i-80 Gold posts positive Preliminary Economic Assessment on the Granite Creek Underground Project, Nevada

i-80 GOLD CORP. [TSX: IAU; NYSE: IAUX] reported results of a preliminary economic assessment (PEA) for the Granite Greek Underground Project, Nevada. Granite Creek Underground is the first property within the company’s pipeline of assets to be redeveloped and is currently ramping up to full production. The project is situated at the intersection of the highly prolific Battle Mountain-Eureka and Getchell gold trends in northern Nevada.

“Our exploration results at Granite Creek Underground to-date suggest significant potential for resource growth and expansion. As a result, an extensive drill program is planned in the coming years to realize that potential. The PEA also demonstrates that once our Lone Tree autoclave is refurbished as anticipated in 2028, production and cash flow are expected to increase materially,” stated Richard Young, CEO.

This resource employed in this PEA does not include drilling conducted in 2023 and 2024. Further, the effects of underground water management in the 2025 mine plan are not reflected in this PEA. Due to these factors, the company’s 2025 production forecast, which is still under development, differs from what is depicted in the PEA schedule. i-80 Gold expects to produce between 20,000 to 30,000 ounces of gold at Granite Creek Underground this year.

Granite Creek Underground PEA Highlights; Mineral Estimates, Production and Mine Life: High-grade underground gold mine with a life of mine (LOM) of approximately 8 years. Average annual gold production of approximately 60,000 ounces, following production ramp up. Estimated LOM cash costs of $1,366/oz and all-in-sustaining costs of $1,597/oz.

Updated mineral resource estimate resulting in a measured and indicated gold mineral resource of 261,000 ounces at 10.5 g/t and an inferred gold mineral resource of 326,000 ounces at 13.0 g/t. The updated mineral resource estimate does not include infill drilling conducted within the Granite Creek Underground in 2023 and 2024. Further, infill and step out drilling on the South Pacific zone in 2025 is expected to be completed for inclusion in a feasibility study planned for Q4 2025.

Based on exploration work conducted to-date, Granite Creek Underground has significant potential for resource expansion; it is located only 10 km from the prolific Turquoise Ridge Complex within Nevada Gold Mines’ joint venture which currently hosts approximately 20 million ounces of gold. An extensive drill program is planned for the coming years to test this system at depth and to the north.

Project Economics: Based on a $2,175/oz gold price, the project’s undiscounted after-tax cash flows total $197 million with an after-tax net present value (NPV) of $155 million, assuming a 5% discount rate. Based on a spot gold price of $2,900/oz, the project’s undiscounted after-tax cash flows total $420 million with an after-tax NPV of $344 million, assuming a 5% discount rate.

Mine construction is complete. LOM development and sustaining capital is estimated at $105 million.

The company expects recovered gold ounces of between 20,000 to 30,000 ounces in 2025 from Granite Creek. An updated operational plan will be included in a feasibility study for Granite Creek Underground, which is currently expected to be released in Q4 2025.

Further exploration at Granite Creek Underground includes infill drilling program in the Ogee, Otto and South Pacific zones in 2023 and 2024. Additionally, a 15,000-meter infill and step out drill program targeting the South Pacific Zone, is aimed at expanding the South Pacific resource and moving a portion of the indicated mineral resources to reserves in that zone.

All drilling conducted since the beginning of 2023 is anticipated to be included in the planned feasibility study for Granite Creek Underground.

Granite Creek Underground is a fully permitted, constructed and operating mine currently in production ramp up phase. The Granite Creek property also includes Granite Creek Open Pit deposit adjacent to the underground mine, currently in the permitting stage. Situated in the Potosi mining district, the property lies approximately 43 km northwest of Winnemucca, Humboldt County, Nevada.

Since 1980, the property has produced approximately one million ounces of gold from both underground and open pit. The majority of underground resources are adjacent to, but independent of the past-producing open pits on the property. Additionally, the property hosts the Mag and CX oxide open pit resources. An open pit resource estimate and associated preliminary economic assessment is currently planned for Q4 2025.

Granite Creek Underground is currently ramping up to full production and is expected to achieve commercial production in 2026. The PEA demonstrates an initial mine life of approximately 8 years with annual gold production peaking at approximately 80,000 ounces and averaging approximately 60,000 ounces of gold following ramp up. A third-party process agreement for material mined is required until the planned refurbishment of the Lone Tree autoclave is expected to be completed. As a result, annual production and cash flows are lower over the next three years until the autoclave facility is completed.