Mining Stock Daily
Hugh Agro on the PEA for Revival Gold's Mercur Project
Apr 2, 2025
Hugh Agro, CEO of Revival Gold, shares insights on the Preliminary Economic Assessment (PEA) for the Mercur project in Utah. He highlights an impressive after-tax NPV of $294 million and a solid 27% IRR, indicating strong project potential. Agro delves into plans for drilling, metallurgical testing, and strategies to maximize resource recovery. He also discusses financial strategies to attract investment amid rising gold prices and the potential challenges posed by tariffs and market trends.
13:38
Episode guests
AI Summary
AI Chapters
Episode notes
Podcast summary created with Snipd AI
Quick takeaways
- The Mercur project's strong economic metrics, with an after-tax NPV of $294 million and 27% IRR, underline its financial viability in the current gold market.
- Revival Gold's proactive funding strategies include exploring debt and equity options to meet the $208 million capital requirements for developing the project.
Deep dives
Economics of the Merkur Project
The Merkur project's preliminary economic assessment (PEA) indicates a strong financial outlook, highlighting an after-tax net present value (NPV) of $294 million and an internal rate of return (IRR) of 27% based on a gold price of $2,175 per ounce. The project is expected to produce between 95,000 and 105,000 ounces of gold annually over a ten-year period, with capital costs estimated at $208 million. The presence of existing infrastructure and its location on private land are crucial factors that will expedite the permitting process, allowing it to move into production within approximately two years. These indicators suggest that the project is well-positioned to meet the demands of the current gold market and support future growth.
Remember Everything You Learn from Podcasts
Save insights instantly, chat with episodes, and build lasting knowledge - all powered by AI.
