Revival Gold exercises Mercur project option

Executive Summary

• Revival Gold Inc. has exercised its option to acquire 100% of Barrick Mining Corp.'s interest in the Mercur gold project in Utah, consolidating control over the entire project area.
• The acquisition involves a total cash consideration of $20 million (paid upfront and over three anniversaries of commercial production) plus royalty interests, with closing expected around April 1, 2026.
• The move completes the consolidation of a large Carlin-style gold system, supporting Revival Gold's goal to restart production at Mercur, which has a preliminary economic assessment (PEA) indicating a 10-year mine life with significant NPV potential.

Key Details

• Transaction Structure: Revival Gold exercises an option granted under a mineral lease and option to purchase agreement dated May 13, 2021 (as amended) to acquire Barrick Resources (USA) Inc. (or successor) via a membership interest purchase agreement (MIPA).
• Consideration:
  • $5 million (U.S.) cash (or common shares at Barrick's discretion) on closing of the option.
  • $5 million (U.S.) cash (or common shares) on the first anniversary of commercial production.
  • $5 million (U.S.) cash (or common shares) on the second anniversary of commercial production.
  • $5 million (U.S.) cash (or common shares) on the third anniversary of commercial production.
• Royalties:
  • 2% net smelter return (NSR) royalty on the mineral interests subject to the option agreement.
  • 1% NSR royalty on all other mineral properties held by Revival Gold within one kilometer of the mining claims.
• Project Scope: The option covers 996 hectares, bringing the total Mercur project area to approximately 7,200 hectares. This consolidates interests previously held by Barrick, a successor to Homestake Mining Company, and other owners.
• Exploration & Permitting Status:
  • Preliminary Economic Assessment (PEA) completed in mid-2025.
  • 13,000-meter drill program completed this year to support a planned 2026 prefeasibility study and Utah state mine permitting.
  • Mine permitting is expected to take approximately two years to complete.
  • $6 million in exploration expenditures were incurred prior to Jan. 2, 2026, satisfying option conditions.
• PEA Highlights (Mercur Heap Leach):
  • Life-of-mine average production: 95,600 ounces of gold per year over a 10-year mine life.
  • After-tax NPV: $294 million at a 5% discount rate and gold price of $2,175/oz.
  • After-tax NPV: $752 million at a gold price of $3,000/oz.
• Closing Conditions: Closing is expected on or around April 1, 2026, subject to regulatory approvals, execution of the MIPA, and Revival Gold taking on environmental surety bonding.

Notable Quotes

• "Barrick produced 1.4 million ounces of gold at Mercur, but never controlled the contiguous Homestake claims and west Mercur land position. This option exercise completes the consolidation of a large Carlin-style gold system -- a rarity outside the Nevada gold majors -- and comes with paved road access, an energized powerline to the site and extensive technical information," said Hugh Agro, president and chief executive officer.
• "Mercur is our top priority to move to production. Utah is a favourable jurisdiction, and we expect a relatively short timeline to repermit Mercur for mining."
• "Mercur's PEA economics have the potential to drive transformational value for Revival Gold's shareholders."