New Found Gold Declares Commercial Production at Hammerdown Gold Mine
New Found Gold has shifted Hammerdown into commercial production, backing its 13‑year mine plan with defined costs, output targets and safety performance.
Rhea-AI Summary
New Found Gold (NFGC) declared commercial production at its 100%-owned Hammerdown Gold Mine in central Newfoundland, effective August 19, 2026.
Commercial status followed 60 consecutive days with Pine Cove Mill throughput averaging ~748 tpd (above the 700 tpd nameplate), gold recovery of 87.7%, and average feed grade of 2.92 g/t Au, all exceeding thresholds set in the Hammerdown PEA. In the first eight months of 2026 Hammerdown produced 9,140 oz of gold, including 1,989 oz in August, at an average realized price of $6,271/oz Au (about US$4,532/oz Au).
The PEA outlines a 13-year open pit operation processing 3.2 M tonnes at 2.89 g/t Au with 251.3 koz recovered, an after-tax NPV5% of $199.2 M at a base gold price deck and $415.1 M at an upside case, and life-of-mine cash costs and AISC of US$2,149/oz and US$2,429/oz. The company now targets a run-rate of 20,000–25,000 oz Au per year at an AISC of about US$2,500/oz.
Positive
- Commercial production achieved after 60 days averaging ~748 tpd, 87.7% recovery and 2.92 g/t Au feed grade
- Hammerdown output 9,140 oz Au in first eight months of 2026, including 1,989 oz in August
- Realized gold price $6,271/oz Au (about US$4,532/oz) over first eight months of 2026
- PEA economics after-tax NPV5% of $199.2 M base case and $415.1 M upside case
- Life-of-mine cost profile cash costs US$2,149/oz and AISC US$2,429/oz in PEA
- Zero Lost Time Incidents over more than 262,049 person-hours worked in 2026
Negative
- None.
News Explained
Production has started, but planned processing upgrades remain incomplete: crusher and sorter work targets Q4 2026, and 1,400-tpd conversion targets Q4 2027.
Commercial production is underway, but two processing changes that could alter Hammerdown’s processing setup remain incomplete: crusher and sorter completion is anticipated in
The crusher and sorter are progressing on schedule; the company expects them to reduce crushing costs and enable higher-grade material delivery to the mill, while the Pine Cove expansion still requires an application for the
Key Figures
- Commercial production achievement
- August 19, 2026
- Hammerdown milestone after 60 consecutive days meeting production criteria
- Average throughput
- 748 tpd
- 60 consecutive days through August 19, 2026
- Gold recovery
- 87.7%
- 60 consecutive days through August 19, 2026
- Average feed grade
- 2.92 g/t Au
- 60 consecutive days through August 19, 2026
- Gold production
- 9,140 ounces
- Hammerdown, first eight months of 2026
- Average realized sale price
- C$6,271/oz Au
- First eight months of 2026
- Annual production run rate
- 20,000 to 25,000 oz Au
- Anticipated Hammerdown production run rate
- All-in sustaining cost
- US$2,500/oz Au
- Anticipated Hammerdown run-rate cost
Historical Context
-
Hammerdown ramp-up reported design-rate deliveries and 87% recovery toward commercial production
-
Pine Cove permit amendment supported planned circuit conversion before expanded production
24h Move is the share-price change in the day after each event; other market factors may also have contributed.
Key Terms
preliminary economic assessment technical
nameplate capacity technical
all-in sustaining costs financial
AI-generated analysis. How Rhea-AI works. Not financial advice.
All dollar amounts are in Canadian dollars unless otherwise stated.
Vancouver, British Columbia--(Newsfile Corp. - September 16, 2026) - New Found Gold Corp. (TSX: NFGC) (NYSE American: NFGC) ("New Found Gold" or the "Company") is pleased to declare commercial production at its
Commercial production was defined based on meeting three criteria on a sustained basis over 60 consecutive days. The criteria consist of throughput at the Pine Cove Mill ("Pine Cove" or the "Mill") of at least 600 tonnes per day ("tpd";
With the three criteria met, the milestone of commercial production was achieved on August 19, 2026, with average throughput of approximately 748 tpd,
"Achieving commercial production at Hammerdown on schedule is a major milestone for New Found Gold and the next step toward becoming Canada's next mid-tier gold producer," stated Keith Boyle, CEO of New Found Gold. "This achievement could only have been reached through the hard work and dedication of our operations team; to each and everyone of you I send my sincere gratitude. With commercial production underway at Hammerdown, we will continue to focus on delivering solid gold production, while advancing our flagship Queensway Gold Project to production."
Hammerdown produced a total of 9,140 ounces of gold in the first eight months of 2026, including 1,989 ounces of gold in August 2026. The average realized sale price over the first eight months of 2026 was
Health and Safety
During the ramp up period, the Mine and Mill has recorded Zero Lost Time Incidents after a total of over 262,049 person-hours worked in 2026.
Human Resources
New Found Gold has a total workforce of 445 people at Hammerdown and Pine Cove as of July 15, 2026, comprised of 94 employees and 351 contractors. The Company has created 65 new jobs to date at Hammerdown and Pine Cove and has hired all key positions. Over
Figure 1. Pine Cove Mill gold pour.
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Figure 2. Hammerdown Gold Mine aerial view.
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PEA Summary
The PEA returned an after-tax net present value at a 5 percent discount rate ("NPV
The PEA outlined a 13-year open pit project commencing in 2026, including one year of stockpile rehandling in 2038. With sorting, a total of 3.2 M tonnes of mineralized material at an average grade of 2.89 g/t Au will be processed with total gold recovery of 251.3 thousand ounces of gold.
Next Steps
The construction of the crusher and sorter are progressing on schedule for anticipated completion in Q4/26. Once operational, this equipment is expected to reduce crushing costs and allow for delivery of higher-grade material to the Mill.
Diamond drilling of the inferred mineral resource below the current stage one pit at Hammerdown is being completed in preparation for an updated mineral resource estimate in 2027.
Grade control drilling is ongoing in the Hammerdown open pit and is currently being modelled for use in refining grade control.
As previously announced, the Company plans to convert and expand Pine Cove from the current 700 tpd flotation-leach-Merrill-Crowe circuit to a 1,400 tpd gravity-carbon-in-leach ("Gravity-CIL") circuit, with the permit amendment to convert the circuit to Gravity-CIL received and the permit to expand to 1,400 tpd to be applied for in due course (see the New Found Gold press release dated July 6, 2026). The circuit conversion is progressing on-schedule and on-budget with an anticipated completion date of Q4/27.
With commercial production declared at Hammerdown, the Company anticipates a run rate of 20,000 to 25,000 oz Au produced per year at an AISC of approximately US
Qualified Person
The scientific and technical information disclosed in this press release was reviewed and approved by Keith Boyle, P.Eng., CEO, and a Qualified Person as defined under National Instrument 43-101. Mr. Boyle consents to the publication of this press release by New Found Gold. Mr. Boyle certifies that this press release fairly and accurately represents the scientific and technical information that forms the basis for this press release.
About New Found Gold Corp.
New Found Gold is an emerging Canadian gold producer with assets in Newfoundland and Labrador, Canada. The Company holds a
The Company's portfolio is further strengthened by its district-scale land package at Queensway, covering more than 110 km of strike length across two highly prospective faults zones, and a strong shareholder base, including renowned mining investor and cornerstone shareholder, Eric Sprott.
On August 26, 2026, the Company's shares began trading on the Toronto Stock Exchange under the symbol "NFGC", to align with its stock symbol on the NYSE American LLC.
Keith Boyle, P.Eng.
Chief Executive Officer
New Found Gold Corp.
Contact
For further information on New Found Gold contact us through our investor inquiry form on our website or contact:
Fiona Childe, Ph.D., P.Geo.
Vice President, Communications and Corporate Development
Phone: +1 (416) 775-2700
Email: contact@newfoundgold.ca
Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX) accepts responsibility for the adequacy or accuracy of this release.
Forward-Looking Statement Cautions
This news release contains certain "forward-looking statements" within the meaning of Canadian securities legislation, including statements relating to the Company becoming Canada's next mid-tier gold producer; the Company's focus on delivering solid gold production, while advancing its flagship Queensway Gold Project to production; the anticipated completion of the construction of the crusher and sorter, and the expected reduction in crushing costs and delivery of higher-grade material to the Mill; the completion of diamond drilling of the inferred mineral resource and the timing of an updated mineral resource estimate in 2027; the planned conversion and expansion of Pine Cove, with the permit amendment to convert the circuit to Gravity-CIL received and the permit to expand to 1,400 tpd to be applied for in due course, and the timing of the circuit conversion; the expected run rate of 20,000 to 25,000 oz Au produced per year at an all-in sustaining cost of approximately US
Cautionary Note Regarding the PEA
The PEA is preliminary in nature, it includes Inferred Mineral Resources that are considered too speculative geologically to have economic considerations applied to them that would enable them to be categorized as Mineral Reserves, and there is no certainty that the PEA will be realized. No Mineral Reserves are defined for the Project.
All-in Sustaining Cost
All in sustaining cost is a non-GAAP financial measure calculated based on guidance published by the World Gold Council ("WGC"). The WGC is a market development organization for the gold industry and is an association whose membership comprises leading gold mining companies. Although the WGC is not a mining industry regulatory organization, it worked closely with its member companies to develop these metrics. Adoption of the all-in sustaining cost metric is voluntary and not necessarily standard, and therefore, this measure presented by the Company may not be comparable to similar measures presented by other issuers. The Company believes that the all-in sustaining cost measure complements existing measures and ratios reported by the Company.
All-in sustaining cost includes both operating and capital costs required to sustain gold production on an ongoing basis. Sustaining operating costs represent expenditures expected to be incurred at the Project that are considered necessary to maintain production. Sustaining capital represents expected capital expenditures comprising mine development costs, including capitalized waste, and ongoing replacement of mine equipment and other capital facilities, and does not include expected capital expenditures for major growth projects or enhancement capital for significant infrastructure improvements.
Cash Costs
Cash Costs are reflective of the cost of production. Cash Costs reported in the MRE include mining costs, processing and water treatment costs, general and administrative costs of the mine, refining and transportation costs, silver revenue credits and royalties.
1 See the New Found Gold press release dated February 26, 2026 and Technical Report titled "New Found Gold Corp. Hammerdown Gold Project Preliminary Economic Assessment, Newfoundland and Labrador, Canada", with an effective date of February 18, 2026, prepared by WSP Canada Inc.
2 Note AISC is a Non-GAAP measure; AISC is calculated as the sum of doré transportation, treatment and refining charges, royalties, onsite operating costs, and sustaining capital costs, divided by the quantity of ounces sold. See notes below regarding cash costs and AISC.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/314490
FAQ
AI-generated questions and answers. How Rhea-AI works. Not financial advice.
What criteria did Hammerdown have to meet to be declared in commercial production?
Commercial production required a 60-day period with Pine Cove Mill throughput of at least 600 tpd (85% of 700 tpd nameplate), gold recovery of at least 80%, and feed grade of at least 80% of the mine plan head grade from the Hammerdown PEA. Over that period ending August 19, 2026, Hammerdown averaged about 748 tpd, 87.7% recovery and 2.92 g/t Au feed grade, satisfying all criteria.
What production and cost levels does New Found Gold expect at Hammerdown after commercial production?
With commercial production declared, the company anticipates Hammerdown will operate at a run rate of 20,000 to 25,000 oz of gold produced per year. It expects an all-in sustaining cost of approximately US$2,500/oz Au, which it states is in line with the Hammerdown PEA.
What are the key next steps for Hammerdown and the Pine Cove Mill?
Construction of a crusher and sorter is progressing on schedule for anticipated completion in Q4 2026, and is expected to reduce crushing costs and deliver higher-grade material to the Mill once operational. The company is converting Pine Cove from a 700 tpd flotation-leach-Merrill-Crowe circuit to a 1,400 tpd gravity-CIL circuit, with permit amendment for the circuit conversion received and completion targeted for Q4 2027.
How large is the Hammerdown workforce and where are employees drawn from?
As of July 15, 2026, Hammerdown and Pine Cove have a total workforce of 445 people, comprising 94 employees and 351 contractors. New Found Gold has created 65 new jobs to date at these sites, with over 90% of new hires from Newfoundland and Labrador and 60% of the workforce living within an hour’s drive of their workplace.
What are the main PEA parameters for the Hammerdown project?
The Hammerdown PEA outlines a 13-year open pit project starting in 2026, including one year of stockpile rehandling in 2038. With sorting, 3.2 million tonnes of mineralized material at an average grade of 2.89 g/t Au are expected to be processed, with total gold recovery of 251.3 thousand ounces. The PEA reports life-of-mine average cash costs of US$2,149/oz Au and AISC of US$2,429/oz Au.
What exploration and resource work is ongoing at Hammerdown?
Diamond drilling of the inferred mineral resource below the current stage one pit is underway in preparation for an updated mineral resource estimate planned for 2027. Grade control drilling in the Hammerdown open pit is also ongoing and is being modelled to refine grade control.