Mineral Point Open Pit (Ruby Hill) PEA: $614M NPV, 12% IRR
i-80 Gold Corp.'s Mineral Point Open Pit (Ruby Hill) in Eureka County, Nevada, USA has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of $614M and an after-tax IRR of 12%. The mine plan runs 17 years at about 282 koz AuEq per year.
i-80 Gold Corp.'s Mineral Point Open Pit (Ruby Hill) has reported Preliminary Economic Assessment (PEA) results for the gold project in Eureka County, Nevada, USA. The study headlines an after-tax net present value of $614M at a 5% discount rate. It reflects i-80 Gold Corp.'s (IAU.TO) latest disclosed economics for the asset.
Economics. The after-tax NPV is $614M using a 5% discount rate. After-tax IRR is 12%. All-in sustaining costs are pegged at 1400 USD/oz. Economics are based on Base case $2,175/oz Au and $27.25/oz Ag; alternative case $2,900/oz Au and $32.75/oz Ag (per p.25); p.7 cites $3,000/oz Au and $35.00/oz Ag.
Production and mine plan. The project envisions an open-pit operation. Life of mine is 17 years. Average annual production is approximately 282 koz AuEq.
Resources and ownership. Royalties and streams: $50M of committed Franco-Nevada royalty to be allocated to advance project.
These figures are extracted from i-80 Gold Corp.'s technical disclosures and reflect the most recent PEA on file. Compare this project against other developers and producers in our project economics database, and always verify the numbers against the original technical report before making any investment decision.
Reserves & Resources
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Indicated | — | 0.48 g/t Au, 15.0 g/t Ag | 3.4Moz Au, 104.3Moz Ag |
| Inferred | — | 0.34 g/t Au, 14.6 g/t Ag | 2.1Moz Au, 91.5Moz Ag |
Our Analysis
- IRR after-tax
- 12%
higher than 2% of 119 projects we track
- NPV after-tax
- $614M
higher than 57% of 169 projects we track
- Mine life
- 17yrs
- Discount rate
- 5%
- Study price assumption
- Base case $2,175/oz Au and $27.25/oz Ag; alternative case $2,900/oz Au and $32.75/oz Ag (per p.25); p.7 cites $3,000/oz Au and $35.00/oz Ag
- Spot gold today
- $4,317.30/oz
A 12% after-tax IRR is the number that decides this project's future, and it sits below the roughly 15% that project finance lenders typically require. That gap is not a rounding error: it is the difference between a mine that can be funded on its own merits and one that needs something external to change. The peer context is unforgiving, with the return ranking above only 2% of the 119 gold projects tracked. The after-tax NPV of $614M ranks above 57% of 169 gold projects, so there is real value in the ground, but value that the current study cannot convert into a financeable return.
Part of the problem is how much confidence these numbers deserve. This is a PEA, scoping-level work that may lean on inferred resources, and its capital estimate carries a plus or minus 50% band. A 12% IRR inside a 50% capex band is not a stable figure; it is a placeholder that could move materially in either direction once a feasibility study tightens the design. The 5% discount rate is a reporting convention, not an investment hurdle, and should not be read as a signal either way.
What would have to change? Higher prices, a lower build cost, or a partner to share the burden. The study's base case of $2,175/oz gold sits well below today's live spot of $4,317.30/oz, and the alternative cases of $2,900/oz and $3,000/oz remain below spot, so the price deck is not the constraint: even generous pricing leaves the return short of the financing bar. The company is not a single-asset junior, carrying a US$1.57B market cap and this as one of 9 projects tracked, so it can absorb a slow path. The question is whether a feasibility study closes the gap to 15%, or whether this stays an option rather than a mine.
Our take, benchmarked against the project economics in the Mining Stocks database. Figures are estimates drawn from company technical reports — not investment advice; always verify against the source filing.