With Measured and Indicated Mineral Resources¹ of approximately 39 million ounces of gold (541 million tonnes of gold at an average grade of 2.2 grams per tonne, inclusive of Proven and Probable Mineral Reserves of 34 million ounces of gold at an average grade of 2.09 grams per tonne), and an additional approximately six million ounces of Inferred Resources (92 million tonnes at an average grade of approximately 2.0 grams per tonne), Donlin Gold is one of the largest known undeveloped gold deposits today. 

¹ Mineral Resources are inclusive of Mineral Reserves. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. Donlin Gold data as per the 2021 Technical Report (as defined herein) and the S-K 1300 Report (as defined herein). 39Moz refers to mineral resources inclusive of reserves on a 100% basis. Donlin Gold proven and probable reserves of approximately 16.925 Moz grading 2.09 g/t attributable to NOVAGOLD (33.849 Moz on 100% basis) and measured and indicated resources, exclusive of reserves, of approximately 2.749 Moz grading 2.43 g/t attributable to NOVAGOLD (5.497 Moz on 100% basis). 

Donlin Gold is also blessed with high grade compared to other open pit mines and projects, with a measured and indicated resource grade of 2.2 grams per tonne.  This makes it one of the highest grade known undeveloped open-pit gold deposits. 

As envisioned in the NI 43-101 Technical Report on the Donlin Gold Project, Alaska, USA and the S-K 1300 Technical Report Summary on the Donlin Gold Project, Alaska, USA, Donlin Gold has the potential to become one of the largest gold-producing mines in the world, producing approximately 1,500,000 ounces of gold annually in the first five years of operation and approximately 1,100,000 ounces per year over its 27-year life.

Beyond its already large mineral endowment, Donlin Gold has substantial exploration potential, with the opportunity to expand the current open-pit resource along strike and at depth. Considering that the current pit occupies only part of a three-kilometer segment of an eight-kilometer mineralized gold belt, in NOVAGOLD's view it is possible that Donlin Gold's mine life, already measured in decades, will be greater than anticipated.

The leverage to higher gold prices Donlin Gold enjoys is exceptional. Its after-tax Net Present Value (NPV) at US$1,500 per ounce-gold and a 5% discount rate, was estimated at US$3,040 million, as fully described in the NI 43-101 Technical Report on the Donlin Gold Project, Alaska, USA and the S-K 1300 Technical Report Summary on the Donlin Gold Project, Alaska, USA which can both be found here. This number rises to $13.1 billion if undiscounted. Importantly, the resultant NPV sensitivity analysis showed an increase in value to US$4.9 billion at US$1,700 per ounce of gold (US$17.5 billion if undiscounted), and then nearly a 50% further increase in NPV to US$7.2 billion at US$2,000 per ounce of gold (US$22 billion if undiscounted). 

The fact that Donlin Gold is located in the United States gives NOVAGOLD a tremendous competitive advantage. Jurisdiction is an important issue today in the resources sector. One of the key questions that investors will be asking of mining companies is: where in the world are your assets located? Investing in the wrong region carries risks well beyond what you find in North America. With five major producing mines, Alaska is the second largest gold producing state in the United States.

Donlin Gold enjoys broad support, including from our Alaska Native Corporation stakeholders, the Calista Corporation (Calista) and The Kuskokwim Corporation (TKC), who own the mineral and surface rights to Donlin Gold. The project is on private land selected by Calista for the development of its mineral endowment. Our well-established track record of social engagement and environmental stewardship in the community distinguishes NOVAGOLD from its peers. The government of Alaska cites Donlin Gold as a model project for responsible development, a reputation that is reinforced with a unique association with the Green Star Communities Program of the Alaska Forum on the Environment sponsored in conjunction with Donlin Gold to promote hazardous waste collection and backhaul. That’s not something you see every day, and we’re proud of it.