West African Resources Limited announced a strategic update to its equity arrangements in Burkina Faso, in line with the new 2024 Burkina Faso Mining Code. As part of this regulatory alignment, the Government of Burkina Faso’s free-carried equity interest in the Company’s three operating projects—Sanbrado, Kiaka, and Toega—will rise from 10% to 15% in 2025. Aside from this adjustment, all other significant terms within the existing mining agreements remain unchanged, underscoring the company’s commitment to both compliance and stability in its operations. The company confirmed that its 2025 guidance for gold production remains robust, targeting between 190,000 and 210,000 ounces with an all-in sustaining cost (AISC) of less than US$1,350 per ounce. This projection comes as construction at the Kiaka project continues on track and on budget. With first gold expected in early Q3 2025, Kiaka is set to add approximately 420,000 ounces per annum to the company’s production capacity once operational, bolstering its long-term output potential. Market sentiment leans in favor of the announcement for several reasons. On the bullish side, aligning with the updated mining code reflects strong regulatory relationships and indicates a proactive stance toward local requirements. The unchanged production guidance, coupled with the anticipated production boost from Kiaka, suggests that the company is well-positioned to achieve its growth targets while managing costs effectively. Conversely, the increased equity interest held by the Burkina Faso government might be seen as a dilution factor by some, potentially raising concerns among investors about the impact on future earnings. However, the free-carried nature of the government’s stake may mitigate these dilution concerns. This development highlights West African Resources Limited’s balanced approach to regulatory compliance and operational efficiency, providing both strategic benefits and certain challenges that investors should consider when evaluating the company's future performance.