New Found Gold hits shallow high-grade in Keats step-out

New Found Gold (TSXV: NFG) has released partial assay results for four holes completed at the Keats zone and for six initial holes completed at the Little-Powerline zone within its Queensway gold project in Newfoundland.

The Keats results included high-grade, near surface intercepts. Highlights were 10.4 metres of 22.5 grams gold per tonne from 11.7 metres and 15.9 metres of 31.4 grams gold per tonne starting at 45 metres. Both of these intervals were from hole NFGC-20-41, which extends the Keats zone by 50 metres to the north of the 2019 discovery hole that hit 19 metres of 92.9 grams gold per tonne.

“Veining in drilling to date at the Keats Zone is characterized by quartz and sulfide mineralization displaying consistent broad thicknesses in the range of 10m to 40m,” Greg Matheson, New Found Gold’s chief operating officer, said in a news release. “Good continuity is evident between holes with approximately 100m of strike now confirmed on this exciting high-grade zone. The zone remains open along strike and to depth, with geophysics, surface sampling, and wide-spaced drilling indicating at least 300m of prospective strike.”

Matheson added that the company plans to increase its drill count to eight drills, up from four, early this year to ramp-up the drilling at Keats and to test other targets along a five-km section of the Appleton fault zone and along three km of the JBP fault zone.

Initial drilling along the Little Powerline zone, on the west side of the Appleton fault and 1 km northwest of the Keats zone, returned 17.2 metres of 1.28 grams gold from 21.3 metres and 9.6 metres of 2.61 grams gold starting at 16.9 metres. In addition, one hole also hit 2 metres of 253.8 grams silver from 11 metres and 1 metre of 94.9 grams silver starting at 57 metres – these are the first high-grade silver intervals from Queensway with the silver mineralization identified next to the gold-bearing structures. Additional geological work is planned to follow-up on the silver intercepts.

New Found Gold wholly owns the 1,500-sq.-km Queensway property, 15 km west of Gander. This project includes over 105 km of strike along the Appleton and JBP fault zones. The company is completing a 200,000-metre drill program at the project.