en.Wedoany.com Reported - After completing a balance sheet restructuring, i-80 Gold Corp has shifted its operational focus to construction, drilling, and permitting activities in Nevada to advance its growth plans. Central to this strategic shift is the Lone Tree plant, which has transitioned from a third-party toll milling operation to an owner-operator model, aiming to increase recovery rates for refractory ore from a previous pay factor of 55% to 60% to approximately 92%. This transformation was enabled by a capital restructuring plan completed in the first quarter of 2026, which secured over $1 billion in raised and available capital ahead of the mid-2026 target.

Regarding Lone Tree plant construction, the company's board approved a positive construction decision for the refurbishment project in the first quarter of 2026 and issued a full notice to proceed to Hatch Engineering. Based on the company's November 2025 control estimate, the $430 million capital estimate is supported by an AACE Class 3 engineering study covering approximately 14,000 cost items. As of March 31, 2026, total construction commitments stood at $30.5 million, with approximately 50% of project capital targeted for commitment by mid-2026. The project is on schedule, targeting first gold pour by December 2027 and accelerated production in the first quarter of 2028. Chief Operating Officer Paul Chawrun stated that the execution plan is ahead of previously indicated timelines, and the company continues to consider a first gold pour by the end of December 2027 while seeking opportunities to accelerate.

With the completion of the capital restructuring plan, i-80 Gold has eliminated the funding uncertainty that previously affected its risk profile. Over the past 12 months, the company has consolidated a series of financings: approximately $184 million in equity financing completed in May 2025, with potential for up to an additional $130 million through warrant exercises; a $250 million net smelter return royalty completed with Franco-Nevada on March 16, 2026; $287.5 million in 3.75% convertible senior notes due 2031 issued on March 23, 2026; and a $250 million gold prepayment arrangement with National Bank of Canada and Macquarie Bank Limited on March 16, 2026. These financing combinations repaid approximately $165 million in legacy debt. As of March 31, 2026, the company held a cash balance of approximately $514 million, and management believes that Phases 1 and 2 of its three-phase development plan are fully funded by secured and committed capital.

The company has deployed its largest-ever 12-month drilling program, aimed at upgrading inferred resources for upcoming feasibility studies and testing new resources across its asset portfolio. According to the company's 2026 guidance, the budget for resource expansion and infill drilling is set at $10 million for Granite Creek underground, $25 million to $30 million for Archimedes underground, $45 million to $50 million for Mineral Point open pit, with an additional $20 million to $30 million allocated for permitting and technical work. In the first quarter alone, the company completed approximately 7,000 meters of drilling. The program includes infill drilling at Granite Creek, Archimedes, and Cove to upgrade inferred resources to measured and indicated categories, as well as exploration drilling at Mineral Point. At Mineral Point, two surface core rigs completed 750 meters in the first quarter to support hydrogeological, metallurgical, and mine planning work ahead of a pre-feasibility study targeted for 2027.

Regarding open pit projects, the Mineral Point and Granite Creek open pits represent the long-term growth component of the company's three-phase development strategy, forming the path to achieving an annual gold production target of 600,000 ounces by the early 2030s. According to the project's preliminary economic assessment filed on March 31, 2025, Mineral Point had 3.4 million ounces of indicated gold resources (grade 0.48 g/t) and 104.3 million ounces of indicated silver resources (grade 15 g/t), as well as 2.1 million ounces of inferred gold and 91.5 million ounces of inferred silver as of December 31, 2024. The assessment reported an after-tax net present value of $614 million and an internal rate of return of 12%, based on a gold price assumption of $2,175 per ounce; at spot prices of $3,000 per ounce for gold and $35 per ounce for silver, the net present value rises to $2.3 billion and the internal rate of return to 29%. Of the $250 million Franco-Nevada royalty, $50 million is specifically allocated for Mineral Point infill drilling, engineering, and early permitting work in 2026.

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