New Gold Inc.

New Gold Inc. is a mid-tier gold producer headquartered in Toronto, Canada, operating primarily in Canada. The company's portfolio consists of 3 projects, comprising 2 operating mines and 1 reclamation project. Key assets include New Afton and Rainy River. The company operates as an intermediate mining entity focused on the exploration, development, and operation of mineral properties. Its business model emphasizes profitable and responsible mining through a combination of open-pit and complex underground mining methods. Operational expertise encompasses conventional truck-and-shovel techniques, longitudinal long-hole open stoping, and advanced block caving, which facilitates high-capacity, low-cost ore extraction. Processing capabilities are diverse, utilizing conventional crushing and grinding circuits, gravity concentration, flotation, and whole-ore leaching with carbon-in-pulp recovery systems to produce both doré and concentrate products. The enterprise leverages specialized knowledge across geology, engineering, metallurgy, and construction to manage the full mining lifecycle. Competitive strategy relies on the ability to develop existing properties efficiently and to select and acquire suitable new prospects. To mitigate market volatility, the organization may utilize financial instruments for hedging purposes, managing risks associated with price fluctuations. This integrated approach, combining varied operational methods with sophisticated processing technologies, underpins its position in the sector.

The organization's strategic direction centers on maximizing shareholder value through a multi-faceted approach of operational excellence, disciplined growth, and responsible mining. A core objective is the extension of operational life through systematic exploration and development, with a focus on converting existing mineral resources into reserves. Operational priorities include transitioning to a period of growth and decreasing costs by leveraging high-capacity, low-cost, and low-emission ore transportation systems and maximizing the use of existing processing infrastructure to handle increased throughput. The growth strategy also incorporates the use of supplemental higher-grade mill feed from regional sources to enhance cash flow. Exploration efforts are robust, targeting the expansion of known mineral resources and the discovery of new mining zones through significant drilling campaigns. Capital allocation is directed toward both sustaining current operations and funding growth initiatives, such as underground development and infrastructure expansion. This strategic framework is designed to build operational flexibility, improve long-term production profiles, and create a foundation for sustained, profitable growth.

Executive leadership is headed by a President and Chief Executive Officer with over 30 years of corporate, technical, and operational experience, including leading the construction and operation of major mining projects. The board of directors is composed of 11 members, with 10 classified as independent, ensuring robust oversight. Governance is structured through 4 standing committees: Audit, Human Resources and Compensation, Corporate Governance and Nominating, and Technical and Sustainability, all of which are composed entirely of independent directors. The Audit Committee, comprising 4 independent and financially literate members, meets at least quarterly to oversee financial reporting integrity, internal controls, and compliance. This committee also has the authority to retain independent legal and accounting consultants. The governance framework includes detailed charters and policies, such as a Code of Business Conduct and Ethics, to manage potential conflicts of interest. Executive compensation is performance-based and overseen by the Human Resources and Compensation Committee to align leadership incentives with shareholder interests while discouraging excessive risk-taking. This structure reflects a commitment to strong corporate governance and experienced leadership.

The organization's sustainability framework is guided by a board-approved policy and adherence to the Mining Association of Canada’s Towards Sustainable Mining protocols, having achieved 'AAA' ratings for Tailings Management and Water Stewardship. A key climate commitment is the publicly disclosed corporate target of a 30% reduction in greenhouse gas emissions by 2030, benchmarked against 2020 levels. This is supported by a company-wide Climate Committee established in 2022 and alignment with Task Force on Climate-Related Financial Disclosure (TCFD) guidance, with reports issued in 2022 and 2024. Tailings governance is reinforced by an Independent Tailings Review Board, comprising 4 external experts who meet biannually, and adherence to the Canadian Dam Association Dam Safety Guidelines. The company fosters relationships with Indigenous peoples through formal Participation Agreements and an Impacts and Benefits Agreement, ensuring communities benefit from operations. Social commitments include promoting a diverse and inclusive workforce, upholding fair employment practices, and prioritizing employee health and safety. A refreshed sustainability strategy, developed through a cross-functional process, is scheduled for launch in early 2025 to address key ESG challenges.

The corporate structure has been shaped by several key transactions. In 2015, the entity acquired Bayfield Ventures Ltd. following its 2013 purchase of Rainy River Resources Ltd. A significant streaming agreement was established in 2015 with Royal Gold A.G., which provided $175 million in upfront development financing in exchange for a percentage of future metal production from a key operation. A strategic partnership was formed in 2020 with an affiliate of the Ontario Teachers’ Pension Plan, which acquired a 46.0% free cash flow interest in a principal asset for $300 million. This arrangement was amended in 2024 when the company repurchased a significant portion of that interest for $255 million, increasing its effective free cash flow interest to 80.1%. The 2024 amendment also eliminated the partner's option to convert its interest into a joint venture and reduced its governance rights, though it retains a right of first refusal on a sale of the remaining royalty. As of the reporting date, the company holds its principal operating assets directly and does not have any material subsidiaries.