Toronto, ON – August 31st, 2022 – Revival Gold Inc. (TSXV: RVG, OTCQX: RVLGF) (“Revival Gold” or the “Company” - https://www.commodity-tv.com/ondemand/companies/profil/revival-gold-inc/), is pleased to provide an update on the status of agreements to acquire certain property interests that comprise part of the Beartrack-Arnett Gold Project (“Beartrack-Arnett”) located in Lemhi County, Idaho, USA.
Beartrack Property
On August 30th, 2022, Revival Gold executed an Amended and Restated Stock Purchase Agreement and Exploration Agreement with Meridian Gold Company (“Meridian”) (a wholly owned subsidiary of Yamana Gold Inc.) under which Revival Gold and Meridian agreed to extend the period of time for Revival Gold to complete earn-in obligations to acquire Meridian Beartrack Co. (owner of the Beartrack property and related infrastructure) by two years to September 29th, 2024. In connection with the extension, Revival Gold has committed to continue to fund certain site operating and management costs (“O&M” costs, estimated to be approximately US$850,000 per year including site bonding surety) and increase the required earn-in exploration spend at Beartrack from US$10 million to US$15 million (of which, approximately US$12 million had been expended as at June 30th, 2022).
The Beartrack property includes an estimated $40-50 million in site infrastructure value and hosts the bulk of Mineral Resources at Beartrack-Arnett. Upon completion of the Meridian Beartrack Co. acquisition (the “Acquisition”), Revival Gold will assume responsibility for site bonding. The current face value of the Beartrack site bond is $10.2 million. Revival Gold will also be required to provide a 1% Net Smelter Return (“NSR”) royalty, an additional NSR royalty of 0.5% (terminating when the payments of the additional royalty total $2 million) and pay the greater of $6 per troy ounce of the total gold Mineral Resources or $15 per troy ounce of proven and probable gold Mineral Reserves after the third anniversary of the acquisition.
Barnett Mineral Claims
On April 29th, 2022, Revival Gold paid the final US$250,000 option payment under the Barnett Agreement (announced June 30th, 2017 and amended April 9th, 2020) fulfilling all requirements to acquire a 100% interest in the Barnett mineral claims located at Beartrack-Arnett. The Barnett mineral claims host a portion of the Haidee Mineral Resource at Beartrack-Arnett and offer the potential to expand the Mineral Resource in that location. The Barnett mineral claims are central to Revival Gold’s potential future heap leach re-development plans for the project.
ACE Mineral Claims
Revival Gold currently holds a 75% interest in certain other mineral claims (known as the ACE mineral claims) located within the Beartrack-Arnett property. The ACE mineral claims are peripheral to the known Mineral Resources at Beartrack-Arnett. The holding of this property package and the exploration priority are under review.
“We are pleased to have extended the Beartrack property earn-in period and to have completed the acquisition of a 100% interest in the Barnett claims”, said Hugh Agro, President and CEO. “The Barnett claims offer exciting exploration potential and the added flexibility with the Beartrack property earn-in will allow Revival Gold to continue to build overall project value through the current turbulent market”, added Agro.
Figure 1 below illustrates the Beartrack-Arnett property interests referenced in this press release.
Figure 1: Beartrack-Arnett Property Position (August 2022)
In addition to the update on Revival Gold’s Beartrack-Arnett property agreements, the Company announces that it has extended the expiry date for the agreement to vend its 51% non-core holding in the Diamond Mountain phosphate project located in Uintah County, Utah, USA to Xplore Resources Ltd. (TSXV: XPLR) to September 31st, 2022.
Qualified Persons
Steven T. Priesmeyer, C.P.G., Vice President Exploration, and John P.W. Meyer, P.Eng., Vice President Engineering and Development are the Company’s designated Qualified Persons for this news release within the meaning of National Instrument 43‑101 Standards of Disclosure for Mineral Projects and have reviewed and approved its scientific and technical content.
About Revival Gold Inc.
Revival Gold Inc. is a growth-focused gold exploration and development company. The Company is advancing the Beartrack-Arnett Gold Project located in Idaho, USA.
Beartrack-Arnett is the largest past-producing gold mine in Idaho. Engineering work has been initiated on a Preliminary Feasibility Study (“PFS”) for the potential restart of heap leach operations. Meanwhile, exploration continues, focused on expanding the 2022 Indicated Mineral Resource of 65.0 million tonnes at 1.01 g/t gold containing 2.11 million ounces of gold and Inferred Mineral Resource of 46.2 million tonnes at 1.31 g/t gold containing 1.94 million ounces of gold (see Revival Gold NI-43-101 Technical Report dated July 13th 2022 for further details). The mineralized trend at Beartrack extends for over five kilometers and is open on strike and at depth. Mineralization at Arnett is open in all directions.
Revival Gold has approximately 86.9 million shares outstanding and an estimated cash balance of C$7.1 million as of June 30th, 2022. All figures in this press release are in metric units and in $US unless stated otherwise. Additional disclosure including the Company’s financial statements, technical reports, news releases and other information can be obtained at www.revival-gold.com or on SEDAR at www.sedar.com.
For further information, please contact:
Hugh Agro, President & CEO or Melisa Armand, Investor Relations
Telephone: (416) 366-4100 or Email: [email protected]
In Europe:
Swiss Resource Capital AG
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