I-80 Gold Confirms $118M NPV for Granite Creek Feasibility Study

i-80 Gold has finalized a positive feasibility study for its Granite Creek Underground project, establishing initial proven and probable mineral reserves of 2.20 million tonnes grading 7.87 grams per tonne. The study, disclosed via PR Newswire, confirms an 8.5-year mine life and projects annual production of approximately 75,000 ounces of gold from 2028 through 2032. This output represents a 15,000-ounce annual increase over the company's previous preliminary economic assessment.

The economic model attributes the improved results to a significantly expanded mineral resource base and increased production rates. Despite 15 months of mining depletion since the last assessment, the infill drilling program successfully converted resources into higher classification categories. The company expects the mine to serve as a primary feed source for its Lone Tree processing plant, supporting a strategic shift toward mid-tier production status in Nevada.

Resource expansion drives economic value

Measured and indicated underground resources grew by 229 percent to 3.73 million tonnes, containing 859,500 ounces of gold. This expansion was achieved through targeted infill drilling that delineated mineralized zones and demonstrated structural continuity. Conversely, inferred resources decreased by 38 percent to 0.89 million tonnes as material was reclassified into the higher confidence categories. The technical reports indicate that the project economics remain robust despite the prior mining activity.

Sensitivity analysis shows cash flow upside

At the base case gold price of $2,750 per ounce, the project yields an after-tax net present value of $118 million with total undiscounted cash flows of $153 million. Sensitivity analyses demonstrate significant upside potential; at an illustrative price of $4,500 per ounce, the after-tax NPV rises to $598 million. If gold prices reach $6,000 per ounce, the model projects total undiscounted after-tax cash flows of $1.2 billion and an NPV of $985 million. These figures reflect the project's low estimated cash costs and high-grade ore body.

Processing capacity supports long-term operations

Granite Creek Underground is positioned to supply the wholly owned Lone Tree autoclave and carbon-in-leach plant for many years. The Lone Tree facility is scheduled to become operational by the end of 2027, following refurbishment. Additional feed will come from the Archimedes underground mine, where production mining is expected to commence later this year. Together, these assets are designed to generate strong free cash flow for i-80 Gold.