I-80 Gold’s Nevada growth under labour and cost pressure: key notes for mine planners
Reviewed by Joe Ashwell

First reported on MINING.com
30 Second Briefing
I-80 Gold expects 2026 output at 40,000–50,000 oz as labour shortages at Granite Creek delayed access to high-grade stopes and contractor headcount sat around 100 versus a 120 target, while oxide ore from Archimedes is being stacked on the Ruby Hill leach pad, pushing some production into early 2027. The Lone Tree refractory processing restart, budgeted at about $430 million with 44% of capital committed and 20% of contingency already drawn, still targets first gold in Q4 2027 despite labour costs running 5%–10% above plan. Granite Creek’s September feasibility lifted life-of-mine all-in sustaining costs by 42% to $2,273/oz, and deeper dewatering wells plus expanded treatment capacity are now critical to the ramp-up schedule.
Technical Brief
- Granite Creek’s September feasibility established initial reserves and a larger resource base, but with materially higher life-of-mine AISC.
- Deeper dewatering wells and expanded water-treatment capacity at Granite Creek are key to sustaining the planned ramp-up profile.
Our Take
The labour-driven cost pressure at Lone Tree and Granite Creek comes on top of an already heavy financing stack: a recent related piece notes i-80 Gold has a US$500 million package anchored by a life-of-mine NSR to Franco-Nevada and a gold prepay facility, which limits room to absorb further operating-cost creep without squeezing project margins.
In our database of Nevada gold items, the Granite Creek underground feasibility study that tripled measured and indicated resources is one of the more aggressive step-changes in grade-tonnage, so the 42% increase in projected AISC here likely forces a rethink of cut-off grades and sequencing assumptions rather than just contingency top-ups.
The earlier termination of Vox Royalty’s offtake over Granite Creek and Ruby Hill, paid in i-80 Gold shares, now looks strategically important: it gives the company more flexibility to restructure future gold streams or prepay deals if Nevada labour constraints continue to erode free cash flow from these assets.
Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.
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