2. Cautionary statement
All monetary amounts in U.S. dollars unless otherwise stated
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain information contained in this presentation, including any information relating to New Gold's future financial or operating performance may be deemed "forward looking". All statements
in this presentation, other than statements of historical fact, that address events or developments that New Gold expects to occur, are "forward-looking statements. Forward-looking statements
are statements that are not historical facts and are generally, but not always, identified by the use of forward-looking terminology such as "plans", "expects", "is expected", "budget",
"scheduled", "estimates", "forecasts", "intends", "anticipates", “projects”, “potential”, "believes" or variations of such words and phrases or statements that certain actions, events or results
"may", "could", "would", “should”, "might" or "will be taken", "occur" or "be achieved" or the negative connotation. All such forward-looking statements are based on the opinions and estimates
of management as of the date such statements are made and are subject to important risk factors and uncertainties, many of which are beyond New Gold's ability to control or predict.
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: significant capital requirements; fluctuations in the international currency markets and in the rates of exchange of the currencies of Canada, the United States, Australia, Mexico and
Chile; price volatility in the spot and forward markets for commodities; impact of any hedging activities, including margin limits and margin calls; discrepancies between actual and estimated
production, between actual and estimated reserves and resources and between actual and estimated metallurgical recoveries; changes in international, national and local government
legislation in Canada, the United States, Australia, Mexico and Chile or any other country in which New Gold currently or may in the future carry on business; taxation; controls, regulations and
political or economic developments in the countries in which New Gold does or may carry on business; the speculative nature of mineral exploration and development, including the risks of
obtaining and maintaining the validity and enforceability of the necessary licenses and permits and complying with the permitting requirements of each jurisdiction that New Gold operates,
including, but not limited to Mexico where the Cerro San Pedro mine has a history of ongoing legal challenges related to our EIS and Chile where the courts have temporarily suspended the
approval of the environmental permit for the El Morro project; the lack of certainty with respect to foreign legal systems, which may not be immune from the influence of political pressure,
corruption or other factors that are inconsistent with the rule of law; the uncertainties inherent to current and future legal challenges the company is or may become a party to,; diminishing
quantities or grades of reserves; competition; loss of key employees; additional funding requirements; actual results of current exploration or reclamation activities; changes in project
parameters as plans continue to be refined; accidents; labour disputes; defective title to mineral claims or property or contests over claims to mineral properties. In addition, there are risks and
hazards associated with the business of mineral exploration, development and mining, including environmental hazards, industrial accidents, unusual or unexpected formations, pressures,
cave-ins, flooding and gold bullion losses (and the risk of inadequate insurance or inability to obtain insurance to cover these risks) as well as "Risk Factors" included in New Gold's disclosure
documents filed on and available at www.sedar.com. Forward-looking statements are not guarantees of future performance, and actual results and future events could materially differ from
those anticipated in such statements. All of the forward-looking statements contained in this presentation are qualified by these cautionary statements. New Gold expressly disclaims any
intention or obligation to update or revise any forward-looking statements, whether as a result of new information, events or otherwise, except in accordance with applicable securities laws.
Corporate Presentation | August 2012 2 2
3. Cautionary statement (cont’d)
CAUTIONARY NOTE TO U.S. READERS CONCERNING ESTIMATES OF MEASURED, INDICATED AND INFERRED RESOURCES
Information concerning the properties and operations discussed in this presentation has been prepared in accordance with Canadian standards under applicable Canadian securities laws, and
may not be comparable to similar information for United States companies. The terms "Mineral Resource", "Measured Mineral Resource", "Indicated Mineral Resource" and "Inferred Mineral
Resource" used in this presentation are Canadian mining terms as defined in accordance with NI 43-101 under guidelines set out in the Canadian Institute of Mining, Metallurgy and Petroleum
("CIM") Standards on Mineral Resources and Mineral Reserves adopted by the CIM Council on December 11, 2005. While the terms "Mineral Resource", "Measured Mineral Resource",
"Indicated Mineral Resource" and "Inferred Mineral Resource" are recognized and required by Canadian regulations, they are not defined terms under standards of the United States
Securities and Exchange Commission. Under United States standards, mineralization may not be classified as a "reserve" unless the determination has been made that the mineralization
could be economically and legally produced or extracted at the time the reserve calculation is made. As such, certain information contained in this presentation concerning descriptions of
mineralization and resources under Canadian standards is not comparable to similar information made public by United States companies subject to the reporting and disclosure requirements
of the United States Securities and Exchange Commission. An "Inferred Mineral Resource" has a great amount of uncertainty as to its existence and as to its economic and legal feasibility. It
cannot be assumed that all or any part of an "Inferred Mineral Resource" will ever be upgraded to a higher category. Under Canadian rules, estimates of Inferred Mineral Resources may not
form the basis of feasibility or other economic studies. Readers are cautioned not to assume that all or any part of Measured or Indicated Resources will ever be converted into Mineral
Reserves. Readers are also cautioned not to assume that all or any part of an "Inferred Mineral Resource" exists, or is economically or legally mineable. In addition, the definitions of "Proven
Mineral Reserves" and "Probable Mineral Reserves" under CIM standards differ in certain respects from the standards of the United States Securities and Exchange Commission.
TECHNICAL INFORMATION
The scientific and technical information in this presentation has been reviewed by Mark Petersen, a Qualified Person under National Instrument 43-101 and employee of New Gold.
TOTAL CASH COST
“Total cash cost” per ounce figures are calculated in accordance with a standard developed by The Gold Institute, which was a worldwide association of suppliers of gold and gold products
and included leading North American gold producers. The Gold Institute ceased operations in 2002, but the standard is widely accepted as the standard of reporting cash cost of production in
North America. Adoption of the standard is voluntary and the cost measures presented may not be comparable to other similarly titled measures of other companies. New Gold reports total
cash cost on a sales basis. Total cash cost includes mine site operating costs such as mining, processing, administration, royalties and production taxes, but is exclusive of amortization,
reclamation, capital and exploration costs. Total cash cost is reduced by any by-product revenue and is then divided by ounces sold to arrive at the total by-product cash cost of sales. The
measure, along with sales, is considered to be a key indicator of a company’s ability to generate operating earnings and cash flow from its mining operations. This data is furnished to provide
additional information and is a non-IFRS measure. Total cash cost presented does not have a standardized meaning prescribed by IFRS and may not be comparable to similar measures
presented by other mining companies. It should not be considered in isolation as a substitute for measures of performance prepared in accordance with IFRS and is not necessarily indicative
of operating costs presented under IFRS. A reconciliation will be provided in the MD&A accompanying the quarterly financial statements.
Corporate Presentation | August 2012 3 3
4. Overview
History of accretive growth
Leading intermediate gold producer
Four producing assets(1)
Two fully-funded growth projects
C$4.7 billion market capitalization
$230 million in cash(2)
Strong Board and Management
Notes: 1. New Afton achieved commercial production on July 31, 2012.
2. Cash balance as at June 30, 2012.
Corporate Presentation | August 2012 4 4
5. Management and Board of Directors
EXECUTIVE MANAGEMENT TEAM BOARD OF DIRECTORS
Randall Oliphant, Executive Chairman David Emerson, Former Canadian Cabinet Minister
Robert Gallagher, President & CEO James Estey, Former Chairman UBS Securities Canada
Brian Penny, Executive VP and CFO Robert Gallagher, President & CEO
Ernie Mast, VP Operations Vahan Kololian, Founder Terra Nova Partners
Martyn Konig, Former Executive Chairman European Goldfields
• Board and Management hold 15 million
shares of Company Pierre Lassonde, Chairman Franco-Nevada
– ~$155 million investment
Randall Oliphant, Executive Chairman
Raymond Threlkeld, CEO Rainy River Resources
Corporate Presentation | August 2012 5 5
6. Diversified asset portfolio(1)
Gold Reserve Blackwater
7.9 Moz New Afton
Cerro San Pedro
Mesquite
M&I Resource(1)
20.5 Moz
El Morro(2)
Operating assets
Peak Mines
Development projects
Notes: 1. Refer to Appendix 6 for detailed disclosure on Reserve and Resource calculations. Measured and Indicated Resources inclusive of Reserves, and Capoose Indicated Resources of 384koz.
2. New Gold holds a fully carried 30% interest in the El Morro project.
Corporate Presentation | August 2012 6 6
7. Operational execution
Gold production(1) (000s ounces)
450
400 405-445
350 383 387
300
250 302
200 233
150
100
50
0
2008 2009 2009 2010 2010 2011 2011 2012
Actual Guidance Actual Guidance Actual Guidance Actual Guidance
Total cash cost(1)(2) ($/oz)
$600
$500 $566
$400 $465 $446
$418 $410-430
$300
$200
$100
$0
2008 2009 2009 2010 2010 2011 2011 2012
Actual Guidance Actual Guidance Actual Guidance Actual Guidance
Notes: 1. Refer to Cautionary Statement and note on Total cash cost.
2. 2009 and 2008 costs shown based on Canadian GAAP.
Corporate Presentation | August 2012 7 7
8. Cost trends: New Gold versus industry(1)(2)
$700
$643
$600
Total Cash Costs (US$/oz)(2)
$557
$566
$500 $478
$464
$465
$446
$400 $418 $410-$430
$300
2008 2009 2010 2011 2012E
New Gold provides leverage to gold price
Margin +241%
(US$/oz)
$297 $1,014
Gold price +69%
(US$/oz) $863 $1,460
Notes: 1. Industry data per GFMS reports calculated net of by-product credits.
2. Refer to Cautionary Statement and note on Total cash cost.
Corporate Presentation | August 2012 8 8
9. Second quarter 2012 operating results
Second Quarter 2012 First Six Months 2012
Earning from Earning from
Gold sales Cash cost(1) Gold sales Cash cost(1)
Mine Operations Mine Operations
(000s ounces) ($/oz) (000s ounces) ($/oz)
($mm) ($mm)
Mesquite
• Strong start to 2012 leads to solid 37 $657 $18 81 $641 $46
earnings contribution
Cerro San Pedro
• Significant cash flow generator at low 36 $168 $41 69 $199 $82
cash costs
Peak Mines
• Mine sequencing moving to higher 24 $645 $17 41 $759 $27
grade areas with continued
improvement in recoveries
97 $472 $76 191 $507 $154
Note: 1. Refer to Cautionary Statement and note on Total cash cost.
Corporate Presentation | August 2012 9 9
10. 2012 guidance
Gold production(1) Total cash cost(1)
405 - 445Koz $410 - $430/oz
2012 cash cost estimate assumes: 2012 Guidance
• $30.00 per ounce silver
Gold production Total cash cost(1)
• $3.50 per pound copper (ounces) ($/oz)
• Parity Australian dollar Mesquite 140,000 - 150,000 $710 - $730
• Parity Canadian dollar
Cerro San Pedro 140,000 - 150,000 $250 - $270
Total company cash cost subject to following sensitivities:
Peak Mines 90,000 - 100,000 $640 - $660
• +/- $1.00 per ounce silver ~ +/- $5 per ounce
• +/- $0.25 per pound copper ~ +/- $25 per ounce New Afton 35,000 - 45,000 ($1,200) - ($1,300)
• +/- $0.05 AUD FX ~ +/- $10 per ounce
Total 405,000 - 445,000 $410 - $430
• +/- $0.05 CDN FX ~ +/- $5 per ounce
Notes: 1. Refer to Cautionary Statement and note on Total cash cost.
Corporate Presentation | August 2012 10 10
11. New Afton – Achieves commercial production
New Afton(100%)
Production Started
June 28, 2012
Commercial Production
July 31, 2012
Average Annual Cash Flow(5)
~ $240 million
Location Canada
• Met targeted June 2012 production start
• Stockpile of one million tonnes at production start
Mine type Underground
• First concentrate trucked on July 5, 2012
Reserves1 – Gold/Copper (Moz/Mlbs) 1.0/954 • Achieved commercial production on July 31, 2012
Resources1 – Gold/Copper (Moz/Mlbs) 1.7/1,586 – Average daily mill throughput approaching
Estimate mine life 12 years
nameplate capacity
• Run-rate average annual expectations:
2012E production/yr (Au koz/Cu Mlbs)2 35-45k/30-35m
– Production: 85koz gold/75Mlbs copper
2012E cash cost/oz by-product3 ($1,200)-($1,300) – Cash cost: ($1,750)/oz by product;
2012E cash cost/oz co-product (Au/Cu)4 $630-$650/$1.35-$1.45 $525/oz/$1.15/lb co-product
• Underground exploration program to start in Q3’12
Notes: 1. Refer to Appendix 6 for detailed disclosure on Reserve and Resource calculations.
2. Production includes all production including the gold and copper produced prior to commercial production.
3. Refer to Cautionary Statement and note on Total cash cost.
4. Co-product cash cost calculated based on relative percentage of gold and copper revenue, respectively.
5. Using spot commodity prices. Corporate Presentation | August 2012 11 11
12. El Morro (30%) – A world class project
El Morro (30%)
Gold Reserve(1)
2.5 Moz
Copper Reserve(1)
1.9 Blbs
• On June 27, 2012 Ontario Superior Court of Justice
validated New Gold/Goldcorp partnership at El
Morro
Location Chile
– Period for Barrick to appeal has elapsed
• Current Resource entirely within La Fortuna deposit
Mine type Open Pit
• 1.2 Moz inferred gold resource at higher gold and
Reserves1 – Gold/Copper (Moz/Mlbs) 2.5/1,868
copper grades in deeper portion of La Fortuna
Resources1 – Gold/Copper (Moz/Mlbs) 3.0/2,193 deposit
Estimate mine life 17 years • Neighbouring El Morro deposit underexplored
LOM production/yr (Au koz/Cu Mlbs)2 90/85 • Capital fully-funded by 70% partner Goldcorp
LOM cash cost/oz co-product (Au/Cu)3 $550/$1.45 • Addressing recent temporary suspension of
environmental permit
Notes: 1. Refer to Appendix 6 for detailed disclosure on Reserve and Resource calculations. Measured and Indicated Resources inclusive of Reserves. El Morro Reserves and Resources shown on attributable 30% basis.
2. Refer to Cautionary Statements.
3. Refer to Cautionary Statements and note on Total cash cost. Life of mine co-product costs based $1,200/oz gold and $2.75/lb copper.
Corporate Presentation | August 2012 12 12
13. Blackwater – Continuing to grow
Blackwater
Indicated Gold Resource(1)
7.1 Moz at 0.96 g/t
Inferred Gold Resource(1)
2.5 Moz at 0.77 g/t
• Latest resource included drilling through May 14,
2012 and is based on total of 417 holes totaling
147,619 metres
• Currently 19 drills active at site
• Further consolidated land position – 1,000km2
Location Canada
• Year-round accessibility for drilling/development
Proposed mine type Open Pit
• Central British Columbia near infrastructure
M&I Resources1 – Gold/Silver (Moz) 7.1/34.0
• Ability to fund continued exploration/development
Inferred Resources1 – Gold/Silver (Moz) 2.5/24.4
internally
Targeted production2 2017 • Tax synergies with New Afton
Notes: 1. Refer to Appendix 6 for detailed disclosure on Reserve and Resource calculations.
2. Blackwater start date based on indicative timeline which is dependent on continued exploration success, environmental approvals and the determination that the deposit is economically viable.
Corporate Presentation | August 2012 13 13
14. Blackwater – Area map
~100km to
Vanderhoof
Capoose
Resource
Blackwater ~160km to
Project Prince George
50km Gold/Silver Resources (Moz)
M&I: 0.4/26.6
Inferred: 0.4/29.5
• Two drills actively exploring
Gold/Silver Resources (Moz)
M&I: 7.1/34.0
Inferred: 2.5/24.4
• 17 drills active
• 13 exploration-focused
• Three testing infrastructure sites
• One geotechnical-focused
80km
Corporate Presentation | August 2012 14 14
15. Blackwater – Overview of potential project parameters
60,000 tpd operation
PEA considerations
Conventional open pit truck and shovel
1
operation
1.00 625
2 Good existing road access
Several viable options for powerline
Gold production (thousand ounces)
0.98
3
access to BC Hydro grid ($0.04/KwH) 600
Gold grade (g/t)
4 Non-refractory ore 0.96
Recoveries by conventional direct 575
cyanidation and/or flotation process 0.94
~90%
5 Process plant capacity of 60,000 tpd 0.92 550
Several viable options identified for
6
tailings and waste disposal 0.90
525
Targeting completion of PEA in
7
September 2012
85% 86% 87% 88% 89% 90%
Gold recovery (%)
• ~4.6 g/t silver at 50% recovery would yield ~1.7 million ounces silver annually
Corporate Presentation | August 2012 15 15
16. Blackwater – Indicative timeline
• The below provides a preliminary indicative targeted timeline through exploration,
development and into production(1)
– New Gold will continue to refine this timeline
2012 2013 2014 2015 2016 2017
Development activity H1 H2 H1 H2 H1 H2 H1 H2 H1 H2 H1 H2
First Nations & Public Consultation
Drilling
Preliminary Economic Assessment
Base Line Environmental Studies
Terms of Reference
Environmental Assessment Reports
Provincial Approval
Federal Approval
Feasibility Study
Engineering Procurement
Construction
Production Target
Reflects critical path in timeline
Notes: 1. Indicative timeline is dependent on continued exploration success, permit approvals and the determination that the deposit is economically viable. There is no assurance this timeline will be achieved nor that
the deposit will ever reach the production stage.
Corporate Presentation | August 2012 16 16
17. Near-term production and cash flow increases…
$1,750 $1,600 $1,600 600
$1,460
$1,180 ~$1,425
500
$1,400 $1,014
Gold production (thousand ounces)
~450 - 500
405 - 445 400
$1,050 387
US$/oz
300
$700
200
$350 $446 $410 - $430
100
~$150 - $200
$0 0
2011A 2012E 2013E
Cash Cost(1) Margin Realized gold price
(US$/oz) (US$/oz) (US$/oz) Gold production
Notes: 1. Refer to Cautionary Statement and note on Total cash cost.
Corporate Presentation | August 2012 17 17
18. …and a future of growth
• El Morro and Blackwater expected to more than double New Gold’s gold production by 2017
at low cost
1,000
800
Gold production (thousand ounces)
600
~450 - 500
405 - 445
400 387
200
2011A 2012E 2013E 2017E
Corporate Presentation | August 2012 18 18
19. Net asset value per share appreciation
Net Asset Value $15.00 High
Share price ~1.5x
6/1/09 Today NAVPS
Closing of
$13.00 P/NAV Richfield
acquisition
Operating Portfolio(1)
Current
~ $875 $1,888 $11.00 High ~1.0x
Completed $1.2bn ~1.5x
US$ NAV and Share price
business
New Afton combination with
Western Goldfields
$9.00
~ $120 $1,250
High
~1.5x
$7.00
El Morro(2) Low
~0.7x
~ $40 $745 High
$5.00 ~1.5x
Blackwater(3) 311% increase in NAVPS
$3.00
$-- $1,133
238% increase in share price
Development Projects $1.00
27-Jul-12
21-Mar-12
1-Jun-09
3-Mar-11
7-Oct-09
9-Jul-11
26-Oct-10
20-Jun-10
14-Nov-11
12-Feb-10
31-Jul-12
~ $160 $3,128
Source: Broker Reports, Company Estimates and Announcements, Bloomberg.
Notes: 1. Street consensus NAV for Mesquite, Cerro San Pedro and Peak Mines.
2. Current street consensus NAV for El Morro; Includes $50mm cash payment received from Goldcorp as part of transaction consideration.
3. New Gold purchased Richfield for C$480 million and Silver Quest for C$110 million. The deals closed on June 1, 2011 and December 23, 2011, respectively.
Corporate Presentation | August 2012 19 19
20. Near-term value opportunity
Enterprise Value $4.8 billion
Consensus El Morro NAV $0.8 billion
Consensus Blackwater NAV $1.1 billion
Enterprise value (ex growth assets) $2.9 billion
Consensus 2013E cash flow from operations
$522 million(1)
New Gold trading at ~5.6x 2013E cash flow
Historical cash flow multiple range in industry of 5 to 20 times
Notes: 1. Based on analyst consensus cash flow per share estimate of $1.13 per share times 462 million shares outstanding.
Corporate Presentation | August 2012 20 20
21. 2012 – A year of catalysts
Blackwater resource update
New Afton production start
El Morro litigation decision
Further Blackwater PEA resource update
New Afton commercial production
Blackwater PEA
El Morro engineering/development planning
Blackwater/New Afton exploration
Corporate Presentation | August 2012 21 21
22. The New Gold investment thesis
EXPERIENCED BOARD AND MANAGEMENT
FULLY FUNDED COMPANY WITH STRONG BALANCE SHEET
DIVERSIFIED ASSET BASE IN MINING FRIENDLY JURISDICTIONS
ORGANIC GROWTH OPPORTUNITIES/METAL OPTIONALITY
PRODUCTION GROWTH/MARGIN EXPANSION
INCREASING UNDERLYING ASSET VALUE
MULTIPLE CATALYSTS
COMPELLING INVESTMENT PROPOSITION
Corporate Presentation | August 2012 22 22
23. Appendix
Appendices
Page
1. Financial information 24
2. Operating performance 28
3. New Afton 31
4. El Morro 36
5. Blackwater 39
6. Reserves and resource notes 50
7. Commodity price/foreign 55
exchange assumptions
Corporate Presentation | August 2012 23 23
24. Appendix 1
Capitalization and liquidity
April 2012 Senior Note Financing Average Daily Trading(3)
• Completed $300 million 7% unsecured note
financing on April 5th and announced
8 ~7.3mm
redemption of C$187 million 10% senior ~7.0mm
secured notes 7
• Multiple benefits
6 ~5.5mm
– Lower interest rate – 7% vs. 10%
5
Million shares
– Extended term – 2020 vs. 2017
4
– Enhanced flexibility – ability to institute
dividend; notes are unsecured 3
– Additional $90 million cash on balance
2
sheet post redemption/costs ~1.0mm
1
Cash and equivalents - $230 million(1)
0
2008 2009 2010 2011
Debt - $385 million(1)(2)
Notes: 1. Cash and debt positions as of June 30, 2012.
2. See Appendix 1 for detailed breakdown of components of debt.
3. Averages based on combination of all trading platforms including: TSX, Alpha, Pure and NYSE Amex.
Corporate Presentation | August 2012 24 24
25. Appendix 1
Summary of debt
Undrawn Credit Convertible
Senior Notes El Morro Funding Loan
Facility Debentures
Face Value $150 million(1) $300 million C$55 million $46 million
Maturity 3 years with annual April 15, 2020 June 28, 2014 n/a
extensions permitted
Interest Rate See ‘Key features’ 7% 5% 4.58%
Payable Revolving credit Semi-annually Semi-annually Upon start of production
Conversion price n/a n/a C$9.35 n/a
Current trading value n/a ~104 ~$122 n/a
Key features Normal financial • Senior unsecured Redeemable after New Gold to repay
covenants • Redeemable after January 1, 2012 with Goldcorp out of 80% of
April 15, 2016 at between 30 and 60 its 30% share of cash
Interest Rate 103.5% down to days notice provided flow once El Morro starts
• 3% over LIBOR based 100% of face after shares trading over production
on ratios 2018 C$11.69
• Standby fee of 0.75% • Unlimited dividends
if leverage ratio
below 2:1
Notes: 1. $30 million currently allocated for Letters of Credit.
Corporate Presentation | August 2012 25 25
27. Appendix 1
Track record of per share growth outperforming gold
Average gold price increased by 62% from 2009 through 2011
Adjusted earnings per share Net cash generated from operations per share
$0.44
267% 104%
$0.53
$0.48
$0.30
$0.26
$0.12
2009 2010 2011 2009 2010 2011
Net asset value per share(1)(2) Measured & Indicated gold resource per 1,000 shares(3)
$11.02 25%
348% 40.8
32.7
$6.68
$2.46
6/1/09 12/31/10 12/31/11 12/31/10 12/31/11
Notes: 1. Net asset value as at June 1, 2009 based on New Gold and Western Goldfields business combination.
2. Based on average of consensus net asset value per share ascribed by analysts covering New Gold.
3. Measured and Indicated gold resource shown inclusive of reserves.
Corporate Presentation | August 2012 27 27
28. Appendix 2
Mesquite
2011 Actual & 2012 Guidance
Gold production (ounces) 2011A 2012E
140,000 - 150,000 Tonnes processed
11,733 12,500 – 13,500
(000 tonnes)
Tonnes mined
45,973 45,000 – 47,000
(000 tonnes)
Total cash cost ($ per ounce)
Grade - gold (g/t) 0.57 0.50 – 0.55
$710 - $730
Capital
19 ~14
($ million)
2011A versus 2012E Key assumptions and sensitivities
• Lower strip ratio to result in higher ore tonnes • Diesel comprises ~20% of Mesquite’s total costs
processed • Rack diesel price most correlated to Brent oil price
• Gold grade is expected to decline from 2011 − Brent oil price increased by 13% since
levels beginning of 2011
• Increase in costs primarily driven by lower • Every 10% change in diesel price has ~$15 per
gold production ounce impact on costs
Notes: 1. Mesquite life-of-mine recovery continues to track at ~75% for oxide; ~35% for sulphides.
Corporate Presentation | August 2012 28 28
29. Appendix 2
Cerro San Pedro
2011 Actual & 2012 Guidance
Gold production (ounces)
2011A 2012E
140,000 - 150,000
Tonnes processed
16,763 14,000 – 15,000
(000 tonnes)
Silver production (million ounces)
Tonnes mined
33,276 31,000 – 33,000
1.9 - 2.1 (000 tonnes)
Grade - gold (g/t) 0.48 0.55 – 0.60
Total cash cost ($ per ounce) Grade – silver (g/t) 24 20 – 25
$250 - $270 Capital
7 ~16
($ million)
2011A versus 2012E Key assumptions and sensitivities
• Expected production of gold and silver consistent • Silver price - $30 per ounce (2011A - $35.15/oz)
with 2011 • Mexican Peso: U.S. foreign exchange – 13:1
• Decrease in tonnes processed offset by • $1.00 per ounce change in silver equals ~$15 per
grade and recovery movements ounce change in Cerro San Pedro cash cost
• Increase in costs primarily driven by lower silver • 1.0 change in Mexican Peso equals ~$15 per
by-product price assumption ounce change in Cerro San Pedro cash cost
Notes: 1. Cerro San Pedro life-of-mine recovery continues to track at: Gold – ~60%, Silver – ~30%.
Corporate Presentation | August 2012 29 29
30. Appendix 2
Peak Mines
2011 Actual & 2012 Guidance
Gold production (ounces) 2011A 2012E
Tonnes processed
90,000 - 100,000 783 780 – 800
(000 tonnes)
Tonnes mined
755 780 – 800
Copper production (million pounds) (000 tonnes)
12 - 14 Grade - gold (g/t) 3.94 4.0 – 4.2
Grade – copper (%) 0.93 0.88 – 0.90
Total cash cost ($ per ounce) Recovery – gold (%) 89 88 – 90
$640 - $660 Recovery – copper (%) 82 85 - 87
Capital
50 ~60
($ million)
2011A versus 2012E Key assumptions and sensitivities
• Increased gold production driven by increases in • Copper price - $3.50 per pound (2011A - $3.78/lb)
tonnes processed, gold grades and recoveries • Australian dollar: U.S. foreign exchange – 1:1
• Similar copper production a result of increased • $0.25 per pound change in copper equals ~$35 per
tonnes processed and copper recoveries offset ounce change in Peak cash cost
by lower copper grades
• 0.01 change in Australian dollar equals ~$10 per
ounce change in Peak cash cost
Corporate Presentation | August 2012 30 30
32. Appendix 3
New Afton – 2012 production start-up
• The combination of over six months of active underground mining and the existence of the ore stockpile
should lead to an efficient mill start-up
• Mill started on June 28, 2012
• Commercial production achieved on July 31, 2012
Tonnes per day
15,000 Period of drawdown
of stockpile inventory
Mill reaches 11,000
12,500 tpd
10,000
7,500
Mining/milling rate
reach 11,000 tpd run-
5,000 rate level
Mill starts in June and reaches
2,500 6,600 tpd commercial rate in
August
-
January March May July September November January March
2012 2013
Mine tpd Mill feed tpd
Corporate Presentation | August 2012 32 32
33. Appendix 3
Production and sales
New Afton 2012 Guidance
Gold production (ounces)
Tonnes processed (000 tonnes) 1,900 – 2,200
35,000 - 45,000
Grade - gold (g/t) 0.75 – 0.85
Grade - copper (%) 0.85 – 0.95
Copper production (million pounds)
Recovery – gold (%) 88 – 90
30 - 35
Recover – copper (%) 88 – 90
Gold sales (ounces) • Difference between production and sales
a result of pre-commercial production
20,000 - 30,000 commodity sales being net against capital
costs and timing of certain concentrate
sales
Copper sales (million pounds)
20 - 25
Corporate Presentation | August 2012 33 33
34. Appendix 3
Operating costs
• Operating costs ~$25 per tonne in first five months of commercial production(1)
– Life-of-mine average ~$18 - $22 per tonne
~$6.20/t ~$4.60/t
~$9.20/t
Processing Mining G&A
2012 co-product cash cost(3)
2012 by-product cash cost(2)
$630 - $650 per ounce,
($1,200) - ($1,300) per ounce
$1.35 - $1.45 per pound
• Costs expected to be lower in future years as ‘per tonne’ cost reaches steady-state level
– Life-of-mine average by-product cost ~($1,750)(4)
– Life-of-mine average co-product costs(4) of ~$525 per ounce gold and ~$1.15 per pound copper
Notes: 1. Includes treatment and refining charges and assumes parity Canadian/U.S. dollar foreign exchange rate.
2. Assumes $3.50 per pound copper price and parity Canadian/U.S. dollar foreign exchange rate.
3. Co-product costs calculated on a percentage of revenue basis and assume a gold price of $1,600 per ounce.
4. Based on assumption of $1,600 per ounce gold, $3.50 per pound copper and a parity foreign exchange rate.
Corporate Presentation | August 2012 34 34
35. Appendix 3
New Afton – C Zone exploration
• 3 phase underground core drilling program totaling 40,000 meters commencing Q3 2012
• Phase 1: ~15,000 meters to delineate eastern limits of C-zone and assess potential to lower block cave
extraction level for B3 reserve block - estimated completion by end Q1’13
• Phases 2 & 3: ~25,000 meters to explore extensions to west and at depth - estimated completion Q4’13
C Zone Resource (2010)
Tonnes Au Cu Gold Copper
000’s g/t % Koz Mlbs
M&I 3,637 0.78 0.96 92 76
Inferred 11,317 0.60 0.75 218 186
Cross
Long Section
Section Looking South
Looking East
Corporate Presentation | August 2012 35 35
36. Appendix 4
El Morro (30%) – funding structure(1)
Total Capital 100%
100% Average annual
~ $3.9 billion cash flow
30% 70%
Funded by
~ $2.7 billion
$1.2 billion 30% 70%
interest at 4.58%
20% 80%
Carried funding repayment
• New Gold’s 30% share of development capital 100% carried
– Interest fixed at 4.58%
Notes: 1. Based on 2011 Feasibility Study.
Corporate Presentation | August 2012 36 36
37. Appendix 4
Selected porphyry gold/copper deposits/mines(1)
Gold
Grade
(g/t)
0.80
0.70
0.60 $38/t $42/t
El Morro
0.50 $51/t
0.40
$27/t
$40/t
0.30
$24/t
$49/t
0.20
0.10
$29/t
Copper
-- Grade
0.10% 0.20% 0.30% 0.40% 0.50% 0.60% 0.70% (%)
Agua Rica Alumbrera Cadia-Ridgeway (2) Cerro Casale
Chapada Cobre Panama El Morro Mt. Milligan
Source: Company disclosure.
Notes: 1. Circle sizes are representative of contained metal value of the reserves per tonne of reserve. Contained metal value calculated using Street research consensus long-term commodity pricing.
2. Includes “Cadia East Underground” and “Ridgeway Underground” reserves as indicated in Newcrest’s February 10, 2012 press release; does not include “Other” Cadia province reserves.
Corporate Presentation | August 2012 37 37
38. Appendix 4
El Morro relative positioning(1)
El Morro within Goldcorp portfolio
(2)
Gold Reserves Gold Equivalent
Asset Asset
(Moz) (Moz)
Penasquito 16.5 Penasquito 45.2
Pueblo Viejo 10.1 El Morro 15.4
Los Filos 7.8 Pueblo Viejo 11.8
El Morro 5.8 Los Filos 8.7
Cerro Negro 4.5 Cerro Negro 5.2
Notes: 1. Based on Goldcorp’s December 31, 2011 year-end resource statements.
2. Gold equivalent calculated based on the following commodity prices: Gold - $1,595/oz; Silver - $28.75/oz; Copper - $3.50/lb; Lead - $0.88/lb; Zinc - $0.86/lb.
Corporate Presentation | August 2012 38 38
39. Appendix 5
Blackwater drill program
Cumulative number Cumulative number
Assay cut-off date
of holes of metres
March 2011
December 31, 2010 77 24,563
Initial Resource
September 2011
July 31, 2011 148 49,223
Resource update
Year-end 2011
November 30, 2011 218 67,848
Resource update
March 2012
December 31, 2011 261 89,460
Resource update
April 2012
March 5, 2012 328 115,950
2012 assays received
July 2012
May 14, 2012 417 147,619
Resource update
Corporate Presentation | August 2012 39 39
40. Appendix 5
Blackwater Resource Growth - March 2011
March 2011
Indicated Inferred
Mt Au g/t Mt Au g/t
53.4 1.06 75.4 0.96
1.8 Moz 2.3 Moz
Cumulative Drilling
Holes Metres
77 24,563
$1000 pit shell
Corporate Presentation | August 2012 40 40
41. Appendix 5
Blackwater Resource Growth - September 2011
September 2011
Indicated Inferred
Mt Au g/t Mt Au g/t
165.2 1.01 38.8 0.94
5.3 Moz 1.2 Moz
Cumulative Drilling
Holes Metres
148 49,223
$1000 pit shell
$1200 pit shell
Corporate Presentation | August 2012 41 41
43. Appendix 5
Blackwater Resource Growth – March 2012
March 2012
Indicated Inferred
Mt Au g/t Mt Au g/t
174 0.98 92 0.78
5.5 Moz 2.3 Moz
Cumulative Drilling
Holes Metres
261 89,460
$1000 pit shell
$1200 pit shell
$1300 pit shell
Corporate Presentation | August 2012 43 43
44. Appendix 5
Blackwater Resource Growth – July 2012
July 2012
Indicated Inferred
Mt Au g/t Mt Au g/t
230 0.96 98 0.77
7.1 Moz 2.5 Moz
Cumulative Drilling
Holes Metres
417 147,619
Corporate Presentation | August 2012 44 44
45. Appendix 5
Blackwater – July 2012 drill results
July 18, 2012
Notes: 1. For complete summary of 2012 assay results, refer to New Gold website at www.newgold.com.
Corporate Presentation | August 2012 45 45
