Dual-listed i-80 Gold has potentially secured a partner for its Ruby Hill property, in Eureka, Nevada.
The company entered into a nonbinding term sheet in connection with a potential joint venture (JV) with an arm’s length third-party, pursuant to which the partner will acquire a minority interest in Ruby Hill.
In connection with the term sheet, i-80 has granted the potential partner exclusivity for a period of 120 days, subject to extension for an additional 60-day period, in order to complete metallurgical due diligence and negotiate definitive documents. During the exclusivity period, the company will complete a drill campaign, funded by the potential partner, to accelerate knowledge of the metallurgical properties of the multiple polymetallic base metal deposits at the Ruby Hill property.
"Given the company's extensive growth plan, which includes the development of multiple mining operations, securing an accretive partner to advance base metals in addition to gold mineralisation has been a priority in recent months,” said executive VP Matthew Gollat.
"Upon closing, and the signing of definitive documentation, we expect to be in a position to immediately pursue underground development at Ruby Hill and advance to full feasibility on an expedited basis with a plan that will include the conversion of the Ruby Hill processing facility to flotation for base metal production and accelerate our ultimate goal of building a midtier Nevada-focused producer."
Ruby Hill represents one of i-80's core assets, is host to both gold and polymetallic base metal deposits, most of which remain completely open for expansion, and is expected to be the company's biggest mining operation on an all‑metal basis.