New Found (NVO.V, LAB.V): Intercepts 41.2 g/t Au over 4.75 m and 25.4 g/t Au over 5.15 m in New High-Grade Discovery at the Lotto Zone, Located 2 km North of the High-Grade Keats
(TSXV: NFG) is pleased to announce results from NFGC-20-17, the first drill hole targeting the Lotto Zone (“Lotto”) as part of New Found’s recently commenced 100,000 m diamond drill program at its 100% owned Queensway High-Grade Gold Project (“Queensway”), 15 km west of Gander, Newfoundland.
- Two separate near surface, intervals of intense quartz veining with significant sulfide and visible gold were assayed on a rush basis and returned 41.2 g/t Au over 4.75m starting at 35 m down hole depth and 25.4 g/t Au over 5.15 m starting at 57 m down hole depth (see Figure 1). The orientation of these veins is uncertain and true widths may vary from 50% to 80%.
- Similar to the high-grade gold mineralization at Keats, the high-grade gold mineralization at Lotto displays characteristics suggestive of an epizonal orogenic depositional environment.
- The Lotto Zone is situated along a secondary structure occurring along the east side of the Appleton fault approximately 2 km north of the high-grade Keats Zone (“Keats”), site of New Found’s initial high-grade gold discovery at Queensway (see Figure 2).
- In addition to the two reported near surface high grade intervals with visible gold, NFGC-20-17 also intersected three other zones of quartz veining and sulphide mineralization within wider structurally deformed corridors. One of these was intersected at approximately 160 m down hole depth. At the Appleton fault itself two intervals of quartz veining and sulphide mineralization were intersected, one on the hangingwall and one on the footwall of an approximately 30 m wide zone (279 m to 308 m hole depth) of fault related fracturing and alteration.
- Assays are pending for the balance of NFGC-20-17 including for all these new intervals of quartz veining and sulfide mineralization.
Greg Matheson, P.Geo., Chief Operating Officer of New Found, stated: “We are delighted to encounter such impressive high-grade gold intervals in our first hole at the Lotto Zone. Hole NFGC-20-17 provides our first full geologic profile through the host stratigraphy on the east side of the Appleton fault. It is encouraging and exciting that at such an early stage in our exploration program, we now have two high-grade gold discoveries approximately 2 km apart yet within the same structural regime along the east side of the Appleton Fault Zone, with both areas demonstrating characteristics of epizonal style high-grade gold emplacement.”
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This news release increases the implied value of Labrador Gold and directly affects the value of Novo’s shareholdings in New Found Gold.
Note: This is not investment advice.