Explorer Uncovers High-Grade Gold Potential in Nova Scotia Drills

1. NexGold Mining Corp. a billboard sponsor of Streetwise Reports and pays SWR a monthly sponsorship fee between US$4,000 and US$5,000. 
2. As of the date of this article, officers and/or employees of Streetwise Reports LLC (including members of their household) own securities of NexGold Mining Corp. 
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NexGold Mining Corp. (NEXG.V:TSXV; NXGCF:OTCQX; TRC1.F:FRA) announced encouraging initial results from its 25,000 meter diamond drill program at the Goldboro Project in Nova Scotia. The ongoing program, which began in January 2025, aims to upgrade Inferred and Indicated mineral resources within the open-pit portion of the deposit. Approximately 17,000 meters have been drilled so far using three rigs, with completion anticipated by the end of Q2.

The company released assay results from four diamond drill holes (BR-25-473, 479, 498, and 501), which were designed to "twin" historic drill holes previously under sampled. These results indicate broader-than-expected zones of gold mineralization and support the company's belief that gold occurs between previously sampled intervals and in newly recognized zones. One notable intercept from BR-25-498 returned 1.03 grams per tonne (g/t) gold over 18.9 meters, including 5.86 g/t over 1.6 meters, while BR-25-501 intersected 1.86 g/t over 10.9 meters, including a high-grade interval of 7.38 g/t over 0.6 meters.

CEO Kevin Bullock stated in the news release, "The results from the first four twinned holes confirm that gold mineralization is broader than in the historically under sampled diamond drill core and that there are additional gold intersections in areas of the deposit not previously sampled." He added that the data from this program will contribute to a 2025 Mineral Resource update and an updated Feasibility Study for Goldboro.

In addition to the drill update, NexGold reported that its Board of Directors granted 250,000 options to an officer of the company. These options vest in thirds over three years and carry an exercise price of CA$0.795. NexGold also announced a change in auditors, appointing PricewaterhouseCoopers LLP as its successor auditor following the resignation of RSM Canada LLP. The company confirmed there were no reportable events or modifications in audit reports for the past two fiscal years.

NexGold emphasized that its quality assurance program adheres to industry best practices, including dual-lab analysis, rigorous sample handling, and independent verification. Paul McNeill, P.Geo., VP Exploration, has reviewed and approved the technical information as a Qualified Person under NI 43-101.

Gold Sector Shows Structural Strength Amid Global Shifts

The gold sector continued to exhibit resilience in May, supported by structural shifts in global finance, rising central bank demand, and mounting investor interest in safe-haven assets. According to Frank Holmes in a May 12 commentary for USFunds, gold's formal recognition as a Tier 1 asset under Basel III banking regulations marked a significant regulatory milestone. Holmes wrote that this change allowed US banks to count physical gold at 100% of market value toward their core reserves, reflecting a broader shift in perception. "It's a long-overdue recognition of what many of us have known for decades: Gold is money," he stated. Holmes also noted that central banks had added 244 metric tons of gold to reserves in Q1, a figure 24% above the five-year quarterly average. He emphasized that this behavior signaled a strategic response to "currency debasement, geopolitical turmoil and runaway debt."

On May 13, Stewart Thomson observed in his Gold & Silver: Are Savvy Investors Onboard? update that market reactions in the West contrasted sharply with gold-buying behaviors in Asia. While many Western investors sold gold following positive trade news, Thomson said, "Nobody in China or India celebrates good news by getting rid of their gold. Instead, they wisely buy more." He described a technical setup on gold's price chart as entering a "buy zone for savvy investors," with longer-term dynamics such as global debt levels and shifting market leadership supporting sustained interest in gold and related assets.

A May 16 note from UBS, quoted by Bloomberg's Alessia Pierdomenico, cited recent market volatility as a key reason for gold's appeal. UBS Chief Investment Officer Mark Haefele stated, "Gold remains an important diversifier," highlighting its role for investors looking to hedge exposure to US assets. The bank also tracked substantial flows out of State Street's SPDR Gold Shares ETF, with 285,750 ounces, or roughly US$926 million in bullion, pared in a single session, suggesting growing institutional repositioning within the sector.

Also on May 16, Sprott strategist Paul Wong offered a broader geopolitical context for gold's strength. In the Stockhead Gold Digger column, Wong pointed to what he called a "rapidly deglobalising" world, arguing that gold was well-suited to serve as a neutral benchmark asset in a fractured monetary system. "Gold has a large and liquid market, making it accessible for central banks and financial institutions," Wong said. He described the metal as "politically and monetarily neutral," emphasizing its potential utility in a "multi-asset reserve system" where traditional assets like US Treasuries were exhibiting increased volatility. Wong also noted that central banks had purchased more than 1,000 tonnes of gold annually over the past three years, suggesting sustained demand.

Advancing Dual Projects With Significant Growth Potential

NexGold's Goldboro and Goliath Projects are among Canada's most advanced near-permitted gold developments. According to the company's April 2025 investor presentation, the Goldboro Project is supported by a 2022 Feasibility Study projecting a 10.9-year open-pit mine life and average annual production of 100,000 ounces of gold. The study reported an after-tax net present value (NPV) of CA$328 million and a 25.5% internal rate of return (IRR) at a gold price of US$1,600 per ounce. Average all-in sustaining costs (AISC) were estimated at US$849 per ounce.

Goldboro's development benefits from full provincial environmental approval, a granted mineral lease, and secured access to Crown land. Recent work has targeted additional mineralization to the west toward the historic Dolliver Mountain Gold Mine. Geophysical surveys and drilling suggest an extension of gold-bearing structures, with ongoing mapping and exploration to identify high-priority drill targets.

Meanwhile, NexGold's Goliath Gold Complex in Ontario includes three deposits and holds federal environmental approval. Its 2023 Prefeasibility Study outlines a 13-year mine life with average gold production exceeding 100,000 ounces annually in the first nine years. The project shows a post-tax NPV of CA$336 million and a 25.4% IRR at a gold price of US$1,750 per ounce. The AISC is projected at US$1,072 per ounce, with a two-year payback period.

With a pro forma cash position of approximately CA$21 million and analyst coverage from Cormark Securities, Red Cloud, and Paradigm Capital, NexGold is moving forward on both fronts. As Bullock stated, the company's dual-track strategy aims to create "significant value for shareholders, rightsholders and stakeholders," through both exploration and development activities.

NexGold Advances Feasibility Study With Emphasis on Lower Costs and Reduced Environmental Impact

In a March 15 report for J Taylor's Gold, Energy & Tech Stocks, Jay Taylor wrote that NexGold Mining Corp. was progressing with its upcoming feasibility study (FS), focusing on cost reductions and environmental considerations. The study, prepared in accordance with NI 43-101 standards, was reported to remain on track for completion in the second quarter.

Kevin Bullock, CEO of NexGold, stated that the study would reflect input from community consultations and was designed to reduce both initial and sustaining capital expenditures. He added that planned changes could "decrease the footprint of the Tailings Storage Facility (TSF) and overall project infrastructure," and potentially enable "an earlier closure of the TSF and Waste Rock Storage Facility," which could reduce long-term operational and financial assurance obligations beginning in Year 4.

Taylor also noted that NexGold had been working with a group of engineering and environmental consultants, including Ausenco, WSP, SLR Consulting Canada Ltd., Minnow Environmental Inc., RockEng, and SRK. These collaborations contributed to a revised project layout aimed at improving economic viability while maintaining a commitment to environmental stewardship. Further details of these adjustments were expected to be outlined in the final FS.

Ownership and Share Structure

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

Institutions own 26.5%.  

Strategic investors own 31.1%. Frank Guistra owns 7.0%, Sprott owns 6.3%. Extract owns 7.8%. First Mining owns 1.8%. Matrix owns 0.9%, and Teck owns 0.9%.   

NexGold had 157.6 million shares and a market cap of CA$115.0 million, following the closing of its recent C$10 million bought deal private placement financing.