New Guinea Gold Corporation
TSX VENTURE : NGG
FRANKFURT : NG8

New Guinea Gold Corporation

December 15, 2009 10:37 ET

New Guinea Gold Announces Private Placement to Raise $1,850,000

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 15, 2009) - New Guinea Gold Corporation (TSX VENTURE:NGG)(FRANKFURT:NG8)("NGG or the Company") is pleased to announce a non-brokered private placement pursuant to which the Company will issue up to 15,416,666 common shares at a price of $0.12 per share, to raise aggregate gross proceeds of up to approximately $1,850,000. The shares are subject to a four month hold period.

The Company also announces that it will not be closing any further tranches of its private placement originally announced October 28, 2009 pursuant to which $3.5 million was raised.

In connection with the offering, NGG has agreed to pay a finder's fee to qualified persons assisting in the offering in an amount equal to 7% of the gross proceeds raised by such finders. The finder's fee is payable in common shares or cash; if payable in shares, these shares are subject to a four month hold period.

The net proceeds of the financing will be used for further exploration development and other work on the Company's Weioko and Sinivit properties and for general corporate purposes.

The private placement remains subject to the approval of the TSX Venture Exchange.

Forward Looking Statements - Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of NGG, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of resource and reserve estimates, currency fluctuations, dependence upon regulatory approvals, the availability of future financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

ON BEHALF OF THE BOARD

R.D. McNeil, CHAIRMAN & CEO

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

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