Revival Gold exercises option to acquire Barrick’s Mercur gold project stake

Core Viewpoint - Revival Gold has taken a significant step by acquiring 100% of Barrick Mining's stake in the Mercur gold project, which may lead to the resumption of gold production in Utah [1] Group 1: Acquisition Details - The acquisition option was established under a mineral lease and option-to-purchase agreement signed in May 2021, covering 996 hectares of mineral interests, expanding the Mercur project area to approximately 7,200 hectares [1] - To exercise the option, Revival Gold must spend at least C$6 million (approximately $4.35 million) on exploration by January 2, 2026, a condition that has already been fulfilled [5] Group 2: Economic Assessment - A preliminary economic assessment (PEA) for the Mercur gold project is expected to be completed by mid-2025, with a 13,000 meters drill campaign conducted this year to support a planned pre-feasibility study (PFS) in 2026 [2] - The PEA forecasts an average annual production of 95,600 ounces of gold over a mine life of ten years [2] Group 3: Financial Projections - The PEA estimates an after-tax net present value (NPV) of $294 million at a 5% discount rate and a gold price of $2,175 per ounce [3] - Compensation to Barrick will include $5 million at option closing, and $5 million on each of the first, second, and third anniversaries of the start of commercial production, with payments potentially made in cash or common shares of Revival Gold [6] Group 4: Strategic Importance - The president & CEO of Revival Gold emphasized that the acquisition consolidates a large Carlin-style gold system, which is rare outside of major Nevada gold operations, and comes with essential infrastructure such as paved road access and an energized powerline [4] - The company is committed to maintaining high standards of environmental and community stewardship, similar to those upheld by Barrick at Mercur [7]