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New Found Gold Corp V.NFG

Alternate Symbol(s):  NFGC

New Found Gold Corp. is a Canada-based mineral exploration company. The Company is engaged in the acquisition, exploration, and evaluation of resource properties with a focus on gold properties located in Newfoundland and Labrador, Canada. The Company holds a 100% interest in the Queensway Project, which comprises an approximately 1,662 square kilometers area, located about 15 kilometers (km) west of Gander, Newfoundland and Labrador, and just 18 km from Gander International Airport. The Queensway Project is divided by Gander Lake into Queensway North and Queensway South. The Company also owns a 100% interest in the Kingsway property, which consists of 264 claims on three licenses covering approximately 77 square kilometers. The project is located approximately 18km northwest of the town of Gander, Newfoundland. The Company is undertaking a 650,000-meter drill program on Queensway. It has royalty interests underlying Keats South and several additional zones in Queensway.


TSXV:NFG - Post by User

Comment by BlindBoyon May 11, 2021 10:10am
197 Views
Post# 33172949

RE:most interesting

RE:most interestingIt is interesting, but we must remember that at the time, few geologists were very familiar with this sort of deposit in the manner QH was. The mine had operated as a (relatively) low grade open pit for a long time, and had begun to chase the ore below surface, as they depleted the upper bed. The mine was not a huge money maker at that time.

They had only recently begun to hit small pockets of high grade at the time QH made his visit, and few geologists had much familiarity with the sort of significance that "tip of the iceberg" might entail. 
That's why, based on QH's report, Sprott was able to accumulate over 30 million Newmarket within a brief window of time. 
And also, how, just a few months laterl, Kirkland Lake was able to secure a takeover of Newmarket for such a cheap price, paid in shares, zero cash, and only a modest premium to trading price of 9.4% .

Newmarket shareholders got shares in the new, merged KL at implied price of cdn$5.28 for their Newmarket shares, which was close to 2x the average price Sprott paid for a large portion of his Newmarket holdings, and how he emerged from the new (merged) Kirkland Lake with such a large share position.







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