Resource Increase At The Beartrack-Arnett Gold Project

TORONTO, ON  - Revival Gold Inc. reported the results of an updated mineral resource estimate completed on the company’s Beartrack-Arnett Gold Project located in Lemhi County, Idaho.

The updated RPA Beartrack-Arnett Mineral Resource contains: An Indicated Mineral Resource of 36.4 million tonnes at 1.16 g/t gold containing 1.35 million ounces of gold, and an Inferred Mineral Resource of 47.2 million tonnes at 1.08 g/t gold containing 1.64 million ounces of gold, including an initial bulk underground component of 6.7 million tonnes at 2.19 g/t gold containing 0.47 million ounces of gold; These results represent an increase of 11% in Indicated Mineral Resources and an increase of 114% in Inferred Mineral Resources over the Company’s prior mineral resource estimates at Beartrack The Mineral Resource is defined by 563 core and reverse circulation drill holes totaling approximately 93,000 meters and was estimated at an assumed gold price of US$1,400 per ounce of gold; Mineralization at Beartrack remains open to the north, south and at depth. Mineralization at Arnett remains open in all directions; The focus of technical work will now turn to preparations for a Preliminary Economic Assessment on the potential re-start of heap leach operations at Beartrack and plans for future exploration drilling at Beartrack-Arnett. 

“Results at Beartrack-Arnett have well exceeded Revival Gold’s ambitious goals for exploration success,” said Hugh Agro, President & CEO. “Inferred gold resources have more than doubled while indicated gold resources are up 11% with this resource update. The deposit remains open laterally and at depth and, at its current scale, Beartrack-Arnett represents an outstanding opportunity for further growth.”

Previously reported, Mineral Resources at Beartrack are largely assumed to be exploited by open pit mining methods. However, mineralization at Beartrack extends over 600 meters vertically below surface in the South Pit area and has also been intercepted at depth in holes drilled in the Ward’s Gulch, North Pit and Joss areas.  Resource modeling by RPA supports the inclusion of an initial component of bulk underground material in the Mineral Resource located in the South Pit and Joss areas at Beartrack.

The deposit at Arnett is envisioned as an open pit operation that could either be operated independently of Beartrack or as a satellite operation taking advantage of existing infrastructure at Beartrack.

Heap leach resources are primarily composed of oxide and mixed oxide-sulphide material. Mill resources are primarily composed of sulphide material. Two separate net economic values were calculated for each resource block based on heap leach and mill processing parameters. The Mineral Resource was generated from the maximum of the two conceptual block net economic values.

Heap leaching is assumed to take place at a rate in the range of 10,000 to 15,000 tonnes of mineralized material per day with two-stage crushing to minus two inches.

The mill operation is assumed to take place at a rate of about 20,000 tonnes of material per day with approximately 3,000 tonnes per day of flotation concentrates pressure oxidized and cyanide leached to produce gold dore on site.  Mill flotation tailings would also be cyanide leached to produce gold doré on site.

The mill operating parameters shown in Table 2 above translate into a breakeven gold cut-off grade of 0.52 g/t gold for Beartrack open pit mill material and an incremental breakeven gold cut-off grade of 1.26 g/t gold for Beartrack incremental underground mill material.  Heap leach operating parameters translate into breakeven gold cut-off grades of 0.17 g/t cyanide soluble gold and 0.19 g/t fire assay gold respectively for Beartrack and Arnett open pit heap leach material.

Beartrack was previously operated as an open pit, heap leach operation exploiting leachable ore until the operation was shutdown in 2000. The historic Beartrack operation involved open pit mining by truck and shovel at a rate of 13,600 tonnes per day of ore, with two-stage crushing to minus two inches, conveyed to a heap leach pad with gold recovered in an Adsorption, Desorption, Regeneration plant. A total of 21,880,000 tonnes at 0.98 g/t cyanide soluble gold were processed producing 609,141 ounces of gold, yielding an average recovery of 88% of the cyanide soluble gold (approximately 70% of contained gold).

Significant infrastructure from the historic operation remains.  Revival Gold is evaluating the economic potential for a re-start of heap leach operations at Beartrack and intends to continue to aggressively explore for additional mill and leach material on the Beartrack-Arnett property.

Mineral Resources were estimated for the Beartrack and Arnett deposits using inverse distance squared (ID2).  Several different interpolation processes including inverse distance cubed (ID3), ordinary kriging, and nearest neighbor methods were completed as secondary parallel estimation validation.  Mineral Resources based on the ID2 grade model compare favorably with the ordinary kriged and nearest neighbor models.  Block size in the block models measure 20 feet (6.1 meters) in each direction. This block size was deemed to be appropriate by RPA given the current drill hole spacing, assay length and style of mineralization.  Block grades were estimated using Metric units (grams/tonne).

Gold mineralization at Beartrack is associated with a large, northeast-trending regional structure known as the Panther Creek Shear Zone (PCSZ). Mineralization in the Joss area is hosted by the Proterozoic Yellowjacket Formation and the PCSZ, mineralization in the South Pit and Ward’s Gulch areas is hosted by the Yellowjacket Formation, the PCSZ and a Proterozoic Rapakivi Granite, and mineralization in the North Pit and Moose areas is hosted by the PCSZ and the Rapakivi Granite.  The estimate of gold resources was constrained by a combination of lithologic and gold grade wireframes. Block gold grades were independently estimated using fire assays and cyanide soluble analyses. The grade models were validated using visual and statistical methods. In addition, the grade models were extensively compared to historical cyanide soluble and fire assay blast hole data and historical production reports.  The estimated block grades were classified as Indicated and Inferred categories based on drill hole spacing and continuity of mineralization.

The company’s address is 145 King St. W., Suite 2870, Toronto, ON M5H 1J8, (416) 366-4100, www.revival-gold.com.