Notes to Mineral Reserve and Resource Estimates

1) New Gold’s Mineral Reserves and Mineral Resources have been estimated in accordance with the CIM Standards, which are incorporated by reference in NI 43-101.

2) Year-end 2014 Mineral Reserves for the Company’s mineral properties have been estimated based on the following metal prices and lower cut-off criteria:

Mineral Property Gold $/ounce Silver $/ounce Copper $/pound Lower cut-off
New Afton $1,200 $18.00 $3.00 $21.00/t B1 & B2 zone; $24.00/t B3 zone
Mesquite $1,200 0.21 g/t Au – Oxide and transition reserves
0.41 g/t Au – Non-oxide reserves
Peak Mines $1,200 $18.00 $3.00 A$88–A$142/t NSR
Cerro San Pedro $1,200 $18.00 $4.00/t
Rainy River $1,200 $18.00 Open pit direct processing: 0.30–0.70 g/t AuEq
Open pit stockpile: 0.30 g/t AuEq
Underground: 3.50 g/t AuEq
Blackwater $1,200 $18.00 Direct processing: 0.26–0.38 g/t AuEq
Stockpile: 0.32 g/t AuEq
El Morro $1,300 $3.00 0.20% CuEq

3) New Gold reports its Measured and Indicated Mineral Resources exclusive of Mineral Reserves. Measured and Indicated Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. Inferred Mineral Resources have a greater amount of uncertainty as to their existence, economic feasibility and legal feasibility, do not have demonstrated economic viability, and are likewise exclusive of Mineral Reserves.

4) Year-end 2014 Mineral Resources for the Company’s mineral properties (other than the Mineral Resource estimates for the Rainy River project and Blackwater project, which are effective March 10, 2015) have been estimated based on the following metal prices and lower cut-off criteria:

Mineral Property Gold $/ounce Silver $/ounce Copper $/pound Lower cut-off
New Afton $1,300 $20.00 $3.25 0.40% CuEq
Mesquite $1,300 0.12 g/t Au – Oxide and transition resources
0.24 g/t Au – Non-oxide resources
Peak Mines $1,300 $20.00 $3.25 A$93–A$133/t NSR
Cerro San Pedro $1,300 $20.00 0.10 g/t AuEq – Open pit oxide resources
0.30 g/t AuEq – Open pit sulphide resources
Rainy River $1,300 $20.00 Open pit direct processing : 0.30–0.45 g/t AuEq
Open pit stockpile: 0.30 g/t AuEq
Underground: 2.50 g/t AuEq
Blackwater $1,300 $20.00 Direct processing: 0.40 g/t AuEq
Stockpile: 0.30–0.40 g/t AuEq
Capoose $1,300 $20.00 0.40 g/t AuEq
El Morro $1,500 $3.50 0.20% CuEq

5) Mineral Resources are classified as Measured, Indicated and Inferred and are reported based on technical and economic parameters consistent with the methods most suitable for their potential commercial exploitation. Where different mining and/or processing methods might be applied to different portions of a Mineral Resource, the designators “open pit” and “underground” have been applied to indicate envisioned mining method. Likewise, the designators “oxide”, “non-oxide” and “sulphide” have been applied to indicate the type of mineralization as it relates to appropriate mineral processing method and expected payable metal recoveries. Mineral Reserves and Mineral Resources may be materially affected by environmental, permitting, legal, title, taxation, sociopolitical, marketing and other risks and relevant issues. Additional details regarding Mineral Reserve and Mineral Resource estimation, classification, reporting parameters, key assumptions and associated risks for each of New Gold’s material properties are provided in the respective NI 43-101 Technical Reports which are available at www.sedar.com.

6) All Mineral Resource and Mineral Reserve estimates for New Gold’s operating properties and El Morro project are effective December 31, 2014. For the Rainy River and Blackwater projects, the Mineral Resource estimates are effective March 10, 2015, and the Mineral Reserve estimates are effective December 31, 2014. For the Rainy River project, the Mineral Resource estimate reflects New Gold’s acquisition of Bayfield, which was effective January 1, 2015.