i-80 Gold Reports First Quarter 2025 Operating and Financial Results
i-80 Gold Reports First Quarter 2025 Operating and
Financial Results
RENO, Nev.
,
May 5, 2025
/CNW/ -
i-80 GOLD CORP.
(TSX: IAU) (NYSE American: IAUX)
("i-80 Gold", or the
"Company")
reports its operating and financial results for the three months ended
March 31, 2025
.
Unless otherwise stated, all amounts referred to herein are in U.S. dollars (C$ represents Canadian dollars).
"At Granite Creek Underground, i-80 Gold's first gold project to ramp up, we are making good progress in our dewatering
efforts, addressing groundwater inflows by enhancing our pumping capacity and upgrading the water treatment infrastructure,"
stated
Richard Young
, President and Chief Executive Officer. "These improvements should allow us to ramp-up to steady state
of gold output in the second half of 2025."
Mr. Young added, "We continue to make progress on our recapitalization strategy by actively pursing various financing options
in order to secure capital and serve as a catalyst to unlock the potential of our gold projects. While we recognize that i-80 Gold
remains in a period of balance sheet constraints, the technical foundation of our portfolio is stronger than ever. These are
largely low-risk, brownfield projects with infrastructure in place, and we are increasing technical experience to execute on the
development plan. With preliminary economic assessments released for all five gold assets, which carry a combined after-tax
net present value of approximately
$1.6 billion
at a 5% discount rate and
$2,175
per ounce gold price, we've mapped out a
credible and staged development plan."
OPERATING AND FINANCIAL HIGHLIGHTS
First Quarter 2025
Revenue totaled
$14.0 million
compared to
$8.4 million
in the prior year period primarily driven by higher ounces sold at
Granite Creek and a higher average realized gold price
1
.
Gold sales
1
totaled 4,952 ounces at an average realized gold price
2
of
$2,825
per ounce, compared to gold sales
1
of
4,061 ounces at an average realized gold price
2
of
$2,063
per ounce in the prior year period.
Loss of
$0.10
per share for the quarter compared to a
$0.06
loss per share in the prior year primarily due to revaluation
losses from the gold prepay and silver purchase agreement.
Cash used in operating activities was
$22.7 million
, compared to
$25.2 million
in the prior year period.
Cash balance of
$13.5 million
as at
March 31, 2025
, a decrease of
$5.5 million
during the quarter due to cash used in
operating activities partially offset by cash provided by financing activities from a private placement and the Company's at-
the-market equity program ("ATM Program").
Filed preliminary economic assessments for all five gold projects as scheduled in support of the Company's new
development plan.
Completed modifications to the pumping system at Granite Creek Underground leading to improving water levels and
reduced mine interruptions.
Received the Decision Record from the U.S. Bureau of Land Management ("BLM") for the commencement of the
underground portals at Archimedes Underground.
Completed approximately 15,000 feet of underground delineation drilling at the Cove Project to enhance the certainty of
the mineral resource estimate and support engineering analyses for an anticipated feasibility study.
Executed several financing initiatives to enhance financial flexibility in support of the Company's broader recapitalization
plan, including a recently finalized working capital facility with Auramet International, Inc. for
$12 million
, maturing in 12
months.
Three months ended
March 31,
2025
2024
Revenue
$000s
14,048
8,413
Net loss
$000s
(41,205)
(19,700)
Loss per share
$/share
(0.10)
(0.06)
Cash flow used in operating activities
$000s
(22,701)
(25,223)
Cash and cash equivalents
$000s
13,475
13,090
Exploration feet drilled
ft
14,762
7,626
Gold ounces sold
1
oz
4,952
4,061
Average realized gold price
2
$/oz
2,825
2,063
1.
Gold ounces sold include attributable gold from mineralized material sales at a payable factor of 59% in 2025 (2024 - 58%).
2.
This is a Non-GAAP Measure; please see "Non-GAAP Measures" section.
RECAPITALIZATION UPDATE
Management is advancing its recapitalization plan to support the Company's development plan on several fronts, and is in active
discussions with several parties regarding a number of financing options including a senior lending facility, royalty sales, non-
core asset sales such as its FAD property as well as terming out the 2025 quarterly gold prepays
On
April 29, 2025
, the Company finalized a master purchase and sale agreement with Auramet International, Inc., for the
prepayment of sulfide material, totaling
$12.0 million
and
$11.6 million
in net proceeds.
Management has been engaged in discussions with existing and potential new partners, and aims to complete the second
phase of its refinancing plan by
June 30, 2026
, which coincides with the date of maturity of the Orion Convertible Loan.
OPERATIONAL AND FINANCIAL OVERVIEW
Three months ended
March 31,
(in thousands of USD)
2025
2024
Revenue
14,048
8,413
Cost of sales
(10,766)
(8,332)
Depletion, depreciation and amortization
(376)
(377)
Gross profit (loss)
2,906
(296)
Expenses
Exploration, evaluation and pre-development
9,545
7,274
General and administrative
4,990
4,225
Property maintenance
4,147
4,322
Loss from operations
(15,776)
(16,117)
Other income and expenses, net
(17,225)
4,839
Interest expense
(8,204)
(8,036)
Loss before income taxes
(41,205)
(19,314)
Deferred tax expense
—
(386)
Net loss
(41,205)
(19,700)
1
Gold ounces sold include attributable gold from mineralized material sales at a payable factor of 58%
Granite Creek Underground
The Granite Creek property includes the Granite Creek Underground Project, a fully permitted, constructed and operating mine
and the Granite Creek open pit oxide deposit adjacent to the underground project, currently in the permitting stage. The Granite
Creek Underground Project is the first company asset to be redeveloped and is currently ramping up towards steady-state of
gold output.
Granite Creek
Three months ended
March 31,
Operational Statistics
2025
2024
Oxide mineralized material mined
tonnes
15,876
9,464
Sulfide mineralized material mined
tonnes
14,643
3,238
Total oxide and sulfide mineralized material mined
tonnes
30,519
12,702
Oxide mineralized material mined grade
g/t
11.89
13.52
Sulfide mineralized material mined grade
g/t
8.31
8.40
Low-grade mineralized material mined
1
tonnes
22,845
11,715
Low-grade mineralized material grade
1
g/t
2.78
3.56
Waste mined
tonnes
27,462
32,953
Total material mined
tonnes
80,826
57,370
Processed mineralized material
2
tonnes
33,838
—
Gold ounces sold
3
oz
3,106
1,575
Underground mine development (pre-development)
ft
504
749
Financial Statistics
2025
2024
Mining cost (total mineralized material and waste)
$/t
169
140
Processing cost (processed mineralized material)
$/t
29
N/A
Site general and administrative ("G&A") (total mineralized material mined
4
)
$/t
31
52
Royalties
$000s
505
1,234
Capital expenditure
5
$000s
378
461
Pre-development, evaluation and exploration expenses
$000s
3,770
4,480
1
Low-grade mineralized material extracted as part of the mining process that is below cut-off grade but incrementally economic.
2
Processed mineralized material consists of toll treated material and material placed under leach.
3
Gold ounces sold include attributable gold from mineralized material sales at a payable factor of 59% in 2025 (2024 - 58%).
4
Total mineralized material mined consists of sulfide, oxide, and low-grade mineralized material.
5
Capital expenditure based on accrual basis.
Mining rates during the first quarter, were higher than the prior year comparative period due to improved productivity and the
pace of development. In response to the increased water ingress, the Company improved the pumping system availability and
capacity, as well as, modifications to reduce mine interruption. Water levels are dropping throughout the mining area and water
ingress rates are anticipated to continue to decrease in the near term. Gold output is expected to ramp up to steady-state
during the second half of 2025. Additional dewatering infrastructure upgrades will be completed in 2025. In early 2025 a
predictive groundwater model was completed and the Company is utilizing this study to evaluate future dewatering needs.
The Company continues to encounter elevated levels of oxide mineralized material. A substantial portion of this lower-grade
mineralized material has been deemed suitable for processing via heap leach at the Company's Lone Tree heap leach facility.
During the quarter, 916 ounces were processed and sold from the Lone Tree heap leach facility. As at
March 31, 2025
, sulfide
mineralized material of approximately 26,613 tonnes were on the stockpile to be processed in the remainder of 2025. Under
the new toll milling agreement, the material is expected to be processed within 120 days of delivery to the process facilities.
Capital expenditures for the three months were for sustaining capital. Pre-development, evaluation, and exploration expenses
were primarily for underground development.
An infill drilling program is planned to be completed in 2025 for inclusion in a feasibility study. Granite Creek open pit expansion
baseline field studies associated with Federal National Environmental Policy Act ("NEPA") permitting activities were initiated
during the first quarter of 2025. The permitting process is anticipated to take approximately three years.
The development of an exploration drift at Granite Creek Underground began in the fourth quarter of 2024 and is expected to
be completed by the end of the second quarter of 2025. This drift will provide access for infill drilling from underground in the
South Pacific Zone, which will begin immediately upon completion of the drift.
Ruby Hill (Archimedes Underground Project and Mineral Point Open Pit Project)
Ruby Hill includes the Archimedes Underground Project, the Mineral Point open pit heap leach project, as well as several base
metal deposits. The Archimedes Underground Project is expected to be the Company's second underground mine. Mineral
Point is a large oxide gold and silver deposit with the potential to become the Company's largest gold producing asset.
During the first quarter of 2025, the Company finalized a preliminary economic assessment on both the Archimedes
Underground Project and Mineral Point open pit project.
Permitting for Archimedes underground continued in the first quarter of 2025. During the quarter, the Company received the
Decision Record from the BLM for the commencement of the underground portals. Associated state permits are still in process
and responses are expected to be received in the second quarter of 2025.
The timeframe to first production is approximately 14 months in duration from the commencement of portal blasting which will
commence once the state permit is approved. In the meantime, the Company is leaching the historic leach pads, which
provides minor amounts of gold extraction. Construction of the surface facilities and associated infrastructure commenced in the
fourth quarter of 2024 and will carry into the first half of 2025. Underground construction activities are expected to begin in the
third quarter of 2025.
The Mineral Point drill program is expected to begin in the third quarter of 2025 to support geotechnical, metallurgical and
hydrogeology studies for baseline data to advance the permitting and technical reports for Mineral Point.
Ruby Hill
Three months ended
March 31,
Operational Statistics
2025
2024
Gold ounces sold
oz
452
444
Exploration drilling
ft
—
4,032
Financial Statistics
2025
2024
Processing cost (processed oz)
$/oz
1,652
1,166
Site G&A (processed oz)
$/oz
1,210
1,093
Royalties
$000s
37
27
Capital expenditure
1
$000s
192
49
Pre-development, evaluation and exploration expenses
$000s
3,191
416
1
Capital expenditure based on accrual basis.
In addition to permitting activities, the Company continued to recover ounces from the heap leach pads at Ruby Hill.
Pre-development expenditures this quarter at Ruby Hill were related to preparatory work related to portal development and
other surface work.
Cove Project
The permitting process for Cove remains on track with approvals anticipated by the end of 2027. The draft plan of operations
has been submitted to the BLM and the baseline permitting work is largely in the process of being finalized. Management is
targeting the initiation of the Environmental Impact Statement process in the second half of 2025 pending some additional
evaluation and possible discussion with the regulatory agencies due to the significant disturbance footprint and potential impact
on water and air quality. The permitting process for Cove remains on track with approvals anticipated by the end of 2027. The
draft plan of operations has been submitted to the BLM and the baseline permitting work is largely in the process of being
finalized. Management is targeting the initiation of the Environmental Impact Statement process in the second half of 2025
pending some additional evaluation and possible discussion with the regulatory agencies due to the significant disturbance
footprint and potential impact on water and air quality.
Cove
Three months ended
March 31,
Operational Statistics
2025
2024
Exploration drilling
ft
14,762
3,594
Financial Statistics
2025
2024
Pre-development, evaluation and exploration expenses
$000s
2,547
2,272
In addition to the permitting process, an infill drill program was completed during the first quarter of 2025 to increase
confidence in the mineral resource and collect data for engineering work to complete a feasibility study expected in 2025.
Underground delineation drilling continued during the first quarter on the Helen and Gap deposits with two core rigs, completing
approximately 15,000 feet of core drilled bringing total drilling over the course of the infill campaign to approximately 145,000
feet. The 2023 through 2025 drill program results will be included in a planned updated feasibility study.
Lone Tree
The focus at Lone Tree is a feasibility study to evaluate the refurbishment of the autoclave facility with the intention of
processing sulfide ore from the three underground mines (Granite Creek, Archimedes and Cove) in support of the Company's
regional hub-and-spoke mining and processing strategy. Management continues to review the value engineering studies in
preparation for the feasibility study which is expected to be completed in the fourth quarter of 2025.
The continued leaching of the historic leach pad at Lone Tree is producing a reasonable amount of gold. The Company plans to
continue to recover ounces from the Lone Tree leach pads as long as it is economical to do so.
Lone Tree
Three months ended
March 31,
Operational Statistics
2025
2024
Gold ounces sold
oz
1,394
2,042
Financial Statistics
2025
2024
Processing cost (processed oz)
$/oz
551
573
Site G&A (processed oz)
$/oz
154
436
Capital expenditure
1
$000s
63
415
1
Capital expenditure based on accrual basis.
Capital expenditures for the three months were related to general infrastructure in sustaining the operations and activities at
Lone Tree. Spending in 2024 was related to the technical work on the refurbishment of the autoclave processing plant.
FINANCIAL STATEMENTS
This press release should be read in conjunction with i-80 Gold's Quarterly Report on Form 10-Q, including the
unaudited
condensed consolidated interim financial statements
and associated Management's Discussion and Analysis of Operations
and Financial Condition for the three months ended
March 31, 2025
included therein, which is available on the Company's
website at
www.i80gold.com
, on EDGAR at
www.sec.gov
, and on SEDAR+ at
www.sedarplus.ca
.
CONFERENCE CALL AND WEBCAST
Management will hold a conference call and audio webcast to discuss the first quarter highlights followed by a question-and-
answer session from participants. The details are as follows:
Date:
May 5, 2025
Time:
10:00 a.m. ET
Webcast:
app.webinar.net/1ogR9ExXPZK
Telephone:
1-416-945-7677
Toll-free (North America):
1-888-699-1199
QUALIFIED PERSONS
Tyler Hill
, CPG-12146, VP Geology, and Tim George, PE, VP Operations, at i-80 Gold have reviewed this press release and
are each a "Qualified Person" within the meaning of National Instrument 43-101 —
Standards of Disclosure for Mineral
Projects
and S-K 1300 and Subpart 1300 of Regulation S-K under the U.S. Securities Act of 1933, as amended.
ABOUT i-80 GOLD CORP.
i-80 Gold Corp. is a
Nevada
-focused mining company committed to building a mid-tier gold producer through a new
development plan to advance its high-quality asset portfolio. The Company is the fourth largest gold mineral resource holder in
the state with a pipeline of high-grade development and production-stage projects strategically located in
Nevada's
most prolific
gold-producing trends. Leveraging its fully permitted central processing facility following an anticipated refurbishment, i-80 Gold
is executing a hub-and-spoke regional mining and processing strategy to maximize efficiency and growth. i-80 Gold's shares
are listed on the Toronto Stock Exchange (TSX: IAU) and the NYSE American (NYSE: IAUX). For more information, visit
www.i80gold.com
.
FORWARD LOOKING INFORMATION
Certain information set forth in this press release including but not limited to management's assessment of the Company's
future plans and operations, the perceived merit of projects or deposits, and the impact and anticipated timing of the
Company's development plan and recapitalization plan, production guidance and outlook, the anticipated growth expenditures,
the anticipated timing of permitting, production, project development or technical studies, Granite Creek's planned ramp-up to a
steady state of gold output during the second half of 2025, and the brownfield projects being largely low risk, constitutes
forward looking statements or forward-looking information within the meaning of applicable securities laws. All statements other
than statements of historical fact are forward-looking statements. Often, but not always, forward-looking statements can be
identified by the use of words such as "plans", "expects", "is expected", "budget", "scheduled", "estimates", "continues",
"forecasts", "projects", "predicts", "intends", "anticipates" or "believes", or variations of, or the negatives of, such words and
phrases, or state that certain actions, events or results "may", "could", "would", "should", "might" or "will" be taken, occur or be
achieved. Readers are cautioned that the assumptions used in the preparation of information, although considered reasonable
at the time of preparation, may prove to be inaccurate and, as such, reliance should not be placed on forward looking
statements. The Company's actual results, performance or achievement could differ materially from those expressed in, or
implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by
the forward-looking statements will transpire or occur, or if any of them do so, what benefits, if any, that the Company will
derive there from. By their nature, forward looking statements are subject to numerous risks and uncertainties, some of which
are beyond the Company's control, including general economic and industry conditions, volatility of commodity prices, title risks
and uncertainties, ability to access sufficient capital from internal and external sources, the Company may be required to adopt
one or more alternatives, such as selling assets, restructuring debt or obtaining additional equity capital on terms that may be
onerous or highly dilutive. The Company's ability to refinance its indebtedness will depend on the capital markets and its
financial condition at such time, currency fluctuations, construction and operational risks, licensing and permit requirements,
environmental risks, competition from other industry participants, the lack of availability of qualified personnel or management,
imprecision of mineral resource, or production estimates and stock market volatility. Please see "Risks Factors" in the Form
10-K for the fiscal year ended
December 31, 2024
for more information regarding risks pertaining to the Company, which is
available on EDGAR at
www.sec.gov/edgar
and SEDAR+ at
www.sedarplus.ca
.
Readers are encouraged to carefully review
these risk factors as well as the Company's other filings with the U.S. Securities and Exchange Commission and the Canadian
Securities Administrators. All forward-looking statements contained in this press release speak only as of the date of this press
release or as of the dates specified in such statements. The Company disclaims any intention or obligation to update or revise
any forward-looking statements, whether as a result of new information, future events or otherwise except as required by
applicable law.
Additional information relating to i-80 Gold can be found on i-80 Gold's website at
www.i80gold.com
, SEDAR+ at
www.sedarplus.ca
, and on EDGAR at
www.sec.gov/edgar
.
NON-GAAP FINANCIAL PERFORMANCE MEASURES
The Company has included certain terms or performance measures commonly used in the mining industry that are not defined
under US GAAP in this document. This includes average realized price per ounce. Non-GAAP financial performance measures
do not have any standardized meaning prescribed under US GAAP, and therefore, they may not be comparable to similar
measures employed by other companies. The data presented is intended to provide additional information and should not be
considered in isolation or as a substitute for measures prepared in accordance with US GAAP and should be read in
conjunction with the Company's Financial Statements. For a more detailed breakdown on how this measure was calculated,
please see the definition and table below.
Definitions
"Average realized gold price" per ounce of gold sold is a non-GAAP measure and does not constitute a measure recognized by
US GAAP Accounting Standards and does not have a standardized meaning defined by US GAAP Accounting Standards. It
may not be comparable to information in other gold producers' reports and filings.
Average realized gold price per ounce of gold sold
Three months ended
March 31,
(in thousands of U.S. dollars, unless otherwise noted)
2025
2024
Consolidated
Revenue
14,048
8,413
Silver revenue
(61)
(37)
Gold revenue
13,987
8,376
Gold ounces sold
1
4,952
4,061
Average realized gold price ($/oz)
2,825
2,063
Lone Tree
Revenue
3,963
4,302
Silver revenue
(14)
(19)
Gold revenue
3,949
4,283
Gold ounces sold
1,394
2,042
Average realized gold price ($/oz)
2,833
2,097
Ruby Hill
Revenue
1,390
913
Silver revenue
(47)
(18)
Gold revenue
1,343
895
Gold ounces sold
452
444
Average realized gold price ($/oz)
2,971
2,016
Granite Creek
Revenue
8,695
3,198
Gold revenue
8,695
3,198
Gold ounces sold
1
3,106
1,575
Average realized gold price ($/oz)
2,799
2,030
1.
Gold ounces sold include attributable gold from mineralized material sales at a payable factor of 59% in 2025 (2024 - 58%).
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For further information:
For further information, please contact: Leily Omoumi - VP Corporate Development and Strategy,
1.866.525.6450, [email protected], www.i80gold.com
CO: i-80 Gold Corp
CNW 06:00e 05-MAY-25