NOVAGOLD Secures 60% of Donlin Gold: Project Positioned as America’s Largest Planned Gold Mine
Ownership Milestone and Treasury Strength Mark a Transformative Quarter
NOVAGOLD Resources delivered a transformative update this quarter, announcing the successful $1 billion acquisition of Barrick Mining's 50% stake in the Donlin Gold project. The deal raised NOVAGOLD’s ownership to 60%, while Paulson Advisers LLC acquired the remaining 40%. This pivotal step, completed June 3, 2025, unlocks both a majority position and alignment with a committed co-owner, marking one of the most significant shifts in the company’s history.
On the financial side, NOVAGOLD closed a well-received public offering and concurrent private placement, ultimately bolstering its treasury to $125 million as of August 31, 2025. These moves leave the company well-positioned to fund ongoing development at Donlin Gold and related initiatives.
| Key Metric | As of Aug 31, 2025 | As of May 31, 2025 | As of Aug 31, 2024 |
|---|---|---|---|
| Cash and Term Deposits (US$) | 125,169,000 | 318,737,000 | 105,572,000 |
| Total Assets (US$) | 345,385,000 | 329,295,000 | 114,731,000 |
| Total Liabilities (US$) | 168,273,000 | 164,018,000 | 152,540,000 |
Drilling Results Confirm High-Grade Potential and Large Resource Base
This quarter also saw NOVAGOLD complete an 18,454-meter drill campaign at Donlin Gold, with early results confirming strong, consistent gold mineralization. Highlight intercepts reached up to 23.49 grams per tonne (g/t) gold, underlining Donlin’s high-grade profile. In fact, with an average resource grade of 2.24 g/t across 39 million ounces of measured and indicated resources (541 million tonnes on a 100% basis), Donlin Gold’s resource quality stands at more than double the industry average of 1.06 g/t for large-scale gold deposits.
Key program objectives focused on resource conversion, future mine planning, and supporting a robust Bankable Feasibility Study (BFS). The majority of site activities—driven by a team of 80-plus personnel—are advancing on schedule. Local recruitment efforts, partnerships with 22 regional villages, and community engagement programs further underline Donlin’s status as a cornerstone project for both stakeholders and the broader Alaska region.
Feasibility Study RFPs and Near-Term Catalysts Highlight Forward Momentum
Moving ahead, NOVAGOLD has issued RFPs to leading engineering firms to initiate the BFS for Donlin Gold—work set to begin before year-end. This milestone will lay the technical groundwork for potential mine construction, with the goal of developing what could be America’s largest single gold mine. Near-term catalysts for investors and stakeholders include:
- Awarding the BFS contract and launching work before year-end
- Release of additional 2025 drill results
- District-wide exploration program to target resource expansion
- Ongoing hiring to build operational capabilities at Donlin Gold
Strong Regulatory Progress and Active Community Partnerships
The Donlin Gold project continues to advance on the regulatory front, maintaining federal and state permits critical to development. Litigation challenging project water rights and pipeline right-of-way has reached the Alaska Supreme Court, with supportive decisions and further legal steps in process. Federal permits remain largely upheld, and supplemental environmental work is ongoing.
In tandem with regulatory defense, NOVAGOLD and Donlin Gold’s active community and environmental initiatives have strengthened ties across the Yukon-Kuskokwim (Y-K) region. These efforts span educational support, job training, and cultural events, and reflect ongoing commitments to sustainable development and partnership with Alaska Native Corporation landowners.
Financial and Project Outlook: Positioned for Next-Phase Value Creation
NOVAGOLD’s guidance calls for 2025 funding of $24 million for its share of Donlin Gold project activities, reflecting the company’s larger 60% interest post-transaction. With strong treasury resources and positive market reception to the acquisition and public offering, NOVAGOLD remains financially well-placed for the next stage of Donlin Gold’s development cycle.
In sum, NOVAGOLD’s increased ownership, strengthened treasury, and advanced development activities at Donlin Gold position the company to unlock long-term value. The coming months are likely to bring critical catalysts as NOVAGOLD transitions from project transformation to delivery and resource growth, underpinned by a high-grade, world-scale deposit and robust community support.
Contact Information:
If you have feedback or concerns about the content, please feel free to reach out to us via email at support@marketchameleon.com.
About the Publisher - Marketchameleon.com:
Marketchameleon is a comprehensive financial research and analysis website specializing in stock and options markets. We leverage extensive data, models, and analytics to provide valuable insights into these markets. Our primary goal is to assist traders in identifying potential market developments and assessing potential risks and rewards.
NOTE: Stock and option trading involves risk that may not be suitable for all investors. Examples contained within this report are simulated and may have limitations. Average returns and occurrences are calculated from snapshots of market mid-point prices and were not actually executed, so they do not reflect actual trades, fees, or execution costs. This report is for informational purposes only, and is not intended to be a recommendation to buy or sell any security. Neither Market Chameleon nor any other party makes warranties regarding results from its usage. Past performance does not guarantee future results. Please consult a financial advisor before executing any trades. You can read more about option risks and characteristics at theocc.com.
The information is provided for informational purposes only and should not be construed as investment advice. All stock price information is provided and transmitted as received from independent third-party data sources. The Information should only be used as a starting point for doing additional independent research in order to allow you to form your own opinion regarding investments and trading strategies. The Company does not guarantee the accuracy, completeness or timeliness of the Information.
Disclosure: This article was generated with the assistance of AI