i-80 Gold Corp. announced the commencement of underground development at its Archimedes project in Nevada. The company received all required environmental permits from the Nevada Division of Environmental Protection and the Bureau of Land Management.
This milestone marks a significant step in i-80 Gold‘s Phase One growth strategy. The plan aims to increase annual gold production from under 50,000 ounces to a target of 150,000 to 200,000 ounces by 2028. Richard Young, President and CEO, expressed enthusiasm about the project’s exploration potential, noting the possibility of extending the current 10-year mine life.
i-80 Gold‘s three-phase development plan projects an annual gold output of 600,000 ounces by the early 2030s. Phase One includes the expansion of the Granite Creek underground mine, the Archimedes project, and the refurbishment of the Lone Tree processing facility. The Lone Tree refurbishment engineering study is on schedule for completion in the fourth quarter of 2025. A feasibility study for Granite Creek Underground is slated for the first quarter of 2026.
The initial phase of permitting and development at Archimedes focuses on mining above the 5100-foot elevation. This phase is expected to continue through the first half of 2028. Permitting for areas below 5100 feet is underway and should be finalized in the first half of 2027.
Surface infrastructure construction at Archimedes, including a maintenance shop and offices, is complete. Utilities are in place, and the portal area is secured. Small Mine Development, L.L.C. (SMD) has been contracted to develop the mine to the 5100-foot elevation and is actively working on the project. Underground development above 5100 feet is anticipated to be finished by mid-2027.
According to a preliminary economic assessment, Archimedes has an after-tax net present value of $644 million, assuming a 5% discount rate and a gold price of $3,000 per ounce. The project anticipates an initial 10-year mine life, with an average annual gold output of approximately 100,000 ounces.
Initially, ore from Archimedes will be processed at a third-party facility. Once Lone Tree is commissioned in early 2028, processing will shift to the company’s own facility. Heap leaching will supplement operations in the early years.
Archimedes contains significant gold resources. Planned infill drilling and exploration aim to further upgrade and expand these resources, potentially lengthening the mine’s lifespan. The lower zone remains open, presenting considerable exploration opportunities.
The infill drilling program and feasibility study have been accelerated by approximately 12 months. This acceleration is expected to increase drilling costs by $10 million to $25 million. The feasibility study is targeted for completion in the first quarter of 2027.
Future work will concentrate on resource drilling, permitting below the 5100-foot elevation, and metallurgical testing to confirm recoveries with the anticipated Lone Tree process. The Archimedes feasibility study will adhere to National Instrument 43-101 and Regulation S-K 1300 standards.
The technical information in this release has been reviewed and approved by qualified persons according to NI 43-101 and S-K 1300. More details on data verification, assay procedures, and quality assurance can be found in the company’s Form 10-K filing.
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