i-80 Gold Corp. (TSE: IAU) (NYSE: IAUX) has released a mineral resource update for its FAD Project, confirming substantial high-grade gold, silver, lead, and zinc mineralization.
The Thursday update reinforces the company’s understanding of the deposit and highlights its significant potential, according to company representatives.
The FAD Project sits immediately south of i-80 Gold’s Ruby Hill Property along the prolific Battle Mountain-Eureka Trend in northeastern Nevada. The property spans 1,733 acres, including 75 unpatented lode claims and 110 patented claims. i-80 Gold acquired the asset in 2023 through the acquisition of Paycore Minerals Inc. for approximately US$88 million in an all-share transaction.
Historically, the FAD deposit attracted exploration attention during the mid-20th century. Hecla Mining Company (NYSE: HL) led a consortium that completed two shafts, roughly 120 borings, and about 3,000 meters of drilling between 1948 and 1963. Surface and underground drilling were supplemented by channel samples from drifts and development drilling, some of which were sampled.
i-80 Gold completed approximately 10,000 meters of drilling in 2023, adding to the previous 11,000 meters it acquired during the Paycore acquisition. The combined programs included 32 surface reverse circulation and diamond drill holes, resulting in over 5,460 assays. These programs confirmed historical data, showing two main mineralization zones. These zones include a shallow oxide zone near historic workings and a deeper sulfide zone hosted in Eldorado Dolomite.
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Drill results from 2023 show deposit strength
The updated mineral resource estimate shows 594,000 tonnes of ore in the indicated category, with gold, silver, lead, and zinc grades of 4.51 grams per tonne, 209.7 grams per tonne, 4.34 per cent, and 6.77 per cent, respectively. In the inferred category, the estimate contains 2,736,000 tonnes, grading 5.07 grams per tonne gold, 188.6 grams per tonne silver, 3.69 per cent lead, and 4.42 per cent zinc.
Several drill results from 2023 showed the deposit’s strength. For instance, hole PC23-22 returned 9.0 grams per tonne gold, 92.4 grams per tonne silver, 12.2 per cent zinc, and 1.0 per cent lead over 14.6 meters.
The FAD Property also hosts near-surface gold oxide mineralization at the Gold Hill deposit. Preliminary work suggests the company could monetize this material through heap leaching at nearby facilities.
Tyler Hill, vice president of geology, explained the company focused on high-quality data, validating historical holes with confirmable control measures. He said the resource update demonstrates the deposit’s high-grade nature, despite excluding numerous unverifiable historical drill holes. Furthermore, the deposit remains open at depth, to the east, and to the north, where wide-spaced historical holes intersected mineralization.
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Nevada scores as a premier mining jurisdiction
i-80 Gold is also concentrating on advancing its five core gold projects and refurbishing the Lone Tree central processing facility. The company views FAD as a non-core asset and is evaluating options for its potential sale to support recapitalization objectives.
Furthermore, Nevada scores as a premier mining jurisdiction thanks to its established infrastructure, favourable tax rules and streamlined permitting compared. State and federal incentives include predictable regulatory frameworks, accessible power and energy networks, supportive local governments and transportation links that help reduce project risk.
By contrast, operations in countries such as Mali and South Africa face significant geopolitical and regulatory headwinds. In Mali, for example, companies contend with unstable governance, tax disputes and the risk of asset seizure. Meanwhile in South Africa miners face labour unrest, higher power costs and changing mining codes, raising uncertainty around long‑term returns.
Against that uncertain global backdrop, miners operating in Nevada have posted recent successes. Barrick Mining Corporation (TSE: ABX) (NYSE: B) recently signalled it will concentrate more effort on its Nevada assets under its new leadership. These assets include the Nevada Gold Mines operations. Barrick also boosted its dividend, shoring up confidence in the region’s value.
Meanwhile, NevGold Corp (CVE: NAU) (OTCMKTS: NAUFF) (FRA: 5E50) is delivering exploration results at its Limousine Butte gold antimony project. The company’s latest update includes assays like 1.20 g/t gold and 0.64 per cent antimony over 54.9 m and up to ten per cent antimony on surface samples.
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