- Successfully completed the transformative $1 billion acquisition1 of Barrick Mining Corporation’s (“Barrick Mining”) 50 percent interest in Donlin Gold on June 3, 2025, where NOVAGOLD increased its stake in Donlin Gold LLC to 60 percent, acquiring an additional 10 percent interest for $200 million, while funds managed by Paulson Advisers LLC (“Paulson”) secured a 40 percent interest for $800 million.
- Announced the full exercise of the underwriters’ option in the public offering on June 5, 2025, raising an additional $25.6 million as part of the financing at $3.75 per share.
- Strengthened the treasury of $125 million in cash and term deposits at the end of the third quarter with proceeds from the underwritten public offering of $195.2 million and a concurrent private placement of $64.4 million that funded the $200 million payment to increase NOVAGOLD’s ownership in Donlin Gold LLC and for general corporate purposes.
- Issued the Request for Proposals (RFP) for Donlin Gold’s Bankable Feasibility Study (BFS) to top-tier qualified engineering firms that have the expertise to build what is projected to constitute the largest single gold mine in the United States. Donlin Gold expects to award the contract and begin the BFS work before year-end.
- Released initial results from the 2025 Donlin Gold drill program that confirmed consistent mineralization across multiple zones, including standout intervals containing up to 23.49 g/t gold2.
- Designing district-wide exploration program to expand resources and search for new discoveries.
VANCOUVER, British Columbia, Oct. 01, 2025 (GLOBE NEWSWIRE) — NOVAGOLD RESOURCES INC. (“NOVAGOLD” or the “Company”) ((NYSE American, TSX:NG) today filed its 2025 third quarter report and provided an update on its Tier One3 gold development project, Donlin Gold, which is owned 60 percent by NOVAGOLD and 40 percent by funds managed by Paulson.
Details of the financial results for the quarter ended August 31, 2025 are presented in the consolidated financial statements and quarterly report on Form 10-Q filed on October 1, 2025, that is available on the Company’s website at www.novagold.com, on SEDAR+ at www.sedarplus.ca, and on EDGAR at www.sec.gov. All amounts are in U.S. dollars unless otherwise stated.
As detailed in the above-mentioned filings, NOVAGOLD held approximately $125 million in cash and term deposits as of August 31, 2025, and reported net third quarter cash expenditures of $9 million — reflecting $8.1 million to fund NOVAGOLD’s share of the Donlin Gold project and $0.9 million in corporate general and administrative costs. This excludes consideration and closing costs paid to increase NOVAGOLD’s interest in Donlin Gold LLC to 60 percent and proceeds raised following the exercise of the public offering overallotment option on June 5, 2025.
As NOVAGOLD is a development-stage company with no production, the Company reported earnings of ($15.6) million and earnings per share of ($0.04) for the third quarter of 2025. NOVAGOLD’s results for the three and nine months ended August 31, 2025 reflect higher expenditures at Donlin Gold due to the 2025 field program and ramp-up of activities to commence the BFS, while remaining in line with our 2025 guidance, as adjusted to reflect a 60 percent Donlin Gold funding obligation commencing June 3, 2025, when NOVAGOLD’s interest in Donlin Gold increased to 60 percent.
Additional Achievements at Donlin Gold in the Third Quarter 2025 Comprised:
- Shortly after quarter end, completed the 18,454-meter 2025 drill program including grid drilling for future mine planning; in-pit exploration drilling focused on enhancing geological modelling and supporting anticipated resource conversion; and geotechnical drilling in pit and for further investigation of material sites for construction of the access road.
- A dedicated team of more than 80 personnel and contractors supported the increased level of activity. Recruitment for different roles at Donlin Gold is ongoing as we ramp up efforts toward a BFS.
- Hosted project site tours with investors and analysts, followed by the owners’ tour which included meetings with principal stakeholders, including government agencies, engineering firms, and logistics providers that have the capacity and experience to provide support for key pieces of project infrastructure to advance Donlin Gold to a BFS and beyond.
- Community engagement and environmental initiatives:
- Representatives from Donlin Gold, NOVAGOLD, Paulson, and The Electrum Group LLC met with Calista Corporation (“Calista”), The Kuskokwim Corporation (TKC), and other Yukon-Kuskokwim (Y-K) region stakeholders.
- Hosted the Crooked Creek Traditional Council for a Donlin Gold project site visit, along with a separate site tour for State of Alaska Representatives.
- Finalized an additional Shared Values Statement (SVS) for a total of 19 with communities in the Y-K region near the project.
- Advanced environmental channel restoration efforts at Snow Gulch, a tributary of Donlin Creek historically mined for placer gold, to restore natural habitat conditions in support of aquatic life.
President’s Message
A new era for Donlin Gold, anticipated to become America’s largest single gold mine
Following a pivotal sequence for NOVAGOLD, the third quarter of 2025 was marked by multiple notable milestones that have utterly transformed the Company and the Donlin Gold project. These achievements began on June 3 with the completion by NOVAGOLD and Paulson of the $1 billion acquisition of Barrick Mining’s 50 percent interest in the project. The definition of a “game changer”, NOVAGOLD gained a new and aligned partner while securing an additional 10 percent ownership in this Tier 1 asset for $200 million — increasing its stake in Donlin Gold LLC from 50 percent to 60 percent.
Not surprisingly, the share price has performed strongly — multiplying several-fold off the lows seen earlier this year. As evidenced by the market’s reception, it has not been lost on investors that this watershed moment represents in and of itself the single most significant development for the Company’s stakeholders in over a decade. As the market understands that NOVAGOLD and Paulson have put Donlin Gold back on track toward a construction decision for what is anticipated to be America’s largest gold mine, we believe that this first phase of our upward revaluation has the potential to segue into a similarly gratifying second phase. That is certainly our ambition, as this generational project makes up for lost time — all the while enjoying the fact that this accelerating momentum is taking place amidst a historic bull market.
- Subsequent to this acquisition, NOVAGOLD announced the full exercise and closing of the underwriters’ option to purchase an additional 7,177,500 common shares, corresponding to $26 million in net proceeds, at $3.75 per share. As a result, the total number of shares sold in the public offering increased to 55,027,500, generating approximately $195.2 million in net proceeds after deducting underwriting discounts and offering expenses, with an additional $64.4 million generated by a private placement which closed in the second quarter. With net proceeds totaling some $260 million, the Company was able to fund its share of the acquisition and ended the third quarter with a robust treasury of approximately $125 million in cash and term deposits to support the project’s future steps up the value chain.
- The acquisition of our increased 10 percent stake and the arrival of an aligned co-owner, not to mention the excellent reception of those developments in the marketplace, have put a spotlight on Donlin Gold — and for very good reasons. The project enjoys a unique combination of attributes that are arguably unmatched in the mining world: scale, open-pit high grade, production profile and decades-long mine life, low operating cost estimates, exploration upside4, and attractive jurisdictional safety5. It defines our mantra that Donlin Gold provides the maximum leverage to gold…in a jurisdiction that will allow one to keep the fruits of that leverage. In an era characterized by sheer scarcity of great gold assets, a generational project like Donlin Gold — itself expected to become the largest single gold producing mine in the United States — constitutes for us the “Holy Grail” of the industry.
- We believe such an assessment may well be enhanced further by a district-wide exploration program currently being designed to expand resources and search for new discoveries.
At present estimates of scale and grade, 39 million ounces in Measured and Indicated Mineral Resources, 541 million tonnes at an average grade of 2.24 grams per tonne6 (inclusive of Mineral Reserves) — more than twice the industry average7 — Donlin Gold already stands in a rarefied league. But one must remember that this is not the whole story. That particular resource represents only three kilometers of an already known mineralized belt of eight kilometers. We believe resource expansion is possible, particularly because that eight-kilometer belt itself represents less than five percent of Donlin Gold’s total land package. And with the land substantially unexplored to date, the next Donlin may well be at Donlin. In partnership with Paulson, the Company plans to empower among the industry’s most dynamic and experienced exploration geologists to lay out a comprehensive agenda to advance our thesis.
New Partnership with Paulson and Strengthened Engagement to Drive Donlin Gold’s Growth
During the third quarter, the Company conducted two Donlin Gold site tours. In June, market analysts and NOVAGOLD shareholders traveled to the project site for a visit that included meetings with Calista, project staff, and stakeholders. In July, a collaborative visit took place in Alaska involving the Donlin Gold team, senior representatives from NOVAGOLD and Paulson, including two prominent NOVAGOLD shareholders — Mr. John Paulson and Dr. Thomas S. Kaplan. During the visit, participants met with Calista and TKC in Anchorage and in the Y-K region, respectively, which provided an excellent opportunity for NOVAGOLD’s new partner in Donlin Gold, Paulson, to interact with and gain direct insight from local stakeholders as well as discuss the path forward. The group travelled by boat on the Y-K river to engage with locals and develop an even greater appreciation for the region and its customs.
As part of the tour with Paulson, meetings were held with leading Alaska government representatives —including Governor Mike Dunleavy, Department of Natural Resources Commissioner John Boyle, and former Department of Revenue Commissioner Adam Crum among others — to formally introduce the new Donlin Gold ownership …