New Guinea Gold Corp : New Guinea Gold Announces Company Update

Canada: Australia:

900 - 595 Howe Street P.O. Box 10328

Vancouver, B.C., Canada, V6C2T5 Brisbane Adelaide St, Qld 4000

Phone: [phone], ext 103 Phone: [phone]

Fax: [phone] Fax: [phone]

Email: [e-mail] Email: [e-mail]

Trading Symbols: TSX-V: NGG

Frankfurt: NG8

Web Site: www.newguineagold.ca

COMPANY UPDATE

Vancouver, BC - September 4, 2013 - New Guinea Gold Corporation. ("NGG" or the
"Company") (TSX-V: NGG) is pleased to provide the following company update.

Cease Trade Order

The Company's stock has been the subject of a Cease Trade Order ("CTO") since July 4, 2013. The Company has previously advised that the CTO would remain in place until such time as the audited financial statements for the year ended December 31, 2012 are able to be re-issued with an unqualified audit report, and until the order is revoked by the British Columbia Securities Commission ("BCSC")
The Company's auditors, Lawler Hacketts Audit, have now completed their additional audit procedures on opening (1 January 2012) balances. No adjustments are required to any balances previously reported by the Company as a result of these additional audit procedures. The Company's previous auditors issued an unqualified audit opinion in relation to these same balances. Lawler Hacketts Audit are now preparing an unqualified audit opinion in relation to the audited financial statements for the year ended December 31, 2012. The Company expects to receive this report in the coming days and will immediately issue amended audited financial statements for the year ended December 31, 2012.
The Company will continue to liaise with the BCSC in relation to the revocation of the CTO as soon as possible, as well as liaising with the TSX-V in connection with the reinstatement to trading of the Company's securities on the exchange.
The Company thanks shareholders for their patience while this matter is resolved.

Revised Management Discussion and Analysis

The Company has today issued revised Management Discussion and Analysis' (" MD & A ") for the year ended December 31, 2012 and for the quarter ended March 31, 2013, following a review by the BCSC.
The Company has added a Statement of Comprehensive Income for the 2010 year to the
Selected Financial Information section of the December 31, 2012 MD & A, in addition to the
2011 and 2012 details previously reported. A minor technical correction has also been made to the Disclosure Control section for both the December 2012 and March 2013 MD & A.

Appointment of Senior Mining Consultant

The Company is pleased to announce the appointment of Mr. Bernard Holtshousen as Senior Mining Consultant. Mr Holtshousen has over 40 years of mine development experience in Australia, South Africa, Papua New Guinea and South America, and has served as a senior
officer or director of numerous international mining companies including Gencor (the predecessor to BHP Billiton), Phelps Dodge, Highlands Gold and MIM Holdings. He has expertise in all facets of the minerals industry, both with large and small mining companies, open pit and underground mines in a variety of minerals including gold, silver, copper, iron ore, diamonds and coal.
Mr Holtshousen's initial focus will be on the development and implementation of an operational improvement plan for the Company's Mt Sinivit Gold Mine.

Business Development Opportunities

The Company has previously announced that it was in discussions with a number of parties who have expressed an interest in the operations of the Company. Discussions with these parties are ongoing and at an advanced stage, although details remain commercial in confidence at this time. The Board has discussed a number of alternatives with these parties, including the sale of the Company's Papua New Guinean subsidiary company New Guinea Gold Limited, the sale of the Consolidated entity, as well as equity investment in the parent company.
The finalization of terms has been delayed temporarily while the CTO remains in place. The Board expects to finalise transaction details once the CTO has been lifted and the Company's securities recommence trading on the TSX-V.

ON BEHALF OF THE BOARD

Greg Heaney
Director
For further information, please contact [e-mail], or access our website -
www.newguineagold.ca.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Statements - Certain information set forth in this news release contains forward-looking statements, including the timing of filing of NGG's Annual Financial Filings. These forward looking statements involve substantial

known and unknown risks and uncertainties, certain of which are beyond the control of NGG, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of resource and reserve estimates, currency fluctuations, dependence upon regulatory approvals, the availability of future financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

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