VANCOUVER, Sept. 11, 2014 /PRNewswire/ - New Gold Inc. ("New
Gold") (TSX:NGD) and (NYSE MKT:NGD) today provides an update on the
exploration results received from the New Afton C-zone since the
company's previously announced June
2014 mineral resource estimate. The C-zone is a continuation
of the New Afton copper-gold deposit that extends along strike and
below the B-zone block cave reserve that is currently being mined.
An update of the C-zone mineral resource estimate was provided on
July 7, 2014 which included
exploration results through the beginning of June from 88 holes
totaling 56,321 metres. Since the early-June data cut-off date for
the mineral resource estimate, assays have been received for an
additional 20 holes totaling 13,449 metres from drilling through
mid-August 2014. The additional holes
have focused both on upgrading the C-zone resource classification
and expanding it as it extends laterally to the west.
|
New Afton C-zone
Highlights post June 2014 Mineral Resource Update
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Drill
Hole
|
|
From
(metres)
|
|
To
(metres)
|
|
Interval
(metres)
|
|
Estimated
true
width
(metres)
|
|
Gold
(g/t)
|
|
Copper
(%)
|
EA-115
|
|
706
|
|
786
|
|
80
|
|
55
|
|
1.07
|
|
1.40
|
includes
|
|
728
|
|
752
|
|
24
|
|
|
|
1.82
|
|
2.51
|
EA-116
|
|
494
|
|
568
|
|
74
|
|
52
|
|
0.95
|
|
0.94
|
includes
|
|
494
|
|
534
|
|
40
|
|
|
|
1.49
|
|
1.50
|
EA-118
|
|
534
|
|
660
|
|
126
|
|
72
|
|
1.47
|
|
1.80
|
includes
|
|
534
|
|
612
|
|
78
|
|
|
|
1.96
|
|
2.36
|
EA-121
|
|
430
|
|
640
|
|
210
|
|
121
|
|
1.20
|
|
0.89
|
includes
|
|
448
|
|
524
|
|
76
|
|
|
|
1.92
|
|
1.01
|
EA-122
|
|
384
|
|
478
|
|
94
|
|
91
|
|
1.65
|
|
1.67
|
includes
|
|
394
|
|
444
|
|
50
|
|
|
|
2.39
|
|
2.30
|
EA-123
|
|
502
|
|
600
|
|
98
|
|
87
|
|
1.49
|
|
1.97
|
includes
|
|
532
|
|
574
|
|
42
|
|
|
|
2.04
|
|
2.56
|
EA-125
|
|
392
|
|
502
|
|
110
|
|
78
|
|
1.35
|
|
1.73
|
includes
|
|
392
|
|
428
|
|
36
|
|
|
|
2.26
|
|
3.34
|
EA-128
|
|
382
|
|
476
|
|
94
|
|
86
|
|
1.78
|
|
1.96
|
includes
|
|
384
|
|
444
|
|
60
|
|
|
|
2.49
|
|
2.69
|
EA-129A
|
|
658
|
|
724
|
|
66
|
|
54
|
|
1.33
|
|
1.67
|
includes
|
|
660
|
|
686
|
|
26
|
|
|
|
2.07
|
|
2.72
|
EA-132
|
|
492
|
|
582
|
|
90
|
|
80
|
|
1.30
|
|
1.89
|
includes
|
|
492
|
|
528
|
|
36
|
|
|
|
2.09
|
|
2.78
|
|
|
|
|
|
|
|
|
|
|
|
|
|
"We are very pleased with the continued progress of our C-zone
exploration program," stated Mark
Petersen, Vice President Exploration. "These latest drill
results continue to demonstrate good continuity of mineralization
and strong gold and copper grades throughout the C-zone."
Four underground diamond drills continue to actively explore the
New Afton C-zone, with two drills dedicated to upgrading the
resource and two drills focused on expanding the resource to the
west. The previously announced June
2014 mineral resource estimate will be updated at the end of
2014 to include the results of the 20 holes announced today as well
as the assay results from drilling through early November 2014. In total, the 2014 year-end
mineral resource estimate is expected to include data from 35 to 40
additional holes totaling approximately 25,000 metres when compared
to the June 2014 mineral resource
estimate shown below.
New Afton C-zone
Mineral Resource Estimate
|
|
June 2014 Mineral
Resource
|
|
Tonnes
(000s)
|
Gold
(g/t)
|
Silver
(g/t)
|
Copper
(%)
|
Gold
(Koz)
|
Silver
(Koz)
|
Copper
(Mlbs)
|
Measured
|
931
|
0.94
|
1.7
|
1.06
|
28
|
51
|
22
|
Indicated
|
33,941
|
0.76
|
1.9
|
0.86
|
832
|
2,084
|
646
|
Total Measured
& Indicated
|
34,872
|
0.77
|
1.9
|
0.87
|
860
|
2,135
|
668
|
Inferred
|
7,979
|
0.50
|
1.5
|
0.56
|
128
|
387
|
98
|
New Gold's project team is also furthering its engineering work
on the C-zone. The results of the additional 20 holes announced
today have been provided to the project team to support the
continued preliminary design work. New Gold plans to provide both
an updated mineral resource estimate and its preliminary
engineering scoping analysis for the C-zone in early 2015.
Quality Assurance
New Gold maintains a Quality Assurance / Quality Control
("QA/QC") program at the New Afton project using industry best
practices and is consistent with the QA/QC protocols in use at all
of the company's exploration and development projects. Key elements
of New Gold's QA/QC program include chain of custody of samples,
regular insertion of certified reference standards and blanks, and
duplicate check assays. Drill core is halved and shipped in sealed
bags to Actlabs Laboratories in Kamloops,
British Columbia. Check analyses are completed by SGS
Minerals Services, Vancouver, British
Columbia. Additional information regarding the company's
quality assurance processes is set out in the New Afton NI 43-101
Technical Report available at www.sedar.com.
Notes to Mineral Resource Statements
1) Mineral resources are classified as Measured, Indicated and
Inferred resources and are effective as of June 27, 2014 and reported based on the technical
and economic parameters consistent with the methods most suitable
for their potential commercial exploitation. Measured and Indicated
mineral resources do not have demonstrated economic viability.
Inferred mineral resources have a greater amount of uncertainty as
to their existence and potential economic and legal feasibility, do
not have demonstrated economic viability, and are exclusive of
mineral reserves.
2) Mineral resources for New Afton are based on the following
estimation parameters and are reported at a lower cut-off of 0.40%
copper equivalent:
New
Afton
|
Gold
|
Silver
|
Copper
|
Metal
price
|
US$1,400 per
ounce
|
US$24.00 per
ounce
|
US$3.25 per
pound
|
Metal
recovery
|
87.7%
|
73.5%
|
86.4%
|
Net
payable
|
97%
|
90%
|
96%
|
Refining
costs
|
US$6.00 per
ounce
|
US$0.50 per
ounce
|
US$0.075 per
pound
|
3) Additional details regarding mineral resource estimation,
classification, reporting parameters, key assumptions and
associated risks are provided in the company's July 7, 2014 news release, New Afton NI 43-101
Technical Report and its latest Annual Information Form which are
available at www.sedar.com.
About New Gold Inc.
New Gold is an intermediate gold mining company. The company has
a portfolio of four producing assets and three significant
development projects. The New Afton Mine in Canada, the Mesquite Mine in the United States, the Peak Mines in
Australia and the Cerro San Pedro
Mine in Mexico, provide the
company with its current production base. In addition, New Gold
owns 100% of the Blackwater and
Rainy River projects, both in
Canada, as well as 30% of the El
Morro project located in Chile.
New Gold's objective is to be the leading intermediate gold
producer, focused on the environment and social responsibility. For
further information on the company, please visit
www.newgold.com.
Cautionary Note Regarding Forward-Looking Statements
Certain information contained in this news release, including
any information relating to New Gold's future financial or
operating performance are "forward looking". All statements in this
news release, other than statements of historical fact, which
address events or developments that New Gold expects to occur are
"forward-looking statements". Forward-looking statements are
statements that are not historical facts and are generally, but not
always, identified by the use of forward-looking terminology such
as "plans", "expects", "is expected", "budget", "scheduled",
"estimates", "forecasts", "intends", "anticipates", "projects",
"potential", "believes" or variations of such words and phrases or
statements that certain actions, events or results "may", "could",
"would", "should", "might" or "will be taken", "occur" or "be
achieved" or the negative connotation of such terms.
Forward-looking statements in this news release include, among
others, statements with respect to: planned activities for 2014 and
2015 related to the C-zone exploration and project evaluation; the
timing, outcomes and expected completion date of such activities;
the potential to block cave the C-zone and extend New Afton's mine
life; and estimation of mineral reserves and resources and the
realization of such estimates.
All forward-looking statements in this news release are based on
the opinions and estimates of management as of the date such
statements are made and are subject to important risk factors and
uncertainties, many of which are beyond New Gold's ability to
control or predict. Certain material assumptions regarding our
forward-looking statements are discussed in this news release, New
Gold's MD&As, its Annual Information Form and the New Afton NI
43-101 Technical Report filed at www.sedar.com. In addition to, and
subject to, such assumptions discussed in more detail elsewhere,
the forward-looking statements in this news release are also
subject to the following assumptions: (1) there being no
signification disruptions affecting New Gold's exploration
activities; (2) political and legal developments in Canada being consistent with New Gold's
current expectations; and (3) the accuracy of New Gold's current
mineral reserve and resource estimates.
Forward-looking statements are necessarily based on estimates
and assumptions that are inherently subject to known and unknown
risks, uncertainties and other factors that may cause actual
results, level of activity, performance or achievements to be
materially different from those expressed or implied by such
forward-looking statements. Such factors include, without
limitation: significant capital requirements; price volatility in
the spot and forward markets for commodities; fluctuations in the
rates of exchange of the currencies of Canada and the
United States; changes in national and local government
legislation in Canada; controls,
regulations and political or economic developments in Canada; the speculative nature of mineral
exploration and development, including the risks of obtaining and
maintaining the validity and enforceability of the necessary
licenses and permits and complying with permitting requirements;
unexpected delays or costs associated with consulting and
accommodating the rights of First Nations and other Aboriginal
groups; the uncertainties inherent to current and future legal
challenges New Gold is or may become a party to; diminishing
quantities or grades of reserves and resources; loss of key
employees; actual results of current exploration; labour disputes;
and defective title to mineral claims or property or contests over
claims to mineral properties. In addition, there are risks and
hazards associated with the business of mineral exploration,
development and mining, including environmental events and hazards,
industrial accidents, unusual or unexpected formations, pressures,
cave-ins, flooding and gold bullion losses (and the risk of
inadequate insurance or inability to obtain insurance to cover
these risks) as well as "Risk Factors" included in New Gold's
disclosure documents filed on and available at www.sedar.com.
Forward-looking statements are not guarantees of future
performance, and actual results and future events could materially
differ from those anticipated in such statements. All of the
forward-looking statements contained in this news release are
qualified by these cautionary statements. New Gold expressly
disclaims any intention or obligation to update or revise any
forward-looking statements whether as a result of new information,
events or otherwise, except in accordance with applicable
securities laws.
Cautionary Note to U.S. Readers Concerning Estimates of
Mineral Reserves and Mineral Resources
Information concerning the properties and operations of New Gold
has been prepared in accordance with Canadian standards under
applicable Canadian securities laws, and may not be comparable to
similar information for United
States companies. The terms "Mineral Resource", "Measured
Mineral Resource", "Indicated Mineral Resource" and "Inferred
Mineral Resource" used in this news release are Canadian mining
terms as defined in the Canadian Institute of Mining, Metallurgy
and Petroleum ("CIM") Definition Standards for Mineral Resources
and Mineral Reserves adopted by CIM Council on May 10, 2014 and incorporated by reference in
National Instrument 43-101 ("NI 43-101"). While the terms
"Mineral Resource", "Measured Mineral Resource", "Indicated Mineral
Resource" and "Inferred Mineral Resource" are recognized and
required by Canadian securities regulations, they are not defined
terms under standards of the United States Securities and Exchange
Commission. As such, certain information contained in this
news release concerning descriptions of mineralization and
resources under Canadian standards is not comparable to similar
information made public by United
States companies subject to the reporting and disclosure
requirements of the United States Securities and Exchange
Commission.
An "Inferred Mineral Resource" has a great amount of uncertainty
as to its existence and as to its economic and legal
feasibility. Under Canadian rules, estimates of Inferred
Mineral Resources may not form the basis of feasibility of
pre-feasibility studies. It cannot be assumed that all or any
part of an "Inferred Mineral Resource" will ever be upgraded to a
higher confidence category. Readers are cautioned not
to assume that all or any part of an "Inferred Mineral Resource"
exists or is economically or legally mineable.
Under United States standards,
mineralization may not be classified as a "Reserve" unless the
determination has been made that the mineralization could be
economically and legally produced or extracted at the time the
Reserve estimation is made. Readers are cautioned not to
assume that all or any part of the Measured or Indicated Mineral
Resources that are not Mineral Reserves will ever be converted into
Mineral Reserves. In addition, the definitions of "Proven Mineral
Reserves" and "Probable Mineral Reserves" under CIM standards
differ in certain respects from the standards of the United States
Securities and Exchange Commission.
Technical Information
The scientific and technical information in this news release
has been reviewed and approved by Mark A.
Petersen, Vice President, Exploration of New Gold. Mr.
Petersen is an AIPG Certified Professional Geologist and a
"Qualified Person" under National Instrument
43-101.
Complete Drill Assay Summary
|
Drill Assay
Summary
|
|
|
|
|
|
|
|
Drill
Hole
|
From
(metres)
|
To
(metres)
|
Interval
(metres)
|
Estimated
True
Width
(metres)
|
Gold
(g/t)
|
Copper
(%)
|
EA14-114
|
0
|
150
|
150
|
|
|
No
assays
|
|
150
|
707
|
557
|
|
0.08
|
0.02
|
EA14-115
|
0
|
300
|
300
|
|
|
No
assays
|
|
300
|
706
|
406
|
|
0.13
|
0.03
|
C-zone
|
706
|
786
|
80
|
55
|
1.07
|
1.40
|
Includes
|
728
|
752
|
24
|
|
1.82
|
2.51
|
|
786
|
819
|
33
|
|
0.17
|
0.14
|
EA14-116
|
0
|
100
|
100
|
|
|
No
assays
|
|
100
|
494
|
394
|
|
0.13
|
0.03
|
C-zone
|
494
|
568
|
74
|
52
|
0.95
|
0.94
|
Includes
|
494
|
534
|
40
|
|
1.49
|
1.50
|
|
568
|
601
|
33
|
|
0.14
|
0.12
|
EA14-117
|
0
|
2
|
2
|
|
|
No
assays
|
|
2
|
630
|
628
|
|
0.08
|
0.04
|
C-zone
|
630
|
672
|
42
|
21
|
0.81
|
0.55
|
|
672
|
743
|
71
|
|
0.13
|
0.07
|
EA14-118
|
0
|
150
|
150
|
|
|
No
assays
|
|
150
|
534
|
384
|
|
0.23
|
0.04
|
C-zone
|
534
|
660
|
126
|
72
|
1.47
|
1.80
|
Includes
|
534
|
612
|
78
|
|
1.96
|
2.36
|
|
660
|
679
|
19
|
|
0.13
|
0.03
|
EA14-119
|
0
|
100
|
100
|
|
|
No
assays
|
|
100
|
418
|
318
|
|
0.11
|
0.03
|
C-zone
|
418
|
534
|
116
|
89
|
0.59
|
0.71
|
|
534
|
587
|
53
|
|
0.19
|
0.14
|
EA14-120
|
0
|
300
|
300
|
|
|
No
assays
|
|
300
|
612
|
312
|
|
0.10
|
0.02
|
C-zone
|
612
|
684
|
72
|
61
|
0.81
|
0.98
|
|
684
|
721
|
37
|
|
0.26
|
0.16
|
EA14-121
|
0
|
2
|
2
|
|
|
No
assays
|
|
2
|
430
|
428
|
|
0.15
|
0.04
|
C-zone
|
430
|
640
|
210
|
121
|
1.20
|
0.89
|
Includes
|
448
|
524
|
76
|
|
1.92
|
1.01
|
EA14-122
|
0
|
100
|
100
|
|
|
No
assays
|
|
100
|
384
|
284
|
|
0.08
|
0.03
|
C-zone
|
384
|
478
|
94
|
91
|
1.65
|
1.67
|
Includes
|
394
|
444
|
50
|
|
2.39
|
2.30
|
|
478
|
528
|
50
|
|
0.31
|
0.25
|
|
528
|
538
|
10
|
|
0.08
|
0.04
|
EA14-123
|
0
|
50
|
50
|
|
|
No
assays
|
|
50
|
502
|
452
|
|
0.16
|
0.07
|
C-zone
|
502
|
600
|
98
|
87
|
1.49
|
1.97
|
Includes
|
532
|
574
|
42
|
|
2.04
|
2.56
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Drill
Hole
|
From
(metres)
|
To
(metres)
|
Interval
(metres)
|
Estimated
True
Width
(metres)
|
Gold
(g/t)
|
Copper
(%)
|
EA14-124A
|
0
|
300
|
300
|
|
|
No
assays
|
|
300
|
714
|
414
|
|
0.15
|
0.03
|
C-zone
|
714
|
792
|
78
|
58
|
1.07
|
1.25
|
|
792
|
825
|
33
|
|
0.08
|
0.12
|
EA14-125
|
0
|
100
|
100
|
|
|
No
assays
|
|
100
|
392
|
292
|
|
0.08
|
0.03
|
C-zone
|
392
|
502
|
110
|
78
|
1.35
|
1.73
|
Includes
|
392
|
428
|
36
|
|
2.26
|
3.34
|
|
502
|
561
|
59
|
|
0.10
|
0.04
|
EA14-126
|
0
|
456
|
456
|
|
0.17
|
0.06
|
C-zone
|
456
|
650
|
194
|
98
|
0.85
|
0.75
|
Includes
|
490
|
556
|
66
|
|
1.47
|
0.93
|
Includes
|
624
|
650
|
26
|
|
0.96
|
1.53
|
|
650
|
654
|
4
|
|
0.11
|
0.05
|
EA14-127
|
0
|
150
|
150
|
|
|
No
assays
|
|
150
|
526
|
376
|
|
0.13
|
0.03
|
C-zone
|
526
|
648
|
122
|
72
|
0.98
|
1.28
|
Includes
|
570
|
596
|
26
|
|
1.61
|
1.78
|
Includes
|
620
|
648
|
28
|
|
1.22
|
1.63
|
EA14-128
|
0
|
100
|
100
|
|
|
No
assays
|
|
100
|
382
|
282
|
|
0.05
|
0.03
|
C-zone
|
382
|
476
|
94
|
86
|
1.78
|
1.96
|
Includes
|
384
|
444
|
60
|
|
2.49
|
2.69
|
|
476
|
522
|
46
|
|
0.26
|
0.32
|
|
444
|
548
|
104
|
|
0.07
|
0.09
|
EA14-129A
|
0
|
300
|
300
|
|
|
No
assays
|
|
300
|
658
|
358
|
|
0.09
|
0.03
|
C-zone
|
658
|
724
|
66
|
54
|
1.33
|
1.67
|
Includes
|
660
|
686
|
26
|
|
2.07
|
2.72
|
|
724
|
759
|
35
|
|
0.40
|
0.08
|
EA14-130
|
1
|
266
|
265
|
|
0.17
|
0.04
|
C-zone
|
520
|
632
|
112
|
76
|
0.76
|
0.95
|
Includes
|
550
|
584
|
34
|
|
1.60
|
1.62
|
|
632
|
718
|
86
|
|
0.15
|
0.05
|
EA14-131
|
0
|
100
|
100
|
|
|
No
assays
|
|
100
|
660
|
560
|
|
0.16
|
0.03
|
C-zone
|
660
|
728
|
68
|
52
|
1.15
|
1.24
|
Includes
|
660
|
684
|
24
|
|
2.08
|
2.12
|
|
728
|
758
|
30
|
|
0.05
|
0.07
|
EA14-132
|
0
|
150
|
150
|
|
|
No
assays
|
|
150
|
492
|
342
|
|
0.17
|
0.05
|
C-zone
|
492
|
582
|
90
|
80
|
1.30
|
1.89
|
Includes
|
492
|
528
|
36
|
|
2.09
|
2.78
|
|
582
|
630
|
48
|
|
0.09
|
0.05
|
EA14-133
|
0
|
300
|
300
|
|
|
No
assays
|
|
300
|
540
|
240
|
|
0.29
|
0.04
|
C-zone
|
540
|
658
|
118
|
57
|
1.01
|
1.28
|
Includes
|
594
|
630
|
36
|
|
1.99
|
2.27
|
|
658
|
712
|
54
|
|
0.06
|
0.04
|
|
|
|
|
|
|
|
Drill Hole
ID
|
UTM_North
(m)
|
UTM_East
(m)
|
Elevation
(masl)
|
Total
Depth
(m)
|
Azimuth
(degrees)
|
Inclination
(degrees)
|
EA14-114
|
5614591
|
674921
|
116.1
|
707
|
169.0
|
-62.7
|
EA14-115
|
5614808
|
674985
|
67.3
|
819
|
150.9
|
-55.8
|
EA14-116
|
5614715
|
675055
|
56.6
|
601
|
129.9
|
-52.9
|
EA14-117
|
5614602
|
675001
|
102.0
|
743
|
143.1
|
-65.8
|
EA14-118
|
5614593
|
674921
|
118.7
|
679
|
157.1
|
-57.0
|
EA14-119
|
5614715
|
675055
|
56.6
|
587
|
136.1
|
-51.2
|
EA14-120
|
5614808
|
674985
|
68.0
|
721
|
135.9
|
-49.9
|
EA14-121
|
5614602
|
675001
|
102.8
|
640
|
147.8
|
-60.4
|
EA14-122
|
5614715
|
675054
|
57.3
|
538
|
135.6
|
-46.1
|
EA14-123
|
5614592
|
674921
|
117.0
|
600
|
162.0
|
-53.8
|
EA14-124A
|
5614807
|
674986
|
66.7
|
825
|
150.4
|
-55.8
|
EA14-125
|
5614715
|
675055
|
56.7
|
561
|
146.1
|
-48.1
|
EA14-126
|
5614602
|
675001
|
102.6
|
654
|
159.0
|
-59.0
|
EA14-127
|
5614592
|
674921
|
116.9
|
648
|
154.1
|
-57.0
|
EA14-128
|
5614715
|
675055
|
56.8
|
548
|
153.1
|
-45.1
|
EA14-129A
|
5614806
|
674985
|
66.7
|
759
|
138.1
|
-52.1
|
EA14-130
|
5614602
|
675001
|
102.2
|
719
|
161.1
|
-65.1
|
EA14-131
|
5614715
|
675055
|
56.9
|
758
|
143.0
|
-64.2
|
EA14-132
|
5614593
|
674921
|
117.5
|
630
|
167.8
|
-53.1
|
EA14-133
|
5614806
|
674984
|
67.3
|
712
|
151.1
|
-45.9
|
Note: Drill hole
collar coordinates refer to UTM NAD 83-Zone 10 map
datum.
|
SOURCE New Gold Inc.