Exploration Highlights: Newfoundland

16th November 2021

 

Exploration projects from across the world are booming as the need for precious metals continues to rise. Today I will focus on Newfoundland Island, situated off the eastern coast of Canada. Newfoundland is home to a host of untapped and underexplored deposits, and promising results from exploration projects across the province has continued to impress in recent years. Recently prospectors have sparked new option- and joint- venture agreements and an increase in claim staking across Newfoundland. It seems there is a renewal of interest in the underexplored portion of eastern Canada with a focus on orogenic gold deposits hosted in veins cutting through the Canadian country rock.

The history of mining across Newfoundland has been dominated by gold discoveries. Nowadays companies are also focusing on the search for the next world class deposits of nickel-copper-cobalt and zinc-lead-copper, as well as other highly prospective precious metals such as uranium, tungsten, molybdenum, antimony, rare earths, and industrial minerals. Over the last two decades exploration has boomed in Newfoundland and Labrador with more than $80 M (CAD) spent on drilling in 2021 alone (see the table below).

Several recent projects have been turning heads and I would like to take a little time to dive into just a few of the projects that I feel are representative of the exciting push into exploration across the province.

Exploration Highlights

New Found Gold Corp. (TSXV: NFG) (NYSE American: NFGC) - https://newfoundgold.ca/

New Found Gold has made some exciting new discoveries at their flagship Queensway gold project in the Lotto and Golden Joint zones. Located on the Trans-Canada Highway, 15km west of the Gander Gold district, exploration efforts have been advancing fast. A 200,000 m drill campaign undertaken along the Appleton fault has yielded promising results and following the initial discovery of the Keats Zone (19 m of 92.9 g/t Au), drilling has consistently retuned high-grade mineralisation, extending 465m down plunge and remain open at depth. At the Lotto Zone 2 km north of Keats, initial holes retrieved up to 25.4 g/t Au over 5.15 m, with further drilling indicating downhole continuity with deeper results including intervals of 225 g/t Au over 2.5 m and more recently 150.3 g/t Au over 11.5m.

The most recent discovery, Golden Joint Zone, around 1km north of the Keats zone, indicated intercepts over 2.10 m of 64.94 g/t Au extending the main vein to around 235m vertical depth. Exploration is set to continue with two rigs targeting extension of the Golden Joint high-grade gold trends down-dip and along strike to the north and south.

The results have all proven to be very exciting, and they have driven an increase in property acquisition around the New Found Gold project. These are definitely ones to keep your eyes on!

Labrador Gold Corp. (TSX.V:LAB | OTCQX:NKOSF | FNR: 2N6) - https://labradorgold.com/

Labrador Gold have been fortunate lately with new discoveries located along their 100% owned Kingsway Project, within the highly prosperous Gander Gold district. The most recent high-grade gold mineralisation at Golden Glove, from assays of six grab samples, displayed grades ranging from 2.99 to 338.08 g/t Au. The Golden Glove is just one of six prospective gold targets along the 12 km length of the Appleton Fault within the Kingsway Project. Notable gold intersections near the surface include 276 g/t Au over 0.5 m and 44.08 g/t Au over 4.28 m. Roger Moss, President and CEO of Labrador Gold, recently stated that the Golden Glove discovery is the second new discovery of gold in the Kingsway Project since the finding of the aptly named “Big Vein” last year. Labrador Gold Corp anticipate that further deposits will be unearthed as exploration continues throughout the area.

Canterra Minerals Corporation (TSXV: CTM) (OTCQB: CTMCF) - https://canterraminerals.com/

Canterra recently caught the eye with an agreement between NorZinc Ltd and the affiliated NorZinc-Newfound which led to Canterra’s acquisition of four projects situated in central Newfoundland. Adding over 127km2 to their holdings in the Central Newfoundland Gold District, their total property now extends to more than 412km2. This concession in an underexplored and prolific VMS district incorporates old producers such as Teck’s Duck Pond mine. Canterra hopes to develop the Long Lake Deposit and the Wilding project adjacent to the Marathon and Berry gold deposits (more on this below).

The defined VMS systems within the project have significant expansion potential with numerous untested targets of interest. As an added bonus, strong average gold grades (>1 g/t) are seen at several deposits throughout the property. It is an exciting prospect that we will keep our eyes on in the near future.

Marathon Gold (TSX: MOZ) - https://marathon-gold.com/

The Valentine project, in Central Newfoundland, 100% held by Marathon, comprises of a series mineralised deposit along a 20km trend. The project, once completed, is said to be the largest gold mine in Atlantic Canada — a lovely feat for Marathon!  A March 2021 Feasibility Study outlined open pit mining and conventional milling operations over a thirteen-year mine life and an average gold production of 173,000 ounces of gold per year for the first 9 years. This is estimated to yield a 31.5% after-tax rate of return for Marathon Gold! The Project has estimated proven and probable mineral reserves of 47.1 Mt at 1.36 g/t Au and total measured and indicated resources (including reserves) of 56.7 Mt at 1.72 g/t Au.

Marathon have also recently realised further drill results from the ongoing campaign at the 1.5 km long Berry Deposit. The results highlight gold intercepts ranging from 1.35 g/t over 14m to 10.86 g/t over 2 m, and all but one of the fifteen drill intercepts with gold grades of above the 0.3 g/t cut off. The results offer the potential to expand the scope of deposit and shed some light onto further mineralisation.

Sokoman Minerals Corp. (TSXV: SIC) (OTCQB: SICNF) - https://sokomanmineralscorp.com/

Sokoman Minerals recently announced that recent drilling at 100% owned Moosehead property (Central Newfoundland) has intersected further high-grade gold mineralisation. Highlights from the most recent cores include 30.59 g/t Au over 2.75 m, 36.15 g/t Au over 0.35 m, and 32.72 g/t Au over 1.7 m. The company also announced that early-stage reconnaissance drill tests at gold bearing boulders intersected veining with variable sulphide mineralisation of mainly pyrite and arsenopyrite. Assays are pending with additional drilling programs planned for 2022. The news seems positive, and it will be interesting to see what Sokoman will be able to discover in the near future.

Sterling Metals Corp. (TSXV:SAG) - https://sterlingmetals.ca/

The first assays from a maiden drilling program from the polymetallic Sail Pond project (Silver-Copper-Lead-Zinc) located on the Great Northern Peninsula of Newfoundland were reported in late September. The first phase consisted of 16 drill holes with intercepts such as 1.05m of 649.77 g/t AgEq. A second phase has been launched to focus on the South Zone of the project and preliminary assays include the following highlights: 73.84 g/t AqEq over 11.1m and 1,096.59 g/t AgEq over 0.25m. The company has also announced an expansion of its current drill program from up to 8.5 km, and they have set several targets of well-developed polymetallic mineralisation from existing holes. Sterling Metals have also announced that it has completed its earn-in requirements from Altius Resources Inc. to gain 100% of the Sail Pond Project, and we look forward to hearing more good news as this project sails along.


References

https://www.gov.nl.ca/iet/files/mines-investments-mines-exploration-properties-map.pdf - Feburary 2021

https://www.gov.nl.ca/iet/files/MINFO-2020.pdf

https://www.gov.nl.ca/iet/mines/prospector/

Results and Drilling data from companies websites:

https://newfoundgold.ca/, https://sterlingmetals.ca/, https://sokomanmineralscorp.com/, https://marathon-gold.com/, https://canterraminerals.com/, https://labradorgold.com/.