The latest assay results from New Found Gold (TSX-V: NFG; NYSE-A: NFGC) show near-surface, high-grade mineralization at its Lotto zone in northeast Newfoundland.
The drilling shows that Lotto North is in fact a new, shallow and brittle fault zone north of Lotto proper, which hosts high-grade, epizonal-style gold mineralization in a north-south striking open-ended structure.
Highlights from recent drilling at Lotto North include intervals of 37.36 grams gold per tonne from 69.45 to 71.5 metres depth in NFGC-22-690, 33.79 grams gold per tonne from 74.6 to 77 metres depth in NFGC-22-661, and 22.18 grams gold per tonne from 49.8 to 52 metres depth in NFGC-22-717, the company said in a news release on Wednesday.
Lotto is part of the Vancouver-headquartered junior's larger, 100%-owned Queensway gold project, about 15 km west of Gander, N.L. The company has completed about 74% of a planned 400,000-metre drill program, exploring prospective segments of the Appleton Fault Zone, west of Lotto. Assay results for about 60,000 metres of core remain pending.
Melissa Render, New Found's VP Exploration said the reconnaissance drilling has been designed to find new discoveries within the more than 200-metre-wide window surrounding Appleton.
"The program is working, adding more discoveries along this 3.2 km-long section of the fault. With today's announcement of high-grade gold at Lotto North and the recent discovery made at Keats West, we continue to gain appreciation for the size of this system and its numerous expressions of near surface, high-grade gold, hosted in an extensive network of fault hosted veining," the geologist said.Highlights from the Keats West discovery - south of Lotto - and announced on Sept. 27, include 17.86 grams gold per tonne over 4.2 metres found from 116.8 to 121 metres depth in NFGC-22-681, and 10.36 grams gold per tonne over 10.5 metres from 100.5 to 111 depth in NFGC-22-686. The intercepts were about 50 metres along strike.
The company has traced the Lotto-Keats corridor over a strike length longer than 3.2 km. The company has received the results from only four holes at Lotto North so far, with several other assays outstanding. Eighteen diamond drill holes have been completed to date.New Found's 1,500-sq.-km Queensway property comprises the high-grade Lotto, Keats, 515 and Golden Joint sites. The first hole drilled at Queensway in 2019 returned 92.9 grams gold per tonne over 19 metres.The junior's shares were trading at $4.94 apiece in Toronto on Wednesday, in a 52-week window of $4.03 and $9.89. It has a market cap of $834.3 million.