New Found Gold secured a non‑binding term sheet for a $75 million loan facility from Nebari Natural Resources Credit Fund II, LP. The facility is structured in two tranches—$50 million at closing and a second $25 million tranche available later—at a fixed interest rate of 9.25 % over a 24‑month term with a six‑month extension option.
The loan will fund the Queensway Gold Project, covering long‑lead procurement, early construction, and the expansion of the Pine Cove Mill. The company targets first production at Queensway in late 2027, a schedule that the financing is designed to keep on track.
The financing complements expected cash flow from the Hammerdown Gold Project, which began production in November 2025 and is ramping to steady‑state output in 2026. By securing this debt, New Found Gold can accelerate Queensway development beyond what internal cash flow alone would allow.
"We are pleased to enter into the term sheet for this debt financing, which will support Phase 1 of our flagship Queensway Gold Project and enable us to remain on track with the development timeline outlined in our 2025 PEA," said CEO Keith Boyle. "Once the Loan Facility is in place, we will be well capitalized as we advance towards a formal construction decision later this year, taking us closer to production at Queensway, which showcases a solid low‑cost production profile via a phased mine plan, near‑term cash flow generation and significant upside through exploration, as we aim for first production in late 2027."
"Yes, we have gold production and that’s helped in the discussions of the project financing facility that we’re in discussions with now, because yeah, we have production and we’ll have cash flow," Boyle noted, adding that "access to the permitted mill and tailings saved us two, maybe three years on Queensway."
"Commencing EPCM work is a key milestone in advancing Queensway. We believe our rapid timeline from initial mineral resource in early 2025 to a planned first gold pour in late 2027 is supported by a unique combination of factors, namely: significant drilling and technical work completed on a deposit with an at‑surface, high‑grade core; ownership of the recently acquired Pine Cove operation, equipped with a fully permitted milling and tailings facilities; and being located in a mining‑positive region."
The loan’s fixed rate and relatively short term reflect lender confidence in New Found Gold’s project economics and management team. Securing debt at 9.25 % allows the company to transition from exploration to production while maintaining a low‑cost profile, generating near‑term cash flow from Hammerdown and positioning Queensway for a phased mine plan that can unlock additional upside through further exploration.
The Queensway project is a district‑scale development with a +110 km strike extent along two prospective fault zones. The company plans to submit its environmental registration in late Q1 2026 to initiate the assessment process, with an anticipated 45‑day approval window. The loan agreement also includes warrants to the lender, subject to TSX Venture Exchange approval.
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