Gold mining in the province is quite under-discussed despite how fruitful it can be. This is why we thought it would be useful to put together a brief discussion on this topic. If this is something that you want to learn more about, read on as we break down everything that you need to know about gold mining in the province.
History of Gold Mining in the Province of Newfoundland
Gold wasn’t originally an important part of Newfoundland’s mining history since the 1970s, despite the significant gold mineralization that was discovered on the south coast of Newfoundland near Cape Ray. The Hope Brook deposit was discovered in 1984, and it opened in 1986 as Newfoundland’s first major gold mine. The mine operated until 1997, producing over 752,000 ounces of gold during its lifetime.
Now that gold prices have jumped again and several companies are reopening the old mines with modern methods and technologies, it’s not at all surprising to see a resurgence in gold mining. A few of these projects are about to become productive, and there has been some encouraging gold discovery in the Gander district, where several companies are actively developing these resources. The success stories at these properties have attracted a large number of exploration companies to target similar discoveries in the area.
Gold Exploration Activity in Newfoundland
The recent surge in gold prices has led to a sharp increase in gold exploration around the world. Although Newfoundland has not historically been a gold-mining hotspot, over the last few years there have been enough discoveries to prompt exploration companies to start paying attention.
In 2020, New Found Gold Corp. announced that it had begun drilling at its Queensway Project, 15 minutes from Gander along the central Newfoundland coast. The drill program being conducted was located in a broad fault zone parallel to the Appleton Fault and was tested for high-grade mineralization in quartz veins.
On October 2 of the same year, New Found Gold said they had intercepted 41.2 grams per tonne over 4.75 metres and 25.4 grams per tonne over 5.15 metres in a high-grade gold discovery at the Lotto Zone in northern Quebec, 2 kilometres north of the high-grade Keats Discovery. A 100,000-metre drilling program is underway at the site, using three diamond drill rigs.
Future of Gold Mining In the Province
Newfoundland may seem like an unlikely gold discovery destination, but the province is attracting significant interest due to the multiple gold deposits discovered there. It is a mining-friendly jurisdiction with reliable transportation and power infrastructure. Investors would be doing themselves a favour by staying abreast of developments in Newfoundland that might present exciting risk/reward investment opportunities.
We hope this article proves to be useful when it comes to furthering your understanding of gold mining in the province. As you can see, there’s more to gold mining in the province than you initially thought. Be sure to keep everything you learned here in mind so that you can best navigate the gold mining industry.
If you want to learn more about the Canadian gold sector, then you’ve come to the right place. Newfoundland Gold is an alliance of companies focused on the advancement of mineral exploration and mining projects in Canada’s Newfoundland. For more information on this, visit our website today!