Commodities
i-80 Gold Announces Termination of Gold Offtake Agreement
i-80 GOLD CORP. (NYSE: IAUX) (TSX: IAU) ("i-80 Gold", or the "Company") announces that it has entered into a termination and settlement agreement (the "Settlement Agreement") with Vox Royalty Cayman SEZC ("Vox Cayman") and its parent company, Vox Royalty Corp. ("Vox") to terminate the Company's gold offtake agreement (the "Offtake Agreement"). The termination of the Offtake Agreement is expected to provide the Company with greater financial and commercial flexibility, and further strengthen its
About this update from I-80 Gold Corp
TORONTO, June 26, 2026 /CNW/ - i-80 GOLD CORP. (NYSE: IAUX) (TSX: IAU) ("i-80 Gold", or the "Company") announces that it has entered into a termination and settlement agreement (the "Settlement Agreement") with Vox Royalty Cayman SEZC ("Vox Cayman") and its parent company, Vox Royalty Corp. ("Vox") to terminate the Company's gold offtake agreement (the "Offtake Agreement"). The termination of the Offtake Agreement is expected to provide the Company with greater financial and commercial flexibility, and further strengthen its balance sheet as it advances its development plan to create a Nevada-focused mid-tier gold producer. The termination of the Offtake Agreement eliminates the Company's fixed obligation to sell and deliver up to 40,000 ounces of refined gold per year from its Granite Creek and Ruby Hill properties through to the December 31, 2028 expiry date, and subject to pricing based on a lookback period. The termination of the Offtake Agreement is expected to result in cash flow savings through to 2028, based on the average offtake margin per ounce of gold sold in 2026 to date. This provides the Company with greater flexibility to manage future gold sales based on favourable gold pricing, and to evaluate stockpiling opportunities in anticipation of the planned commissioning of the Lone Tree Plant within Phase 1 of its current development plan. Pursuant to the terms of the Settlement Agreement, the Company will issue 3,453,237 common shares to Vox, as nominee of Vox Cayman, to satisfy the Company's obligations under the Offtake Agreement, representing an aggregate consideration of US$4.8 million, based on a price per share of US$1.39, calculated in compliance with the rules of the NYSE American and the Toronto Stock Exchange. The shares were issued pursuant to the Company's existing U.S. shelf registration statement. The latest amended and restated Offtake Agreement dated August 23, 2023, was originally entered into with Orion Mine Finance (OMF Fund II (O) Ltd. and OMF Fund III (Cr) Ltd.) (the "Orion Funds"). The Offtake Agreement was initially entered into between the Orion Funds and certain predecessor entities to i-80 Gold in June 2016 and was ultimately included as part of the spin-out transaction that established i-80 Gold under an arrangement agreement with Equinox Gold in December 2020. The amended and restated Offtake Agreement was subsequen...