Here it is again-the pine cove mill news release Ron Hampton https://newfoundgold.ca/news/new-found-signs-memorandum-of-understanding-with-maritime-resources-corp-for-use-of-the-pine-cove-mill/
New Found Signs Memorandum of Understanding With Maritime Resources Corp. For Use of the Pine Cove Mill
August 14, 2023 Vancouver, BC, August 14, 2023 – New Found Gold Corp. (“New Found” or the “Company”) (TSX-V: NFG, NYSE-A: NFGC) is pleased to announce that the Company has entered into a non-binding memorandum of understanding (the “MOU”) with Maritime Resources Corp. (“Maritime”) (TSX-V: MAE) pursuant to which the Company has been granted the right to conduct due diligence and exclusivity to negotiate with Maritime regarding a toll milling agreement at the existing Pine Cove Mill located at the Point Rousse project near Baie Verte, Newfoundland and Labrador.
Ron Hampton, Chief Development Officer of New Found, commented, “Queensway is a unique project, endowed with high-grade gold mineralization and ideally located for potential development. The project has several favourable attributes including –
- High-grade gold mineralization at many of the Queensway project’s zones starts in the bedrock just 3-6m below surface including at Keats, Iceberg and Keats West.
- Mineralization at Keats, Iceberg and Keats West is easily accessible and located less than one kilometre from the Trans-Canada Highway.
- Renewable hydroelectric sourced high-tension powerlines run directly across the project adjacent to the Keats, Iceberg and Keats West zones.
- The project is located 15km west of the Town of Gander and Gander International Airport.
- Gander and the surrounding towns provide a highly motivated and skilled local workforce.
- Newfoundland is currently ranked as the world’s #4 mining jurisdiction by the Fraser Institute, providing a highly supportive regulatory environment.
“This all bodes well for the potential to realize significant value through timely production. In my experience the opportunity to develop an early operation, even if at a smaller scale, allows for significant risk reduction. While we have plenty of work still to do to determine the viability of any such early production scenario, the option of having access to a gold processing facility located nearby is of significant interest.”
About Pine Cove Mill
The Pine Cove Mill is a fully permitted gold processing facility that was operating as recently as Q1 of this year and is rated at 1,400 tonnes per day with a large capacity tailings storage facility and access to port infrastructure. Pine Cove is located on the Baie Verte peninsula, approximately 270km from the Queensway project by paved highway.
Maritime Note Offering
In addition, the Company is pleased to announce that, pursuant to a brokered private placement, it intends to purchase non-convertible senior secured notes (the “Notes”) and common share purchase warrants of Maritime (the “Note Warrants”) for an aggregate purchase price of US$2,000,000 (the “Offering”). The Notes will be issued in US$1,000 increments, less 2.0% original issue discount on the principal amount of the Notes. The Note Warrants will entitle New Found to purchase common shares in the capital of Maritime equal to 40% of the aggregate principal amount of the Notes and will be exercisable until the maturity date of the Notes.
About New Found Gold Corp.
New Found holds a 100% interest in the Queensway Project, located 15km west of Gander, Newfoundland and Labrador, and just 18km from Gander International Airport. The project is intersected by the Trans-Canada Highway and has logging roads crosscutting the project, high voltage electric power lines running through the project area, and easy access to a highly skilled workforce. The Company is currently undertaking a 500,000m drill program at Queensway and is well funded for this program with cash and marketable securities of approximately $47.5 million as of August 2023.
Please see the Company’s website at www.newfoundgold.ca and the Company’s SEDAR+ profile at www.sedarplus.ca