New Discovered Gold (TSX-V: NFG, NYSE-A: NFGC) says new drilling expands its Keats West discovery within the Queensway mission of central Newfoundland.
Gap NFGC-22-773 intersected 18.6 grams gold per tonne over 15.95 metres with mineralization beginning at a vertical depth of simply 8 metres, the corporate stated in a information launch on Wednesday.
The brand new intercept is situated up the sloping formation from two holes the corporate reported in September: NFGC-22-681 lower 4.2 metres grading 17.9 grams gold per tonne 200 metres away; and NFGC-22-686 returned 10.5 metres grading 10.4 grams gold, 150 metres from the brand new gap.
“At present’s outcomes affirm the importance of the Keats West discovery and point out that drilling has locked onto a brand new construction with confirmed potential,” Melissa Render, New Discovered vice chairman of exploration, stated within the launch. “The diploma of faulting, veining and pairing of each low and high-grade gold mineralization offers us nice enthusiasm.”
The lower-grade mineralization within the Keats West construction consists of a number of holes grading from 1.3 to three.4 grams gold over an interval of about 50 metres and ranging in cumulative width from 18 to 30 metres, the corporate stated.
New Discovered is without doubt one of the principal firms together with Labrador Gold (TSXV: LAB; US-OTCQX: NKOSF) and Exploits Discovery (TSXV: NFLD) and traders equivalent to Eric Sprott in a surge of exploration of the Appleton fault zone simply west of Gander, N.L. Proponents say the realm may someday rival areas just like the Abitibi gold belt in northern Ontario and Quebec, and northwest British Columbia’s Golden Triangle.
New Discovered’s newest drilling was performed in a brand new northeasterly course, whereas nearly all earlier drilling at Queensway was oriented northwest, Andrew Mikitchook, an analyst based mostly in Toronto for BMO Capital Markets, stated in a be aware on Wednesday.
“We can be looking forward to additional outcomes to see whether or not the brand new drill orientation continues to repay at Keats West,” Mikitchook stated. “The shallow nature of the mineralization lends itself properly to fast and cost-effective drilling.”
About 78% of New Discovered’s 400,000-metre drilling program at Queensway has been accomplished with about 67,000 metres of assay outcomes pending, the corporate stated.
New Discovered’s 1,500-sq.-km Queensway property additionally consists of the Lotto, Keats, 515 and Golden Joint websites. The primary gap drilled at Queensway in 2019 returned 92.9 grams gold per tonne over 19 metres.
New Discovered Gold employees on the Queensway gold mission in Newfoundland. Credit score: New Discovered Gold
Earlier this month, New Discovered reported outcomes from the Lotto North space, which is within the Appleton fault zone north of Keats West. These confirmed intervals of 37.36 grams gold over about 2 metres from 69.45 metres depth in NFGC-22-690, and 33.79 grams gold over 2.5 metres from 74.6 metres depth in NFGC-22-661.
Exploration chief Render on Wednesday stated the corporate would proceed to discover a 9.45 km-long section west of the earlier examine space.
“The invention of high-grade gold mineralization west of the Appleton fault is a comparatively new development,” she stated. “This solely furthers our pleasure as we proceed to discover new goal areas.”
BMO’s Mikitchook has an outperform score on New Discovered inventory and a goal worth of $10. It was buying and selling at $4.93 after briefly rising to $5.05 Wednesday morning, inside a 52-week vary of $4.03 and $9.64. The Vancouver-based firm is valued at $833.9 million.
