Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Indigenous Rights
• Community Engagement

Environmental Achievements

• Reduced reportable environmental release incidents to 7 (goal was fewer than 9)
• Recycled 100% of water used for ore processing at Rainy River and 80% at New Afton
• Rainy River achieved A status in the MAC and TSM Initiative's third-party verification

Social Achievements

• Achieved AA or AAA for all indicators in the Mining Association of Canada’s Towards Sustainable Mining protocols
• Spent $220 million on local and Indigenous procurement at Rainy River and New Afton
• Implemented various mental health support programs at Rainy River and New Afton

Governance Achievements

• Launched a Sustainability Strategy with three anchors: Environment, Community Engagement, and Indigenous Rights
• Published the company's first ESG report
• Conducted a materiality assessment to identify key ESG issues

Climate Goals & Targets

Environmental Challenges

• Rainy River experienced ongoing dry and drought conditions
• New Afton faced challenges in obtaining a short-term water license
• COVID-19 pandemic impacted operations and community engagement

Mitigation Strategies

• Rainy River developed a robust water management strategy
• New Afton worked closely with stakeholders to secure the water license
• Implemented various measures to protect employees and communities during the pandemic

Supply Chain Management

Responsible Procurement

• Local procurement programs
• Indigenous business partnerships
• Mining Local Procurement Reporting Mechanism (LPRM)

Climate-Related Risks & Opportunities

Physical Risks

• Extreme precipitation events
• Rain-on-snow events
• Lightning impact

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards (Core Option), SASB Metals and Mining Standards, UN SDGs, TCFD (in progress)

Certifications: ISO 14001 (New Afton), ISO 50001 (New Afton)

UN Sustainable Development Goals

• 1
• 3
• 5
• 7
• 8
• 10
• 11
• 12
• 13
• 14
• 15
• 16

See page 27 for details

Awards & Recognition

• Association of Energy Engineers Regional Innovative Energy Project of the Year – Canada Region (New Afton)
• John T. Ryan and Large Underground Mine Safety Award (New Afton)

Environmental Metrics

ESG Focus Areas

• Environment
• Indigenous Rights
• Community Engagement

Environmental Achievements

• New Afton reduced energy consumption by 15,934 GJ resulting in a reduction in Scope 1 GHG emissions.
• Rainy River reduced its energy consumption by 17,244 GJ through various initiatives.
• New Afton achieved AAA scores on all indicators in the MAC TSM Energy Use and GHG Emissions Management Protocol.
• Rainy River reported at least level A for all indicators in its 2020 self-assessment of the MAC TSM Energy Use and GHG Emissions Management Protocol.
• New Afton received AAA ratings on two of three indicators and AA on one indicator in its external validation of the Biodiversity Conservation Management Protocol (BCMP).
• Rainy River reported at least level A on all three indicators based on its 2020 self-assessment of the BCMP.
• New Afton achieved AAA scores on all five indicators of the TSM Tailings Management Protocol.
• Rainy River reported level A on two of the five indicators through its 2020 self-assessment of the TSM Tailings Management Protocol.
• New Afton achieved AA on the watershed-scale planning indicator and A on the other three indicators in its external verification of the TSM Water Stewardship Protocol.
• Rainy River reported at least level A on all four indicators as part of its 2020 self-assessment of the TSM Water Stewardship Protocol.
• 145 ha of land were rehabilitated across operations.

Social Achievements

• Launched the Beyond New Afton Project to minimize negative social impacts of mine closure.
• Donated $150,000 to Thompson Rivers University to support women in trades.
• Donated $100,000 to the Township of Chapple Shenston to support building permanent debris containment fencing for the landfill site.
• Improved alignment with our Mission and Core Values and measure our social impact using Optimy.
• Increased Indigenous procurement spend at New Afton.
• New Afton received the Inclusive Leadership Award at the Kamloops Chamber of Commerce Business Excellence Awards.
• Implemented the Values-in-Action employee recognition program.
• Launched the New Gold Academy employee development series.
• Launched the New Gold Leadership Contract program.
• Implemented the Ignite Women’s Leadership Program.

Governance Achievements

• Published the first TCFD Report.
• Achieved full compliance with the Mining Association of Canada (MAC) and Canadian Dam Association (CDA) for all tailings management plans.
• Developed a universal permitting database to provide greater oversight of permitting requirements.

Climate Goals & Targets

Environmental Challenges

• Fatality at New Afton Mine.
• Discovery of remains at Kamloops Residential School.
• Forest fires in British Columbia.
• Flooding in British Columbia.
• COVID-19 pandemic and restrictions.
• Increased energy intensity at Rainy River due to higher ore processing rate.
• Dry weather conditions at Rainy River limiting water discharge.
• Notice of non-compliance from the Impact Assessment Agency of Canada (IAAC) at Rainy River.
• Ministry of Energy, Mines and Low Carbon Innovation (EMLI) imposed condition to implement a pump-back system at New Afton.

Mitigation Strategies

• Reviewed Health and Safety Management System and created action plans.
• Provided training opportunities and resources on Indigenous history and culture.
• New Afton Fire & Mine Rescue Team assisted with firefighting efforts.
• Implemented preventative measures to reduce COVID-19 risk.
• Implemented energy conservation and reduction initiatives at both sites.
• Implemented robust water management strategies at both sites.
• Addressing IAAC non-compliance by constructing an engineered liner in the Stockpile Pond at Rainy River.
• Implementing an interim pump-back system and planning a permanent system at New Afton.

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct
• Local and Indigenous procurement initiatives.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Wildfires
• Flooding

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Energy efficiency improvements
• Electrification of mine fleet

Reporting Standards

Frameworks Used: GRI Standards (Core option), G4 Mining and Metals Sector Disclosures, SASB Metals and Mining Standards, Mining Local Procurement Reporting Mechanism (LPRM), TCFD

Certifications: ISO 50001 (New Afton), ISO 14001 (New Afton, CSP)

UN Sustainable Development Goals

• Goal 3
• Goal 5
• Goal 6
• Goal 8
• Goal 11
• Goal 12
• Goal 13
• Goal 15

Alignment with UN SDGs is described in the report and mapped to ESG topics.

Awards & Recognition

• Inclusive Leadership Award (New Afton)
• Community Builder Award (Korah De Walt)

Environmental Metrics

ESG Focus Areas

• Community Engagement
• Indigenous Rights
• Diversity, Equity and Inclusion

Social Achievements

• 96% of community complaints resolved by year-end
• Increased Indigenous procurement spend at both operations since 2019
• Launched Assertiveness for Women in Business pilot project
• Launched company-wide MiHR training on Gender Equity, Intercultural Awareness, and Indigenous Awareness
• New Gold Women in Trades and Technology Resource Centre opened at Thompson Rivers University
• Employee wellness challenges to build team connections and increase wellness activities
• 0.95 Total Recordable Frequency Injury Rate (TRIFR)

Climate Goals & Targets

Supply Chain Management

Responsible Procurement

• Code of Business Conduct and Ethics
• Anti-Bribery and Anti-Corruption Policy

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI, UN SDGs

UN Sustainable Development Goals

• Goal 8
• Goal 11
• Goal 3
• Goal 5

Environmental Metrics

ESG Focus Areas

• Climate Change
• Water Management
• Indigenous Rights
• Tailings Management

Environmental Achievements

• 8% reduction in scope 1 and scope 2 GHG emissions across operations since baseline year (2020)
• 4% reduction in scope 1 and scope 2 GHG emissions in 2023 compared to 2022
• 25% of New Afton's underground fleet consists of battery electric vehicles (BEVs)
• 2 million L of fuel and 7,000 tonnes of CO2e emissions avoided at Rainy River with Cascadia emissions tracking software
• Improved GHG intensity ratio to 0.37 tC02e/Au eq. oz from 0.48 tC02e/Au eq. oz in 2022 (23% reduction)

Social Achievements

• $5,000 donation to United Way and provision of essential supplies to communities affected by wildfires near New Afton Mine
• Implementation of diversions and upgrades at Rainy River Mine to mitigate future flooding impacts

Governance Achievements

• Establishment of a Technical and Sustainability Committee responsible for oversight of climate-related risks
• Integration of climate action performance into the Company scorecard, impacting compensation incentives

Climate Goals & Targets

Environmental Challenges

• Hot and dry conditions leading to more frequent and intense wildfires near New Afton Mine
• Extreme rain events causing flooding at Rainy River Mine
• Potential for higher electricity prices at Rainy River Mine as the electricity grid decarbonizes
• Transition risks related to financing, insurance, exploration, permitting, and government regulation
• Physical risks related to extreme wet conditions, extreme heat, water stress, and wildfires

Mitigation Strategies

• Implementation of electric vehicle program at New Afton Mine
• Diversions and upgrades at Rainy River Mine to reduce water inflow
• Changes to Rainy River's treatment system to manage increased water inflow
• Continuous improvement initiatives at both sites to reduce GHG emissions and energy consumption
• Conducting a carbon reduction feasibility assessment to prioritize potential carbon reduction emissions
• Monitoring evolving regulatory landscape around climate and assessing impacts on climate strategy and reporting

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Extreme wet conditions
• Extreme heat
• Water stress
• Wildfires

Transition Risks

• Increased government intervention
• Increased reporting obligations
• Transition to lower carbon fuel
• Technology risk
• Reputational risk
• Government regulation risk
• Financing and insurance risk
• Exploration and permitting risk

Opportunities

• Opportunities for copper and silver in the clean energy transition
• Carbon reduction initiatives (efficiency and electrification projects)
• Rebates and incentives for carbon reduction projects
• Reduced utility costs from energy efficiency improvements

Reporting Standards

Frameworks Used: TCFD

Environmental Metrics

ESG Focus Areas

• Climate Change and Action
• Indigenous Rights
• Water Management
• Tailings Management

Environmental Achievements

• 4% reduction in scope 1 and scope 2 greenhouse gas (GHG) emissions across operations
• 50% freshwater reduction across operations
• New Afton Mine received the 2023 TSM Environmental Excellence Award for Energy and GHG Management

Social Achievements

• Total Reportable Injury Frequency Rate (TRIFR) of 0.80 across operations (improved from 2022)
• $1,118,825 invested to support community and social development
• 38% female representation on the Board of Directors
• Implementation of new leave policies (Compassionate Leave, Bereavement Leave, and Cultural, Spiritual and Religious Leave) and revision of Pregnancy/Parental Leave policy
• New Afton Mine achieved the lowest reportable injury rate among metal mines in the BC/Yukon region in 2022

Governance Achievements

• Internal audit of SASB disclosures completed as a step toward external assurance
• 2023 ESG Reporting reviewed by the Technical and Sustainability Committee of the Board

Climate Goals & Targets

Environmental Challenges

• Devastating wildfires in the BC Interior affecting New Afton employees and surrounding communities
• Effects of Ontario wildfire season with dense smoke impacting Rainy River operations
• Unplanned events and challenges faced at both New Afton and Rainy River mines

Mitigation Strategies

• Support for teams and communities affected by wildfires
• Significant improvements to water management infrastructure at Rainy River in response to 2022 flooding
• Increased capacity of open pit diversion system and discharge infrastructure at Rainy River

Supply Chain Management

Climate-Related Risks & Opportunities

Physical Risks

• Wildfires

Reporting Standards

Frameworks Used: GRI, SASB, LPRM, UN Sustainable Development Goals (SDGs)

UN Sustainable Development Goals

• SDG5
• SDG15

Awards & Recognition

• 2023 TSM Environmental Excellence Award for Energy and GHG Management (New Afton)
• John T. Ryan Regional Metal Trophy (New Afton)