New Guinea Gold Corporation
TSX VENTURE : NGG

New Guinea Gold Corporation

August 08, 2005 16:39 ET

New Guinea Gold Corporation: 15 kms of Trenching Completed at Simuku Porphyry Copper Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 8, 2005) - New Guinea Gold (TSX VENTURE:NGG) -

The West New Britain Porphyry Copper/Gold Project covers two exploration licenses totalling 91 sq km and includes several copper and/or gold prospects. Exploration in recent years has concentrated on three areas:

Simuku with best drill holes such as 40m at 0.64% copper; 277m at 0.33% copper; trenches such as 33m at 0.63% copper; 0.19g/t gold; 77ppm molybdenum; 48m at 0.67% copper; 0.12g/t gold; 691ppm molybdenum.

- Mt Nakru with both low sulphide, gold rich veins and copper rich stockworks and high sulphide veins hosted by rhyodacite breccias/domes; best drill holes such as 94m at 0.46g/t gold; and 0.42% copper; and best trenches such as 36m at 2.54g/t gold and 245m at 0.80g/t gold.

- Pleysumi with best drill holes of 44m at 0.85% copper, 33m at 0.42% copper.

- (The Company has released/informed the public of all results from the drill results from the above listed exploration properties. The results quoted above are not representative of the entire mineralistaion encountered to date).

These projects are an excellent opportunity to locate and develop porphyry copper systems with possible credits in gold and/or molybdenum in a relatively accessible and lower cost region of Papua New Guinea. Recent exploration has concentrated on the Simuku prospect.

At the Simuku prospect a major trenching program has been completed. This trenching has been designed to locate possible higher grade centres of copper mineralisation and/or molybdenum mineralisation within the Simuku porphyry copper system.

Approximately 15kms of trenching were completed (plus 4kms in previous trenching) and the location of trenches is shown on the figure in a Press Release dated 23 February 2005. All trenches have been continuously channel sampled at 3 to 6m intervals (dependent on intensity of mineralisation and/or geology) resulting in approximately 4000 samples being collected. Total weight of samples is approximately 14 tonnes.

Samples have/will be dispatched to accredited laboratory, ALS-Chemex, in Townsville Australia. The initial 600 samples are presently being assayed but results from all samples, and an interpretation of the results will not be completed until mid to late September 2005.

The main points in regard to the Simuku Project from previous exploration are summarised below:

- This porphyry copper system is large - at least 4,500m long by 500m to 1,000m wide and has a known vertical extent of more than 500m.

- Significant drill intercepts were:

Hole 3 - 50.2m at 0.5% copper, 0.06g/t gold and 40ppm molybdenum between 100 and 150m depth.

Hole 4 - 40.7m at 0.64% copper, 0.04g/t gold and 28ppm molybdenum between 24.7 and 65.4m depth.

Hole 7 - 62m at 52% copper, 0.12g/t gold and 65ppm molybdenum over the entire hole length.

Hole 10 - 58m at 53% copper, 0.1g/t gold and 30ppm molybdenum between 24 and 82m depth.

Hole 11 - 77m at 0.49% copper, 0.11g/t gold and 85ppm molybdenum over entire length of hole.

Hole 12 - 91m at 0.43% copper, 0.6g/t gold and 81ppm molybdenum between 0 and 91m depth.

- In addition, hole 2 intersected 150m at 101ppm molybdenum, NGG trench 2 encountered a surface width of 72m of 241ppm molybdenum and other trenches have encountered molybdenum results to more than 700ppm.

- The vertical depth extent of the system is illustrated by hole 12 which intersected 277m (entire hole) averaging 0.33% copper (intersection included intervals of barren dykes). Hole 12 was collared in a valley approximately 250m below the top of the porphyry copper system.

- Most molybdenum assaying has used an acid digestion which may have understated the actual molybdenum content. Check sampling using the XRF method suggests all previous molybdenum results may be understated by 5% to 25% (or perhaps more).

- Surface copper results are only a guide to sub-surface grades as surface rock mineralogy suggests that over much of the prospect significant copper has been leached from surface and near surface rocks. Surface mineralogy (presence of jarosite and hematite) suggests sub-surface copper grades may be higher than those revealed in trenches.

- Access and logistics are good with road access to the provincial capital and port of Kimbe. The property is not in a difficult area to develop.

- The mineralisation is in small hills with approximately 300m elevation above the valley, and a large part of the potentially viable mineralisation occurs near or above the valley floors. Should sufficient mineralisation of economic value be located as a result of the exploration work that needs to be conducted mining operations would be assisted by "down hill" haulage profiles and relatively low stripping ratios.

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, 45 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.

ON BEHALF OF THE BOARD

"R.D.McNeil"

CHAIRMAN & CEO

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 or accuracy of this release.

Contact Information

  • New Guinea Gold Corporation
    Ms Judith O'Quinn
    Director
    (604) 662-3598
    www.newguineagold.ca
    or
    The Sherbourne Group
    Mr Forbes West
    (416) 203-2200 or 1 (888) 655-5532