Explorer Hits 80 G/T Gold at Goliath West

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NexGold Mining Corp. (NEXG.V:TSXV; NXGCF:OTCQX; TRC1.F:FRA) announced additional drill results from its 25,000-meter diamond drill program at the Goliath Gold Complex in northwestern Ontario, revealing high-grade gold and silver intercepts at both the Goliath West and Far East areas. The Goliath Gold Complex includes the Goliath, Goldlund, and Miller deposits. This round of drilling included 3,759 meters at Goliath West and 2,328 meters at Far East.

At Goliath West, drill hole TL24-689 returned 10.25 grams per tonne (g/t) gold and 2.81 g/t silver over 4.78 meters, including a high-grade subinterval of 80.30 g/t gold and 13.60 g/t silver over 0.53 meters. Another notable intercept from TL25-692 showed 3.05 g/t gold and 2.06 g/t silver over 10.80 meters, including 29.30 g/t gold and 5.70 g/t silver over 0.75 meters. The drilling extended known mineralization down-dip and down-plunge below the current prefeasibility study (PFS) pit shell, with the deepest holes extending the mineralized envelope to approximately 450 meters below surface. According to the company, gold mineralization at Goliath West remains open at depth. 

Drilling at Far East, located eight kilometers east of Goliath, intersected gold and silver mineralization immediately below previously defined zones. TL24-685 intersected 1.71 g/t gold and 11.47 g/t silver over 6.02 meters, including 9.82 g/t gold and 56.90 g/t silver over 0.50 meters. The new results extend the zone down-dip by 170 meters to a depth of approximately 300 meters. Mineralization remains open at depth and along strike. 

"The high-grade gold mineralization at Goliath West represents potential extensions of the deposit below the planned open pit," said Kevin Bullock, President and CEO of NexGold, in a company news release. He added that the proximity of the newly intersected mineralization to the proposed processing plant is "significant," supporting future project longevity and mill feed.

The Far East drilling was supported by a US$200,000 grant from the Ontario Junior Exploration Program, which aids exploration in northern and Indigenous communities.

NexGold also disclosed a two-month corporate awareness agreement with Quantum Ventures Inc., valued at CA$175,000, to assist with media strategy and business outreach. The agreement is subject to TSX Venture Exchange approval.

Gold Sector Outlook Amid Market Turbulence and Shifting Macro Trends

Gold has continued to demonstrate strength as a safe-haven asset amid global macroeconomic and geopolitical uncertainty, with several analysts noting sustained demand and price momentum through April. According to Shad Marquitz in an April 11 commentary for Excelsior Prosperity, gold futures reached a new all-time closing high of US$3,254.90, with aftermarket trading pushing prices even higher. Marquitz observed that "it was gold alone that really separated from the rest of the markets and the rest of the traditional safe havens to be the shining light and refuge from the volatility and market chop." Despite a sell-off in both the U.S. dollar and long-term bonds, gold prices rose, indicating a divergence from traditional inverse correlations. Marquitz added that global central banks continued to accumulate gold, reinforcing its status as a store of value even as bond yields and the U.S. dollar weakened.

Also on April 11, the UBS Editorial Team raised its base case gold price forecast to US$3,500 per ounce, citing a "perfect storm" of supporting factors, including heightened geopolitical tensions, persistent inflation fears, and a reconfigured interest rate outlook. The team identified a "structural shift in gold allocations," driven in part by central banks systematically raising gold's share of total reserves. UBS expected central bank gold purchases in 2025 to reach 1,000 metric tons and raised its estimate for ETF net buying to 450 metric tons.

In an April 13 article for The Flying Frisby, Dominic Frisby emphasized that the recent gold rally had been led primarily by institutional and central bank buying rather than retail demand. He pointed to China's purchase of 570 tonnes of gold in 2024 and suggested that "every pullback has been bought" since the U.S. froze Russian sovereign assets. Frisby argued that gold had reclaimed its role as the true neutral reserve asset, writing, "Gold is your hedge against government . . .  Inert gold . . . doesn't care which side of the trade wars, the culture wars, or any other wars you're on."

Global Analyst Adrian Day, writing on April 14, placed gold's performance in the context of broader market trends and macroeconomic risks. He highlighted that "gold . . . responds well to uncertainty, whether geopolitical, economic, or monetary" and identified it as the asset "most likely to do well" if the current environment of stagflation and market weakness continues. Day noted that the drivers of gold's bull market — such as unsustainable government deficits and de-dollarization—remained intact, even as other asset classes faced valuation pressure or deteriorating fundamentals. He emphasized that gold's long-term value proposition had not been diminished by the latest economic developments.

NexGold Targets Lower Costs and Smaller Footprint in Upcoming Feasibility Study

According to Jay Taylor of J Taylor's Gold, Energy & Tech Stocks in a March 15 report, NexGold Mining Corp. was advancing work on its feasibility study (FS) with a focus on cost optimization and environmental refinement. Taylor noted that the FS, being prepared under NI 43-101 standards, remained on schedule for completion in the second quarter.

Company CEO Kevin Bullock stated that the planned optimizations incorporated feedback from community engagement efforts and aimed to reduce both initial and sustaining capital costs. Bullock explained that the modifications could "decrease the footprint of the Tailings Storage Facility (TSF) and overall project infrastructure," with the potential for "an earlier closure of the TSF and Waste Rock Storage Facility," lowering long-term operational and financial assurance obligations beginning in Year 4.

Taylor also reported that NexGold had collaborated with several engineering and environmental consultants—Ausenco, WSP, SLR Consulting Canada Ltd., Minnow Environmental Inc., RockEng, and SRK—over the past several months. These partnerships contributed to a refined project design that may enhance economic feasibility while maintaining a focus on environmental responsibility. The final FS was expected to further detail these improvements and clarify their role in shaping NexGold's development approach.

What's Next at Goliath and Goldboro

NexGold continues to advance development across its combined Goliath and Goldboro assets, which are among Canada's most advanced near-permitted gold projects. The Goliath Gold Complex has received federal environmental assessment approval and is supported by a robust February 2023 prefeasibility study, which is outlined in the NexGold Investor Presentation. The study outlines a 13-year mine life with an average production of 100,000 gold ounces annually for the first nine years and an after-tax net present value (NPV5%) of C$336 million at a US$1,750/oz gold price.

The PFS projects gold recoveries of 92.8% using a 6,500 tonne-per-day gravity and carbon-in-leach processing plant. All-in-sustaining costs (AISC) were estimated at US$1,072 per ounce. At higher gold prices, the project demonstrates strong sensitivity, with a post-tax NPV5% increasing to CA$493 million at US$1,950/oz.

Meanwhile, the Goldboro project in Nova Scotia is backed by a 2021 feasibility study outlining a phased open pit and future underground operation. It carries an after-tax NPV5% of CA$328 million and a 25.5% internal rate of return (IRR) at a US$1,600/oz gold price. Goldboro's high gold recovery rate of 95.8% and its fully lined tailings facility add to the project's operational profile.

The combined company, which includes the Goliath, Goldlund, Miller deposits as part of the Goliath Gold Complex, and Goldboro Gold Project, has over 4.7 million measured and indicated gold ounces and an additional 1.3 million inferred ounces across its properties. As of January 2025, NexGold held a pro forma cash balance of approximately US$25 million and a market capitalization of US$100.5 million. 

Ongoing exploration and recent intercepts at Goliath West and Far East could contribute to future resource updates and project scale, supporting the company's strategy to build a long-life mining operation in Ontario.

Ownership and Share Structure

The company notes management and insiders own 2.7% of NexGold. 

Institutions own 22.5%. 

Strategic investors own 35.7%. Frank Guistra owns 8.6% on a partially diluted basis. On a partially diluted basis, Sprott owns 9.3%. Extract owns 10.6%. First Mining owns 2.1%. Matrix owns 1.0%, and Teck owns 1.0%. 

NexGold had 143.6 million shares and a market cap of CA$100.1 million, prior to the closing of its recent CA$10 million bought deal private placement financing.