New Gold Inc.

New Gold Inc.

March 24, 2008 09:04 ET

New Gold Inc. and Kamloops Division Sign Participation Agreement With Respect to New Afton Project

KAMLOOPS, BRITISH COLUMBIA--(Marketwire - March 24, 2008) - New Gold Inc. (TSX:NGD)(AMEX:NGD) and the Kamloops Division of the Secwepemc Nation, comprising the Kamloops Indian Band and the Skeetchestn Indian Band, jointly announce that they have signed a Participation Agreement relating to New Gold's New Afton Project. The purpose of the Participation Agreement is to establish a co-operative and mutually beneficial relationship between the First Nations and the Company with respect to the Project and provide a long-term framework for communication, collaboration and cooperation. The Agreement will provide the Kamloops Division with economic opportunities and social and financial benefits, including employment, education, training and business opportunities. The Agreement secures the consent of the Kamloops Division to the Project and its support through all project phases.

In making the announcement Mr. Cliff Davis, President and CEO of New Gold, commented: "We believe that the agreement we have signed with the Kamloops Division is a milestone in the development of the New Afton project and presents an unique opportunity for the Company and the Kamloops Division to work together to ensure that the Project is developed in an environmentally and culturally sustainable manner, recognizing the value that the First Nations place on the cultural, spiritual and historic heritage of the land." Chief Ron Ignace of the Skeetchestn Indian Band said "These were tough negotiations for all parties, but now we have an economic alliance that will help both the Kamloops Division and New Gold to be successful." Chief Shane Gottfriedson of the Kamloops Indian Band, stated: "We believe that we have a deal with the Company that will bring real long-term economic benefits to our communities and the Company as well." Both Chiefs expressed the hope that the New Gold agreement will send a positive signal to the provincial government that the province also should seek an agreement with the Kamloops Division, one that would reconcile aboriginal interests with those of the Crown.

Contact Information

  • New Gold Inc.
    Mr. Cliff Davis
    President and Chief Executive Officer
    (416) 977-1067
    70 University Avenue
    Toronto, Ontario, M5J 2M4
    Kamloops Indian Band
    Chief Shane Gottfriedson
    (250) 318-8527 or (250) 828-9700
    200-355 Yellowhead Hwy
    Kamloops, British Columbia, V2H 1H1
    Skeetchestn Indian Band
    Chief Ron Ignace
    (250) 851-6757 or (866) 373-2493
    PO Box 178
    Savona, British Columbia, V0K 2J0