New Guinea Gold Corporation

New Guinea Gold Corporation

May 25, 2006 14:25 ET

New Guinea Gold Corporation: Trenching at Mt Nakru Suggests Intermittant Gold Present in Structural Zone in Excess of 1km Long by 300m Wide

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - May 25, 2006) - New Guinea Gold Corporation (TSX VENTURE:NGG) -

An assessment of current and previous trenching at the Nakru 1 prospect suggests that a structural zone over 1km in length and 300m in width contains widespread gold above 0.1g/t and sporadic gold above 0.5g/t. This zone, with further exploration, could yield a major bulk mineable gold target. Best trench intervals from the current and previous programs include 95m at 2.9g/t gold (inc. 35m at 7.3g/t gold) and 42m at 2.79g/t gold.

The Mt Nakru copper/gold/molybdenum system in Central New Britain, Papua New Guinea is effectively owned 75% by New Guinea Gold and 25% by Vangold Resources. The Mt. Nakru intrusive complex covers 40 sq kms, much of which is mineralised to a greater or lesser degree. Four prospects have been identified named Nakru 1 to Nakru 4. In addition the Plesyumi porphyry copper system occurs within this license (see update summary press release noted below).

A full summary of the entire project is available in a complimentary release titled "Update Summary - Mt Nakru Copper/Gold/Molybdenum Project", dated 25th May 2006.

The trench intercepts above 0.5g/t gold are listed below and locations are shown on the accompanying figure.

Nakru 1 Prospect: Highlights of Gold in Trenches

Sample Width Au (g/t) Average Au (g/t) Highest Value
95m 2.88 31.6
(inc.35m) (7.26) "
(inc. 5m) (31.6) "
10m 2.72 Not reported
42m 2.7 16.8
(inc. 3m) (16.8) "
51m 2.2 6.9
45m 2.5 Not reported
33m 2.4 7.2
27m 1.2 Not reported
9m 1.3 "
245m 0.8 "
(inc. 35m) (1.2) "

The significance of the present assessment is that it appears to define a major gold target separate from and adjoining the major porphyry copper/gold/molybdenum system, which in turn occurs at greater depths than the gold.

The copper potential of the Mt Nakru property is described in some detail in the complimentary Press Release dated 25th May 2006.

It is anticipated that considerable drilling will be required to define the extent of gold mineralisation at Nakru 1.

The partners are formulating an ongoing exploration program with details available in the near future.

NGG is in the process of developing the Sinivit Property (see NI 43-101 Report dated 30th January 2006). In addition NGG has a comprehensive drilling program in place for 2006 to define gold resources at other key gold properties, Normanby (Imwauna), Mt Penck, and Sehulea (Weioko). See Management Discussion dated April 20th 2006 for an update on NGG and other details on gold production.

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.

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