NexGold Mining Corp. released new assay results from its ongoing infill drill program at the Goldboro Open Pit Gold Project in Nova Scotia

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NexGold Mining Corp. (NEXG:TSX.V; NXGCF:OTCQX; TRC1:FSE) released new assay results from its ongoing infill drill program at the Goldboro Open Pit Gold Project in Nova Scotia, highlighting a significant intersection of 40.09 grams per tonne (g/t) gold over 17.7 metres in drill hole BR-25-570. The results are part of a 26,854-metre diamond drill campaign aimed at improving geological continuity and refining the resource model for the proposed west pit.

The drilling program was designed to support an update to the Mineral Resource Estimate and inform a planned Feasibility Study update. According to NexGold, 118 holes—or about 84% of the total program—have now been reported. Assay results continue to show high-grade mineralization consistent with previous drilling. "We are encountering this style of mineralization at open pit depths with all intersected zones projecting to surface," said President and CEO Kevin Bullock in a company news release.

Highlights from the release include 6.75 g/t gold over 18.0 metres, 10.54 g/t over 6.6 metres, and 17.61 g/t over 1.6 metres in various drill holes. Notably, hole BR-25-570 returned individual samples of 1,010.00 g/t and 220.00 g/t gold over 0.5 metres, reinforcing the presence of high-grade gold at relatively shallow depths.

Drilling focused on the west pit of the Goldboro project, a site supported by an existing 2022 Feasibility Study. That study outlined a projected average annual production of 100,000 ounces of gold over an estimated 11-year mine life, with a projected after-tax net present value (NPV5%) of US$241 million at a gold price of US$1,600 per ounce. The initial capital cost was estimated at US$198 million, and average life-of-mine all-in sustaining costs (AISC) were projected at US$849 per ounce.

The drill results reported on July 30 follow multiple earlier updates from NexGold and are expected to contribute to a revised geological model. The company stated that mineralized zones are being refined to better reflect continuity and structural controls, especially in under-drilled or previously unsampled areas. Adjustments will be incorporated into a forthcoming Mineral Resource Estimate planned for the second half of 2025.

The Goldboro project remains fully permitted for surface development under provincial regulations and holds a completed Industrial Approval application, Crown Land Lease, and Environmental Assessment authorization. The project also benefits from previously established infrastructure plans, including a tailings storage facility and water management systems, all contained within a single watershed to minimize environmental impact.

Gold Holds Firm in 2025 as Safe-Haven Demand Persists

On July 16, volatility in the gold market was reflected in an intraday swing of nearly US$60, according to Kitco. The fluctuation followed uncertainty regarding the leadership of the Federal Reserve and related policy direction. Analyst Gary Wagner stated that the day’s trading activity underscored the market’s sensitivity to potential shifts in economic policy. Gold ended the session at US$3,359.10, a gain of US$22.40, with the weakening US dollar cited as a contributing factor.

Gold-backed exchange-traded funds (ETFs) saw marked growth in the first half of the year. A July 18 report from Josh Chiat of Stockhead, citing data from the World Gold Council, indicated that global gold ETF assets under management had risen 41% year-to-date to US$383 billion. Holdings reached 3,616 tonnes, the highest month-end total since August 2022. The World Gold Council commented that “gold — through its fundamentals — remains well positioned to support tactical and strategic investment decisions in the current macro landscape.”

A July 24 report from Yahoo Finance noted that gold and bitcoin each returned 28% year-to-date as of July 16. Roxanna Islam of TMX VettaFi stated that volatility in equity markets had increased investor interest in alternative assets such as gold and bitcoin ETFs. According to J.P. Morgan Asset Management, gold ETF assets under management reached US$170 billion in April. The SPDR Gold Shares ETF (GLD) and the iShares Gold Trust (IAU) remained the largest offerings, with US$102 billion and US$48 billion in assets, respectively.

Bloomberg reported on July 30 that Chinese investors had begun rotating out of domestic gold-backed ETFs amid renewed interest in equities. The country’s four largest gold ETFs recorded combined outflows of approximately 3.2 billion yuan (US$450 million) for the month, coinciding with a 5.5% gain in the CSI 300 Index—its strongest monthly performance since September 2024. According to Huaan Fund Management Co., the movement was largely driven by retail investors taking profits from gold to pursue equity momentum. While China remains a major consumer of physical gold, Bloomberg noted that ETFs have become one of the primary tools for retail exposure to the metal, and recent sideways trading in gold prices may have prompted short-term rebalancing. Analysts emphasized that this activity does not reflect a broad rejection of gold, but rather a temporary shift in response to market dynamics and policy-driven growth optimism in equities.

Analysts Cite Successes and Key Permitting Progress at Goldboro

On July 25, Ron Stewart of Red Cloud Securities reiterated a Buy rating on NexGold and maintained a target price of CA$1.35 per share. In his report, Stewart described the company’s July 22 drill results as the strongest so far in the ongoing program. “These are the best results reported to date,” he stated, highlighting high-grade intervals such as 304.00 grams per tonne gold over 0.50 meters and 286.00 g/t over 0.50 meters. Red Cloud noted that these intercepts reinforce confidence in the current mineral resource model and provide meaningful data for further modeling.

Stewart also acknowledged the discovery of new mineralized zones in areas that were previously considered unmineralized. He characterized these as “important new discoveries” with the potential to add upside in future resource evaluations.

The permitting process was also a focus in Red Cloud’s coverage. The firm emphasized that the Industrial Approval application had reached a key stage, stating, “The company has now reached an important milestone with the Industrial Approval application deemed complete by Nova Scotia.” A final determination is expected within the statutory review period.

In a June 27 research note, Jay Taylor of Gold, Energy & Tech Stocks reported on the company’s 25,000-metre diamond drilling campaign at Goldboro, which has uncovered new areas of mineralization. According to Taylor, “NexGold Mining Corp.'s 25,000m diamond drill program continues to intersect additional gold mineralization in areas where no mineralization was previously known or predicted.” He noted that the company is reviewing its geological model and will incorporate new assay data into a revised mineral resource estimate targeted for release in the second half of 2025.

Taylor also commented on permitting progress in a separate update on June 20. He noted that provincial regulators had advanced the company’s application for Industrial Approval, a key permit for surface mining activities. “NexGold Mining Corp. announced that the government of Nova Scotia has deemed the company's application for an industrial approval of a surface gold mine to be complete,” he wrote. The application now enters its final review stage, with a decision anticipated within 60 days.

Operational Momentum and Upcoming Catalysts

The Goldboro project represents one of NexGold’s two cornerstone assets, alongside the Goliath Gold Complex in Ontario. According to the company’s July 2025 investor presentation, Goldboro is projected to become one of Canada’s next permitted gold mines, with a phased development approach. The open pit component is expected to lead into potential underground expansion in later years, contingent on future drilling and feasibility analysis.

The company has already submitted the final applications for key federal authorizations under the Fisheries Act and Schedule 2 Amendment process. Industrial Approval from the Province of Nova Scotia is also underway, with a decision expected in the third quarter of 2025. These permitting steps represent final regulatory milestones ahead of potential project development decisions.

With a cash position of approximately US$21 million as of March 2025 and completed financings earlier in the year, NexGold stated in its presentation that it remains focused on advancing both its Goldboro and Goliath projects. The company emphasized its strategic advantage of owning multiple partially permitted Canadian gold assets and maintaining strong relationships with First Nations and local communities.

Ongoing drilling, final assay results, and the updated Mineral Resource Estimate for Goldboro are expected to be central to NexGold’s next phase of project development, alongside continued progress at the Goliath Gold Complex.

Ownership and Share Structure

The company notes that management and insiders own 2.9% of NexGold.  Institutions and strategic investors, including Frank Giustra who owns 7.0%, own 51.9% of the shares in the company.     

NexGold had 158.9 million shares issued and outstanding and a market cap of CA$129.2 million, following the closing of its recent CA$10 million bought deal private placement financing