New Found Gold Corp has announced significant high-grade gold discoveries during its step-out drilling program at the Dropkick Zone, located in Newfoundland. Among the standout results was an impressive 89.5 grams per ton of gold over 5.85 meters.
The company revealed these results in late February, marking a major milestone for the Dropkick Zone, which lies within its newly acquired Kingsway property. This property forms the northernmost part of New Found Gold’s larger Queensway Project, which has seen numerous gold discoveries along the Appleton Fault Zone (AFZ) further south.
These recent drilling results represent the highest-grade gold encountered to date on the Kingsway property. The Dropkick Zone, situated approximately 11 kilometers northeast of the primary discovery areas—Keats, Iceberg, and Keats West—confirms the extension of the gold mineral system much farther north than previously identified.
The mineralization at the Dropkick Zone spans a strike length of 535 meters, with gold-bearing zones reaching a vertical depth of 200 meters. The mineralization shares similar characteristics with the previously discovered areas, notably the presence of free coarse gold within fault-fill quartz veins embedded in siltstone and sandstone layers.
Keith Boyle, CEO of New Found Gold, emphasized the significance of these results, stating, “Results like these highlight the robustness of the gold mineral system associated with the AFZ. This exploration success at Dropkick underscores one of the primary reasons I joined New Found: the significant discovery potential and the opportunity for district-scale growth.”
While drilling to the northeast along the strike has returned lower gold grades, it has also revealed promising structural features indicative of productive mineralization zones.
The reported results mark the initial phase of drilling at Dropkick, with additional assays expected in the coming weeks. The company also plans further expansion drilling to test the structure along strike and at greater depths.
However, New Found Gold clarified that no economic evaluations have been conducted for the Queensway Project, which currently contains no defined resources or reserves.
The Queensway Project, located 15 kilometers west of Gander, Newfoundland and Labrador, offers robust logistical advantages, including proximity to Gander International Airport (18 km away), the Trans-Canada Highway, logging roads, and high-voltage power lines. Additionally, a skilled local workforce is easily accessible.
Central Newfoundland has emerged as a highly promising gold district, with multiple significant deposits along major fault structures. Two key mineralized trends—the AFZ and the Valentine Lake Shear Zone (VLSZ)—have driven exploration and development in the region.
Nearby, Calibre Mining Corp.’s Valentine Gold Mine, located on the VLSZ southwest of New Found Gold’s Queensway Project, is advancing toward commercial production. The mine is the largest gold project in the province, with open-pit mining operations in progress.
In related news, Calibre Mining recently raised USD$75 million through a private placement of unsecured convertible notes, bearing interest at 5.5 percent per annum.
Additionally, Labrador Gold (CVE: LAB) is conducting exploration on its Kingsway Project, which adjoins New Found Gold’s Queensway property along the AFZ, with a focus on high-grade gold mineralization akin to New Found Gold’s discoveries.
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