In 1616, Sir William Vaughan, a Welsh lawyer and nationalist, purchased land on Newfoundland's Avalon Peninsula to establish New Cambriol as a self-contained Welsh settlement. Responding to severe poverty and limited prospects in his homeland, Vaughan envisioned a territory where Welsh speakers could thrive independently and maintain their cultural identity away from English influence, with communities designed to sustain themselves through agriculture and fishing.

When settlers arrived in 1617, they discovered inadequate accommodation and scarce provisions, a situation worsened by Vaughan's absence through illness and the colonists' lack of practical experience. With assistance from established colonizer Richard Whitbourne proving ineffective, the settlement deteriorated rapidly, leaving only six residents by winter 1619 who subsequently abandoned the project. Though Vaughan later pursued alternative settlement strategies around Trepassey and promoted the venture through published works in 1626, his vision of a functioning Welsh society in North America never took root.