Denver Gold Forum September 2013
Cautionary statements A ll monetary amounts in U.S. dollars unless otherwise stated Total cash costs shown net of by -product sales unless otherwise stated CA UTIONA RY NOTE REGA RDING FORWA RD-LOOKING STA TEMENTS Certain inf ormation contained in this presentation, including any inf ormation relating to New Gold’s f uture f inancial or oper ating perf ormance as well as inf ormation respecting Rainy Riv er and its assets, may be deemed “f orward looking”. All statements in this presentation, other than statements of historical f act that address e v en ts or dev elopments that New Gold expects to occur, are “f orward -looking statements”. Forward -looking statements are statements that are not historical f acts and are generally , but not alway s, identif ied by the use of f orward- looking terminology such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “f orecasts”, “intends”, “anticipates”, “projects”, “potential”, “believ es” or v ariations of such words and phrases or statements that certain actions, ev ents or results “may ”, “could”, “would”, “should”, “might” or “will be taken”, “occur” or “be achiev ed” or the negativ e connotation . Without limiting the f oregoing, examples of f orward-looking inf ormation in this presentation include, among others, statements with respect to: New Gold’s guidance f or production, cash costs, all -in sustaining costs, expenditures and cash f lows, modif ications to operations, the timing of dev elopment decisions, the estimation of mineral reserv es and resources and the realization of mineral reserv es and resources, the timing and amount of estimated f uture production (including mining and milling rates), the expected lif e of New Gold’s mines, expected f uture production costs (including cash costs) and the timing of completion of the acquisition of Rainy Riv er. All such f orward-looking statements are based on the reasonable opinions and estimates of management as of the date such statements are made and are subject to important risk f actors and uncertainties, many of which are bey ond New Gold’s ability to control or predict. Forward -looking statements are necessarily based on estimates and assumptions. In addition to assumptions specif ically identif ied in this presentation, the key assumptions and estimates are discussed in New Gold’s most recent interim management discussion and analy sis and technical reports f iled at www.sedar.com. The estimates and assumptions upon which the f orward-looking statements in this presentation are based are inherently subject to known and unknown risks, uncertainties and other f actors that may cause actual results, lev el of activ ity, perf ormance or achiev ements to be materially dif f erent from those expressed or implied by such f orward-looking statements. Such f actors include, without limitation: signif icant capital requirements; price v olatility in the spot and f orward markets f or commodities; f luctuations in the international currency markets and in the rates of exchange of the currencies of Canada, the United States, Australia, Mexico and Chile; impact of any hedging activ ities, including margin limits and margin calls; discrepancies between actual and estimated production, between actual and estimated Reserv es and Resources and between actual and estimated metallurgical recov eries; changes in national and local gov ernment legislation in Canada, the United States, Australia, Mexico and Chile or any other country in which New Gold currently or may in the f uture carry on business; taxation; controls, regulations and political or economic dev elopments in the countries in which New Gold does or may carry on business; the speculativ e nature of mineral exploration and dev elopment, including the risks of obtaining and maintaining the v alidity and enf orceability of the necessary licences and permits and comply ing with the permitting requirements of each jurisdiction in which New Gold operates, including, but not limited to: in Canada, obtaining the necessary permits f or Blackwater and the Rainy Riv er Gold Project; in Mexico, where Cerro San Pedro has a history of ongoing legal challenges related to our env ironmental authorization (EIS); and in Chile, where the courts hav e temporarily suspended the approv al of the env ironmental permit f or El Morro; the lack of certainty with respect to f oreign legal sy stems, which may not be immune f rom the inf luence of political pressure, corruption or other f actors that are inconsistent with the rule of law; the uncertainties inherent to current and f uture legal challenges N ew Gold is or may become a party to; diminishing quantities or grades of Reserv es; competition; loss of key employ ees; additional f unding requirements; rising costs of labour, supplies, f uel and equipment; actual results of current exploration or reclamation activ ities; uncertainties inherent to mining economic studies including the PEA f or Blackwater and the Rainy Riv er Feasibility Study f or the Rainy River Gold Project; changes in project parameters as plans continue to be ref ined; accidents; labour disputes; def ectiv e title to mineral claims or property or contests ov er claims to mineral properties; New Gold may be unable to successf ully complete the acquisition of all of the securities of Rainy Riv er or the completion of such acquisition may be delay ed or more costly than anticipated; uncertainties with respect to the successf ul integration of the business of Rainy Riv er within the business of New Gold; unexpected delay s and costs inherent to consulting and accommodating rights of First Nations; and uncertainties with respect to obtaining all necessary surf ace rights f or the Rainy Riv er Project. In addition, there are risks and hazards associated with the business of mineral exploration, dev elopment and mining, including env ironmental ev ents and hazards, industrial accidents, unusual or unexpected f ormations, pressures, cav e-ins, f looding and gold bullion losses (and the risk of inadequate insurance or inability to obtain insurance to cov er these risks) as well as “Risk Factors” included in New Gold’s (and, in respect to inf ormation related to the acquisition of Rainy Riv er Resources Ltd . ( “Rainy Riv er”), Rainy River and/or the Rainy Riv er Gold Project, in Rainy Riv er’s) disclosure documents f iled on and av ailable at www.sedar.com. Forward -looking statements are not guarantees of f uture perf ormance, and actual results and f uture ev ents could materially dif f er f rom those anticipated in such statements. All of the f orward-looking statements contained in this presentation are qualif ied by these cautionary statements. New Gold expressly disclaims any intention or obligation to update or rev ise any f orward-looking statements whether as a result of new inf ormation, ev ents or otherwise, except in accordance with applicable securities laws. All f ootnotes and endnotes hav e been shown at the conclusion of the presentation. 2
New Gold investment thesis Among Portfolio Invested Peer-leading lowest-cost A history of assets and growth of value producers with in top-rated experienced pipeline creation established jurisdictions team track record 3
Portfolio of assets in top-rated jurisdictions Mining investment – country rankings (1) Blackwater Mine Life: 15+ years # 2 New Afton Mine Life: 14 years CA NA DA Rainy River Mine Life: 15+ years # 6 Mesquite Mine Life: 10+ years UNITED STATES # 5 Cerro San Pedro Mine Life: 4+ years MEXICO # 3 El Morro Mine Life: 17 years CHILE # 1 Peak Mines Mine Life: 8 years AUSTRALIA OPERATING DEVELOPMENT 4 (1) Rankings based on 25 countries evaluated in 2013 Behre Dolbear Report – 2013 Ranking of Countries for Mining Investm ent: “Where Not to Invest”.
Portfolio of assets in top-rated jurisdictions Growing gold resource base in Canada GOLD RESERVES (Moz) NEW GOLD PRO FORMA GOLD M&I RESOURCES (Moz) (1) 11.8 7.8 0.9 Australia = +44% 1.7 Mexico per share 2.9 Chile New Gold New Gold & Rainy River (3) 5.7 USA GOLD M&I RESOURCES (Moz) (1)(2) 29.2 23.1 = +20% per share 18.0 Canada New Gold New Gold & Rainy River (3) • 18 million ounces in Canada = +62% • 84% increase in M&I resources per share Canada since 2009 5 (1) Measured and Indicated Resources inclusive of Reserves.
Invested and experienced team Significantly invested team EXECUTIVE MANAGEMENT TEAM BOARD OF DIRECTORS Executive Chairman Former Canadian Cabinet Minister Randall Oliphant David Emerson Robert Gallagher President & CEO James Estey Former Chairman, UBS Securities Canada Brian Penny Executive VP & CFO Robert Gallagher President & CEO Ernie Mast VP Operations Vahan Kololian Founder, Terra Nova Partners Martyn Konig Former Executive Chairman, European Goldfields Pierre Lassonde Chairman, Franco-Nevada Executive Chairman Randall Oliphant Raymond Threlkeld Mining Consultant Collectively ~$85 million invested in New Gold 6
Among lowest-cost producers with established track record (1) Lower costs driving margin expansion • Generating ~$200 per ounce 2013 GUIDANCE – ALL-IN SUSTAINING COSTS ($/OZ) (3) incremental margin • More than $100 per ounce decrease ~$1,100 ~$1,050 in cash costs (2) from 2009 to 2013E • Copper and silver create effective hedge $875 New Gold Senior Average (5) Mid-Tier Average (4) 7
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