Fortitude Gold Corp. has begun construction of a four‑mile power line that will connect its Isabella Pearl mine in Mineral County, Nevada, to the nearest NV Energy substation. The line, which is being built by NV Energy, is expected to bring the mine into the state’s grid and replace the diesel generators that have powered heap‑leach operations to date.
The new connection will provide a reliable source of electricity, allowing the mine to run its heap‑leach circuit continuously and at a lower cost. Fortitude Gold estimates that the switch to grid power will save more than $80,000 per month—over $960,000 annually—by eliminating diesel fuel expenses and reducing maintenance on generator equipment. The savings are projected to lower the mine’s all‑in sustaining cost per ounce, improving margins in a commodity environment that has been volatile for gold producers.
Fortitude Gold’s CEO, Jason Reid, noted that the permit for the line was granted after a four‑year application process that he said was delayed by the Biden administration. The approval, which came under the Trump administration, is seen as a win for the company’s strategy of operating with low capital intensity and high operating leverage. The power line also supports the company’s environmental, social, and governance goals by cutting on‑site emissions from diesel generators.
Construction is underway; the company has not yet disclosed a definitive completion date, but the project is a key component of Fortitude Gold’s plan to expand production at Isabella Pearl and to process ore from its other Nevada mines, County Line and Scarlet South. The investment aligns with the company’s debt‑free, dividend‑paying model and its focus on organic growth.
The project underscores Fortitude Gold’s broader strategy of leveraging Nevada’s growing grid infrastructure—such as the Greenlink Nevada transmission upgrade—to secure reliable power for its operations while keeping capital expenditures modest. By reducing operating costs and improving environmental performance, the company aims to strengthen its competitive position in the gold mining sector.
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