i‑80 Gold Corp. closed a $250 million royalty financing with a wholly‑owned U.S. subsidiary of Franco‑Nevada. The deal provides a 1.5% life‑of‑mine net smelter return royalty that steps up to 3.0% on January 1 2031 and covers all of the company’s mineral properties.
The company used $165 million of the proceeds to redeem its 8% secured convertible debentures due 2027 and to repay a convertible loan and gold prepay agreement with Orion Mine Finance. The redemption of the 2027 debentures required a $73 million cash payment, including principal and accrued interest, and resulted in the issuance of 8.1 million common shares to debenture holders. The remaining $85 million was applied to advance the Mineral Point open‑pit oxide project and to support construction of the Archimedes underground project.
The Mineral Point project is an open‑pit heap‑leach operation with a preliminary economic assessment that projects a 17‑year mine life, while the Archimedes underground project has begun construction and is expected to produce in Q4 2026. The royalty financing provides long‑term capital without diluting equity, allowing the company to accelerate development toward its goal of becoming a mid‑tier gold producer in Nevada.
Richard Young, President and Chief Executive Officer, said, "Together, these transactions represent a major step forward in the Company's recapitalization, significantly strengthening the balance sheet and positioning i‑80 Gold to continue advancing its development plan towards becoming a mid‑tier gold producer in Nevada." He added, "We thank Orion, Franco‑Nevada and our debenture holders for assisting the Company in advancing its prospective portfolio of projects."
The transaction is part of a broader recapitalization effort that began in February 2026 with a financing package of up to $500 million, of which the $250 million royalty sale was a key component. By reducing debt and securing a royalty stream, i‑80 Gold improves its financial flexibility, lowers its cost of capital, and positions itself to capture production upside as the Mineral Point and Archimedes projects move closer to commercial operation.
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