New Found Gold Closes Second Tranche of C$63 Million Bought Deal Financing Including Full Exercise of Underwriters' Over-Allotment Option

Core Viewpoint - New Found Gold Corp. has successfully closed the second and final tranche of its public offering, raising a total of C$63,480,000 through the sale of charity flow-through common shares and common shares, aimed at funding exploration activities at its Queensway Gold Project [1][2][6]. Offering Details - The second tranche included 24,610,000 charity flow-through common shares priced at C$2.29 each and 4,370,000 common shares priced at C$1.63 each, with gross proceeds of C$63,480,000 [1][2]. - The second tranche raised C$21,400,050 from the sale of 9,345,000 charity flow-through common shares, including the full exercise of the over-allotment option [2]. Underwriting and Fees - The offering was conducted under an underwriting agreement with a syndicate led by BMO Capital Markets and included several other firms [3]. - The company paid a total cash fee of C$526,413.75 to the underwriters, which is 5.25% of the gross proceeds from the second tranche, excluding certain sales [5]. Use of Proceeds - Proceeds from the offering will be allocated to eligible Canadian exploration expenses related to the Queensway Gold Project, with all qualifying expenditures to be renounced in favor of the subscribers by December 31, 2025 [6]. Regulatory Approvals - The offering is subject to receiving all necessary regulatory approvals, including final approval from the TSX Venture Exchange for the listing of the shares [4]. Company Background - New Found Gold holds a 100% interest in the Queensway Gold Project located in Newfoundland and Labrador, which is recognized for its excellent infrastructure and skilled workforce [10]. - The company has completed an initial mineral resource estimate at Queensway and is currently conducting a preliminary economic assessment [10]. - Recent drilling has indicated new discoveries, highlighting the project's district-scale potential [11].