Revival Gold (TSX-V: RVG)(OTC: RVLGF) CEO Hugh Agro on a Catalyst Rich Second Half of the Year


Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the President and CEO of Revival Gold, Mr. Hugh Agro. Hugh, how are you today?

Hugh Agro: I'm very good, Gerardo. Good to be back with you.

Gerardo Del Real: Well, listen, let's get right into it. We talked a bit off air. I shared with you my sentiments on what I think is going to be a very profitable second half of the year, whether it's precious metals, uranium, lithium, copper. I've been increasing my personal exposure. I sent a note out to paying subscribers about a week and a half or two ago, urging them to take a look at Revival because I think it presents really compelling value given the peer comps and given how catalyst rich the company is over the next couple of months. So I wanted to get you on and just have a conversation. You had a 2023 Exploration Campaign Update that you just announced. You have a PFS coming up. A lot going on, so let's get into it.

Hugh Agro: Yeah, you bet. The team's fired up and we've got now a drill program all sorted out for the season here, and the focus will be on open pit oxide material. We've got a couple of high grade target areas that we have been itching to get into. Last season, we had hoped to do that, but we had a big fire come through the project area. So we're catching up this year and these are pretty exciting targets. Roman’s Trench where we've got almost two grams gold and some historical drilling. And at Haidee where last year you might remember, we ended with 10 meters of five and a half grams on the edges of the property. On the edges of the deposit, I should say. So this is going to be pretty interesting times in the next couple months here as we drill there.

Gerardo Del Real: For those not familiar with Revival or because I've had a lot of calls recently from funds and family offices that are looking to increase their gold exposure, can you provide a bit of an overview on the asset, the infrastructure, and just the value that's there? Because again, in an environment where gold is near $2,000 and I think it breaks new all time highs here in the second half, there's no way that Revival should be trading where it's trading at.

Hugh Agro: Yeah. We start with the fact that this is the largest past-producing gold mine in the state of the Idaho, so great location, great pedigree, supportive community and infrastructure. I know that's a key focus of yours. We've got $50 to 100 million worth of infrastructure savings right off the bat. But then it goes to discovery. And over the last almost six years now, we've discovered what amounts to the second largest discovery of gold in the US in the last decade, 4 million ounces. We're coming out with a new resource within the next month, month and a half. And also a PFS on that first phase of the project to restart the infrastructure that I spoke about earlier.

But beyond that, and some readers may have picked it up in our press release this morning, we are starting to develop the underground potential for a mill phase to the project. So this would be a second phase after the heap leach or in conjunction with the heap leach. We're still working on that. It's lots of exploration potential. And 10 kilometers of strike to explore between both the Arnett area of the project and the Beartrack area of the project.

In the press release, you would've seen that we're talking now about the Joss area, where previously we've been looking at this as an open pit and underground situation. We think the critical mass has now reached a point where we can look at this as solely an underground target area, which is pretty interesting because of course, it requires us to move less waste and offers us the possibility to deliver higher grade material. This is really an interesting development and it's part of that second phase of the project that we've been talking about, but I think is now starting to come into clearer view.

Gerardo Del Real: Where in your mind do you feel... A better question. Let me ask it this way. How undervalued do you feel Revival is if we're just looking at peer comps? Let's pretend gold never goes up another dollar, just stays right around this $1,970 level. Given the amount of ounces in the ground, the exploration upside, and all the catalysts coming up, how undervalued are you relative to your peers?

Hugh Agro: Oh, I think we're very undervalued. We're trading at $8 or $9 an ounce in the ground, and pure valuations are three, four times that. And the obvious question is, well, why aren't we trading at three, four times that $8 to $9 an ounce in the ground? And I think it's as we move that second phase mill aspect of the project into economics, it will surface the value for those ounces.

Just to put it in perspective, when you've got 4 million ounces in the ground and the price of gold goes up a hundred dollars, that's huge exposure for our shareholders. That's having 4 million ounces of exposure to that a hundred dollars move in the price of gold. If you just hold one ounce a gold, you've only got a hundred dollars worth of exposure. So this is the benefit of owning explorer developer, and if you believe in gold, if you believe in the scarcity of gold projects to feed future production, and if you are looking for safe jurisdictions, Revival Gold has got to be top on your list for discovery success, for upside exposure to the metal price, and for location.

Gerardo Del Real: I absolutely agree. I think the second half of this year is going to be very kind for patient shareholders or new shareholders to the story. I think your timing is excellent with the PFS and the drilling coming up. Hugh, thank you for the update. Would love to have you back on here in the next couple of weeks.

Hugh Agro: Yeah. We will look forward to that, Gerardo. Thank you.

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