Provides Notice of Release of Third Quarter Financial
Results
(All amounts are in U.S. dollars unless otherwise
indicated)
TORONTO, Oct. 12,
2022 /CNW/ - New Gold Inc. ("New Gold" or the
"Company") (TSX: NGD) (NYSE American: NGD) reports third
quarter operational results for the Company as of September 30, 2022. The Company is also providing
notice that it will release its third quarter 2022 financial
results before markets open on Thursday,
November 3, 2022.
"We continued the positive momentum experienced in the summer
months and finished the third quarter on a strong note," stated
Renaud Adams, President & CEO.
"At Rainy River, underground
mining commenced during the quarter, and we continue to anticipate
underground material to start feeding the mill beginning in the
fourth quarter. With mining of the open pit main ODM zone
continuing its ramp-up, I look forward to Rainy River finishing the year strong. New
Afton had solid production improvement over the second quarter with
the continual ramp-up of B3. Last week we received the C-Zone
permit, a significant milestone for the mine, and our priority at
New Afton continues to be ramping up B3 production and advancing
C-Zone development. We remain on track to deliver on our updated
guidance."
Consolidated Operational Highlights
|
Q3
2022
|
Q3
2021
|
9M
2022
|
9M
2021
|
Gold eq. production
(ounces)1,2
|
91,021
|
105,628
|
249,230
|
307,359
|
Gold production
(ounces)2
|
70,147
|
72,210
|
190,679
|
205,849
|
Copper production
(Mlbs)
|
8.5
|
15.6
|
24.1
|
47.5
|
Rainy River Mine
Rainy River Mine (Open
Pit Mine only)
|
Q3
2022
|
Q3
2021
|
9M
2022
|
9M
2021
|
Tonnes mined per day
(ore and waste)
|
112,055
|
149,630
|
113,597
|
152,980
|
Ore tonnes mined per
day
|
24,701
|
52,917
|
19,022
|
41,681
|
Operating waste tonnes
per day
|
44,469
|
88,216
|
33,110
|
75,077
|
Capitalized waste
tonnes per day
|
42,885
|
8,497
|
61,465
|
36,222
|
Total waste tonnes per
day
|
87,354
|
96,713
|
94,575
|
111,299
|
Strip ratio
(waste:ore)
|
3.54
|
1.83
|
4.97
|
2.67
|
Tonnes milled per
calendar day
|
24,439
|
25,245
|
24,020
|
25,628
|
Gold grade milled
(g/t)
|
0.89
|
0.89
|
0.83
|
0.83
|
Gold recovery
(%)
|
91
|
89
|
91
|
89
|
Gold eq. production
(ounces)1
|
60,319
|
60,785
|
163,973
|
172,462
|
Gold production
(ounces)
|
58,719
|
58,557
|
160,069
|
166,113
|
New Afton Mine
New Afton
Mine
|
Q3
2022
|
Q3
2021
|
9M
2022
|
9M
2021
|
Tonnes mined per day
(ore and waste)
|
6,523
|
12,861
|
6,674
|
13,125
|
Tonnes milled per
calendar day
|
7,764
|
13,068
|
9,836
|
13,474
|
Gold grade milled
(g/t)
|
0.59
|
0.43
|
0.43
|
0.42
|
Gold recovery
(%)
|
85
|
83
|
83
|
81
|
Copper grade milled
(%)
|
0.64
|
0.72
|
0.50
|
0.72
|
Copper recovery
(%)
|
85
|
82
|
81
|
82
|
Gold eq. production
(ounces)1
|
30,701
|
44,843
|
85,257
|
134,898
|
Gold production
(ounces)
|
11,427
|
13,653
|
30,610
|
39,735
|
Copper production
(Mlbs)
|
8.5
|
15.6
|
24.1
|
47.5
|
Third Quarter 2022 Conference Call and Webcast
The Company will release its third quarter 2022 financial
results before markets open on Thursday,
November 3, 2022. A conference call and webcast will follow
at 8:30 am Eastern Time.
- Participants may listen to the webcast by registering on our
website at www.newgold.com or via the following link
https://app.webinar.net/rVqwoXNKjA9
- Participants may also listen to the conference call by calling
North American toll free 1-888-664-6383, or 1-416-764-8650 outside
of the U.S. and Canada, passcode
79467062
- A recorded playback of the conference call will be available
until December 3, 2022 by calling
North American toll free 1-888-390-0541, or 1-416-764-8677 outside
of the U.S. and Canada, passcode
79467062. An archived webcast will also be available at
www.newgold.com
About New Gold
New Gold is a Canadian-focused
intermediate mining Company with a portfolio of two core producing
assets in Canada, the Rainy River
gold mine and the New Afton copper-gold mine. The
Company also holds an approximately 5% equity stake in Artemis Gold
Inc. and other Canadian-focused investments. New Gold's vision is
to build a leading diversified intermediate gold company based in
Canada that is committed to the
environment and social responsibility. For further information on
the Company, visit
www.newgold.com.
Endnotes
|
1.
|
Total gold eq. ounces
include silver and copper produced/sold converted to a gold
equivalent. All copper is produced/sold by the New Afton Mine. Gold
eq. ounces for Rainy River in Q3 2022 includes production of
120,000 ounces of silver converted to a gold eq. based on a ratio
of $1,800 per gold ounce and $24.00 per silver ounce used for 2022
guidance estimates. Gold eq. ounces for New Afton in Q3 2022
includes 8.5 million pounds of copper produced and 22,672 ounces of
silver produced converted to a gold eq. based on a ratio of $1,800
per gold ounce, $4.00 per copper pound and $24.00 per silver ounce
used for 2022 guidance estimates.
|
|
|
2.
|
Numbers may not add up
due to rounding.
|
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, results, outcomes 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", "targeted", "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: anticipated timing with respect to the release of its third
quarter 2022 financial results and the associated conference call
and webcast; underground material starting to feed the mill and the
anticipated timing thereof; the continued ramp-up of mining of the
open pit main ODM Zone; intended priorities at New Afton, including
ramping up B3 production and advancing C-Zone development; and the
Company's ability to deliver on updated guidance.
All forward-looking statements in this news release are based on
the opinions and estimates of management that, while considered
reasonable as at the date of this news release in light of
management's experience and perception of current conditions and
expected developments, are inherently subject to important risk
factors and uncertainties, many of which are beyond New Gold's
ability to control or predict. Certain material assumptions
regarding such forward-looking statements are discussed in this
news release, New Gold's latest annual management's discussion and
analysis ("MD&A"), its most recent annual information form and
technical reports on the Rainy River Mine and New Afton Mine filed
on SEDAR at www.sedar.com and on EDGAR at www.sec.gov. 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
significant disruptions affecting New Gold's operations other than
as set out herein; (2) political and legal developments in
jurisdictions where New Gold operates, or may in the future
operate, being consistent with New Gold's current expectations; (3)
the accuracy of New Gold's current mineral reserve and mineral
resource estimates and the grade of gold, silver and copper
expected to be mined and the grade of gold, copper and silver
expected to be mined; (4) the exchange rate between the Canadian
dollar and U.S. dollar, and to a lesser extent, the Mexican Peso,
and commodity prices being approximately consistent with current
levels and expectations for the purposes of 2022 guidance and
otherwise; (5) prices for diesel, natural gas, fuel oil,
electricity and other key supplies being approximately consistent
with current levels; (6) equipment, labour and materials costs
increasing on a basis consistent with New Gold's current
expectations; (7) arrangements with First Nations and other
Aboriginal groups in respect of the New Afton Mine and Rainy River
Mine being consistent with New Gold's current expectations; (8) all
required permits, licenses and authorizations being obtained from
the relevant governments and other relevant stakeholders within the
expected timelines and the absence of material negative comments or
obstacles during any applicable regulatory processes; (9) there
being no significant disruptions to the Company's workforce at
either the Rainy River Mine or New Afton Mine due to cases of
COVID-19 (including any required self-isolation requirements due to
cross-border travel to the United
States or any other country or any other reason) or
otherwise; (10) the responses of the relevant governments to the
COVID-19 outbreak being sufficient to contain the impact of the
COVID-19 outbreak; (11) there being no material disruption to the
Company's supply chains and workforce that would interfere with the
Company's anticipated course of action at the Rainy River Mine and
the New Afton Mine; and (12) the long-term economic effects of the
COVID-19 outbreak not having a material adverse impact on the
Company's operations or liquidity position.
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: price volatility in the spot and forward markets for
metals and other commodities; discrepancies between actual and
estimated production, between actual and estimated costs, between
actual and estimated Mineral Reserves and Mineral Resources and
between actual and estimated metallurgical recoveries; equipment
malfunction, failure or unavailability; accidents; risks related to
early production at the Rainy River Mine, including failure of
equipment, machinery, the process circuit or other processes to
perform as designed or intended; 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 the permitting requirements
of each jurisdiction in which New Gold operates, including, but not
limited to: obtaining the necessary permits for the New Afton
C-Zone; uncertainties and unanticipated delays associated with
obtaining and maintaining necessary licenses, permits and
authorizations and complying with permitting requirements,
including those associated with the C-Zone permitting process;
changes in project parameters as plans continue to be refined;
changing costs, timelines and development schedules as it relates
to construction; the Company not being able to complete its
construction projects at the Rainy River Mine or the New Afton Mine
on the anticipated timeline or at all; volatility in the market
price of the Company's securities; changes in national and local
government legislation in the countries in which New Gold does or
may in the future carry on business; controls, regulations and
political or economic developments in the countries in which New
Gold does or may in the future carry on business; the Company's
dependence on the Rainy River Mine and New Afton Mine; the Company
not being able to complete its exploration drilling programs on the
anticipated timeline or at all; disruptions to the Company's
workforce at either the Rainy River Mine or the New Afton Mine, or
both, due to cases of COVID-19 or any required self-isolation (due
to cross-border travel, exposure to a case of COVID-19 or
otherwise); the responses of the relevant governments to the
COVID-19 outbreak not being sufficient to contain the impact of the
COVID-19 outbreak; disruptions to the Company's supply chain and
workforce due to the COVID-19 outbreak; an economic recession or
downturn as a result of the COVID-19 outbreak that materially
adversely affects the Company's operations or liquidity position;
there being further shutdowns at the Rainy River Mine or New Afton
Mine; significant capital requirements and the availability and
management of capital resources; additional funding requirements;
diminishing quantities or grades of Mineral Reserves and Mineral
Resources; actual results of current exploration or reclamation
activities; uncertainties inherent to mining economic studies
including the Technical Reports for the Rainy River Mine and New
Afton Mine; impairment; unexpected delays and costs inherent to
consulting and accommodating rights of First Nations and other
indigenous groups; climate change, environmental risks and hazards
and the Company's response thereto; tailings dam and structure
failures; actual results of current exploration or reclamation
activities; fluctuations in the international currency markets and
in the rates of exchange of the currencies of Canada, the United
States and, to a lesser extent, Mexico; global economic and financial
conditions and any global or local natural events that may impede
the economy or New Gold's ability to carry on business in the
normal course; compliance with debt obligations and maintaining
sufficient liquidity; taxation; fluctuation in treatment and
refining charges; transportation and processing of unrefined
products; rising costs or availability of labour, supplies, fuel
and equipment; adequate infrastructure; relationships with
communities, governments and other stakeholders; geotechnical
instability and conditions; labour disputes; the uncertainties
inherent in current and future legal challenges to which New Gold
is or may become a party; defective title to mineral claims or
property or contests over claims to mineral properties;
competition; loss of, or inability to attract, key employees; use
of derivative products and hedging transactions; counterparty risk
and the performance of third party service providers; investment
risks and uncertainty relating to the value of equity investments
in public companies held by the Company from time to time; the
adequacy of internal and disclosure controls; conflicts of
interest; the lack of certainty with respect to foreign operations
and legal systems, which may not be immune from the influence of
political pressure, corruption or other factors that are
inconsistent with the rule of law; the successful acquisitions and
integration of business arrangements and realizing the intended
benefits therefrom; and information systems security threats. In
addition, there are risks and hazards associated with the business
of mineral exploration, development, construction, operation 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 most recent annual
information form, MD&A and other disclosure documents filed on
and available on SEDAR at www.sedar.com and on EDGAR at
www.sec.gov. 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
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.
Technical Information
The scientific and technical
information contained in this news release has been reviewed and
approved by Patrick Godin, Executive
Vice President and Chief Operating Officer of New Gold. Mr.
Godin is a Professional Engineer and member of the Ordre des
ingénieurs du Québec. He is a "Qualified Person" for the purposes
of National Instrument 43-101 – Standards of Disclosure for Mineral
Projects.
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SOURCE New Gold Inc.