Revival Gold Inc. (TSXV: RVG | OTCQX: RVLGF) has provided an update on the status of agreements to acquire certain property interests that comprise part of the company’s Beartrack-Arnett Gold Project, located in Lemhi County, Idaho, U.S.
“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.
On 30 August 2022, Revival Gold executed an Amended and Restated Stock Purchase Agreement and Exploration Agreement with Meridian Gold Company, under which Revival Gold and Meridian agreed to extend the period for Revival Gold to complete earn-in obligations to acquire Meridian Beartrack Co. by two years to 29 September 2024.
In connection with the extension, Revival 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$10M to US$15M (of which, approximately US$12M had been expended as of 30 June 2022).
The Beartrack property includes an estimated $40-50M in site infrastructure value and hosts the bulk of Mineral Resources at Beartrack-Arnett. Upon completion of the Meridian Beartrack Co. acquisition, Revival Gold will assume responsibility for site bonding. The current face value of the Beartrack site bond is $10.2M.
Revival Gold will also be required to provide a 1% Net Smelter Return royalty, an additional NSR royalty of 0.5% (terminating when the payments of the additional royalty total $2M) 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.
“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.
To find out more, visit: https://revival-gold.com/
