The Financial Post reports in its Wednesday, Nov. 26, edition that Equinox Gold marked a milestone last week by pouring its first bar at its Valentine Lake goldfield in Newfoundland and Labrador, but it is also a sign that the province's mining sector is riding high, fuelled by high gold prices, successful exploration and federal support that extends to a long list of critical minerals, including fluorspar and manganese.
A Postmedia dispatch to the Post reports that mining now accounts for 9 per cent of Newfoundland and Labrador's real GDP, second only to oil extraction, and exploration spending is expected to hit $258-million in 2025, continuing four years of expenditures above $230-million and up from $169-million in 2021.
The Valentine Lake gold mine was the first greenfield project permitted in Atlantic Canada in more than 15 years. Originally developed by Marathon Gold, later acquired by Calibre Mining and now owned by Equinox, the project potentially positions the company as Canada's second-largest gold producer.
Company guidance indicates that once Valentine is in full production in the second quarter next year, it and Equinox's other mine in Northern Ontario could annually produce about 590,000 ounces of gold.
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