i-80 Gold Corp Nevada Development Update: 6 Things You Need to Know

Project Overview

i-80 Gold Corp (TSX: IAU | NYSE American: IAUX) is advancing a Nevada development strategy centred on the refurbishment of the Lone Tree Plant and the integration of multiple underground and open-pit gold deposits into a single processing network. The company's latest updates affect three areas of its development plan: resource growth potential at Archimedes Underground, processing flexibility through newly identified oxide mineralisation, and future gold sales following the termination of a legacy offtake agreement.

Nevada Development Catalyst Timeline

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1. Archimedes Drilling Extended Mineralisation Beyond the Current Mine Plan

Drilling intersected high-grade mineralisation outside the resource boundary used in the March 2025 Preliminary Economic Assessment (PEA), creating the potential for future resource additions beyond the current mine plan.

The completed Upper 426 Zone programme comprised approximately 8,500 metres across 40 drill holes. Results included 16.2 grams per tonne gold over 56.4 metres and 21.9 grams per tonne gold over 20.2 metres. The company stated that these intercepts occur outside the resource model incorporated into the March 2025 PEA. These intercepts are being incorporated into ongoing technical work evaluating the potential to source sufficient feed from the Granite Creek and Archimedes underground mines for the Lone Tree Plant for a significant period.

2. Oxide Mineralisation Could Increase Throughput Capacity

New oxide mineralisation introduces a second processing pathway that could increase throughput while reducing reliance on autoclave capacity. The drill programme intersected 5.4 grams per tonne gold over 56.5 metres within oxide mineralisation that was not included in the current mine plan.

The company noted this highlights potential upside to the existing mine plan with a lower-cost processing option. Oxide material could be directed to a Carbon-in-Leach (CIL) circuit rather than the Lone Tree autoclave, potentially increasing throughput capacity by 5% to 10% above nameplate capacity.

3. Archimedes Remains the Nearest-Term Production Catalyst

The company is using 55,000 metres of infill drilling to support reserve conversion while maintaining its first-gold target for fourth-quarter 2026. i-80 Gold has commenced approximately 55,000 metres of drilling across 140 drill holes in the Lower 426 Zone and Ruby Deeps areas using five underground drill rigs.

The drill results will support an updated mineral resource estimate (MRE) and updated mine plan for the feasibility study (FS), with a primary focus on enhancing confidence in the mine plan and upgrading inferred mineral resources. The company continues targeting first gold from Archimedes Underground in the fourth quarter of 2026, with an FS targeted for late in the first quarter of 2027.

4. Granite Creek & Cove Studies Were Extended to Optimise Development Sequencing

The movement of the FS into the third quarter of 2026 allows the company to evaluate opportunities to optimise the sequencing of its development plan. The company outlined the second-quarter of 2026 FS timelines for Granite Creek Underground and Cove Underground. The latest update moved both studies into the third quarter of 2026. The extension allows it to evaluate the optimal sequencing of its Phase 2 and Phase 3 development assets as part of the broader strategy to supply feed to the Lone Tree Plant.

5. Offtake Termination Returns 40,000 Ounces Per Year to Company Control

The termination removes a fixed gold delivery obligation and increases management's flexibility over future production from those ounces. Under the previous agreement, Vox Royalty Cayman SEZC held the right to purchase up to 40,000 ounces of gold annually through the expiry date of December 31, 2028. To terminate the arrangement, i-80 Gold will issue 3,453,237 common shares at a deemed price of US$1.39 per share, representing aggregate consideration of approximately US$4.8 million.

The company stated that these ounces may now be sold into prevailing gold markets, providing flexibility to manage future gold sales based on favourable pricing or to evaluate stockpiling opportunities ahead of the planned commissioning of the Lone Tree Plant.

6. Lone Tree Remains the Execution Anchor

The largest economic change in the development plan remains the transition from third-party processing to owner-operated processing at Lone Tree. Current third-party processing arrangements yield a payability factor of approximately 55% to 60% for refractory material, while the Lone Tree processing strategy targets approximately 92% recovery once the autoclave is operating.

Because Lone Tree is intended to process material from Archimedes Underground, Granite Creek Underground and Cove Underground, the company expects this shift to increase production, lower costs, and improve overall cash flow across the portfolio. The company continues targeting the first gold pour from Lone Tree in late 2027. 

Key Takeaway for Investors

i-80 Gold's latest updates leave its primary development milestones unchanged but provide additional flexibility around how future ounces may be mined, processed and sold. High-grade mineralisation identified outside the current mine plan at Archimedes is being incorporated into ongoing technical work. The newly identified oxide material could provide a lower-cost processing route with potential throughput benefits of 5% to 10%, and the removal of the obligation to deliver up to 40,000 ounces of gold annually would provide greater commercial flexibility ahead of planned Lone Tree commissioning. Investors should now focus on the Granite Creek Underground and Cove Underground FS targeted for the third quarter of 2026, the first gold from Archimedes Underground targeted for the fourth quarter of 2026, and the targeted late-2027 commissioning of the Lone Tree Plant.