New Guinea Gold Corporation

New Guinea Gold Corporation

December 13, 2007 09:25 ET

New Guinea Gold Corporation: 380 Ounces of Gold Dore Poured Early December

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Dec. 13, 2007) - New Guinea Gold Corporation ("NGG" or the "Company")(TSX VENTURE:NGG) advises that the first commercial gold pour was completed in the first week of December. 380 ozs of gold dore was poured and based on assays of previous pours, this dore is expected to contain approximately 300 ozs gold.

Vat 1 continues to leach efficiently but process optimization is expected to continue into the first quarter of 2008. A further four carbon columns should be loaded by the end of December (and contain approximately 400 ozs of dore) which will be stripped in early January.

Leaching is approximately 2 to 3 weeks behind schedule due to staff shortages and disruption caused by the death of Mine Manager Jim Farley (see Press Release dated 3rd December for his replacement).

Leaching was initially run on a 12 hour/day basis, but this has now moved to a 24 hour/day operation which will increase the rate of gold leaching from the Vat. In our release of 29th November 2007 it was predicted that 500-700ozs would be available by early December - this will now be achieved at the end of December with the additional gold poured in early January.

Vat 2 is now expected to commence leaching in January. At that stage approximately 30,000 tonnes of gold mineralisation will be leaching (as against 6,000 at present) which should result in a major increase in gold poured in February 2008. To achieve the projected gold production rate of 3,000ozs/month it is estimated that approximately 40,000 tonnes of mineralisation will need to be undergoing leaching. This is projected to be achieved in March 2008. The above projections are subject to normal weather conditions at site - significant rain above normal rainfall could delay Vat construction.

Because of the nature of the topography, vats will increase in size after Vat 3 is completed as further vats will ultimately be built over Vat 1 and Vat 2. These Vats will be larger due to a widening of the valley above Vat 1 and Vat 2, as elevation is increased.

Actual onsite costs at the Sinivit Mine in October, excluding executive management based in Australia, were PNG Kina 1.22 million or approximately US$450,000. Preliminary November costs suggest these costs will be similar to October costs. Administrative costs attributable to Sinivit incurred in the Australian and Vancouver Offices are estimated to add 10% to the above total. These costs are estimated to remain stable for January and could increase by approximately 10% when production of 3,000 ozs/month is achieved.

Investors are cautioned that the development of Sinivit is proceeding in the absence of a full feasibility study. These evaluations are preliminary in nature and are based entirely on indicated mineral resources, which have not been categorized as mineral reserves. There is no assurance that the operating and financial projections in the preliminary assessment will be realized. Mineral resources that are not reserves do not have demonstrated economic viability. Measured and indicated mineral resources are that part of a mineral resource of which quantity and grade can be estimated with a level of confidence sufficient to allow the application of technical and economic parameters to support mine planning and evaluation of the economic viability of the deposit.

Full details of the Sinivit Project are described in an Independent N1 43-101 report dated January 2006 which is available at

The Company's Vancouver office will be closed for the Christmas/New Year holiday break from December 22 to January 2, 2008. The Papua New Guinea mining and production operations will also be shut down from December 22 to January 8.

The technical data in this release was prepared by or under the supervision of Robert D. McNeil, CEO of New Guinea Gold Corporation. Mr McNeil has an MSc in Geology, 44 years mining industry experience, is a Fellow of the Australian Institute of Mining and Metallurgy, and meets the requirements of NI 43-101 for a qualified person.



The statements made in this News Release may contain certain forward-looking statements. Actual events or results may differ from the Company's expectations. Certain risk factors may also affect the actual results achieved by the Company.

The TSX Venture Exchange has not reviewed and does not accept the responsibility of the adequacy of this release.

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