New Gold Provides Update on its Activities to Resume Mining Operations at its
Cerro San Pedro Mine
The first appeal was filed on
In addition, MSX today filed a separate appeal with the District Court in San Luis Potosi. The objective of the appeal is to overturn the order that required suspension of mining operations as a result of the cancellation of the project's EIS. Based on the advice of its Mexican legal advisers, New Gold believes that claims that the EIS is required to be in place to operate its Cerro San Pedro Mine have no legal basis.
This most recent appeal includes a request for a temporary injunction which would allow the mine to continue operating while the appeal goes to trial and the court hears the arguments in relation to the suspension order. It is expected that a decision on the injunction request will be provided within 10 days. In the event an injunction is not granted, mining operations would remain suspended and the appeal would go to trial where all merits of the case would be heard and a decision made. If the matter is heard in court and the mine suspension is prolonged, New Gold will continue to take all measures necessary to actively safeguard the integrity of the mine, its environment, its employees and residents of the surrounding communities.
The company is working cooperatively with Mexican environmental agencies with a view to permanently addressing the issues surrounding the EIS at the Cerro San Pedro Mine. To this end, MSX has filed with SEMARNAT a request for authorization of a new EIS. The request was accepted by SEMARNAT and evaluation has commenced.
"In addition to using all of the legal channels available to resume mining operations in the shortest time possible, we are in active dialogue with all levels of the government and administrative bodies associated with the project," says
MSX continues to employ 509 employees and contractors at the Cerro San Pedro Mine, over 60 per cent of whom are from local villages surrounding the mine. MSX has an enviable record of compliance with Mexican and international environmental standards. The company has strived to improve the quality of life of its employees and that of the surrounding communities through various initiatives including: enhancement of education, provision of free medical services and development of improved local infrastructure. The company enjoys a high degree of acceptance by the greater majority of the residents of area surrounding the mine due to its outstanding record of caring for the environment and its positive work in the communities.
New Gold will continue to provide updates on this matter.
About New Gold
New Gold is an intermediate gold mining company with the Mesquite Mine in the
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
Certain information contained in this press release, including any information relating to New Gold's future financial or operating performance may be deemed "forward looking". All statements in this press release, other than statements of historical fact, that address events or developments that New Gold expects to occur, are "forward-looking statements". Forward-looking statements are statements that are not historical facts and are generally, but not always, identified by the words "expects", "does not expect", "plans", "anticipates", "does not anticipate", "believes", "intends", "estimates", "projects", "potential", "scheduled", "forecast", "budget" and similar expressions, or that events or conditions "will", "would", "may", "could", "should" or "might" occur. All such forward looking statements are subject to important risk factors and uncertainties, many of which are beyond New Gold's ability to control or predict. Forward-looking statements are necessarily based on estimates and assumptions that are inherently subject to known and unknown risks, uncertainties and other factors that may cause New Gold's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking statements. Such factors include, without limitation: significant capital requirements; fluctuations in the international currency markets and in the rates of exchange of the currencies of
For further information: Hannes Portmann, Director, Corporate Development and Investor Relations, New Gold Inc., Direct: (416) 324-6014, Email: [email protected], Website: www.newgold.com
Share this article