Key Takeaways
- Q1 2026 drill results extended the Aremu high-grade corridor 200m along strike; best result: 38.5m @ 5.6 g/t Au.
- Cash position of $62M (year-end 2025) provides an 18-month runway at current burn rates.
- A Mineral Resource Estimate update targeting 5+ Moz is expected in Q3 2026, a potential re-rating catalyst.
- G&A and exploration expenses of $6.8M were in-line with the budget; no dilution anticipated before the MRE update.
- Gold at US$2,580/oz provides strong economic context for the project’s preliminary economic assessment in 2027.
Reunion Gold (TSX-V: RGD) is a pure-play gold exploration company advancing the Aremu project in Suriname’s Guiana Shield. Unlike the previous two companies in our Earnings Watch series, Reunion is pre-resource definition and pre-development. But its Q1 2026 results marked a significant advancement of the Aremu project that deserves attention from investors building early-stage gold exposure.
The Drill Results That Matter
Reunion’s Q1 2026 program intersected 38.5 metres at 5.6 grams per tonne gold in hole ARD-26-098, the best result in the history of the project on a true-width basis. Crucially, this hole was drilled 200 metres along strike from the previously known resource boundary, extending the high-grade corridor and suggesting the deposit is larger than the current resource model.
| Hole ID | From (m) | To (m) | Interval (m) | Au Grade (g/t) |
|---|---|---|---|---|
| ARD-26-098 | 142.0 | 180.5 | 38.5 | 5.62 |
| ARD-26-099 | 167.0 | 191.0 | 24.0 | 4.14 |
| ARD-26-101 | 220.5 | 248.0 | 27.5 | 3.87 |
| ARD-26-104 | 95.0 | 126.5 | 31.5 | 3.22 |
| ARD-26-106 | 310.0 | 334.0 | 24.0 | 4.71 |
The Path to 5 Million Ounces
Reunion’s existing Mineral Resource Estimate (MRE) stands at 4.2 million ounces (Indicated and Inferred) at an average grade of 2.4 g/t. Management has targeted a Q3 2026 updated MRE that incorporates all 2025 and Q1 2026 drilling. Based on the strike extension confirmed in Q1 and the previously drilled step-outs from 2025, we expect the updated resource to cross the 5 million ounce threshold, which would represent a roughly 20% increase and typically acts as a re-rating catalyst for junior gold developers.
Financial Position
Reunion ended calendar 2025 with $62 million in cash, and the Q1 2026 burn rate of approximately $7.5M per quarter implies an 18-month runway at current spending levels. The company has been disciplined about dilution: the last equity raise was in Q2 2025 at C$0.62/share. Current shares outstanding of 264 million represent a market cap of approximately C$170M at recent prices, or C$34/oz of Indicated resource — a significant discount to developer peers.
Bottom Line
Reunion Gold is a speculative investment with meaningful geological and jurisdictional risk, but the Q1 2026 drill results confirm the company is on the right path. A Q3 MRE update that pushes the resource above 5Moz at grades above 2.5 g/t would place Aremu firmly in the tier of projects likely to attract major mining company attention. We are watching the Q3 MRE as the key catalyst. Position sizing for exploration-stage companies should be appropriately conservative.