Hammerdown Gold Project
Hammerdown Project Overview
The Hammerdown gold deposit is located approximately 5 km southwest of the Town of King’s Point and approximately 15 km northwest of the Town of Springdale in Newfoundland & Labrador. Hammerdown was developed and operated by Richmont Mines between the years 2000 and 2004 with a cut-off grade of 8.5 g/t Au while gold prices averaged US$325/oz. During its operation a total of 291,400 tonnes of ore were mined and milled, at an average grade of 15.83 g/t Au, recovering a total of 143,000 ounces of gold. All of the ore was processed at the Nugget Pond mill with an average gold recovery of 97.1%. Richmont Mines halted mining in 2004 due to low gold prices.
Geology & Mineralization
The Project is located in the northeastern extremity of the Appalachian Orogen of eastern North America, where it is predominantly underlain by Paleozoic volcanic rocks of the Newfoundland Appalachians within the Notre Dame Subzone of the Dunnage tectono- stratigraphic sub-division .
The rocks underlying the area are represented by volcano-sedimentary assemblages of oceanic supra- subduction zone (ophiolitic) and mature-arc derivations accreted to the ancient North American (Laurentian) continental margin during the Taconian Orogeny (Ordovician to Silurian) and further deformed during the Silurian-Devonian, post accretion, Acadian Orogeny Other geological elements cover portions of the property including Silurian sub-aerial to fluviatile sediments (conglomerates) of the Springdale Group to the southeast , Devonian intrusive rocks of the King’s Point Complex, Siluro-Devonian intrusive rocks of Burlington Granodiorite to the northwest , and Devonian granitic intrusive rocks of the Topsails Granite to the southwest . A suite of mafic volcanics (informally referred to as the Hammerdown Basalt) in the northeastern part of the area were removed from the Lushs Bight Group and reassigned to the Catchers Pond Group and the Lushs Bight Group.
The Property is host to numerous underexplored gold prospects and showings along with VMS style base metal mineralization. The Property is also host to four gold deposits two of which, the Hammerdown and Rumbullion have seen historical mining development.
The most important and well-defined gold deposits include the Hammerdown, Rumbullion, Muddy Shag and Orion deposits, which all occur within the Hammerdown Deformation Zone (HDZ). The HDZ is described has a 100-250 wide structural corridor of strong ductile to brittle shearing hosted in the uppermost units of the Catchers Pond Group. The historic Lochinvar VMS base metal deposit also occurs in the HDZ along with the Golden Anchor gold veins and Beetle Pond VMS alteration zone.
Technical Report
A copy of the Hammerdown technical report titled “Hammerdown Feasibility Study Technical Report Hammerdown Gold Project” dated effective August 15, 2022, with a report date of October 6, 2022, prepared by JDS Energy & Mining Inc.” can be accessed online under New Found Gold’s issuer profile on SEDAR+ at www.sedarplus.ca.