New Gold Inc. provided an update on its tailings facilities at the Company's New Afton Mine, located in Kamloops B.C. During regular inspections of the New Afton Tailings Storage Facility completed on August 9th, the Company observed geotechnical variances that require further review by the Engineer of Record ("EOR"). Out of an abundance of caution, the Company has elected to suspend underground mining activities allowing its EOR appropriate time to review the findings. Milling operations continue unaffected and are utilizing the existing surface stockpile.

In-pit tailings deposit is ongoing as planned. New Gold has alerted and is working with the relevant regulatory authorities to address the situation, and will issue further updates as appropriate.