Novagold Resources Inc. · AMEX:NG
Novagold Resources — Investor Presentation (November 2021)
26 slides from Novagold Resources's investor presentation, Nov 22, 2021
Slide 1: NOVAGOLD November 2021
TSX, NYSE American: NG | novagold.com | November 2021
Slide 2: Cautionary Statements
Cautionary Statements REGARDING FORWARD-LOOKING STATEMENTS This presentation includes certain “forward-looking information” and “forward-looking statements” (collectively “forward-looking statements”) within the meaning of applicable securities legislation, including the United States Private Securi
Slide 3: Donlin Gold is a Tier-One Asset in a Tier-One Jurisdiction
NOVAGOLD: Donlin Gold is a Tier-One Asset1 in a Tier-One Jurisdiction2 Unique asset with strong, investor-friendly attributes SIZE: 39,000,000 gold ounces contained in measured and indicated mineral resources3 GRADE: 2.24 g/t4, more than double the world average grade5 EXPLORATION POTENTIAL: Endowme
Slide 4: 2021 Drill Program
DONLIN GOLD: 2021 Drill Program Results from initial 2021 assays validate consistent approach to bringing Donlin Gold up the value chain • Initial results reported September 2, 2021 support mineral resources, with significant new high-grade intercepts, and are consistent with 2020 results • Assays d
Slide 5: Property Focused In-Pit Exploration Potential
DONLIN GOLD: Property Focused In-Pit Exploration Potential The ACMA and Lewis deposits are open at depth and along strike, where drilling is sparse Longitudinal Section View of the ACMA and Lewis Deposits A’ A’ A Divide Lewis Pit ACMA Pit Area Lewis Pit ACMA Pit A Limited Drilling Pit design is the
Slide 6: Exploration Potential Along Strike
DONLIN GOLD: Exploration Potential Along Strike Extensive drilling has defined the robust geology in the ACMA and Lewis deposits with additional opportunities to further expand the resource in pit, at depth and along strike of the eight-kilometer gold bearing mineralization Au gpt 5 Queen Snow Quart
Slide 7: Board Approves Additional 2021 Funding In Preparation for New Feasibility Study
DONLIN GOLD: Board Approves Additional 2021 Funding In Preparation for New Feasibility Study 2021 Drill Program results to date support geological modeling concepts • In early September 2021, senior leadership of Barrick and NOVAGOLD took part in very productive meetings in Anchorage and at the Donl
Slide 8: 2021 Drill Program Improved Understanding; 2022 Program Plans
DONLIN GOLD: 2021 Drill Program Yielded Improved Understanding of Controls on Mineralization; 2022 Program Plans to Build on That With a considerable amount of work planned for 2022, the project is advancing Lewis toward feasibility study update A’ • Geological, genetic and resource models planned t
Slide 9: Barrick and NOVAGOLD Optimizing Mine Design at Donlin Gold
Barrick and NOVAGOLD Optimizing Mine Design at Donlin Gold “The 2021 drill program is validating our geologic modeling concepts; in particular with regards to demonstrating the controls over mineralization in the different parts of the deposits. This improved understanding is a necessary step toward
Slide 10: A True 50:50 Partnership with Barrick Gold
DONLIN GOLD: A True 50:50 Partnership with Barrick Gold Taking the Donlin Gold project up the value chain together since 2001 How does the Donlin Gold LLC partnership work? Donlin has been a great journey for me personally, because the whole • Donlin Gold LLC is owned 50:50 by Barrick Gold and NOVAG
Slide 11: Permitting Update
DONLIN GOLD: Permitting Update Key federal permits for the project received and state permitting is well advanced FEDERAL PERMITTING Final Environmental Impact Statement (EIS) Joint Record of Decision (ROD) by the Army Corps of Engineers and Bureau of Land Management Section 10/404 (wetlands)
Slide 12: Alaska Native Corporation Partnerships Elevate the Project
DONLIN GOLD: Alaska Native Corporation Partnerships Elevate the Project Land valuable for resource potential was selected by regional Alaska Native Corporations under ANCSA and resource development companies were invited by the Native Corporations to explore Donlin Gold has Life-of-Mine agreements w
Slide 13: 2020 Sustainability Performance
NOVAGOLD: 2020 Sustainability Performance Community engagement 2020: 320 community interactions Through collaborative ESG efforts, Governance engagement 2020: reached out to ~92% shareholders NOVAGOLD and the Donlin Gold project are committed to responsible mining — positively impacting people and t
Slide 14: Largest Gold Development Project in its Category
DONLIN GOLD: Largest Gold Development Project in its Category1 A resource more than five times the size of the peer group average 50.0 39.02 7.7 40.0 Donlin Gold2 Moz 39.0 M&I Gold Resource (millions of ounces) 30.0 Moz peer group average1 20.0 11.7 11.5 11.3 10.9 10.0 10.0 8.2 8.1 8.0 6.3 5.0 4.6 4
Slide 15: Double the Global Average Gold Grade
DONLIN GOLD: Double the Global Average Gold Grade1 Among the world’s highest-grade known open-pit gold deposits 2.24 1.12 g/t g/t Donlin Gold average grade2 Global average grade1 While global average gold grades are declining, Donlin Gold’s grade provides resilience through commodity price cycles 1)
Slide 16: Positioned to be One of the World's Largest Gold Mines
DONLIN GOLD: Positioned to be One of the World’s Largest Gold Mines Positioned to become a million-ounce gold producer1 1.1 1.80 1.60 Moz/yr1 1.40 0.3 Projected Annual Gold Production (millions of ounces) 1.502 1.20 Moz/yr3 1.00 0.80 Donlin Gold’s 27-year mine life North and South American gold- foc
Slide 17: One of the Largest Gold Projects in a Safe Jurisdiction
DONLIN GOLD: One of the Largest Gold Projects in a Safe Jurisdiction1 A comparison of the top three gold producing operations2 and the five largest development-stage gold projects3 ALASKA’S JURISDICTIONAL APPEAL 11.5Moz • Mineral potential Livengood 46.0Moz 1.2Moz Sukhoi Log • Established mining ind
Slide 18: The Next Big Gold Discovery Could be at Donlin Gold
DONLIN GOLD: The Next Big Gold Discovery Could be at Donlin Gold Substantial exploration potential along the 8km mineralized trend, located on less than 5% of Donlin Gold’s land position • From 2006 to 2011, M&I resources increased 135% (16.6Moz1 to 39.0Moz2) through a well-executed exploration prog
Slide 19: Project Catalysts
DONLIN GOLD: Project Catalysts Additional 2021 funding approved in preparation for a new feasibility study, advancing the Donlin Gold project up the value chain Q4 2021: feasibility study prework Q4 2021: additional drill assay results from 2021 drill program Early 2022: final assay results from 202
Slide 20: Maintaining a Strong Treasury
NOVAGOLD: Maintaining a Strong Treasury A healthy treasury to advance Donlin Gold to the next stage of development $32M FORECAST FULL BUDGET YEAR 2021 SPENDING1 $ 173M $25M TREASURY $173.3M cash and term deposit balance on August 31, 2021 receivable from includes$75M received from Newmont July 27, 2
Slide 21: Significant Value Upside with Higher Gold Prices
DONLIN GOLD: Significant Value Upside with Higher Gold Prices Donlin Gold NPV5% increases by greater than $8 billion with $1,000/oz increase in gold price1 31.6B $2,500 22.5B $2,000 • Project return increases substantially with higher gold prices Gold Price (US$ per oz) 17.5B • Good payback at a bro
Slide 22: Strong Institutional Shareholder and Management Support
NOVAGOLD: Strong Institutional Shareholder and Management Support The 10 largest shareholders represent 64.8% of shares issued and outstanding1 Named Executive Officers’ ownership has increased to 2,703,235 shares2 since joining the company 35.2% all other shareholders 64.8% top 10 shareholders 25.7
Slide 23: Donlin Gold is a Tier-One Asset in a Tier-One Jurisdiction
NOVAGOLD: Donlin Gold is a Tier-One Asset1 in a Tier-One Jurisdiction2 Unique asset with strong, investor-friendly attributes SIZE: 39,000,000 gold ounces contained in measured and indicated mineral resources3 GRADE: 2.24 g/t4, more than double the world average grade5 EXPLORATION POTENTIAL: Endowme
Slide 24: Appendix
APPENDIX
Slide 25: Mineral Reserves & Mineral Resources
NOVAGOLD: Mineral Reserves & Mineral Resources Donlin Gold (100% basis)* Tonnage Grade Metal content GOLD kt g/t Au koz Au * Mineral reserves and resources are reported on a Reserves1 100% basis. NOVAGOLD and Barrick each own 50% of the Proven 7,683 2.32 573 Donlin Gold project. Probable 497,128 2.0
Slide 26: NOVAGOLD Resources Inc. contact details
NOVAGOLD RESOURCES INC. Suite 1860 – 400 Burrard Street Mélanie Hennessey Vancouver, BC, Canada V6C 3A6 VP, Corporate Communications T: 604 669 6227 melanie.hennessey@novagold.com TF: 1 866 669 6227 F: 604 669 6272 Jason Mercier www.novagold.com Manager, Investor Relations info@novagold.com jason.me
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