Core Insights - Highland Copper Company announced positive results from its 2025 metallurgical test work program for the Copperwood Project, indicating significant improvements in copper recovery and process efficiency [1][2][7] Metallurgical Test Work Program - The metallurgical test program initiated in Q1 2025 aimed to enhance the process plant design, incorporating ultrafine flotation technology and optimizing operating costs [2][8] - The redesigned process plant is expected to achieve copper recoveries of 87.6% at lower capital and processing costs, with a smaller scale and reduced power consumption [2][28] - Glencore Technologies is set to provide a performance guarantee related to the improved copper recovery estimates, reinforcing confidence in the test program's robustness [2][61] Engineering and Design Updates - The metallurgical update is a crucial part of Phase 1 detailed engineering, which focuses on finalizing design criteria for the process plant, mine, tailings, and water management [3][5] - Phase 1 engineering is overseen by Dr. Wynand van Dyk, who has extensive experience in mine design and operations [5] Process Circuit Optimization - The new mill-float-mill-float (MF2) circuit design includes a de-sliming stage, which allows for the rejection of up to 25% of mass from primary rougher tailings, leading to energy savings of 10% to 13.7% [8][20][28] - The optimized reagent scheme is projected to reduce operating costs by up to $1.00 per tonne milled while improving environmental, health, and safety performance [8][29] Performance Improvements - Kinetic rougher copper recoveries reached up to 92.4% at a target rougher concentrate grade of 4.5% copper, surpassing the 2018 baseline of 89.7% [8][35] - Locked-cycle tests confirmed up to 85.8% recovery at a 25% copper concentrate grade, demonstrating the effectiveness of the enhanced reagent scheme and MF2 configuration [8][40] Ultrafine Flotation Technology - The introduction of ultrafine flotation technology is expected to enhance the grade-recovery curve, crucial for project economics, while also reducing the processing plant's footprint and environmental impact [48][49] - Pilot-scale tests using the Jameson Cell have shown improved kinetics and recovery potential, affirming the value of this technology in the Copperwood flowsheet [52][60] Next Steps - The next steps include completing lock-cycle variability testing and confirming final process design criteria ahead of initiating Phase 2 of the detailed engineering program [9][8]

Core Viewpoint - The recent metallurgical test work at the Queensway project confirms high gold recovery rates and supports the feasibility study planned for Q4 2025 [1][9][19]. Group 1: Metallurgical Test Work - The program commenced in late 2024, focusing on master composites from the Keats West zone and re-evaluating low-grade samples from various zones [2][5]. - Approximately 660 meters of drill core, weighing 2,700 kilograms, was selected for testing, resulting in three master composites based on carbon content [6]. - The test results showed an average gold recovery of 89.2%, confirming the flowsheet presented in the preliminary economic assessment (PEA) [9][12]. Group 2: Mineralogical Studies - A mineralogical gold deportment study was conducted, revealing similar mineral assemblages across the tested zones, dominated by quartz, illite, chlorite, and albite [8][10]. - The Keats West Weak sample contained a significant amount of submicroscopic gold, accounting for 49% of its gold content [18]. Group 3: Future Plans - Additional metallurgical test work is planned, including a feasibility study level program, with results expected in the second half of 2026 [19]. - The company aims to establish a gravity/CIL flowsheet and optimize recovery processes for sulphide-associated mineralization [25]. Group 4: Company Overview - New Found Gold holds a 100% interest in the Queensway project, located in Newfoundland and Labrador, and has completed an initial mineral resource estimate and PEA [22][23]. - The company has a solid shareholder base, including a 23.1% holding by Eric Sprott, and is focused on growth and value creation at Queensway [23].