Investor Newsletter, October 2020: Exploration Update

Dear Investor,

Since the untimely arrival of COVID, Royal has completed successful drilling campaigns at Luna Roja in Nicaragua (final results awaited), GNM in Colombia and we are currently drilling at the Caribe project in Nicaragua. All, of course, under strict health and safety protocols and so far without incident. Thanks to our VP-Operations Iván Devia and gratitude for the resilience and commitment of our technical, social and environmental field teams. Thankfully the skies are now open(ish) and those of us who have been office-bound for months are taking our PCR tests, boarding flights and plying our way down to Bogotá and Managua.

Drill pad preparation and examples of silica-pyrite alteration and breccia from some of this years drill core at the Caribe project Nicaragua.

In respect of operations, one of the most frustrating effects of the pandemic has been the unusual delays in laboratory turnaround times (TAT’s). TAT’s (thus drilling results) are running into months as opposed to weeks. This makes modelling and drill-planning difficult. In order to counter this, we are moving our rigs around/off projects whilst we wait for results and build the models we need to guide the drilling we want. It is not for me to provide investment advice, but on behalf of our industry I would caution investors not to read too much into slow news-flow, we are simply not receiving analytical results as quickly as we would like.

On the IR side, we will be attending the virtual Precious Metals Summit Europe (Nov 2-3) and Mines and Money Online Connect (Nov 30 – Dec 3). We are also working on messaging to ensure that our discovery-driven business model is assessed and valued as easily as the more commonplace single project junior mining story.

Respectfully Yours, Tim Coughlin, President & CEO

STAFF PROFILE
Daniel is one of our exploration geologists and joined us in October last year. Born in Brunei, he’s had an international upbringing (thanks to an oil-exploring father), having lived in various countries such as Syria, Egypt and Oman. It’s not always been a smooth ride, with the Egyptian revolution in 2011 and several other evacuations, life in the Middle East did unfortunately come with a couple of caveats. Fast-forward a few years Daniel pursued his bachelor’s degree in Geology at the University of St Andrews and went on to complete his Master’s in Mining Geology at the Camborne School of Mines. In doing so he was able to get a taste of what this industry entails, leading him to where he is today. Daniel is currently integrating the surface geology of Luna Roja with the drilling and geophysics, producing a 3D Model to be used for future targeting. Like most geologists, he is happiest in the field, and particularly enjoys mapping followed by an afternoon beer!