Mr. Douglas Forster reports

NEWMARKET GOLD ANNOUNCES SUCCESSFUL DRILL RESULTS FROM COSMO MINE WESTERN LODES AND STAWELL MINE AURORA B GROWTH TARGETS

Newmarket Gold Inc. has released drill results from its Cosmo and Stawell gold mines as part of a previously announced growth exploration program that commenced earlier in 2015. A total of $2.4-million (U.S.) has been spent on growth projects during the first half of 2015 between Cosmo and Stawell. The company also announces it expects the Maud Creek phased feasibility study that commenced in May, 2015, with SRK Consulting (Australasia) Pty. Ltd. to complete a preliminary economic assessment by first quarter 2016.

Drill results from the Cosmo gold mine, in the Northern Territory, and Stawell gold mines, in Victoria, consist of several high-priority growth targets explored during the second quarter of 2015, including the Cosmo mine Western lodes and Stawell mine Aurora B targets.

Highlights and key drill intercepts:

• Cosmo achieved successful exploration results from drilling 10 holes over 4,201.8 metres, including drilling of the previously identified Western lodes target, which is outside the current mine plan for Cosmo mine and drilling of the Inner dolerite target;
• High-grade drill results for the Cosmo Western lodes target, outside current mine plan, include 7.42 grams per tonne gold over 4.3 metres (estimated true width (ETW) 2.85 m) in hole CW69001 and 6.59 g/t Au over 6.4 m (ETW 1.65 m) in hole CW69006;
• Cosmo Central internal metasediments target with intercepts including 6.79 g/t Au over 6.15 m (ETW 3.85 m) and 4.34 g/t Au over 22.75 m (ETW 11.4 m) in drill hole CW101002;
• Cosmo Inner dolerite target intercepts include 5.33 g/t Au over 7.54 m (ETW 4.8 m) in CW101001A and 4.89 g/t Au over 6.2 m (ETW four m) in hole CW101001. Drilling continues to follow-up along strike. Drill results from the Cosmo Inner dolerite target are significant because they represent mineralization within approximately 13 m from Cosmo's underground development;
• Stawell drilling on the Aurora B East flank target returned high-grade drill intercepts for the Hampshire lode, including 7.06 g/t Au over 17.80 m (ETW 8.3 m) in hole MD6339 and 25.4 g/t Au over 0.55 m (ETW 0.3 m) in hole MD6340.

Douglas Forster, president and chief executive officer, Newmarket Gold, commented: "We are extremely pleased with the positive results achieved at Cosmo through the drilling of key growth exploration targets including the high-priority Western lodes target. Over the past eight quarters, Cosmo has continued to deliver solid physical performance. These results are encouraging because they demonstrate the potential for gold mineralization adjacent to the current underground development and create a potential opportunity for increasing resources and expanding the mine plan to alternative mining areas in the short term at Cosmo. At Stawell, we are very encouraged by the discovery of significant gold mineralization at the Aurora B East flank target. The West flank at Stawell has produced over 2.3 million ounces of gold compared to the East flank, which has no recorded production, and is where the Aurora B discovery is located. This target remains a high priority for Newmarket and additional drilling is ongoing. In the second half of 2015, we remain focused on our top priority of further developing our asset base and maintaining our current production levels."

Cosmo gold mine exploration summary

Western lodes drilling

Two phases of drilling have been completed on the Western lodes footwall target to date in 2015 and a third phase of drilling is presently under way. Over the past six months, seven holes totalling 3,256.2 m were completed. Significant drill results for the Western lodes target include 7.42 g/t Au over 4.3 m (ETW 2.85 m) in hole CW69001 and 6.59 g/t Au over 6.4 m (ETW 1.65 m) in hole CW69006.

These results highlight the potential of identifying mineralization at grades and widths amenable for underground mining and in close proximity to existing mine infrastructure. The target area, located on the western side of the Cosmo antiform, approximately 160 m from current underground infrastructure, was identified using historic information from the Cosmo open-pit mining operations and has been redefined by structural analysis completed by consulting geologist Dr. John Miller, research professor at the Centre for Exploration Targeting (CET), University of Western Australia.

All drill intercept results are shown in the tables.

Follow-up drilling is planned for the Western lodes target to test for mineralization extensions and provide drill information sufficient for resource modelling. This will include drill holes planned to assist with obtaining a better understanding of the mineralization geometry. Drilling of this target is being prioritized as it has the potential to add a separate mining front to Cosmo which will assist with future mine planning and scheduling.

Inner dolerite drilling

A structural review of Cosmo in late 2014, undertaken by Dr. Miller (CET), resulted in the Inner dolerite target being proposed and refined. This work identified that the Inner dolerite target occurs on both the eastern and western limbs of the Cosmo anticline. Existing drill holes collared within the core of the Inner Zamu dolerite zone intersected mineralization close to the contact between the dolerite and the internal metasediments, and were important for advancing target understanding.

In 2015, two diamond holes were completed on the Inner dolerite target, and a third hole was eventually abandoned as it drifted off target. All three holes intersected mineralization at shallow depths, close to the drilling rig location cuddy. Significant drill intercepts included 5.33 g/t Au over 7.54 m (ETW 4.8 m) in CW101001A and 4.89 g/t Au over 6.2 m (ETW four m) in hole CW101001 that are only 13 m from existing development. A further intercept of 3.33 g/t Au over 5.7 m (ETW four m) was reported in hole CW101002 on the eastern limb of the anticline highlighting the potential for this target being repeated on both sides of the deposit anticline.

A second phase of drilling is presently under way to test the extent of this mineralization.

Central internal metasediments

The Inner dolerite drilling program also intersected significant mineralization centered on the Cosmo antiform core in an area of folded and faulted Central internal metasediments. Drill hole CW101002 returned intercepts 4.34 g/t Au over 22.75 m (ETW 11.4 m), 6.79 g/t Au over 6.15 m (ETW 3.85 m) and 4.44 g/t Au over 13.7 m (ETW 6.1 m).

Drill hole CW101002 is very encouraging as the hole intersected over 100 m of continuous, lower-grade gold mineralization above 0.1 g/t Au in addition to the high-grade intercepts reported above. This suggests more work is required to understand this style of mineralization. Work has now commenced to map the mineralization, lithology and structure in this hole to better understand the geometry and style of the mineralization in this area.

Stawell gold mines exploration summary

East flank targets (Aurora A and Aurora B)

The company is pleased to announce successful results during the Aurora B drilling program at Stawell gold mines, located in the state of Victoria, Australia. This is the first drill program at the Aurora B target, with drilling focused on the East flank of the Magdala basalt approximately 400 to 500 m below surface. This phase of exploration drilling, comprising two holes for 1,175 m and costing $186,000 (U.S.), returned high-grade gold intercepts of 7.06 g/t Au over 17.80 m (ETW 8.3 m) in MD6339 and 25.4 g/t Au over 0.55 m (ETW 0.3 m) in hole MD6340. The Magdala basalt has approximate dimensions of three kilometres by one kilometre in plan view and previous mining at Stawell has almost exclusively been from mineralization on the West basalt flank. The West flank at Stawell has produced over 2.3 million ounces of gold, whereas the East flank, where the Aurora B discovery is located, has no recorded production. In contrast, the Aurora B gold target occurs in the southern part of the East basalt flank, where the basalt margin strikes more southerly. This subtle strike change to the east basalt contact in the southern area may have contributed to increased dilation where gold prospectively may be enhanced.

The prospective areas of the East basalt flank have been renamed the Aurora prospects. The Aurora prospect is split into two areas by the South fault, which has offset the Aurora B target to the south over the Aurora A target. The Aurora A target was previously known as Wonga Gift (see Northgate Minerals press release, dated Nov. 1, 2010) and has a significant historic drill intercept of 13.7 g/t Au over 5.45 m (ETW 4.90 m) from surface diamond hole SD649A. Aurora A remains of exploration interest to the company, but the shallower, more accessible Aurora B area was prioritized for drilling during a target review of Stawell during the second quarter of 2015.

The Aurora B drill program was completed as part of the company's growth strategy of advancing near-term projects that have the potential to expand the current reserve base and identify and expand resources. The Aurora B high-grade intercept in drill hole MD6339 is located 500 m from current underground infrastructure. A second phase of diamond drilling on the Aurora B target comprising 2,000 m has been approved and drilling is in progress.

All drill intercept results are shown in the tables.

Maud Creek gold deposit, Northern Territory

As previously announced (see Crocodile Gold press release dated May 11, 2015), the company commenced a phased feasibility study on the 100-per-cent-owned Maud Creek gold deposit in the Northern Territory. SRK Consulting (Australasia) Pty. Ltd. has initiated work on the feasibility study that will be advanced in three stages with the first stage being the completion of a preliminary economic assessment by the first quarter of 2016. Following successful completion of a PEA, prefeasibility and feasibility stages may be undertaken throughout 2016.

The Maud Creek gold deposit has a mineral resource comprising 7.7 million tonnes at 3.5 g/t Au (871,000 ounces) of indicated mineral resource and 4.2 million tonnes at 2.5 g/t Au (344,000 ounces) of inferred mineral resource. Maud Creek is located 110 kilometres southeast of the Union Reefs processing facility, which provides an opportunity to leverage existing infrastructure in the future.

Qualified person

Mark Edwards, MAusIMM (CP), MAIG, general manager, exploration, Newmarket Gold, is a qualified person as such term is defined in National Instrument 43-101, and has reviewed and approved the technical information and data included in this press release.

   DRILL ASSAY RESULTS FOR WESTERN LODE AND INNER DOLERITE

                               Downhole   Estimated
Hole ID           From     To  interval  true width          Au
                    (m)    (m)       (m)         (m)       (g/t)

CW69001          418.3  422.6       4.3        2.85        7.42
CW69002                   No significant intersection
CW69003          259.0  267.7       8.7         6.0        3.01
CW69004          577.0  580.5       3.5         0.7        2.74
CW69005          280.1  283.1       3.0         1.9        8.43
CW69006          483.0  486.0       3.0         1.0       16.62
CW69006          488.8  495.2       6.4        1.65        6.59
CW69006          502.0  505.0       3.0         0.9        2.33
CW69007          292.4  295.5       3.1        1.55        2.57
CW101001          13.8   20.0       6.2         4.0        4.89
CW101001A         14.0  21.54      7.54         4.8        5.33
CW101002          13.1   17.8       4.7         3.5        4.04
And              376.0  381.7       5.7         4.0        3.33
CW101001A       295.15 298.20      3.05        1.36       21.34
CW101002          71.5  74.75      3.25         2.6        4.78
And               83.5   86.8       3.3         2.5        2.84
And              159.0 165.15      6.15        3.85        6.79
Including       160.00 162.60       2.6        1.63       12.48
And              169.0 191.75     22.75        11.4        4.34
Including       185.70 188.35      2.65        1.33       11.81
And             218.90 221.90       3.0        1.34       15.45
And              234.5  248.2      13.7         6.1        4.44

               DRILL ASSAY RESULTS FOR AURORA B

                             Downhole   Estimated
Hole ID        From      To  interval  true width        Au
                 (m)     (m)       (m)         (m)     (g/t)

MD6339       213.60  214.60      1.00        0.80      0.46
and          416.00  433.80     17.80        8.30      7.06
including    417.40  418.30      0.90        0.40     52.90
including    425.20  425.60      0.40        0.20     27.50
MD6340        99.50  100.30      0.80        0.40      1.43
and          370.85  374.30      3.45        1.90      0.72
and          374.95  377.50      2.55        1.40      3.49
and          519.50  523.75      4.25        2.30      3.21
and          537.30  537.85      0.55        0.30     25.40
and          544.60  547.55      2.95        1.60      2.26

We seek Safe Harbor.