New Found Gold confirms 89.2% gold recovery at Queensway project

Published 02/09/2025, 22:06
New Found Gold confirms 89.2% gold recovery at Queensway project

VANCOUVER - New Found Gold Corp. (TSXV:NFG) (NYSE-A:NFGC), a mining company with a market capitalization of $7.86 billion and trading near its 52-week high, announced Tuesday that its Phase III Metallurgical Testing Program achieved an average 89.2% overall gold recovery from Keats West zone samples at its Queensway Gold Project in Newfoundland and Labrador. According to InvestingPro data, the company has demonstrated strong momentum with a 44.8% year-to-date return.

The metallurgical program, which focused primarily on the Keats West zone, confirmed the recovery rates used in the company’s preliminary economic assessment (PEA) and validated the production of a saleable gold concentrate.

Testing on the three Keats West master composites demonstrated gold recoveries ranging from 86% to 96%, with concentrate grades averaging 37.9 g/t gold and 3.1% arsenic. The company stated this concentrate is considered saleable.

Additional testing on lower-grade samples from the Keats, Golden Joint, Lotto, and Iceberg zones achieved average recoveries of 87% from rougher stage flotation, with further optimization work planned.

"We are pleased with the results of the most recent phase of metallurgical test work at Queensway, which confirms high gold recovery to a saleable gold concentrate from Keats West and the flowsheet outlined in the recently released Queensway PEA," said Keith Boyle, Chief Executive Officer, in the press release statement. Analysts maintain a positive outlook on the company, with price targets ranging from $89 to $107 per share. For detailed analysis and additional insights, access the comprehensive Pro Research Report available on InvestingPro.

The company has filed the technical report for the PEA dated September 2, 2025, and plans to commence a Feasibility Study level metallurgical program in Q4 2025, with results expected in the second half of 2026.

New Found Gold holds a 100% interest in the 175,450-hectare Queensway project, which covers a 110 km strike extent along two prospective fault zones. The company maintains a "GOOD" overall financial health score according to InvestingPro, which offers exclusive access to over 10 additional ProTips and detailed financial metrics for informed investment decisions.

In other recent news, National Fuel Gas Company reported its third-quarter earnings for fiscal year 2025. The company achieved an earnings per share of $1.64, surpassing the forecasted $1.53. However, its revenue fell short at $531.83 million compared to the expected $599.31 million. Meanwhile, New Found Gold Corp. announced the appointment of Tamara Brown to its board of directors following the company’s Annual General and Special Meeting. Shareholders approved the creation of Eric Sprott as a new "Control Person," which will be effective upon the closing of a previously announced non-brokered private placement. This placement involves up to 12,269,939 common shares priced at C$1.63 per share for gross proceeds of approximately C$20 million. The transaction is expected to close by August 27, pending regulatory approvals. These developments highlight recent strategic and financial activities within these companies.

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