NEW GOLD ANNOUNCES CONTINUED GROWTH AT NEW AFTON'S K-ZONE AND HW ZONE
Highlights the Upside Potential from Multiple High-Grade Copper-Gold Porphyry Zones in the Eastern Sector of the Mine
"These exceptional results further highlight the exploration upside around the New Afton mine. The eastern sector of the mine, which includes the spectacular grades of K-Zone, new high-grade mineralization at
Exploration Drilling at K-Zone Delivers Results Exceeding Previously Reported Grades and Intersects Additional Mineralized Lenses to the North
Drilling from the recently completed exploration drift intersected a series of high-grade bornite dominant lenses hosted within a broader chalcopyrite-bearing halo, together forming a copper-gold mineralized system extending over 300 metres in strike and locally exceeding 50 metres in width (Figure 1). Borehole EA24-510 intersected some of the best grade discovered to date at New Afton.
-
K-Zone drilling highlights1,2:
- 2.83% copper mineralization and 1.90 g/t gold (4.14% CuEq) over 84 metres core length (30 metres estimated true width) in Borehole EA24-510 including:
- 4.18% copper mineralization and 3.03 g/t gold (6.27% CuEq) over 50 metres core length (18 metres estimated true width) in bornite-bearing zone
- 0.99% copper mineralization and 1.23 g/t gold and (1.79% CuEq) over 169 metres core length (40 metres estimated true width) in Borehole EA24-516 including:
- 1.60% copper mineralization and 1.87 g/t gold (2.83% CuEq) over 76 metres core length (19 metres estimated true width) in bornite-bearing zone
- 3.25% copper mineralization and 1.91 g/t gold (4.57% CuEq) over 36 metres core length (19 metres estimated true width) in Borehole EA24-519 in bornite-bearing zone
- 1.13% copper mineralization and 1.43 g/t gold and (2.07 CuEq%) over 93 metres core length (33 metres estimated true width) in Borehole EA24-520 including:
- 1.66% copper mineralization and 2.14 g/t gold (3.07 CuEq%) over 54 metres core length (19 metres estimated true width) in bornite-bearing zone
- 2.83% copper mineralization and 1.90 g/t gold (4.14% CuEq) over 84 metres core length (30 metres estimated true width) in Borehole EA24-510 including:
1All gold and copper grades are reported uncapped. It has yet to be determined whether further exploration will result in the target being delineated as a mineral resource. Additional data and further interpretation work are expected to better define the geometry and extent of the mineralized zones. |
2Indicative copper equivalent (CuEq) grades are included for context, estimated using price assumptions of |
The exploration drift also provides a drilling platform for expanding and defining the
-
HW Zone drilling highlights1,2:- 1.05% copper mineralization and 1.08 g/t gold and (1.76 CuEq%) over 51 metres core length (40 metres estimated true width) in Borehole EA24-506 including:
- 1.75% copper mineralization and 1.49 g/t gold (2.76 CuEq%) over 16 metres core length (13 metres estimated true width) in bornite-bearing zone
- 0.49% copper mineralization and 1.08 g/t gold and (1.18 CuEq%) over 94 metres core length (84 metres estimated true width) in Borehole EA24-521B including:
- 0.90% copper mineralization and 2.12 g/t gold (2.26 CuEq%) over 24 metres core length (21 metres estimated true width) in bornite-bearing zone
- 1.05% copper mineralization and 1.08 g/t gold and (1.76 CuEq%) over 51 metres core length (40 metres estimated true width) in Borehole EA24-506 including:
1All gold and copper grades are reported uncapped. It has yet to be determined whether further exploration will result in the target being delineated as a mineral resource. Additional data and further interpretation work are expected to better define the geometry and extent of the mineralized zones. |
2Indicative copper equivalent (CuEq) grades are included for context, estimated using price assumptions of |
Exploration Budget Increased by
Based on the exploration successes to date, the Company intends to allocate an additional
"Similar to
Table 1: New Afton Notable Exploration Drilling Results from Exploration Drift1,2
Zone |
Drill Hole |
|
From |
To |
Interval |
Estimated |
Cu |
Au |
Ag |
CuEq |
AuEq |
K-Zone |
EA24-510 |
|
405.0 |
489.0 |
84.0 |
30 |
2.83 |
1.90 |
14.15 |
4.14 |
6.63 |
including (bornite zone) |
419.9 |
469.5 |
49.5 |
18 |
4.18 |
3.03 |
22.58 |
6.27 |
10.03 |
||
EA24-510 |
|
543.0 |
599.0 |
56.0 |
18 |
1.22 |
0.30 |
1.78 |
1.42 |
2.28 |
|
including (bornite zone) |
545.5 |
557.1 |
11.7 |
4 |
2.47 |
0.02 |
1.62 |
2.50 |
3.99 |
||
including (bornite zone) |
574.0 |
579.0 |
5.0 |
2 |
1.71 |
0.91 |
3.77 |
2.31 |
3.70 |
||
EA24-510 |
|
623.0 |
642.0 |
19.0 |
7 |
0.76 |
1.58 |
2.21 |
1.77 |
2.83 |
|
EA24-513 |
|
389.2 |
425.0 |
35.9 |
20 |
1.70 |
1.11 |
9.05 |
2.47 |
3.96 |
|
including (bornite zone) |
389.2 |
401.5 |
12.3 |
6 |
3.48 |
3.16 |
24.77 |
5.67 |
9.07 |
||
EA24-516 |
|
451.0 |
620.0 |
169.0 |
40 |
0.99 |
1.23 |
3.89 |
1.79 |
2.87 |
|
including (bornite zone) |
472.0 |
548.0 |
76.0 |
19 |
1.60 |
1.87 |
6.85 |
2.83 |
4.53 |
||
EA24-516 |
|
630.0 |
676.0 |
46.0 |
14 |
0.35 |
0.72 |
0.96 |
0.81 |
1.29 |
|
EA24-516 |
|
704.0 |
718.0 |
14.0 |
6 |
0.44 |
0.58 |
0.42 |
0.81 |
1.29 |
|
EA24-519 |
Bornite zone |
385.0 |
421.0 |
36.0 |
19 |
3.25 |
1.91 |
14.72 |
4.57 |
7.32 |
|
EA24-520 |
|
424.0 |
517.1 |
93.1 |
33 |
1.13 |
1.43 |
5.21 |
2.07 |
3.31 |
|
including (bornite zone) |
442.0 |
496.0 |
54.0 |
19 |
1.66 |
2.14 |
8.55 |
3.07 |
4.92 |
||
EA24-522 |
|
343.0 |
381.0 |
38.0 |
24 |
1.67 |
0.47 |
4.50 |
2.00 |
3.20 |
|
including (bornite zone) |
343.0 |
357.0 |
14.0 |
6 |
2.74 |
1.07 |
9.46 |
3.49 |
5.59 |
||
including (bornite zone) |
371.0 |
377.0 |
6.0 |
3 |
2.21 |
0.41 |
1.87 |
2.48 |
3.97 |
||
|
EA24-506 |
|
105.8 |
118.0 |
12.2 |
10 |
0.37 |
0.48 |
0.92 |
0.68 |
1.09 |
EA24-506 |
|
125.7 |
136.0 |
10.3 |
8 |
0.43 |
0.57 |
1.27 |
0.79 |
1.27 |
|
EA24-506 |
|
202.0 |
252.9 |
50.9 |
40 |
1.05 |
1.08 |
4.04 |
1.76 |
2.82 |
|
including (bornite zone) |
215.1 |
231.5 |
16.5 |
13 |
1.75 |
1.49 |
8.57 |
2.76 |
4.41 |
||
EA24-506 |
|
263.2 |
271.7 |
8.5 |
7 |
0.15 |
0.69 |
0.63 |
0.59 |
0.94 |
|
EA24-507 |
|
167.3 |
175.0 |
7.7 |
6 |
0.30 |
0.13 |
0.45 |
0.38 |
0.61 |
|
EA24-515 |
|
68.0 |
94.0 |
26.0 |
23 |
0.28 |
0.35 |
2.21 |
0.52 |
0.83 |
|
EA24-515 |
|
114.0 |
136.0 |
22.0 |
19 |
0.61 |
1.07 |
1.56 |
1.29 |
2.07 |
|
including (bornite zone) |
124.0 |
128.0 |
4.0 |
3 |
1.48 |
2.11 |
3.55 |
2.83 |
4.53 |
||
EA24-515 |
|
182.0 |
208.0 |
26.0 |
23 |
0.42 |
0.55 |
1.57 |
0.78 |
1.24 |
|
EA24-517 |
|
154.0 |
176.0 |
22.0 |
18 |
0.55 |
1.23 |
1.27 |
1.33 |
2.13 |
|
EA24-521B |
|
121.0 |
215.0 |
94.0 |
84 |
0.49 |
1.08 |
1.90 |
1.18 |
1.89 |
|
including (bornite zone) |
167.0 |
191.0 |
24.0 |
21 |
0.90 |
2.12 |
3.58 |
2.26 |
3.61 |
||
AI-Southeast |
EA24-512 |
|
152.2 |
182.0 |
29.8 |
28 |
0.30 |
0.36 |
1.95 |
0.54 |
0.87 |
EA24-512 |
|
226.8 |
266.9 |
40.1 |
38 |
0.29 |
0.34 |
0.58 |
0.51 |
0.81 |
1Notable drilling intervals are defined with average grade above mining cut-off grade of 0.4% CuEq. |
2Indicative gold equivalent (AuEq) grades are included for context, estimated using price assumptions of |
New Afton Exploration Drilling Results
Exploration efforts at New Afton remain focused on potential near-mine mineralized zones located near the C-Zone extraction level to minimize capital investment and maximize free cash flow generation. Earlier this year (see
At K-Zone, boreholes drilled from the exploration drift support the estimated true widths of previously disclosed intercepts with grades locally exceeding past mineralized intervals. Additionally, the new boreholes from the exploration drift extend beyond the footwall of the main zone and intersect additional sub-parallel high-grade zones forming an overall system reaching 50 metres in width and over 300 metres in strike length. K-Zone remains open in all directions and drilling is ongoing to define the size of the K-Zone system.
At
All new notable K-Zone,
Figure 1: New Afton Notable Drill Intercepts from Exploration Drift
Table 2: All New Exploration Diamond Drilling Location and Orientation from Exploration Drift at New Afton
Drill Hole |
Azimuth |
Dip |
Length (m) |
UTM Easting (m) |
UTM Northing (m) |
Elevation (m) |
EA24-506 |
165 |
+34 |
341 |
675,595 |
5,614,949 |
-12 |
EA24-507 |
191 |
+28 |
305 |
675,596 |
5,614,949 |
-12 |
EA24-508 |
174 |
+14 |
299 |
675,597 |
5,614,946 |
-13 |
EA24-509 |
211 |
-48 |
405 |
675,597 |
5,614,947 |
-11 |
EA24-510 |
314 |
-73 |
642 |
675,763 |
5,615,015 |
-36 |
EA24-511 |
210 |
-7 |
200 |
675,695 |
5,614,980 |
-26 |
EA24-512 |
174 |
-8 |
308 |
675,695 |
5,614,980 |
-26 |
EA24-513 |
313 |
-65 |
608 |
675,763 |
5,615,015 |
-36 |
EA24-514 |
193 |
-30 |
281 |
675,696 |
5,614,977 |
-23 |
EA24-515 |
192 |
+29 |
269 |
675,697 |
5,614,978 |
-23 |
EA24-516 |
302 |
-68 |
768 |
675,767 |
5,615,017 |
-39 |
EA24-517 |
109 |
+37 |
296 |
675,698 |
5,614,978 |
-23 |
EA24-518 |
95 |
+24 |
398 |
675,696 |
5,614,977 |
-23 |
EA24-519 |
279 |
-74 |
686 |
675,763 |
5,615,016 |
-38 |
EA24-520 |
251 |
-63 |
641 |
675,759 |
5,615,015 |
-39 |
EA24-521B |
125 |
+39 |
366 |
675,696 |
5,614,977 |
-23 |
EA24-522 |
280 |
-67 |
567 |
675,763 |
5,615,016 |
-38 |
About New Gold
Cautionary Note Regarding Forward-Looking Statements
Certain information contained in this news release, including any information relating to
All forward-looking statements in this news release are based on the opinions and estimates of management that, while considered reasonable as at the date of this press release in light of management's experience and perception of current conditions and expected developments, are inherently subject to important risk factors and uncertainties, many of which are beyond
Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. Such factors include, without limitation: price volatility in the spot and forward markets for metals and other commodities; discrepancies between actual and estimated production, between actual and estimated costs, between actual and estimated Mineral Reserves and Mineral Resources and between actual and estimated metallurgical recoveries; equipment malfunction, failure or unavailability; accidents; risks related to early production at the
QA/QC Procedure
Technical Information
The scientific and technical information relating to the drilling update on New Afton has been reviewed and approved by Dr.
For additional technical information on
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