New Found Gold Targets 20,000 to 25,000 Ounces a Year as Hammerdown Enters Commercial Production - the deep dive

AI desk brief

New Found Gold declared commercial production at Hammerdown after 60 consecutive days meeting operating targets, with Pine Cove mill averaging 748 tpd versus a 600 tpd threshold and 700 tpd nameplate. Over the period, gold recovery averaged 87.7% versus an 80% target and feed grade averaged 2.92 g/t. The mine produced 9,140 oz in the first eight months of 2026, including 1,989 oz in August, selling at an average C$6,271/oz (US$4,532/oz).

Management now expects Hammerdown to produce 20,000-25,000 oz/year at AISC of about US$2,500/oz, roughly US$2,000 below the average realized price so far this year. The February 2026 PEA outlined a 13-year open pit operation with 251,300 oz recovered, after-tax NPV of C$199.2 million at 5% and C$415.1 million at US$5,000 gold. The company also said a crusher and ore sorter are due in Q4 2026, while the Pine Cove conversion to a 1,400 tpd gravity-carbon-in-leach circuit remains on schedule for Q4 2027.