Unless otherwise stated, all amounts referred to herein are in
2021 Fourth Quarter Highlights
- Completed the asset swap (the "Asset Exchange") with
Nevada Gold Mines ("NGM") for the Company's 40% interest in South Arturo in exchange forLone Tree resulting in a one-time after-tax gain of$106.7 million resulting in$0.60 basic earnings per share - Completed the acquisition of the
Ruby Hill Mine - Closed private equity placement for gross proceeds of
$81 million - Completed the financing package with Orion and Sprott and funded
$60 million against the convertible debt - Continued pre-development of the underground resource at
Granite Creek
2021 Year to Date Highlights
- Completed
$228.9 million in financings and further$75 million to be funded imminently - Acquired the Granite Creek Property and commenced underground development
- Acquired the Lone Tree complex, that includes and autoclave, from
Nevada Gold Mines - Acquired the
Ruby Hill Mine Project from Waterton - Discovered the high-grade
South Pacific Zone atGranite Creek - Ending cash balance of
$87.6 million and an additional$30.7 million in restricted cash with the$30 million silver stream and$45 million gold pre-payment expected to be funded imminently
"Beginning on the first day of trading in April, 2021, the i-80 team was acutely focused on building a tier–one operations team to realize the Company's goal of becoming a significant gold producer in the state of Nevada", stated
Three months ended
On
Three months ended | Three months ended | ||||||||||
(in thousands of | From Continuing Operations | From Disc. Operations | Total | From Continuing Operations | From Disc. Operations | Total | |||||
Revenue | — | — | — | — | 8,545 | 8,545 | |||||
Cost of sales | — | — | — | — | (5,363) | (5,363) | |||||
Depletion, depreciation and amortization | — | — | — | — | (716) | (716) | |||||
Mine operating income | — | — | — | — | 2,466 | 2,466 | |||||
Expenses | |||||||||||
Exploration, evaluation, and pre-development | 4,537 | — | 4,537 | 686 | 360 | 1,046 | |||||
General and administrative | 3,931 | 6 | 3,937 | 463 | 46 | 509 | |||||
Restructuring cost | — | — | — | — | — | — | |||||
Property maintenance | 115 | — | 115 | (30) | — | (30) | |||||
Share-based payments | 291 | — | 291 | 166 | — | 166 | |||||
Operating income (loss) | (8,874) | (6) | (8,880) | (1,285) | 2,060 | 775 |
At both operations, no gold ounces were produced and sold as residual heap leaching continued and the 1,733 gold ounces from Lone Tree and 1,312 gold ounces from Ruby Hill contained in loaded carbon which were produced had not yet been further refined as a finished product as of
Exploration, evaluation, and pre-development total costs of
Twelve months ended
Twelve months ended | Twelve months ended | ||||||||||
(in thousands of | From Continuing Operations | From Disc. Operations | Total | From Continuing Operations | From Disc. Operations | Total | |||||
Revenue | — | 31,991 | 31,991 | — | 37,133 | 37,133 | |||||
Cost of sales | — | (17,207) | (17,207) | — | (21,709) | (21,709) | |||||
Depletion, depreciation and amortization | — | (1,691) | (1,691) | — | (4,124) | (4,124) | |||||
Mine operating income | — | 13,093 | 13,093 | — | 11,300 | 11,300 | |||||
Expenses | |||||||||||
Exploration, evaluation, and pre-development | 10,477 | 1,034 | 11,511 | 3,566 | 625 | 4,191 | |||||
General and administrative | 10,456 | 175 | 10,631 | 1,126 | 52 | 1,178 | |||||
Restructuring cost | 4,444 | — | 4,444 | — | — | — | |||||
Property maintenance | 388 | — | 388 | 314 | — | 314 | |||||
Share-based payments | 2,683 | — | 2,683 | 1,227 | — | 1,227 | |||||
Operating income (loss) | (28,448) | 11,884 | (16,564) | (6,233) | 10,623 | 4,390 |
Mine operating income of
Operating loss for the twelve months ended
Operating loss from continuing operations of
Exploration, evaluation and pre-development total expenses of
General and administrative expenses totaled
Restructuring cost of
Lone Tree is expected to become the hub of i-80's Nevada operations and the central processing facility for mineralization from the first four planned mining projects. Importantly, Lone Tree is host to infrastructure that, following successful refurbishment efforts, will position i-80 as one of only three companies in
In Q1-2022, the Company awarded the contract to complete a detailed engineering study for the restart of the autoclave to
i-80 considers the Lone Tree infrastructure to be the most strategically located processing facility in
During the quarter, five drill rigs were utilized, drilling a total of 29 holes for 9,971 meters from surface and 38 holes for 5,167 meters from underground year-to-date. Priority targets include the delineation and expansion of the newly discovered
Other expenditures during the three and twelve-month periods were primarily associated with a preliminary economic assessment of the project, rehabilitation of the underground ramps and drill bays, test mining in the Otto zone, evaluation, re-entry, and repairs to buildings and other surface infrastructure, and evaluation and maintenance of mobile equipment.
The primary goal of the 2022 program is to advance the underground deposit to production and advance permitting and feasibility work on the open pit opportunity. Underground drilling is focused on delineating sufficient resources for mine development and sustained mining operations.
McCoy-Cove
Expenditures during the fourth quarter of 2021 were for metallurgical and hydrology studies, engineering of de-watering and mining options, and reclamation activities associated with the inactive tailings storage facility. The Board of Directors of the Company approved an exploration decline and underground drilling program at the
Ruby Hill
Ruby Hill includes an open pit mine and related infrastructure (mill / heap leach) and is located immediately west of the town of Eureka proximal to
Multiple gold and polymetallic exploration targets exist on the property and i-80 will begin permitting for the construction of a decline to access the high-grade Ruby Deeps deposit and the
In the fourth quarter, 2021, three drill rigs were utilized, drilling a total of five holes for 2,997 meters. Three of the five holes were completed with the remaining two comprising pre-collars for drilling to be completed at a later date.
Fourth Quarter and Year End 2022 Financial Results Webcast
The Company will host a live conference call and webcast on
Conference Call
North American Toll-free: +1-888-204-4368
Confirmation #: 7669317
Webcast Link
Click HERE to access the webcast or visit our website at www.i80gold.com.
Conference Call Replay
A recording of the call can be accessed until
North American Toll-free Replay: +1-888-203-1112
Replay Code: 7669317
Qualified Person
The scientific and technical information contained in this press release was reviewed by Tim George, PE, Mining Operations Manager, and a Qualified Person within the meaning of National Instrument 43–101.
About
Certain statements in this release constitute "forward-looking statements" or "forward-looking information" within the meaning of applicable securities laws, including but not limited to, actual production results and costs, results of operation outcomes and timing of updated technical studies at the Company's mineral projects, timing to advance mineral projects to production and advance permitting and feasibility work on the on its mineral projects and future production, development and exploration results. Such statements and information involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the company, its projects, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. Such statements can be identified by the use of words such as "may", "would", "could", "will", "intend", "expect", "believe", "plan", "anticipate", "estimate", "scheduled", "forecast", "predict" and other similar terminology, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. These statements reflect the Company's current expectations regarding future events, performance and results and speak only as of the date of this release.
Forward-looking statements and information involve significant risks and uncertainties, should not be read as guarantees of future performance or results and will not necessarily be accurate indicators of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements or information, including, but not limited to: material adverse changes, unexpected changes in laws, rules or regulations, or their enforcement by applicable authorities; the failure of parties to contracts with the company to perform as agreed; social or labour unrest; changes in commodity prices; and the failure of exploration programs or studies to deliver anticipated results or results that would justify and support continued exploration, studies, development or operations. For a more detailed discussion of such risks and other factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements, refer to i-80's filings with Canadian securities regulators, including the most recent Annual Information Form, available on SEDAR at www.sedar.com.
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