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30X More Chances to Find Gold | Kevin Reid - Arizona Eagle Mining

The Deep Dive Oct 8, 2026 28:00

Summary

CEO Kevin Reid argues higher interest rates pull capital from gold near term, but surging US debt-servicing costs imply more money printing ahead.

Arizona Eagle plans to reopen the McCabe mine's ventilation shaft to reach underground workings and drill short holes directly at high-grade gold-silver targets.

Underground drilling could cut costs to roughly 3% of surface drilling — about $200,000 versus $9.6 million for 60 holes — multiplying exploration chances.

Patented private land in Arizona removes federal permitting delays that slow explorers working BLM or National Forest ground.

A 1984 historic estimate of 878,000 ounces at a recovered grade of 11.7 g/t used a 6.8 g/t cut-off and $350 gold, so management sees expansion potential.

Steve Hyland's takeaways

  • Top takeaway The host frames the investment case for viewers, emphasizing that drilling near known mineralization means much shorter holes in a narrow-vein system, and presses the guest on permitting advantages, mine history, targeting, and the milestone timeline.

Kevin Reid's takeaways

  • Top takeaway The guest is structurally bullish on gold as of October 2026, arguing ~$2 trillion in annual US interest expense on ~$40 trillion of debt makes more money printing inevitable, which he sees as positive for gold despite short-term volatility from higher rates.
  • He argues reopening the ventilation shaft for about $3 million lets Arizona Eagle drill from underground at ~3% of surface cost — roughly $200,000 for 60 holes vs $9.6 million from surface — yielding about 30 times more holes per dollar.
  • He presents the 1984 historic estimate of 878,000 oz gold at 11.7 g/t recovered grade plus 5 Moz silver, and contends the resource could grow to multiples of that historic figure by lowering the 6.8 g/t cut-off and expanding along strike and at depth.
  • He stresses the private patented ground advantage — the company owns surface and mineral rights, avoiding BLM or National Forest permitting — and notes two discoveries in holes 2 and 6 of a 7-hole surface program that intentionally avoided high-grade areas.
  • His timeline: engineering study on the ventilation shaft complete by January, underground access by April or May, and drills running underground from around May, with the company fully funded for the work.