- New Found Gold Corp. (TSXV:NFG; NYSE-A:NFGC) has completed its acquisition of a 100 per cent interest in Labrador Gold Corp.’s (TSXV:LAB) Kingsway Project in Gander, Newfoundland.
- New Found Gold has issued to 5,263,157 common shares to Labrador Gold valued at approximately C$20 million.
- The Kingsway Project contains 311 mineral claims covering 7,775 hectares and adjoins New Found’s Queensway Project along several borders.
- Shares of New Found Gold Corp. (TSXV:NFG) are trading at C$3.78, and shares of Labrador Gold Corp. (TSXV:LAB) are trading at C$0.10.
New Found Gold Corp. (TSXV:NFG; NYSE-A:NFGC) has completed its acquisition of a 100 per cent interest in Labrador Gold Corp.’s (TSXV:LAB) Kingsway Project in Gander, Newfoundland.
As part of the sale, which includes certain related assets of Labrador Gold, New Found Gold has issued to 5,263,157 common shares to Labrador Gold valued at approximately C$20 million.
When the acquisition was announced in April, New Found Gold chief operating officer Greg Matheson called it a significant building block to the district scale potential of its Queensway Project.
“We recognize the transformative exploration contributions by the LabGold team, making several early discoveries at Kingsway, and we look forward to continuing exploration and drilling aimed at unlocking its full potential,” Matheson said in a news release. “Kingsway today is reminiscent of Queensway when New Found acquired the project back in 2016 with numerous early discoveries and large swaths of underexplored structures that later evolved into significant mineralized zones. We like to think that Kingsway is entering its discovery phase.”
Location of the Kingsway Project (Source: Business Wire)
Kingsway Project details
- The Kingsway Project contains 311 mineral claims covering 7,775 hectares and adjoins New Found’s Queensway Project along several borders (see map above).
- The Kingsway Project contains many similar geological characteristics to the Queensway Project including more than 12 kilometres of presumed strike length along the Appleton Fault Zone.
- Exploration over the past several years by Labrador Gold has resulted in several high-grade gold discoveries including Big Vein, Pristine, and Golden Glove that display similar mineralizing styles to the Queensway Project.
About New Found Gold
New Found holds a 100 per cent interest in the Queensway Project 15 km west of Gander, Newfoundland and Labrador, and just 18 km 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.
About Labrador Gold Corp.
Labrador Gold Corp. is a Canadian based mineral exploration company focused on the acquisition and exploration of prospective gold projects in Eastern Canada. The company has approximately $6.4 million in working capital.
Shares of New Found Gold Corp. (TSXV:NFG) are down 0.53 per cent, trading at C$3.78, and shares of Labrador Gold Corp. (TSXV:LAB) are up 5.26 per cent, trading at C$0.10 as of 10:22 am ET.
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(Top photo of an outcrop of big vein at the Kingsway Project: Labrador Gold)