BPM

Drilling at WA gold project 🔄

Next, we want to see the results from the 3,000m RC drill program at Beachcomber which commenced earlier this week on Monday.

Here are the milestones we will be tracking (we took these from the bottom of Monday’s announcement):

• ✅ Drilling starts
• ✅ Drilling completion
• 🔄 Assay results (“early 2026”)

Normally we would add in potential visuals while the drill program is ongoing, but BPM will be drilling with an RC rig which means visuals will be unlikely.

🎓See our educational article about the different types of drilling here: The Difference Between Aircore, RC and Diamond Drilling

Target generation works at WA gold project 🔄

BPM will also be doing some surface sampling on the projects surrounding the area its currently drilling.

We are hoping to see additional targets firmed up with those programs.

Here are the milestones we are tracking:

• ✅ Soil sampling
• ✅ Soil sampling completion
• 🔄 Soil sampling results (“early 2026”)
• 🔲 Targetse selected for further drilling

What are the risks?

In the short term the key risk for BPM will be “exploration risk”.

Now with BPM drilling, there is a risk exploration results fail to deliver up to market expectation.

Given there are historic drilling results on the project already, the market will likely build in expectations that BPM can at least replicate those results.

IF drilling fails to deliver any economic mineralisation OR extensions to the known gold mineralisation on its project the market could re-rate the stock lower.

Exploration risk

BPM is still a long way from a discovery, and even further from defining a resource.Just because AngloGold drilled a few holes back in the day, it doesn’t guarantee BPM will hit anything significant in its follow-up drilling. BPM is an early-stage exploration company, and could come up empty-handed.

Source: “What could go wrong” - BPM Investment Memo 21-Aug-2025

Other risks

Like any stock market investment, investing in BPM carries a range of risks which may affect the value of the company, some of which cannot be foreseen (this is the nature of risks).

Here we aim to identify a few more risks.

BPM’s primary asset is a pre-discovery gold exploration project and it is possible that BPM makes no economic resource discovery.

BPM is also highly sensitive to movements in the gold price. A sustained downturn could hurt the project’s potential value and limit BPM’s ability to raise funds for exploration.

As a small company with a market cap of ~$17M, BPM is highly speculative. Even after recent share price moves, the current valuation may already reflect some of the anticipated upside.

Like all junior explorers, BPM is reliant on capital markets to fund exploration. Any future capital raise could dilute existing shareholders.

Finally, while WA is one of the more stable mining jurisdictions globally, there are always regulatory, environmental, heritage and permitting risks that could delay or prevent project development.

Investors should carefully consider these risks and seek professional advice suited to their personal circumstances before investing.

Our BPM Investment Memo

You can read our BPM Investment Memo in the link below.

We use this memo to track the progress of all our Investments over time.

Our BPM Investment Memo covers:

• What does BPM do?
• The macro theme for BPM
• Our BPM Big Bet
• What we want to see BPM achieve
• Why we are Invested in BPM
• The key risks to our Investment Thesis
• Our Investment Plan