The company has been surface drilling below and to the north of the mine workings at Granite Creek - i-80 was targeting the expansion of mineralisation at depth - and has received results for the first 11 out of 16 drill holes completed.

The results included 17. grams per tonne gold over 3.8m and 22g.t gold over 3.4m in hole iGS21-07, while hole iGS21-08 had 10.5g/t gold over 3.8m and 8g/t gold over 4.8m.

Hole iGS21-10 had 17.2g/t gold over 4.2m, with 25.5g/t gold over 5.5m in hole iGS21-11 and 11 g/t gold over 9.1m in hole iGS21-12, which also included 15.5 g/t gold over 5.5m.

The initial success means the company will add to the 2022 programme to target an additional 30,000m of expansion drilling using additional drill rigs on the surface and underground.

I-80's CEO, Ewan Downie, said with the inclusion of programmes at Ruby Hill and McCoy Cove, the company would be drilling in excess of 50,000m this year.

"The consistency of high-grade gold mineralisation in the South Pacific Zone is truly impressive as the ongoing drill programme continues to demonstrate the significant upside opportunity at Granite Creek," he said.

"The results indicate the existence of additional mineralisation below the existing resource, at comparable grades, which could ultimately support a mine-life extension at Granite Creek. We currently assume Granite Creek will achieve commercial production in [the second half of 2022] and continue until 2028," Canaccord Genuity said in a note, maintaining a positive valuation of the company with a C$4.50 price target.

On February 2, i-80 Gold last traded on the Toronto Stock Exchange at C$2.74/share, which valued the company at C$654 million.