It’s no surprise to anyone that Canada’s Newfoundland is rich with hidden minerals. After all, its nickname as “The Rock” isn’t just a play on its status as an island; it’s also a bustling community full of economic, social, and cultural history grounded on the mining industry.
An Overview on Newfoundland’s Rich Mineral Resources
The diverse island full of mining opportunities is home to over 7,000 high-paying jobs and is a testament to its historical roots. Back in the 1830s, Joseph Jukes noted many of the island’s meteorological and geological opportunities. His exploration of the island’s rich geography was published in the Geography and Resources of Newfoundland in 1877.
Mining is closely tied to Newfoundland and Labrador’s history by being the main contributor to the province’s economy. In fact, their mines are rich in precious minerals containing nickel, copper, cobalt, iron, ore, and gold. Additionally, mining excavations for dolomite, limestone, and other commodities are also high-performing operations.
An Understanding of Mining’s Limitations
Geological explorations in Newfoundland started as early as 1866. From there, priests penetrated the Knob Lake-Burnt Creek area, now known as the Labrador-Quebec Iron Ore Trough. By the 1880s, the major iron and steel interests were found too inaccessible due to the high costs of transporting steel mills over the Mesabi Range area. This is one of the many hindrances that prevented long-term mining operations.
An Example in Short-Term Mining in Tilt Cove
Newfoundland found its first major mining development by 1864 in Tilt Cove, on its northeast coast. Miners found large copper deposits with potential traces of gold, which have been found here and there from 1864 till 1917. For several points in history, Tilt Cove was infamous for being among the world’s largest producers of copper.
Unfortunately, military conditions and ore grade accessibility forced a shutdown of these mines. It was only reopened in 1957 when it was rediscovered by the Maritime Mining Company. From then on, mining continued only until 1967.
An Emphasis on Rediscovering Mining in Newfoundland
Across the vast majority of cases, mining enterprises have been owned by anonymous powers and corporations. This is because mining is a speculative enterprise that requires plenty of capital, which can only be provided by international companies or well-off financial centres. After all, there’s no telling when a mine will run out completely. Additionally, there’s little interest in long-term sustainable development for these mining projects.
Over the past few years, there has been plenty of intermittent renewed interest in recycling Newfoundland’s rich mines. Recently, a strategic alliance was formed between Sokoman minerals Corp. and Benton Resources Inc. to explore gold opportunities in Newfoundland. On August 16, 2021, the group venture literally struck gold in the form of lithium mineralization.
Although it’s not the initial objective of Benton and Sokoman, their exploration of lithium finds has caught market attention. For this reason, there’s a high chance of lithium demand to climb higher as electrical vehicle sales skyrocket in the following years.
Every sector is dependent on its surrounding location as its basis for a business model. For example, resorts need to secure the best beachside sites to market the right experience to their clients. It’s a similar business opportunity being revitalized in Newfoundland today. This is why many investors are looking at Newfoundland as a modern-day gold rush for mineral exploration.
Achieving success in any industry requires a business to build connections with the right industry personalities. This is why our team at Newfoundland Gold is dedicated to helping businesses build the right network to succeed in the local mining market. If you’re interested in dabbling in mining in Newfoundland, contact us today!