Equinox Gold Corp (TSE: EQX) (NYSEAMERICAN: EQX) (FRA: 1LRC) has begun early construction at its South Railroad gold project in Nevada.
Announced on Monday, the company moved ahead after the U.S. Bureau of Land Management issued a positive Record of Decision for the project.
The decision completes South Railroad’s federal permitting process under the National Environmental Policy Act, clearing a major regulatory hurdle. Additionally, Equinox Gold has submitted applications for key Nevada state permits and water rights needed to develop the mine.
South Railroad will operate as an open-pit mine using heap leaching, a process that extracts gold from crushed ore. Equinox Gold expects first gold production in 2028, following previous approval from its board to begin construction. Company president Jason Simpson said South Railroad represents the first meaningful step toward adding 800,000 ounces of annual production from internal projects. He also thanked federal agencies and officials for supporting the project through the permitting process.
The company’s 2026 feasibility study estimates average annual production of 130,000 ounces during the mine’s first five years. Production should average more than 100,000 ounces annually over the initial 10-year mine life. Meanwhile, Equinox Gold estimates initial construction costs at USD$395 million. Between USD$70 million and USD$80 million of that spending is already included in the company’s updated 2026 guidance.
The project sits within a 25,000-hectare land package along Nevada’s Carlin Trend, one of the world’s major gold-producing regions. In addition, Equinox Gold sees potential to expand resources and make new discoveries across the surrounding property.
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Mining equipment will begin arriving at South Railroad by end of 2026
Furthermore, construction activity will increase through the remainder of 2026 as Equinox advances several major work programs. Workforce hiring and onboarding are advancing during the second half of the year as Equinox Gold prepares the site for operations. Additionally, detailed engineering has reached 55.2 per cent completion. The company has also awarded major contracts covering power generation, processing equipment, concrete and structural steel.
Early work started this summer on the north access road in coordination with Elko County. However, that road work occurred outside the Bureau of Land Management’s approved Plan of Operations area. Following the federal decision, crews have started earthworks and other major civil construction activities covered by the plan.
Furthermore, mining equipment will begin arriving at South Railroad near the end of 2026. Initial mining activities are scheduled to begin in spring 2027. Subsequently, construction and mine development will continue toward the company’s targeted first gold production in 2028.
Other companies are also advancing gold projects in Nevada. NevGold Corp (CVE: NAU) (OTCMKTS: NAUFF) (FRA: 5E50) is developing its gold-antimony operations at Limousine Butte, providing further exposure to exploration and development activity in the state.
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