i-80 Gold Q1 Earnings Call Highlights
i-80 Gold (TSE:IAU) said its first quarter of 2026 marked a turning point for the Nevada-focused gold developer, with management highlighting a completed recapitalization, stronger production from Granite Creek and continued progress on several projects tied to its plan to become a mid-tier gold producer.
President and Chief Executive Officer Richard Young said the company completed a recapitalization during the quarter after a roughly 12-month process. He said the company has secured more than $1 billion through financing transactions, which he said provides funding certainty, pays off legacy debt and de-risks the company’s development plan.
“i-80 is better positioned today than at any point in our company's history,” Young said.
Young said the company believes it is fully funded to advance Phase I and Phase II of its development plan. Those phases include refurbishing and commissioning the centralized Lone Tree processing facility, developing three underground mines to feed Lone Tree under a hub-and-spoke strategy, and developing one of two large open-pit oxide projects. He said Phase I and Phase II are expected to generate enough free cash flow to fund Phase III, which currently includes Mineral Point.
The company said it remains on track to complete Phase I of its development plan, which is intended to increase gold production from about 50,000 ounces this year to between 150,000 and 200,000 ounces annually by 2028.
Granite Creek Production Improves as Water Issue Eases
Chief Operating Officer Paul Chawrun said operations at Granite Creek underground improved during the quarter, with total material mined rising year over year to about 31,400 tons. That included higher sulfide tons mined at a gold grade of just over 6.2 grams per ton and slightly lower oxide tons mined at a grade of about 8.9 grams per ton.
Gold production from Granite Creek more than tripled to nearly 8,900 ounces. Chawrun attributed the increase to the transition to sulfide processing under a toll milling agreement established in March 2025 and improved underground development rates. Approximately 8,800 ounces were sold during the quarter, while the company ended the period with a sulfide stockpile containing more than 4,000 ounces of recoverable gold that it expects to process in the second quarter.
Chawrun said development in the main decline and access ramps progressed according to plan during the quarter, with rates in the past two months exceeding plan. He also said the water issue at Granite Creek is “largely behind” the company, with mine water inflows being managed and unchanged from the fourth quarter. Commissioning of a second water treatment plant remains on track for June.
Granite Creek operations were affected by the failure of a main transformer, which caused nearly one week of power loss to the underground mine in January and affected development rates for about three weeks. Chawrun said temporary infrastructure was installed quickly and permanent replacement infrastructure was in place by the end of the quarter, with minimal overall impact.
Drilling at Granite Creek continued, with just over 1,900 meters of core drilling completed during the quarter. Chawrun said the feasibility study is expected to be completed late in the current quarter and will include an updated mineral resource estimate incorporating drilling from the past three years.
Archimedes Construction Advances Ahead of Schedule
At Archimedes, the company’s second planned underground mine, Chawrun said construction is advancing ahead of schedule and production is expected to begin in the fourth quarter, followed by a ramp-up through 2027.
Development reached approximately 660 meters, or 2,165 feet, during the first quarter, representing more than 20 feet per day. Chawrun said the pace was supported by favorable ground conditions and was ahead of the rate outlined in the preliminary economic assessment.
The company completed more than 7,500 meters across 35 holes of infill drilling at Upper Archimedes during the quarter. Chawrun said assay results released in April returned strong, high-grade intercepts and increased confidence in the scale, continuity and quality of mineralization. He also said an emerging oxide opportunity at Upper Archimedes could provide “meaningful, low-cost, near-term ounces,” with metallurgical test work and geological modeling underway.
An infill drilling program for Lower Archimedes has begun and is expected to ramp up with additional rigs during the quarter. The Archimedes underground feasibility study remains on track for completion in the first quarter of 2027, though Chawrun said that timeline could be affected by potential expansion of the current drill program.
Lone Tree Refurbishment Moves Forward
Chawrun said the Lone Tree plant refurbishment is progressing following a positive construction decision in February. The company expects the first gold pour by the end of 2027, with costs tracking the December 2025 capital estimate of $430 million, including capital spares and a 12% contingency.
Second-quarter priorities at Lone Tree include mobilizing Hatch’s construction team, preconstruction readiness, demolition and early works, while detailed engineering and procurement continue. Project commitments totaled about $31 million at the end of the quarter. The company expects commitments to reach 50% by midyear and nearly 100% by the fall, when construction is expected to begin.
Chawrun described Lone Tree’s autoclave and carbon-in-leach processing facility as central to the company’s hub-and-spoke strategy.
Phase II and Phase III Projects Advance
The company said Cove, its third planned underground mine, is in the final stage of a feasibility study expected to be completed in the second quarter. Work is underway to revise the mine plan, optimize sequencing and cut-off grades with updated gold price assumptions, and evaluate ways to optimize capital costs and engineering designs tied to dewatering.
At Granite Creek Open Pit, i-80 is conducting technical work and trade-off analyses to optimize project economics and move the project toward pre-feasibility. Baseline field studies are planned to begin in 2027 to support the National Environmental Policy Act process and preparation for an Environmental Impact Statement.
Mineral Point, currently in Phase III, remains the largest project in the portfolio. Chawrun said its current mineral resource estimate includes 3.3 million ounces of indicated gold, 2.1 million ounces of inferred gold, 104 million ounces of indicated silver and 91 million ounces of inferred silver. The company started a substantial drilling campaign during the quarter, targeting about 131,000 meters to support resource conversion and a pre-feasibility study planned for 2027.
Four drill rigs are currently on site at Mineral Point, with three additional rigs expected to start this month. Chawrun said $50 million from the Franco-Nevada royalty financing completed in the first quarter has been allocated this year to resource expansion, infill drilling, technical work and early-stage permitting at Mineral Point.
Revenue and Gross Profit Rise, Net Loss Widens
Chief Financial Officer Ryan Snow said the company ended the quarter with about $514 million in cash, reflecting the recapitalization. Financing transactions included a $250 million net smelter return royalty with Franco-Nevada, a gold prepayment facility with National Bank and Macquarie Bank for up to $250 million, and an upsized $287.5 million offering of 3.75% unsecured convertible senior notes due 2031.
Snow said proceeds from the Franco-Nevada royalty were used to redeem legacy debt obligations, including convertible debentures, the Orion gold prepay and the Orion convertible, totaling approximately $167 million.
Companywide gold production increased to about 10,800 ounces, while gold sales rose to about 10,600 ounces, compared with 5,200 ounces produced and 5,000 ounces sold in the prior-year period. Revenue increased to just over $52 million from $14 million a year earlier, driven by more than double the gold ounces sold and a realized gold price of nearly $5,000 per ounce, Snow said.
Gross profit increased to $16.1 million, more than four times the prior-year period and a company record. Net loss widened to $76 million, or $0.09 per share, from a net loss of $41 million, or $0.10 per share, in the prior-year period. Snow said the increase was mainly due to non-cash accounting impacts tied to stronger metals prices, fair value revaluations on derivative instruments, financing costs related to the recapitalization and higher expenses as the company advances its development plan.
Adjusted loss increased to just under $29 million from $24 million a year earlier. Snow said the company remains on track to achieve its 2026 guidance.
No analyst questions were asked during the call. In closing remarks, Young said the company is executing on a development plan introduced 18 months ago and is pursuing what he described as the largest drill program in the company’s history.
About i-80 Gold (TSE:IAU)
i-80 Gold Corp. is a Nevada-focused, mining company with a goal of achieving mid-tier gold producer status through the development of four new open pit and underground mining operations that will ultimately process ore at the Company's central Lone Tree complex that includes an Autoclave. The Company's primary goal is to build a self-sustaining, mid-tier, mining company with a peer-best growth platform by employing a methodical, capital disciplined and staged approach to minimize risk while also assessing and monitoring for accretive growth opportunities.
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