The headline assay result, from 291m, was from a 65m down-plunge step-out hole at the Keats zone and the deepest interval returned to date at Keats, the company said.

President Denis Laviolette said it demonstrated the "outstanding" zone of high-grade gold was continuing and perhaps strengthening at depth.

"We couldn't be more excited to be continuing to intercept such a phenomenal interval on such a large step-out down plunge at Keats and this continues to build our confidence that Keats is a very significant high-grade gold discovery," he said.

The company believes the project has similarities to Kirkland Lake Gold's Fosterville mine in Victoria, Australia.

It appointed Douglas Hurst to its board earlier this month, saying as founder of Newmarket Gold, Hurst was intimately familiar with the high-grade Swan Zone discovery at Fosterville which had ultimately led to Newmarket's acquisition by Kirkland Lake.

New Found shares (TSXV: NFG), which listed in August 2020, shot up to an all-time high of C$11.16 intraday before closing up more than 18% on Friday to $10.86.

Canadian markets were closed yesterday for a public holiday.

At its latest close, it's capitalised at $1.6 billion (US$1.3 billion).

The company's market cap had broken through the $1 billion mark earlier this month on what was then its best intercept to date, of 17.7m at 124.4g/t.

New Found said with a working capital balance of about $79 million, it was well-funded to continue its 200,000m drill programme.

The rig count was expected to rise from seven to 10 this quarter.