New Guinea Gold Corp : New Guinea Gold Provides 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

NEW GUINEA GOLD PROVIDES COMPANY UPDATE

December 20, 2013, Vancouver, B.C., New Guinea Gold Corporation ("New Guinea Gold" or the "Company") (TSXV: NGG) is pleased to provide the following update on its activities and plans moving forwards.

Site Operations

Site operations remain limited to leaching previously mined Ore. On site staff are also working on finalising the feasibility study and associated operational plans for Phase II mining and processing.

Court Case

A judgement was handed down in favour of the plaintiffs in relation to a court case in which NGG was a joint respondent. The matter at issue (as per the notes to the recently released Financial Statements and MD&A) was the process undertaken by the Mineral Resources Authority for the renewal of the Mining Lease. The judgement means that the renewal process may need to be conducted again. All of the parties involved are committed to expediting this process if necessary however the parties are endeavouring to settle the matter between themselves.

Corporate Activity

The Board and Executives are still progressing discussions with several potential counter- parties with a view to completing a transaction that will maximise value to shareholders and secure the future of the Sinivit mine and associated exploration licenses. The Company will update shareholders on the status of these discussions as they progress.
The Company has reached agreement in principal to acquire the outstanding ordinary shares in Gold Mines of New Guinea Holdings Limited which it does not already own. This will mean NGG has title to 100% of the Mining Lease, associated access leases and the Exploration Licence which underly the Sinivit Project. There are conditions precedent to the completion of the transaction. This will simplify the operational environment and allow any future transactions to be completed within a far simpler framework.

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 Staternents - Certain information set forth in this news release contains forward-looking staternents.. These forward looking staternents involve substantial known and unknown risks and llllcertainties, certain ofwhich are beyond the control of NGG, including, but not limited to the irnpact of generai economie conditions, industry conditions, volatility of conunodity prices, risks associated with the nncertainty of resource and reserve estirnates, currency fluctuations, dependence upon regulatory approvals, the availability of future financing and exploration risk. Readers are cautioned that the assurnptions used in the preparation of such information, although considered reasonable at the tirne of preparation, rnay prove to be imprecise and, as such, nndue reliance should not be placed on forward­ looking staternents.

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