Provides Notice of Release of Fourth Quarter Financial
Results and 2023 Operational Outlook
(All amounts are in U.S. dollars unless otherwise
indicated)
TORONTO, Jan. 10,
2023 /CNW/ - New Gold Inc. ("New Gold" or the
"Company") (TSX: NGD) (NYSE American: NGD) reports fourth
quarter and annual operational results for the Company as of
December 31, 2022. The Company is
also providing notice that it will release its fourth quarter and
full year 2022 financial results and 2023 operational outlook
before markets open on Thursday, February
16, 2023.
"New Gold was faced with several challenges in 2022, but our
teams remained resilient executing on our plans, and as a result,
our operations met all updated production guidance targets", stated
Patrick Godin, President and CEO.
"In the fourth quarter, Rainy
River delivered the strongest quarter of the year, driven by
a 25% increase in quarter-over-quarter grades as higher grade
underground ore was introduced to the mill, which was partially
offset by lower throughput. At New Afton, the team achieved revised
guidance for both copper and gold, and successfully ramped up B3
production to the targeted rate of 8,000 tonnes per day, ahead of
plan. New Gold and its operations exit 2022 on a strong note, well
positioned for the new year."
Operational Highlights
Consolidated
|
Q4
2022
|
FY
2022
|
2022 Revised
Guidance
|
Gold eq. production
(ounces)1
|
97,824
|
347,054
|
325,000 -
365,000
|
Gold production
(ounces)
|
80,694
|
271,373
|
260,000 -
290,000
|
Copper production
(Mlbs)
|
6.9
|
31.1
|
25 -
35
|
Rainy River
Mine
|
Q4
2022
|
FY
2022
|
2022 Revised
Guidance
|
Gold eq. production
(ounces)1
|
71,221
|
235,194
|
230,000 -
250,000
|
Gold production
(ounces)
|
69,753
|
229,822
|
225,000 -
245,000
|
New Afton
Mine
|
Q4
2022
|
FY
2022
|
2022 Revised
Guidance
|
Gold eq. production
(ounces)1
|
26,603
|
111,860
|
95,000 -
115,000
|
Gold production
(ounces)
|
10,941
|
41,551
|
35,000 -
45,000
|
Copper production
(Mlbs)
|
6.9
|
31.1
|
25 -
35
|
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 Q4 2022 includes production of
110,133 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 Q4 2022
includes 6.9 million pounds of copper produced and 18,012 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.
|
Operating Key Performance Indicators
Rainy River
Mine
|
Q4
2022
|
Q4
2021
|
FY
2022
|
FY
2021
|
Tonnes mined per day
(ore and waste)
|
110,536
|
129,775
|
112,826
|
147,131
|
Ore tonnes mined per
day
|
34,667
|
33,885
|
22,965
|
39,716
|
Operating waste tonnes
per day
|
56,547
|
62,348
|
39,017
|
71,869
|
Capitalized waste
tonnes per day
|
19,323
|
33,542
|
50,843
|
35,546
|
Total waste tonnes per
day
|
75,870
|
95,890
|
89,860
|
107,415
|
Strip ratio
(waste:ore)
|
2.19
|
2.83
|
3.91
|
2.70
|
Tonnes milled per
calendar day
|
22,225
|
24,492
|
23,568
|
25,342
|
Gold grade milled
(g/t)
|
1.16
|
1.03
|
0.91
|
0.88
|
Gold recovery
(%)
|
92
|
92
|
91
|
89
|
Gold eq. production
(ounces)1
|
71,221
|
70,500
|
235,194
|
242,961
|
Gold production
(ounces)
|
69,753
|
68,356
|
229,822
|
234,469
|
New Afton
Mine
|
Q4
2022
|
Q4
2021
|
FY
2022
|
FY
2021
|
Tonnes mined per day
(ore and waste)
|
7,978
|
13,705
|
7,003
|
13,271
|
Tonnes milled per
calendar day
|
6,938
|
13,125
|
9,105
|
13,386
|
Gold grade milled
(g/t)
|
0.62
|
0.41
|
0.47
|
0.41
|
Gold recovery
(%)
|
86
|
81
|
84
|
81
|
Copper grade milled
(%)
|
0.57
|
0.67
|
0.51
|
0.70
|
Copper recovery
(%)
|
87
|
80
|
83
|
81
|
Gold eq. production
(ounces)1
|
26,603
|
41,074
|
111,860
|
175,972
|
Gold production
(ounces)
|
10,941
|
12,716
|
41,551
|
52,452
|
Copper production
(Mlbs)
|
6.9
|
14.2
|
31.1
|
61.7
|
Fourth Quarter 2022 Conference Call and Webcast
The Company will release its fourth quarter 2022 financial
results before markets open on Thursday,
February 16, 2023. 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/mX1v9XP9zGK
- 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
24329001
- To join the conference call without operator assistance, you
may register and enter your phone number at
https://connectnow1.accutel.com/EventMeet/rest/users/login?password=h5hnf4cq8qa76
to receive an instant automated call back.
- A recorded playback of the conference call will be available
until March 16, 2023 by calling North
American toll free 1-888-390-0541, or 1-416-764-8677 outside of the
U.S. and Canada, passcode 329001.
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.
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: the anticipated
timing with respect to the release of its fourth quarter and full
year 2022 financial results and 2023 operational outlook and the
associated conference call and webcast; and New Gold and its
operations being well positioned for the new year.
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) arrangements with First Nations and other
Indigenous groups in respect of the New Afton Mine and Rainy River
Mine being consistent with New Gold's current expectations; and (5)
there being no material disruption to the Company's supply chains
and workforce at either the Rainy River Mine or New Afton Mine
relating to COVID-19 or otherwise that would interfere with the
Company's anticipated course of action at its operations.
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; 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 John Ritter, General Manager of the New Afton
Mine and Gord Simms, General Manager of the Rainy River Mine.
Mr. Ritter is a Professional Engineer and member of the Engineers
and Geoscientists BC and Mr. Simms is a Professional Engineer and
member of the Engineers and Geoscientists BC. Mr. Ritter and Mr.
Simms are each 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.