Categories: Precious Metals
Topics: Gold Stocks

Revival Gold (TSX-V: RVG)(OTC: RVLGF) CEO Hugh Agro on High-Grade Gold Expansion at Joss, Advancing Mercur Toward Production, and Unlocking Value Across a 6-Million-Ounce USA Gold Portfolio

 

Gerardo Del Real: This is Gerardo Del Real with Resource Stock Digest. Joining me today is the president & CEO of the very, in my opinion, undervalued Revival Gold (TSX-V: RVG)(OTC: RVLGF) — Mr. Hugh Agro. Hugh, how are you today?

Hugh Agro: I’m doing well, Gerardo. Very nice to be with you.

Gerardo Del Real: Well, let's get into it. I said right off the top that I think Revival Gold presents pretty compelling value. I know that we've had a consolidation in the precious metals space. I'd like to remind everybody that just a year ago we had a low of US$3,200/oz in the gold price. I'll take US$4,000 every day of the week the rest of the year if that's all we get. I suspect gold goes higher. We'll see how that plays out.

But look, Revival Gold has a 52-week high of C$1.14. You've raised substantial capital that mitigates future dilution and makes sure that you have the cash in the treasury to execute the business model, which is to continue to add value and ounces. Yet, you sit here at the C$0.64 level right now with a market cap of just over C$200 million.

I'd love to talk about the value proposition in light of the fact that you just intersected 14.9 grams per tonne gold over 5.9 meters, extending the depth of mineralization by 240 meters at Joss. 

So, multiple projects, millions of ounces of gold already outlined and probably a lot more to come here in the not-too-distant future. A lot going on. Can you walk me through what's going on at Revival right now?

Hugh Agro: Yes, the priority is Mercur in Utah, and we're marching toward a production decision there in early 2028. Things are going very well with that project on the drilling front, on the engineering front, and on the permitting front.

Meanwhile, we've got this 4.6-million-ounce second project in Idaho [Beartrack-Arnett], which, as you've pointed out, we've just released some outstanding drill results extending the vertical dimension of the underground deposit at that project by 70% with a 350 gram-meter intercept.

This is really pretty spectacular stuff. The project area is about an 18,000-acre land position. There's about a 3.5-mile-long trend of mineralization within which we've got just over half a mile of underground deposit. So that's where we're focused with this drilling.

And look, we're intercepting 15 grams and a couple of nine-gram intervals, all within about a 147-meter intercept. So this is pretty exciting stuff, and more drill results are to come from Joss.

Gerardo Del Real: Can you talk about — and you're great at this, and I know you know it like the back of your hand — but can you talk about the valuation? How compelling is the valuation right now relative to your peers at current prices?

Hugh Agro: Yes, we have a US$2 billion NAV at the current gold price and a US$1.2 billion NAV at US$3,000 gold. So, as you pointed out at the start of the call, there's lots of value here, even at a much lower gold price.

The market cap of the company today sits right around C$200 million. So that's about a 0.1-times multiple to underlying NAV. I think that's a function of the broader market right now. We're seeing the gold price at US$4,000 an ounce, the senior gold producers at about US$500 an ounce, and the developers like Revival Gold trading in that sort of US$20-to-US$40-per-ounce valuation.

So here we are in a market environment that's very attractive for investors, delivering outstanding results from the drill bit, expanding our Beartrack-Arnett Project in Idaho, while at the same time marching toward a production decision on our Mercur Project in Utah.

Gerardo Del Real: Well, look, I'm not the only one that thinks there's a whole heck of a lot of value at current levels. Paradigm Capital just put out a report giving you a 12-month target of C$2.90. 

There's a lot of runway between C$0.64 and C$2.90. You don't have to get the whole thing right here, folks. But again, the gold is there. That's not going anywhere. There's likely a whole heck of a lot more there, and you've got the cash to execute.

So I'm excited for the second half of the year. I know you have assays still pending. Looking forward to having you back on, Hugh. Anything to add to that?

Hugh Agro: Well, it's a very opportune time, not just for investors, but I think we're going to start to see more action on the M&A front. You can't have a senior and intermediate set of gold companies making the kind of money they're making today and not thinking about how they fill their pipelines for the next generation of projects.

And that's where a company like Revival Gold comes in. We've got two excellent projects in the western United States, six million ounces of gold, and we're moving relatively quickly here toward production.

That's a pretty attractive situation. It's attractive for our owners, but it's also attractive for the other corporates out there looking for future growth. I think we'll have to run hard here to keep out in front of them.

Gerardo Del Real: Yes, it'll be interesting to see if you make it out of 2026. I can imagine the phones continue to ring. Hugh, as always, a pleasure. Thank you so much.

Hugh Agro: Thank you, Gerardo. Appreciate the coverage and the interest. And as always, happy to have questions from you or any of your listeners as we continue to build.

Gerardo Del Real: Thank you very much. Appreciate it.

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