Lab Report | July 22 Deep Dive on New Found Gold

CEO.CA Jul 22, 2026 22:37

Summary

New Found Gold's Queensway channel samples ran 23 grams per tonne over 15 metres; open-pit gold mines today average about 0.5 grams per tonne.

Lotto infill drilling returned 43.5 g/t over 4.75 metres, more than an ounce per tonne while gold trades above $4,000.

Channel samples taken from exposed veins that will be mined carry more weight than narrow surface samples, in the host's view.

Orogenic systems like Queensway often grow richer with depth, and an underground zone sits a few hundred metres below the pit.

Mining starts in roughly 18 to 20 months, while 39 million shares become free-trading 37 days after the release.

The lead point is a July 21, 2026 news release reporting channel samples of 23 grams per tonne of gold over 15 metres from exposed veins at the Queensway project in Newfoundland.
The guest says grades of that magnitude are far more meaningful than a small surface sample, because the channel samples come from exposed veins the company would actually mine in an open pit.
Underground infill drilling at the Lotto zone returned 43.5 grams per tonne of gold over 4.75 metres and roughly 22 grams per tonne over 3.6 metres, with gold trading north of $4,000 per ounce at the time.
The company announced a $115 million financing on April 20, 2026 and closed it on April 27, and 39 million shares are set to come free trading 37 days after the July 22, 2026 video date.
The shares rose 22 cents on the news to an $860 million valuation, and the guest notes excavation work is under way at the Keats, Keats West, Iceberg and Lotto pits to refine and de-risk the model and mine plan.

Top takeaway The guest argues channel samples from exposed veins matter more than small surface samples, because they test the rock a mine would actually process, which is why he reads the Queensway result as an economic signal rather than a curiosity.
He benchmarks the reported grade against open pits being mined at roughly half a gram of gold per tonne today, calls that gap a cash machine, and says he sees a lot of blue sky in the company's economics as Queensway moves toward production.
He says the 18 to 20 month path to mining is right around the corner in mining terms, and argues the market is not yet giving credit to how shallow the system sits and how many pits sit along the Appleton Fault.
He treats the 39 million shares coming free trading in 37 days as a sentiment test rather than a certain overhang, arguing that if the shares do not get sold it tells you who bought the April financing and how committed they are.
He links the stock closely to the gold price, arguing a strong recovery in gold could let the shares match or outperform given the current news flow, and notes he is still getting familiar with the drill-hole database the channel launched the previous day.