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i-80 Gold Announces Positive Preliminary Economic Assessment on the Granite Creek Open Pit Project, Nevada; After-Tax NPV(5%) of $421 Million with an After-Tax IRR of 30% at US$2,175/oz Au
IAUXi-80 Gold (IAUX) Prnewswire·2025-03-06 11:00

Core Viewpoint - The Granite Creek Open Pit project in Nevada is highlighted as a top-tier open pit oxide project with strong economic potential, contributing significantly to the company's production profile and growth strategy [1][4]. Project Economics - The project has a pre-tax NPV (5%) of 581.3millionandanafter−taxNPV(5581.3 million and an after-tax NPV (5%) of 421.2 million, with an internal rate of return (IRR) of 30% based on a gold price of 2,175perounce[3][4].−Estimatedafter−taxcashflowstotal2,175 per ounce [3][4]. - Estimated after-tax cash flows total 660.9 million over the mine's life, which is approximately 10 years, with an average annual gold production of 130,000 ounces following ramp-up [4][28]. - The project anticipates cash costs of 1,185perounceandall−insustainingcostsof1,185 per ounce and all-in sustaining costs of 1,225 per ounce [4][29]. Mineral Resource Estimates - The updated mineral resource estimate indicates a total measured and indicated gold resource of 1.44 million ounces at a grade of 1.18 grams per tonne (g/t) [4][7]. - Inferred mineral resources are estimated at 0.08 million ounces at a grade of 1.09 g/t [4][8]. Mining and Processing - The project will utilize a conventional open pit mining method with a carbon-in-leach (CIL) processing facility, which is expected to enhance gold recovery compared to heap leaching [5][20]. - The CIL plant is designed to process approximately 3.5 million tonnes of mineralized material per year, achieving an average gold recovery rate of 86.6% [4][23]. Capital and Operating Costs - Total capital costs for the project are estimated at 292.4million,includingconstruction,sustainingcapital,andreclamationcosts[27][28].−Theprojectrequiressignificantpre−productionstripping,withcostsassociatedwithcapitalizedstrippingestimatedat292.4 million, including construction, sustaining capital, and reclamation costs [27][28]. - The project requires significant pre-production stripping, with costs associated with capitalized stripping estimated at 33.9 million [4][27]. Permitting and Environmental Considerations - The project has existing permits for ongoing underground mining operations, but additional state and federal permits will be required for the open pit operations [30][31]. - The permitting process is expected to take approximately three years, with a focus on environmental impact assessments [31][32]. Next Steps - A feasibility study is planned for completion in Q4 2025, which will include an updated mineral resource estimate and further technical disclosures [35][36].