New Found Gold Sold 6,035 Ounces of Gold in Q3 at $4,310 an Ounce
Key Facts
New Found Gold said the Hammer Down mine produced 4,863 ounces of gold and sold 6,035 ounces in the third quarter of 2026, at an average realized price of US$4,310 an ounce, or C$6,033. Average gold recovery was 85% during the period, according to preliminary operating results published by the company. The company said in September that the mine achieved commercial production on August 19, after meeting operating criteria over 60 consecutive days. The first-quarter figures for commercial production and sales give investors a more current picture of the mine's performance than the production-start announcement alone. The company is scheduled to release its third-quarter financial and operating results after the market close on November 11.
The commercial production criteria included average mill throughput of about 748 tonnes a day, gold recovery of 87.7%, and an average feed grade of 2.92 grams of gold per tonne over 60 consecutive days. Average recovery recorded in the third quarter was 85%, according to the company's operating update. The figures therefore cover different periods: the commercial production announcement was based on 60 consecutive days, while the recovery figure covers third-quarter results. Cumulative production from the start of 2026 through the end of September was 10,670 ounces, compared with sales of 10,879 ounces. These figures show the mine's production and sales since the start of the year, alongside the standalone quarter's data.
On the balance sheet, cash and equivalents were about C$167 million on September 30, compared with about C$194 million on June 30, while debt remained at C$70 million on both dates. In the first half of 2026, the company recorded total revenue of C$25,609,997, including C$25,541,342 from gold and C$68,655 from silver. Quarterly revenue rose from C$9.9 million in the first quarter to C$15.7 million in the second quarter, after the company recorded no revenue in the first three quarters of 2025. Income from mine operations was C$1.9 million in the second quarter, compared with C$1.4 million in the first quarter. Revenue comes from sales of refined gold; raw gold doré produced at the Pine Cove mill from Hammer Down ore is shipped to the Royal Canadian Mint for refining before the gold and accompanying silver are sold.
On the scheduled call on November 12 at 9:00 a.m. Eastern time, management will discuss the third-quarter financial and operating results. For its operating plans, the company expects to complete the primary crusher and sorter work in the fourth quarter of 2026, then commission them and increase production in the first quarter of 2027. It also plans to convert and expand the Pine Cove mill from a capacity of 700 tonnes a day to 1,400 tonnes a day, targeting completion of the conversion in the fourth quarter of 2027. The company expects the life-of-mine production rate to range between 20,000 and 25,000 ounces of gold a year, with all-in sustaining costs of about US$2,500 an ounce. It said it will provide annual guidance later.