Franco-Nevada Funds $250M i-80 Gold Royalty Covering Six Nevada Projects
Franco-Nevada will acquire a $250 million net smelter return royalty from i-80 Gold covering six Nevada projects, with a rate of 1.5% until 2031 and 3.0% thereafter. The financing supports i-80 Gold’s multi-phase development plan to scale production from 150–200 koz in Phase 1 to over 600 koz by 2032.
1. Transaction Details
Franco-Nevada’s wholly owned U.S. subsidiary will acquire a $250 million net smelter return royalty from i-80 Gold, paying $225 million at closing and $25 million upon completion of 2026 Mineral Point spending. The royalty rate is set at 1.5% until December 31, 2030, increasing to 3.0% on all minerals produced from January 1, 2031.
2. Project Coverage and Resources
The royalty applies to six Nevada projects spanning more than 256 km², including operating Granite Creek Underground, development-stage Archimedes Underground, and study-stage Mineral Point Heap Leach, Granite Creek Open Pit, Cove Underground and Lone Tree open pit. Combined resources total 7.8 million ounces AuEq in measured and indicated categories and 8.6 million ounces AuEq inferred.
3. Development Timeline and Production Growth
i-80 Gold plans a three-phase ramp-up: Phase 1 will produce 150–200 koz annually by 2028–2029 via Granite Creek and Archimedes, Phase 2 will add Cove and Granite Creek Open Pit to reach 300–400 koz in 2030–2031, and Phase 3 will bring Mineral Point online for over 600 koz annual output post-2032.
4. Strategic Impact for Franco-Nevada
This royalty financing bolsters Franco-Nevada’s Nevada portfolio, adding long-term exposure to high-growth gold operations and reinforcing its strategy of partnering on top-tier assets. As these projects advance through development, Franco-Nevada stands to benefit from enhanced royalty cash flows over the next decade.