Well, thank you for coming, everybody. It's nice to finally do one of these in person. It's been a few years since the Premier days. I'd like to thank everybody who joined in on the webcast as well. Just reflecting on the presentation that we put together today, we're talking about our different sections and how we're thinking about the company, and three key themes come to mind for me, when I think about this presentation and what we're trying to do. I think about growth, I think about executing on a plan, and I think about opportunity. When it comes to growth, we are talking about all the M&A that we've done this year, and Ewan's going to talk to that. Growth in our operations, and Matt's going to talk about the plan around that, how we're building our team and the operations there.
Obviously executing on a plan. We set up a vision as a management team about a year ago, and we are executing on the plan to see that vision and become Nevada's second-largest gold producer in the coming years. We're working through that. Finally, I see opportunity. Opportunity, not only the opportunity of owning an autoclave in Nevada, but the opportunity through the explorations that we're doing or seeing some great results we had out after the close today, and the opportunities that Matt is finding as we're developing our assets. Going on to slide two. I know we just did the introductions of the board and the management team, but I'm going to do it for the sake of the webcast as well.
In the room with us, we have Greg Smith, he's a director of ours, Eva Bellissimo, John Seaman, John Begeman is back there, and Arthur is not here. Ewan Downie, CEO. Matthew Gili, President, Chief Operating Officer, and Ryan Snow, Chief Financial Officer. I'm Matthew Gollat, Executive Vice President. On to the disclaimer. We will be making forward-looking statements. I urge you to read the disclaimer page and reference the technical reports on the disclaimer page. What is i-80? We think of i-80 in four key areas. We look at a company that is entirely focused on safe jurisdictions. We're entirely Nevada focused, arguably one of the most prolific gold districts on the planet. We've got infrastructure already in place. We've got a CIL plant, the autoclave heap leach facilities and carbon facilities. Then we've got, I would call a pure best growth profile.
The goal of reaching 400,000 ounces over the coming years. We think we can get there with our current assets. We've got extensive gold and silver resources. Over 6.4 million ounces, M&I in gold and 8.14 in silver. On top of that, we believe we're going to be creating a low-cost producer. Our TAs are showing less than $1,000 all-in sustaining costs. With that, I'm going to bring on Ewan Downie to talk about the rest of everything.
Thank you, Matt, and I thank those for attending in person and also those people who are here on the webcast. i-80 Gold is a year old. We just turned a year old in April, so we're a relatively new company, following the takeover by Equinox of Premier. We spun out the Nevada assets that we have. We've really had a tremendous first year as a company, I think. We made several, in terms of business development, several key acquisitions. We acquired the Lone Tree project and project site that includes an autoclave in Nevada from Nevada Gold Mines. This site will allow us to build our own destiny. It takes us out of being reliant, so to speak, on either First Majestic or Nevada Gold Mines to process refractory material and makes us one of only three companies with that capability.
We acquired, as it went public, the Granite Creek project from Waterton, and we've had substantial exploration success there. I believe we're drilling off what we call the South Pacific Zone as one of the highest grade deposits being drilled off anywhere in the world right now. We also acquired from Waterton, the Ruby Hill project that I believe has the potential to become one of Nevada's next major gold mines. Matthew Gili's going to talk to you a bit more about some of the various opportunities that project offers to us, including metals diversification. We just announced this morning that we acquired the Argenta properties, which provides us not only with water rights to advance our Cove project, but substantial infrastructure, including now a railway heading, so we can move concentrates or bulk commodities, et cetera, that we need for the mining operation.
Pretty strategic, not only for the water rights. Just yesterday, we announced that we acquired additional lands from Nevada Gold Mines right in the so-called Turquoise Ridge district, where our Granite Creek project is. We've had a really good first year in terms of making strategic deals that will allow us to grow this company on an expedited basis. We've had numerous exploration successes to date. Like I said, the key discovery, so to speak, of the year is the South Pacific Zone at Granite Creek. We acquired that project when we did our sort of exploration round-up, as we call it, and look at budgeting for each year. For 2021, the South Pacific Zone was picked as the number one target.
Every year, we are willing to have a bit of a bet and people say, "This is my favorite target." Both Tyler and myself picked the South Pacific Zone as the number one target, and it's really panned out. In fact, essentially every single hole we've drilled has hit material of essentially 10-20 gram material, so it's been pretty remarkable. We identified significant upside in the Ogee Zone that is currently being developed, and Matt will show some of the early development that's going on there. Just right now, we put out the first results since we acquired Ruby Hill. We put out the results here today that include some of the biggest intercepts I've seen come from any property we have in Nevada, with widths of up to almost 80 meters, and those are close to true width.
Ruby Hill's really looking good, and we've got a lot of hope for that project, and we believe it's going to bring a very strong future for our company. In terms of corporate development, we've successfully continued to attract people to join i-80 and built what I think is a tier-one management team, headed by Matt and Ryan, who have all been in Reno. Our head office is Reno now, not Canada like Premier's was. We've completed the rehabilitation of the Granite Creek underground workings, and we just started mining. We're driving the decline deeper, being prepared to set up the mine for numerous years of success to come.
We've started the portal of McCoy Cove, so those of you who came from the shareholders from Premier will know that we permitted Cove several years ago, but we didn't go ahead with the underground development because we didn't have a guaranteed processing arrangement. With the acquisition of Lone Tree, we also secured an interim processing arrangement with Nevada Gold Mines that is allowing us to proceed with that underground development, and we're over 100 meters in and expect to start drilling underground in the third quarter of this year. We completed financings that result in the company having a very solid balance sheet. Currently, we have just under $160 million in cash and equivalents. In the first quarter, we produced the first gold in company history. If you look at the cover slide, that is some of the gold bars coming from our Ruby Hill project.
When you look at what we're doing in Nevada, I think slide 7 of our presentation tells a lot of the story. The postage stamp, as I call it, within central Nevada, is arguably the most productive gold district anywhere in the world. Nevada Gold Mines, who is the primary operator in that area, a partnership between Newmont and Barrick, produce over 3 million ounces a year from this image. They have multiple processing facilities, and we've created what I call a bit of a mini Nevada Gold Mines with a goal of becoming a major producer in the state. We're planning to build 4 mines in the next 3 years that will result in us moving from being a small producer to a mid-tier producer, and all of the initial 4 mines will be processed at Lone Tree.
It's really a hub-and-spoke model, and Matthew Gili will get a bit more into that. Importantly, these projects are all road accessible. I always tell people you can take a Chevy Chevette. Some people don't know what a Chevy Chevette is, but you could drive there with a Chevy Chevette. Paved roads, we've got power lines, so great power at every site. Most projects are fully or near fully permitted, so we're not worried about huge delays when it comes to permitting. We've seen a lot of cost escalation, especially when companies are building projects. Given that Lone Tree is an existing site, it's really just retrofitting it. We think we'll be more immune, I wouldn't say totally immune, but a bit more immune from the inflationary pressure that we're seeing at some sites.
Ruby Hill also has substantial infrastructure that we are intending to use for production in the future as well. Importantly, in the state of Nevada, and I believe anywhere in the United States, as shown on slide 8, there are only five sites that have infrastructure capable of processing refractory ore. Some people say, "You're having a lot of success at Granite Creek, and now we're seeing substantial success at Ruby Hill. Why were these projects sitting there?" It was most companies, without the ability to process refractory material in Nevada, choose not to go there.
We went there with McCoy Cove but always had the intent that we're either going to form a good relationship with Nevada Gold Mines, which we did, that they will process for us, and more importantly, you can see right in the center or sitting right on Interstate 80 is the Lone Tree site, which is now our own autoclave, and we're looking to reprogram to restart that facility. In terms of fundamentals, why do you look at our company? We're one of the largest holders of gold and silver resources, not only in the state of Nevada, but in all of the United States. Since we are a U.S.-focused company, our cover image, we now call ourselves Made in the USA. We're a 100% U.S.-focused gold producer and developer. We're targeting 20% increase in our gold resources this year.
As Matt said, in all categories, we have over 14 million ounces of gold in measured, indicated, plus inferred resources, and also over 180 million ounces of silver. We are currently upgrading both the Blackjack and the Second Chance, the Buffalo Mountain deposit, to resource status, so those will both result in increased resources for our company. We have over 50,000 meters of drilling going right now at Granite Creek and Ruby Hill, and we're having substantial success. I'm very confident we're going to see a pretty significant increase in our resources at year-end when we redo our resources. On slide 10, what are we trying to do?
We're going to try to simplify it a bit here today because some people say, "You got a lot on the go," but it's really three identical ramps, three identical mines being built. Three portals that go down into high-grade mineralization, and the mineralization is trucked to the Lone Tree processing facility. As I said, with the addition of Buffalo Mountain and Brooks, which would be heap leach projects processed at the heap leach site that sits at Lone Tree as well, all four sites would really feed the one facility. Matthew Gili will give you additional detail on that. With the building out of those four initial operations, we expect to produce more than 250,000 ounces of gold initially.
We're also currently permitting an open pit at Granite Creek, that with the construction of that operation, I believe would make us the second biggest producer in the state of Nevada. I'm going to pass the presentation over for an operations update, and Matthew Gili will come up. Please feel free, people on the floor, if there's something that you see on the screen and you're like, "Hey, I want to ask a question," jump in.
All right. Thank you, Ewan. My name is Matthew Gili. I am the President and COO of i-80 Gold. Been here since the day it was formed. First thing I want to talk about is ESG. What you have here are the six pillars i-80 Gold is committed to keeping. In our internal corporate scorecard, we have measurable and actionable items relating to one of these six pillars. More importantly is what you don't see on here. We haven't just cut and paste from Rio Tinto's ESG goals. We have selectively picked items that matter to us, matter to i-80, and that are actually, we have an influence over, and we can make the world better by pursuing these objectives. All right, I'm really going to try to double down on that concept of simplicity.
Big picture, while my job is incredibly complex and no one else could do it and I probably don't get paid enough. In the big picture, it is actually a pretty simple idea. We have three portal mines, all very similar in style, all very high grade, that produce refractory material that we truck to a centralized autoclave facility at Lone Tree. This is completely common and ordinary in Nevada. This is not particularly dissimilar to Cortez. At Cortez we had three portals, and we trucked our refractory materials to the Goldstrike autoclave and roaster complexes. I'm really trying to stress that concept that this is, it's a lot of moving parts, but a relatively simple concept. We've integrated our operations. We act as one. We're based in Reno. I live in Reno. Lone Tree is becoming the center of our operations, both our technical and operating teams.
We are all, we're not maintaining different groups of people at each different mine, different operational and technical groups. We're all working as one together. First one I'm going to talk about is Lone Tree. I take notes. I'm kind of a note guy. Okay, Lone Tree, the hub of our operations, includes a centralized autoclave facility, an operating heap leach, centralized laboratory facilities. We have a climate-controlled warehousing system. All of our core we bring to Lone Tree for processing, cutting, and logging. We have full maintenance shops, full office complex. This is becoming the hub of our operations. The PFS for the recommissioning of that plant is on schedule and on track. We'll be reviewing the results late in the second quarter internally. We'll be publishing those in the third quarter.
As we're progressing on that study, we are not finding any significant unpleasant surprises, all as we expected. The equipment's in the condition we anticipated. As everyone, and as Ewan alluded to, we're all anxious about inflationary pressures, and getting current pricing models is part of the scope of that PFS. As Ryan always reminds me to mention, for the next three years, we have a tolling agreement with Nevada Gold Mines that allows us to continue to generate cash flow from our existing operations. The satellite pits, again, we talked about this. Brooks and Buffalo are two satellite pits. They're oxide deposits. They're running in a trend. Yes, go ahead. I'm sorry.
Curious, what's the processing capacity of Lone Tree?
Nameplate, when it was run by Newmont, the nameplate capacity was 2,800 tons a day, and that plant was operated in the acidic environment. Right now, our study is for that plant to run in the alkaline environment, and the capacity in that environment is part of that PFS study. I wouldn't say it's by coincidence. There's a design in there. Actually, when all three of the mines are feeding their nameplate capacities into that autoclave, we are just about matched on capacity. If a simple model, you've got a 2,800 ton a day plant, and you've got three mines that are producing somewhere between 1,000 and 900 tons a day that's trucked to that facility. Yeah. That's kind of the match that we've done.
If you take that plant at that capacity and the grade of our operations, you're looking at a plant with a capacity of between 275,000 and 300,000 ounces. We talked about the two satellite deposits at Lone Tree. They're there. Brooks is almost fully permitted. Buffalo is in permitting. We're going to start mining on those later this year. That's going to provide a modest amount of cash flow to continue with our operations. That material gets trucked to the heap leach facility that's currently operating at Lone Tree, gets added to the existing leach pad, and that's our strategy for extracting. Next I want to talk about Granite Creek. What have we achieved at Granite Creek? Well, we've commenced with 24/7 operation. We've completed over 14,000 feet of stope delineation drilling. Think of it as Cubex drilling.
Think of it as ore control drilling. This tells us what's out ahead of us. We've updated the resource model with the results of our 2021 drilling, and we're going to continue to be updating that resource model through our cutoff date of August, which will allow us then to publish a feasibility study and convert to reserves by the end of this year. That's the point of the August cutoff. We've advanced the main decline 425 feet, and we are now at the stope ore contacts on 2 different sub levels. It is Granite Creek, and nothing comes easy at Granite Creek. We've encountered areas of difficult ground. That's what we do. We're miners. We're all from this area. Most of us have worked at TR in the past. No different than TR.
As we encounter those areas, we work through them, persevere, punch through them, and make a go. I'm very pleased with the team, very pleased with the innovation there, the eagerness to pursue opportunities and to meet their objectives. As I mentioned, we are preparing for the publication of a feasibility study for the Granite Creek Underground at the end of this year. This is going to be the point where we bifurcate the studies for the underground and the open. What is our execution plan at Granite Creek? What are we doing? Three parts. First, as I mentioned, we need to understand where the ore is, understand the deposit, have a reasonable mine plan. The second is all about infrastructure, and the infrastructure I'm talking about is the decline itself. It's the access to ore faces that is going to make this successful.
That's what we're pursuing as our top priority. While we do have two active stope faces, the priority heading is the continuing the decline, opening up additional ore faces, and also allowing for access over to the south. Lastly, it's about optimization. In the upper areas of the mine, there's portions of remnant pillars, remnant deposits, mostly associated with the Ogee Zone. We're pursuing those as opportunity ore in between our decline advancement. Okay. Lastly, Granite Creek. I don't want to forget about the open pit. It's not our top priority today. Right now, we're in the permitting stage for the open pit. We're going to be permitting that open pit for the next several years. I always want to remind everyone that we have that open pit out there.
PEA is published on that, and that is, we're a company that has a whole lot of active growth, but already has the next phase of growth laid out ahead of it and is in the permitting phase for that next stage of growth. Ruby Hill. All right, what have we achieved at Ruby Hill? We've completed the open pit mining on the East Archimedes pit. All that material has been placed on the leach pad, and we're actively leaching it this year. We've stabilized the leach solutions. A lot of technical stuff in there, but the leach solution, the chemistry just wasn't right. Corrected all that. We fully integrated the Ruby Hill teams into i-80. When we bought Ruby Hill, we bought it as an asset. So all the employees of Ruby Hill became employees of i-80.
welcomed them in as one big happy family, and they're all part of one team now. Primary goal for that heap leach facility at Ruby, which is old, run by Homestake, and then it was run by Barrick. It was run by multiple different operators. There's parts in there we don't really know all the good parts. Right now we're focused on just systematically working our way across that leach pad, re-leaching every section of it, getting the last remaining materials, along with the L-cell, which is the material we placed at the end of last year. Lastly, permitting is underway for the start of portal in the East Archimedes pit at the end of this year. See here the ore zones, the portal coming out of the East Archimedes pit, accessing the three different distinct ore zones. I'll talk about those on the next slide.
The real joy of Ruby is the ultimate optionality. There's just so much stuff going on at Ruby. Ruby alone could make a mining company. You've got your refractory gold material, which is represented by the Ruby Deeps deposit. You've got oxide material underground, high-grade oxide material underground, typically in the 426 area. We have an oxide gold open pit, Mineral Point, which is over 5 million ounces of material in resource in that pit. We've got a base metal deposit, which is the Blackjack deposit. Alongside that, we've got an operating heap leach facility, and we also have on-site a CIL plant. CIL plant was built by Homestake. It wasn't operated very long, but it's all in excellent nick, you can see from the pictures. We use that for our carbon processing off the heap leach, and that would be the base.
Do we refurbish that as a CIL plant and process the oxide underground for 426? Do we convert that over to a flotation plant and make a lead and zinc concentrates out of Blackjack, or do we do both? This is all about the optionality and the extent of the resource, over 7 million ounces of gold in resource at Ruby Hill alone. All right, McCoy Cove. McCoy Cove is very exciting for me. We're restarting this. Ewan mentioned it had been sitting there. It's been known, been eagerly anticipated what we could do there. Once we got that processing agreement and the autoclave, it was our chance to start. To date, we have completed over 324 feet of the decline itself. We've secured the water rights for pit evaporation permit. A fantastic team.
The leader of this team is the same individual that developed the South Arturo Portal Mine for the NGM and Premier joint venture. He's now leading the efforts here and at Lone Tree as well, and very pleased with all the individuals we've been able to bring into the team. What are we doing this for? This is McCoy Cove. Just always remind everyone, 1.7 million ounces in resource, well over 10 grams per ounce. I always tell Ewan, it's all about grade. When you have high grade, have trouble, have obstacles, you can work through them. When you have low grade, it just can be a futile exercise. All of our deposits are blessed with very high grade and brings that optionality.
I'll just show you here the isometric of what we're going to continue to extend that decline through the rest of this year. Later in this year and into 2023, we're going to drill out this pattern and advance the studies and the resource and reserves for McCoy Cove. All right. My last slide is the Argenta properties. We announced that last night. What is Argenta? Argenta is a barite deposit we purchased from Baker Hughes. I do not want to confuse the message. We are not going into barite mining. We have purchased a facility from Baker Hughes that allows us 582 acre feet of water in our basin we can use for Cove. It also gives us a facility that is on the Union Pacific rail line, as well as Interstate 80.
That siting on the Union Pacific rail line is very valuable, both for us to move concentrates and other products away from sites, as well as to bring in bulk commodities, lease it to other bulk commodity suppliers. We're just looking at what optionality we can bring to that plant and the company. Sure. Yeah. Yeah. A great question. A quick, very brief update on Nevada water law. The water you need, needs to come from the basin you're in. Granite Creek, Lone Tree, and Ruby already have all of the water rights in their respective basins they need in order to operate. Cove is the one site within Premier that did not have water rights already secured for its operation. To date, we've been getting the water to operate Cove from leasing water from a nearby rancher.
This changes that so that we now have secured that water right. We secure our own destiny as far as the Cove. Any other questions before I hand over to Mr. Snow? Pardon me? This was a $3.7 million acquisition. We got that question several times this morning. We didn't mention it, and I'll be very transparent. Baker Hughes asked us not to, that it's not material to them. They preferred that we didn't talk about this in the press release. It's not a secret. Brian, you're going to see it on the financial statement, so it's not going to be a secret, but we're just not mentioning it in the press release. Yes. 100%. The development grade at Cove, we're averaging approximately eight feet per shift at Cove.
At Granite Creek, we're averaging approximately 8 feet per shift right now, or per day, pardon me, 8 feet per day. The ground conditions at Granite Creek are a little more troubling. We are incorporating shotcrete into our advances. We're not coming back later to rehabilitate. Our philosophy is that we never go back. That as we drive those declines, we drive them to our final specifications the first time, and that any time you go back to fix old work, you're just losing efficiency. Yeah. It's part of the same development of crews. We have a crew, and that crew is allocated to both drive the main declines, accesses into the Ogee Zone, as well as remnant mining over on the Otoe and Range Front zones. We do utilize different equipment. In the remnant mining, we're primarily using drum cutters.
We're not drill and blasting because of the weak ground conditions, but we are drill and blasting on the decline. It's not so much rehab. Look, it's the upper workings are good old Turquoise Ridge. We're working our way through it. The grades would matter. I mean, the face right now there is a 16-gram face on the remnant pillar. So you can do a lot, you can engineer a lot, and you can strategize a lot on a 16-gram face, and that's what we're doing. Yeah. We don't have any restrictions from our power. NV Energy is our power supplier. We don't have any restrictions on timing or power draw. As a customer to NV Energy, we are allocated their green rights, and so their green credits, I should say. Their corporate strategy right now is they're 27% renewable, which makes us 27% renewable. All right.
Thank you very much. Ryan?
All right. Thanks, Matt. Welcome, everybody in the room. To reiterate Matt, the last comment, it's great to see everybody in person. It's been a long time since something like this at any company I've been at, so it's great to see everybody. Welcome to those that are on the line. Yesterday, the company announced our Q1 2022 financial results, and our financial statements and MD&A are available on our website, and SEDAR for those who have an interest. Some highlights of what you'll see there is that in the quarter, we produced $2.9 million in revenue, which generated mine operating income of $1.2 million. This is significant in that first revenue we've had in the company from the assets that we acquired in the last calendar year. At Ruby Hill and at Lone Tree, we've got the existing leaching operations that are generating these ounces.
On the next slide, I'll walk you through how many ounces we did produce. Our, kind of small on the screen there. Our net loss for the quarter was $23.2 million or $0.10 per share. When you adjust out of that loss, mark to market on our derivative instruments and warrants, the loss was $13.2 million or $0.06 per share. Of that $13.2 million, $9.3 million of that was spent in exploration, evaluation, and development. Why I feel this is important, because that's a direct investment in the company. As we'll talk about later, we've had some very good results from that initiative. For the quarter, we did produce and sell 1,489 ounces of gold, and 646 of those ounces came from Ruby Hill and 843 from Lone Tree. The average realized price for those ounces was $1,918.
Our cash cost per ounce consolidated was $1,019, and our all-in sustaining costs per ounce sold was $1,209. These cash costs and all-in sustaining cost metrics do include the fair value of the ounces that were on the leach pad when we did the acquisition. Finally, I'll talk a little bit about our liquidity. As we've been talking about, there's a lot of exciting developments on the go. There's a lot of capital to be spent in the company. As at the end of the quarter, we had $65.1 million in cash and $30.8 million in receivables. Subsequent to the end of the quarter, we did complete the $75 million financing package, which includes a prepay and a 4% sales agreement. Our inventory balance as at March 31st was $29.1 million.
I think this is important because that's the value of the ounces that are on the leach pad at Ruby and Lone Tree. The only inventory we have currently is work in process. We see that amount and those ounces come through in the next quarter. The current assets for the company were $100 million. Our accounts payable and accrued liabilities were $7.2 million, and our current liabilities were $33 million. I feel this is important because as of March 31st, our current ratio was 3:1. When we take into account the completion of the financing package shortly after the end of the quarter, we take that current ratio to about 5.2:1. We're really well-positioned to execute on our business plans.
Matt has walked us through thus far, and as you will hear us talking about in the exploration coming up, we're well positioned to continue to drill to get the results that we've seen so far. Our net assets as of the end of the quarter were $187.6 million. With that, I will turn the presentation back to Matt to talk about our exploration.
Thank you, Ryan. As I mentioned earlier, the exploration, really the first year, is we've been setting up to be successful in mining, which is what Matthew Gili is heading up down in Nevada. Tyler Hill, our lead geologist in Nevada, heads up our exploration program. Really, a lot of the news you've been seeing coming out of our company is from those, because we acquired known projects with known deposits, but we felt there was significant upside. We've been proving that with successful results to date. We've also been pretty focused on delineating the deposits better. One of the biggest issues we saw with Granite Creek, or what was called Pinson with Atna, was the fact it was really under-drilled. They weren't able to stay necessarily on the ore body because of a lack of drilling.
We've seen a few other companies recently come out and say that they've had the same issue when they went to try to go mining too quickly. With our strong balance sheet, we've been able to do a lot of drilling from underground before we start mining. We've been able to put in the additional development, as we're setting up for mining, instead of the program that happened here previously with Atna, as they put in enough development to get into ore, hoping to make enough money from what they were mining to keep doing the same thing. We've really set up our company a lot differently, and we feel we're in a great position to capitalize on that. Looking at the projects that we're going to, the primary two that we're exploring this year, Granite Creek and Ruby Hill.
About 50,000 meters between the two planned, and we're well into those programs this year. We just, in the last few weeks, have released our final results from 2021. That shows you how long it is, even recently, to get assays from labs. It's been really a real struggle. We've made changes to where we send our core just to try to get better treatment. There is a new lab that's talking about building as well. At Granite Creek, as you can see up on the high wall of the pit here is the drill. That drill is drilling the South Pacific Zone. So it's a new target that we've been delineating to the north of the historic pit that goes towards Turquoise Ridge. Turquoise Ridge is just in this image, just over the hill.
Back in the background there, you can see some white spots. That's the Twin Creeks operation. That's where we're initially planning to send the material from underground to. In the pit, you can see the one portal on the pit wall, and the other one is closer to us. The shops and everything are down in the bottom of the pit, or the office. There's a mechanic bay that's also driven into the side of the pit as well. Granite Creek is an advanced exploration mine development project for our company. It's located at the north end of the Battle Mountain Trend, at its intersection with what's called the Getchell Trend. We have an interim processing agreement with Nevada Gold Mines to process up to 1,000 tons a day at the Twin Creeks facility that you can see in the image here on slide 33.
Twin Creeks and Turquoise Ridge are immediately north of our company. The South Pacific Zone is a high-grade horizon that we're drilling, and it's not just one zone. In many holes, we're seeing up to four zones in the drilling. We are expecting over this year and next year, as we continue to drill out this zone, a pretty substantial increase in our resources here because of this success. It's immediately below and to the north of the mine working. Very accessible. As Matt said, we have changed a bit how we're developing there to drive the decline down deeper to fast track our ability to access the South Pacific Zone, be able to drill it from underground, and hopefully quickly bring it into our mine plan.
That will help us get to that ultimate goal of being at the end of next year, achieving 1,000 tons a day, which would maximize our agreement with Nevada Gold Mines. By the end of this year, our target's to get up to 450 tons per day being mined out of the site, and by the end of next year, up to 1,000. Because of the success of the South Pacific Zone, we are trending north, and in black in this image is our previous property, the Granite Creek property we acquired from Waterton. We went to Nevada Gold Mines because the South Pacific Zone is trending towards the Turquoise Ridge property to the north. We presented them the model, the 3D model of what we're doing, that it would really be beneficial, we think.
We think this deposit could trend onto your ground, and we'd rather not stop at the boundary. We'd like to keep going north. We made an offer to purchase the adjoining ground to the north, and I think it speaks to the relationship between the two companies. They agreed to sell it to us. A pretty key piece of ground. You can see immediately north of that ground is a historic Summer Camp Mine. It's an open pit operation, and in their technical report, they talk about being an underground exploration target for them. The Turquoise Ridge Mine immediately north of that. Turquoise Ridge, between historic production and current reserves, is well over 20 million ounces of gold. When you add Twin Creeks to that, the entire district immediately north of us is about 50 million ounces.
We're truly operating here in what many would call elephant country, and we're very excited by what we're drilling on. The main focus for the company at Granite Creek is to develop both open pit and underground operations. The first focus on the image here on slide 34 is on the left, is the underground operation. What we show there is, in the open area, there's a few holes shown there. Those were holes drilled 25 years ago, mostly by Homestake. Back when Homestake was around and had this property, they had a few deep drill holes to the north that hit very good grade material and were never followed up, and that was our number one target, and we've been very successful in that program.
Shown here on slide 35, the existing mine workings with the OG, Otto, and Adam Peak area is the area that we're developing underground. Just below the bottom level, about 100 meters below the bottom level of the historic workings, and about 100 meters to the north on the other side of, I interpret as being like a CX West fault, is the South Pacific Zone. What we've really found with drilling out the South Pacific Zone is we are doing 50-meter spaced drilling, so it's still pretty wide-spaced drilling, but remarkable continuity. The main fault structures in or at the contact of the upper and lower Comus, the main two limestone units, has consistently been mineralized. It's mineralized towards surface as well. Up towards surface, it just doesn't grade.
Below a depth of about 250 meters, the grade picks up, and essentially every hole we've drilled below that level has been 10 grams or better. Pretty remarkable. In my history of exploring over the last couple of decades, it's getting to be decades now, this has been the most continuous zone or most continuous high-grade mineralized drill program that I think I've experienced in my career. It's pretty exciting. The grades have been phenomenal. As we show here on slides 36 and 37, we present every single hole that's drilled into this project. We're not presenting a couple of hot holes in our press release and leave everything else that didn't pan out. We're presenting every hole. We're doing 5, 6 holes at a time as we receive the assays, and it's been remarkable at the grades.
Off in the woods, our 18-hole, our southernmost hole, getting close to the Ogee Zone at depth was our best hole of the program. That hole ran 16.3 grams over 15.7 meters. Very strong grades, good widths. The true widths on these intercepts is estimated between 60%-90%. We are drilling angled holes, and the zone is dipping to the east and trending north, as I said. When you look at that in a long section view, as shown on slide 38, you can see up near surface where the underground workings are. The strike length of high-grade mineralization tends to occur over about 200-meter strike length.
When you get down to where the South Pacific Zone is and you include the down dip of the Ogee, we're seeing the strike length of mineralization increasing to about 800 meters so far, and it's completely open to the north. It's actually open to the south at depth as well. The upside that we're seeing here, the ounces per vertical meter as we go deeper, we expect to increase substantially, and that's why we're driving the infrastructure at depth right now and putting a real focus on our drilling on this project. We show here hole 2205. It's obviously the fifth hole of the 2022 program. I think we've got about 13 holes completed now in the program. We continue to step out.
That hole was drilled about 100 meters underneath all previous drilling to try to, as we go forward this year, demonstrate the deposit does continue strongly at depth. We continue to step out. We're not just going to start infilling just to get a bunch of good drill holes. We're going to try to make this envelope bigger and then do infill, primarily, we hope, from underground, which is a cheaper means of doing it. Because of that success, the acquisition, especially on slide 39 in the blue block to the north, was very key because we took that image on the previous slide, and it's pretty shrunken down there, but where it says SPZ on the image is the South Pacific Zone.
There was a hole drilled by Homestake further 400 meters to the north, getting pretty close to the boundary that hit 3 high-grade intercepts at depth and was never followed up. Rather than our drilling chase up to there and then approach Barrick, we thought maybe we should approach them before we get to the boundary, and they might be more amenable to selling us the property. We were pretty fortunate that they said they would. Our projection of the mineralized zone is shown in red on this slide. As we go through the balance of this year, we are expecting to start stepping out to the north now. We weren't stepping out to the north because we didn't want to go too far north before we were either told, "We'll sell you that ground" or, "Get lost.
Not a chance. The deal was just struck, and we look forward to working with them for processing. That could extend into the future. They hold a net profit interest in this property as well. They benefit from us being successful as well. An underground definition program is taking place primarily in the Ogee Zone this year. We're really focused there. That's where Matt showed the development. 2 of the holes that we just announced, the first three intercepts into the Ogee Zone from our drilling from underground have now been announced, 22.9 grams over 6 meters, plus 11.2 over 11 meters in hole 39 of last year. Hole 38, 14.8 grams over 3.8 meters. Hole 37, a deeper hole, hit 54.7 grams over 5.9 meters. Very strong grades, and those are the areas that we're currently developing underground.
We drilled a deep hole 15 from surface, was to test the Ogee Zone at depth. That's the deepest hole we've drilled to date, and we hit three high-grade intercepts of 13.3 grams over 13 meters, 20.2 grams over 7.5 meters, and 10.1 over 17.5. Very strong widths and grades and just demonstrates the substantial upside, not only in South Pacific, but also in deeper drilling on the project. The highlight assays, we're estimating 70%-90% true widths on these intercepts, and you can see the highlight assays, including the first two holes from underground that tested the Ogee Zone at depth. This year, I think we're about 40-something holes into the 2022 programs. There should be substantial news flow from this property. Ruby Hill is a property that early on, it's a deposit that was mined by Barrick.
They had a pit wall failure. They sold the project. It was bought by Waterton. They sat on it for years and then did a little bit of restart of the remnant mining in the open pit, which we finished. We didn't acquire it for that open pit. When we were doing analysis of projects across Nevada, we identified Ruby Hill as maybe the highest potential sulfide deposit that we knew of in Nevada. Now with the current resource, collectively, it represents our company's largest gold resource. In my opinion, also has the most significant upside among our portfolio, and we look forward to demonstrating that with the drill bit. In fact, today we released our first five holes from drilling from 2021.
Finally got the assays, and Jacqueline at the back was scrambling to get the press release out and this presentation done because check assays almost had us not release them and put them in our presentation. We did this around the Ruby Hill results. The widths and grades are incredible. The ground conditions appear to be quite stellar for a Carlin-style deposit and just completely open for expansion. The primary projects that we'll be advancing, internally, we present to the market. We have a three-year plan for Ruby Hill, but we also have a five-year plan internally, and we also have a 10-year plan. We have three different scale-ups of this project we expect. In the image on slide 43 for those online, Ruby Deeps is in red, and it is open to the north and south along what we call the Archimedes Fault.
That drilling is the first area we tested because as we look to start the autoclave, we need to do metallurgy. We need a core from Ruby Hill to blend with the core from Granite Creek and Cove in order to do the metallurgy to figure out what we need to do to the autoclave facility. There was no core left from this project because it was mostly drilled, again, by Homestake. As most of you know, Homestake disappeared more than 20 years ago. Their deep holes, core is gone, drill logs that were mostly handwritten, and we didn't know what we were going to get into when we drilled it, other than there was a lot of good intercepts across the property at depth. What really surprised us was the tenor of the rocks there. It's like, as Tyler called it, stick rock.
We expect this to be very good ground conditions. We've seen substantial oxidation in the upper parts of the 426 zone. As Matt said, with the CIL plant, that makes us think about, what else can we do with this project? The Carlin-style mineralization is being drilled out in the Ruby Deeps and 426 zone, but there's also a very compelling polymetallic deposit immediately below the pit, very high grade zinc with some gold, that we expect to bring to resource this year and do some drilling later in this year and test it going to the south and to the north along that structure. In blue is Mineral Point. Mineral Point is the biggest deposit, as Matt said, about a 5 million ounce heap leach project that we will be evaluating for development in the future.
Just with everything else that's going on, we don't want to say we're developing a big 5 million ounce open pit at the same time. It's a future growth project for us. I'd like to point out on this slide that immediately to the south, you can see the property boundary along the south is the FAD project owned by Paycore. Our company is a shareholder in that company, and they're having a lot of success in their drill program. It's something that hopefully we can collaborate on in the future. We have a lot of infrastructure, and we're a shareholder, so we support the company as much as we can. The Ruby Hill project, as I said, is host to substantial resources and Indicated more than 4 million ounces of gold at just under 4 million ounces in Inferred. A very sizable resource.
A significant silver, mostly in Mineral Point, where I liken something like a Rochester mine that Coeur has. This Mineral Point would be a higher grade Rochester if you look at it as what type of deposit. We will look at continuing to permit that in the future. Right now, the main focus is, as Matt showed on his slides, as we show here, is putting in the declines, hopefully starting in the fourth quarter of this year to drive down first into the 426 zone and then deeper into Ruby Deeps. You can see in this conceptual mine image that we have here, the workings will drift over to Blackjack, which is the polymetallic deposit underneath the pit. Because of its location where the pit slide is, it's very difficult to drill from surface, so most of our drill plans here are going to be from underground.
These deposits are completely open for expansion. The D2 targets, we call Ruby Deep's R2s. We have R2 and D2. D2 is a single drill hole drilled in what appears to be or could be a parallel structure that intersected 15 meters of nearly 9 grams per tonne with no follow-up. That's an area we are going to do some drilling. The R2 South target is our block model that we're carrying for Ruby Deep, so shown in yellow. That's a substantial step out to the south. We're following that up right now in the 2022 drill program. To the north, you can see the 8.2 grams over 30 meters. That's outside of our current mineralized envelope. We're doing some additional drilling there to demonstrate the upside going to the north. Those are some of the holes we announced today.
The in-surface plan on slide 46, you can see Ruby Deep's in 426 outlined in red, open to the north and south, the D2 target where it is in relation to the pit. What we're seeing with this drilling is really good rock quality. We expect the mineability of this to be very good, especially when we developed the South Arturo deposit, we drilled off Cove. We're underground at Granite Creek. The experience the Matthew Gili team have had at other Carlin deposits are also often associated with pretty major faults. Broken ground, difficult ground. Ruby Hill, we've got some images of the core, so you can see just how good the core is here. It's silicified rock that should be very mineable. These are the first four intercepts that intercepted the zone.
In hole two, we hit 71.6 meters of 7 grams, including 9 grams over 15.8. In hole three, we intersected 9 grams over 18.3 meters. In hole 4, 9.1 over 24.7. In hole 5, the northernmost hole, where it remains open, hit 7.1 grams per tonne over 78 meters. Given it's a flat-lying deposit, these intercepts are close to true width. Contained within that was 41.8 meters at 10 grams. Deposit's completely open to the north of that. There's just pretty major upside in this project. Like I said, not just in this current R2 or Ruby Deep's deposit, but also a lot of long intercepts around the property. Almost everywhere you look at a hole that's been drilled to depth on this property, it hit Carlin-style mineralization, and it often hit high-grade gold. Tyler mentioned one thing to me last week.
He said the size of the Carlin alteration package we're seeing here is on par with Cortez, which is a pretty bold statement, and hopefully we can prove that this is going to be the next Cortez District in Nevada. Just showing the sections. As you can see, there are some historic holes in this area that we're following up, some Barrick and Homestake holes with high-grade intercepts. On the right is the core from hole two, and as you can see, it's very competent rock, altered clast breccia. In hole three, again, very silicified, a lot of realgar that you can see here. A lot of fluids were flowing through this rock. In this section, you can see a Barrick and a Homestake hole that was drilled down in this area, both with over 13-gram intercepts. Very high-grade material, very good width.
Given where the pit is, since we're driving the decline out of the bottom of the pit, it's not that far down. The true depth of this deposit is sort of 600-700 meters from surface, but below where the portal goes in, it's about 400 meters. Again, the fourth hole, you can see the competency of the ground. It's not all broken up and cornflakes, as you can see at places like Turquoise Ridge, et cetera. The biggest hole of our first five of our 21 program was hole 5. Again, the ground conditions are what really stands out. The deeper deposit isn't where we're seeing this oxide portion. We're seeing that in 2022, we've started drilling off the 426. That's pretty much right out of the pit, and we expect to be almost immediately into the 426 zone.
The 426 zone, as shown here on slide 52, is a mixed sulfide oxide zone. We're seeing pretty extensive oxide in drilling the upper parts. When we build our new resource model, we're going to have oxide ore and sulfide ore because we will have to figure out exactly how to drill it. Finally, for this property, the Blackjack Deposit. We've talked about some good holes here, but you can see consistently 10% to over 20% zinc in the drilling underneath the pit, with widths of up to over 70 m. It's a big, broad zone. We're currently putting all that data together, building our own geological model so that we can actually bring this to resource status. I think we have 2-4 holes planned later in the program.
Just so we can say, "Well, yes, we hit it too," and then we can bring it to 43-101. Then talk about next year. Do we look at trying to expand this along strike? Likely associated with a major fault in the area that has been interpreted in some previous papers as the Jackson fault. It seems to be pretty closely associated with that fault structure, but it's a mixture of CRD and skarn mineralization up against the intrusive. With that's the end of the exploration. A very good first year for our company, and we expect the 2022 program to yield similar or hopefully greater success. Just let Matt come up and close out our presentation and talk a bit about our scorecard that we put out earlier.
Okay. Looking back at the scorecard that we issued in January, we wanted to update it for our investors and the people here at the presentation. A few things I'd like to highlight for what we've achieved to date. One, we closed the financing package with Orion Mine Finance, which secures our ability to grow our company this year. We celebrate our first ounce of gold at both Ruby Hill and Lone Tree. At Granite Creek, we initially started out the year with a 20,000-meter drill program. Owing to the success of the SPZ zone, we increased it to 30,000 meters and acquired the ground to the north. We secured the long-term upside for that property. At Cove, we initiated the underground development program and secured water rights to help develop that project.
As an overarching comment, I would say, and I was just chatting with Matt about it earlier today, none of the other items, they're all tracking on time and as expected. We don't anticipate any slips so far. We're very excited about how we're progressing through the year. As a summary, what do you get with i-80 Gold? You get a company that's executing on a plan, with the goal of becoming Nevada's second-largest gold producer. We've got a strong capital allocation team working on how do we execute on that plan. We've got an organic pipeline to do that. With that, we'll take some questions, either for the team or anybody else. I know, Habib had a question for Matt about, are you feeling nervous about building three mines at one time?
Not nervous. I'm feeling okay. I'm trying to make sure I say this in a non-Matt centric way. My previous job was the COO at Oyu Tolgoi, and we were building a mine and a concentrator complex in the Gobi Desert. This is not that complicated. We've got a good team. We're in the right jurisdiction. There's a lot of grade. Again, I'm going to always stress back to that concept that it's three mines and one processing plant. Remember, each of those mines is a well-run, well-planned portal excavation without its own processing facility associated with it. In the big scheme of things, it's a fairly tidy and certainly a very executable development.
Any other questions?
Any plans to do a conference call on our gold mines? We're going to try to buy Cortez. No, we're probably not going to do that. We're going to be the producer of choice in Nevada. We're going to be the most efficient, most profitable in Nevada.
Sure. We're not giving guidance, what I can say is if you look at our Q1 financial statements and take the number that was disclosed, the 9.3, multiply that by 4, you'll be right in the ballpark. We're not giving guidance.
There's always concerns with staffing. One, we've been able to get a really good team together. We all have a name in the area, and so we bring with us certain groups that we've worked with before. There's two areas where we struggle. First one seems kind of obvious and not a surprise, and that's trades, but particularly electrical trades and mechanical trades. We have alternate strategies for both of those, particularly electrical, where we have some strategic alliances or master service agreements with several different electrical service providers. The other one's accounting, and it's real. It's proven to be the hardest area to get really highly skilled staff in that they are so fungible. They can work wherever they want to work, whatever industry they want to, and it turns out mining's not necessarily their first choice. Did I answer that fairly right?
I'll step in and say that we have been very successful at hiring very key people. I went on a tour of the sites for our one-year anniversary, so I went to see them, but I didn't want to go with Matt or Ryan. I wanted to go by myself. The guys answering the questions on site weren't looking at Matt, "How do you want these answered?" It was kind of fun. I got to go to each site and ask questions. Two of the gentlemen on the site said they joined our company because of Matthew Gili. That was a real testament to his previous history there. One guy retired. He said, "I was going to retire, just go away, and Matt phoned me, and I wouldn't say no to Matt." He's running Ruby Hill for us now.
It was good to hear right from the horse's mouth, and they are a great team. I learned a lot on that trip.
That's all categories. Again, I'm very cautious not to give guidance. If you com-
That's our target.
That's a target. That's our target.
Pardon me?
Okay. I touched on it briefly. First stage is to completely fill the autoclave with high-grade material from the underground. The next stage is, one, the open pit at Granite Creek, develop that. That's an oxide heap leach pit. That's not going to interfere with the capacity of the autoclave. The next step is to fully explore all the aspects of Ruby. You've got oxide, high-grade oxide material there with a CIL plant on site. You've got a base metal deposit with a CIL plant that could be converted to a sulfide flotation plant. That would be the stages. At the end, you've got Mineral Point deposit at Ruby, which is over 5 million ounces just in itself.
Yes, Michael.
The drilling that we're doing right now is partially targeted specifically towards metallurgical testing. Mr. Ian Cole is running that program. No, in fact, you're not going to see that with the Lone Tree pit, Michael. What you'll see that with is, and we haven't targeted the date yet, but when we start updating the technical reports for Ruby Hill. When we do the resource update, you're not going to have that much detail. What you do have at Ruby. Look, there is a lot of historic information. Both Homestake and Barrick did a lot of metallurgical testing on all those different parts, including the concentrate from Blackjack and where the gold and silver. There's two concentrates. There's a lead and a zinc and the gold and silver credits are associated with lead, which is what. So there's a lot of testing there, but none of it's publishable yet.
We need to freshen that all up.
If there's no other questions, I urge everybody to stick around and we have some drinks and food at the back. Mingle with our management team and our board and ask any extra questions you might have. Thank you very much, everybody, for attending, both online and in person.