SOURCE: New World Gold Corporation

August 21, 2009 00:50 ET

New World Gold Corporation to Begin Mining Operations

BOCA RATON, FL--(Marketwire - August 21, 2009) - New World Gold Corporation (PINKSHEETS: NWGC) indicated on August 12, 2009, that it had entered into a Letter of Intent with a US-based exploration company to acquire up to a 50% working interest in gold leases in Montana. Over the last several months, New World Gold has been in the process of verifying the gold reserves on the leases using its inhouse geological staff and independent mining specialists. Both inhouse geological staff and the independent mining specialists have both verified visible gold and numerous sapphires in recently completed random sampling programs. The joint venture partner has indicated and the Company has verified that it has a mining license to begin operations immediately. The majority of equipment has been acquired and is on site.

Based on historical geological data, the results of the current sampling program, the joint venture has made the decision to begin mining as soon as possible. A mining schedule is being designed at this time.

The Company is confident that based on existing data that there are significant proven developed gold reserves to justify beginning mining as soon as possible. The joint venture is projecting that gold production in the first year will be approximately 3000 ozs of gold with an extraction cost of $290 USD per oz.. It is expected that as the joint venture continues to develop and define the leases that the production will increase on a yearly basis.

New World Gold Corporation is an exploration company focused on exploration and development of gold prospects. The Company will continue to expand its gold reserves. As revenue is generated from the producing leases, funds will be used to continue to develop the company's other gold leases. The Company will continue to aggressively look for additional gold leases. The company's corporate strategy involves long-term result-orientated approach to exploration and development.

New World Gold Corporation trades in the United States on the NQB Pink sheets under the symbol "NWGC". For further information, please contact the Company at (561) 393 2773.

NOTE: Certain statements in this press release are "forward-looking statements" within the meaning of the Private Securities Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that may cause results to differ materially. Such risks, uncertainties and other factors include but are not limited to new economic conditions and factors described in independent reports, company reports and other filings with regulatory bodies.

Contact Information

  • Contact:
    New World Gold Corporation
    (561) 393 2773