BRITISH COLUMBIA - Vancouver-based NEW GOLD INC. appears to have put the last piece of financing in order to develop its New Afton project 10 km west of Kamloops. It recently proposed to raise $275 million though a combination of debentures ($55 million) and units ($250 million).
New Gold plans to use the net proceeds of the offering to fund pre-production development at the New Afton copper-gold mine and mill, to bring the facilities up to a full production rate of 4,400 t/d.
According to information on the companys website (www.NewGoldInc.com) the deposit contains measured and indicated resources of 65.7 million tonnes grading 1.02% Cu and 0.77 g/t Au plus inferred resources of 7.9 million tonnes grading 0.96% Cu and 0.88 g/t Au. Contained metal is estimated to be 1.65 billion lb of copper and 1.86 million oz of gold in all categories.