Novagold Resources Q3 2026 Earnings Results & Report

Novagold Resources EPS Results

• Actual EPS: -$0.0820
• Consensus EPS: -$0.0656
• Beat/Miss: Missed by -$0.0164
• One Year Ago EPS: N/A

Novagold Resources Revenue Results

• Actual Revenue: N/A
• Expected Revenue: N/A
• Beat/Miss: N/A
• YoY Revenue Growth: N/A

Novagold Resources (NYSEAMERICAN:NG) is a Canadian-based precious metals company focused on advancing the Donlin Gold project in southwestern Alaska. The company is a development-stage business and does not currently operate producing mines.

Donlin Gold is owned equally by NOVAGOLD and Barrick Gold Corporation. The partners are working to advance the project, which is located in the Kuskokwim region of Alaska.

NOVAGOLD’s activities center on evaluating and developing the Donlin Gold project, including its exploration, engineering, permitting and related planning work.

Novagold Resources Q3 2026 Earnings Call Transcript

Key Takeaways

• Positive Sentiment: Proposed Donlin Gold consolidation would create a U.S.-domiciled, NYSE-listed parent that owns 100% of the project, adding approximately 13 million ounces of proven and probable reserves and more than 520,000 ounces of attributable annual production in the first decade. Shareholder approval is scheduled for November 3, 2026, with closing expected by year-end.
• Positive Sentiment: Donlin’s bankable feasibility study remains on track for completion in 2027, with Fluor, WSP, Worley and Hatch advancing engineering, geotechnical work, resource modeling and mine planning. The project is projected to produce about 1.3 million ounces annually during its first 10 years and more than 1 million ounces annually over its 27-year mine life.
• Neutral Sentiment: NovaGold ended the quarter with $343.4 million in cash and term deposits, which management said is sufficient to fund the feasibility study, corporate costs for at least 12 months and the planned Barrick promissory-note prepayment. However, third-quarter net loss rose to $36 million as Donlin expenditures and transaction-related legal and professional fees increased, prompting an $11.5 million increase in 2026 corporate G&A guidance to $31.2 million.
• Neutral Sentiment: Permitting and stakeholder engagement continue, with the supplemental environmental impact statement released and a final EIS anticipated in April 2027; dam-safety certificates are expected in 2028. The company has appointed Endeavour Financial and Macquarie Capital to evaluate funding options, including project finance and potential sovereign wealth fund participation.

Presentation

[Operator]

Thank you for standing by. This is the conference operator. Welcome to Vice President Corporate Communications. Please go ahead.

[Mélanie Hennessey, VP of Corporate Communications at NovaGold]

Good morning, everyone. We are pleased that you have joined us for NovaGold's 2026 third quarter webcast and conference call, and for an update on the Donlin Gold project. On today's call, we have NovaGold's Chairman, Dr. Thomas Kaplan, President and CEO, Greg Lang, and Peter Adamek, NovaGold's Vice President and CFO. At the end of the webcast, we will take questions by phone. Additionally, we will respond to questions received by email. Please note that while we provide commentary on our pending transaction to acquire 100% of Donlin Gold during the prepared remarks portions of today's call, we will not be addressing any questions or providing further comments regarding the transaction during the Q&A portion of the call.

[Mélanie Hennessey, VP of Corporate Communications at NovaGold]

For additional information regarding the transaction, we direct you to the management information circular and proxy statements and other documents filed by NovaGold with the SEC under the SEC's website and under NovaGold's profile on SEDAR at sedarplus.ca or from novagold.com. As stated on slide three, any statements made today may contain forward-looking information, such as projections and goals, which are likely to involve risks detailed in our various EDGAR and SEDAR filings and forward-looking disclaimers included in this presentation. With that, I will now turn the presentation over to NovaGold's President and CEO, Greg Lang. Greg?

[Greg Lang, President and CEO at NovaGold]

Thank you, Mélanie. I will start my remarks by highlighting several key activities that took place during the quarter. Starting with positioning the company as the premier U.S. gold developer through a series of definitive agreements entered into on July 21st. Under this proposed transaction, as depicted on slide five, a new U.S.-domiciled parent company, New NovaGold, will be established and listed on the New York Stock Exchange. This will be done with a one-to-one share exchange. Dr. Thomas Kaplan, our current Chair, and John Paulson will become Co-Chairs of New NovaGold. Inclusive of the existing ownership in NovaGold, Paulson will own approximately 40% of New NovaGold, and its voting interest will be capped at 19.99%. Once closed, New NovaGold will become the ultimate parent company, acquiring Paulson's 40% interest in an all-share transaction and will then own 100% of Donlin Gold.

[Greg Lang, President and CEO at NovaGold]

This transaction requires two-thirds shareholder approval, along with other court, regulatory listing, and customary closing conditions. The meeting of special shareholders is scheduled for November third, 2026, and the voting deadline is October 30th, with closing expected by the end of the year. This transaction gives shareholders equity in a well-capitalized developer with ownership of the strategic asset projected to be the largest single gold mine in the U.S., with an anticipated market capitalization of about $5 billion. The transaction is expected to deliver immediate benefits to stakeholders by increasing net asset value, gold reserves, and resources per share. Specifically, it adds approximately 16 million ounces of measured and indicated resources, including 13 million ounces in proven and probable reserves. This boosts the attributable annual production by over 520,000 ounces during the first decade.

[Greg Lang, President and CEO at NovaGold]

Beyond the numbers, consolidating ownership under one parent company streamlines the corporate decision-making and improves capital efficiency while maintaining independence governance through specific voting and lock-up restrictions. The structure also creates a single point of contact for our key stakeholders, including landowners Calista Corporation and The Kuskokwim Corporation. As highlighted on slide seven, Donlin Gold is positioned to become one of the highest annual gold producers in the Americas on both a resource and production basis. With projected production of approximately 1.1 million ounces per year over its 27-year mine life, comparing very favorably when looking at some of America's largest gold companies like Agnico Eagle, Equinox, and others that are listed on the chart.

[Greg Lang, President and CEO at NovaGold]

As mentioned earlier, once the transaction closes, the company is expected to have a market capitalization of approximately $5 billion, placing it among some of the largest gold companies in the industry, as shown on slide eight. This transaction is immediately accretive to NovaGold shareholders across key share metrics, including NAV per share and gold resources per share. In our view, having John Paulson and Dr. Thomas Kaplan serve as co-chairs following the close of this transaction will provide NovaGold with a uniquely aligned and experienced leadership team as the company advances Donlin Gold and considers opportunities to fund its future development. As shown on slide 10, Mr. Paulson brings a distinguished track record as a gold investor, including his longstanding commitment to NovaGold and his experience in identifying and investing in high-quality, differentiated gold assets.

[Greg Lang, President and CEO at NovaGold]

Combined with Dr. Kaplan's deep knowledge of Donlin Gold and longstanding leadership of NovaGold, their shared conviction, complementary expertise, market reach, and alignment with shareholders should position the company to advance the project efficiently and maximizing long-term shareholder value. On slide 11, we show NovaGold's share price movement over the last two years. The strategic alignment between NovaGold and Paulson has helped reignite investor confidence and share price momentum, reflecting the market's growing recognition of Donlin Gold's value and the potential benefits of a more streamlined ownership and development structure. As shown on Slide 12, Donlin Gold continued to extensively engage with government and regional stakeholders while supporting local programs across the YK region during the third quarter.

[Greg Lang, President and CEO at NovaGold]

This quarter, we coordinated with Calista to conduct a series of village visits, including a dedicated community meeting in Crooked Creek, the closest village to the project, to provide general updates and discuss the subsistence plan. Additionally, we facilitated several key initiatives for the Subsistence Community Advisory Committee, including meetings on communication plans and a tour of the Red Dog Mine. On the infrastructure front, we are advancing our planning along the proposed pipeline corridor. We initiated outreach to over 190 individuals and entities in the region while coordinating closely with legislatures in the neighborhood boroughs. Engaged with key decision-makers at the state and local levels, including recently holding briefings with Senator Dan Sullivan and collaborating with the DOE on permitting and infrastructure. Donlin's ongoing support of rural activities through Alaska EXCEL and health and safety initiatives provide key touch points in the region.

[Greg Lang, President and CEO at NovaGold]

Lastly, environmental stewardship remains a core priority. We completed the 2026 George River Salmon Monitoring Program in coordination with the Native Village of Napaimute, sampling over 7,000 fish, and we continued biodiversity monitoring at Snow Gulch to further strengthen our environmental baseline data. Turning to slide 13, several work streams on the technical front continue to advance. The bankable feasibility study remains on track for completion in 2027. A team led by Fluor is currently integrating major work packages and coordinating with specialist contractors, including WSP, Worley, and Hatch. Geotechnical work is wrapping up this fall at key sites, including the Jungjuk Port and the access road corridor, while resource modeling and mine planning are progressing as planned toward a high-quality bankable feasibility study. We are also scaling our internal capacity to support these technical and operational milestones.

[Greg Lang, President and CEO at NovaGold]

Since the start of 2026, we have more than doubled our team from 35 to over 70 employees across Anchorage and Vancouver, and we continue to recruit for critical roles as the project advances toward a final investment decision. As shown on slide 14, in the third quarter, we announced the appointment of Endeavour Financial and Macquarie Capital as financial advisors. They will help us evaluate various funding alternatives ranging from conventional project finance to potential support from sovereign wealth funds, ensuring that our financing strategy is executed in tandem with the bankable feasibility study to preserve long-term shareholder value. I will now turn the presentation over to NovaGold's Vice President and Chief Financial Officer, Peter Adamek. Peter?

[Peter Adamek, VP and CFO at NovaGold]

Thank you, Greg. Turning to our operating performance on slide 16, NovaGold reported a fiscal 2026 third quarter net loss of $36 million, or $0.08 per share. NovaGold's net loss during the third quarter increased by $20.4 million from the comparable prior year period, primarily due to higher Donlin Gold expenditures as a result of ongoing bankable feasibility study activities and higher NovaGold G&A expenses, partially offset by higher interest income in the current year. The company's share of Donlin Gold expenses in the third quarter of 2026 was $16.6 million higher than the comparative prior year period due to ongoing 2026 activities by Fluor, WSP, Worley, and Hatch to advance Donlin Gold's bankable feasibility study.

[Peter Adamek, VP and CFO at NovaGold]

NovaGold G&A expenses increased in the third quarter of 2026 by $5.7 million from the comparable prior year period, primarily due to higher ongoing legal and professional fees related to the proposed transaction to acquire 100% of Donlin Gold announced on July 22nd, 2026. Legal and professional fees are expected to remain elevated for the balance of fiscal 2026 and into early 2027 until we complete the previously announced transaction. On slide 17, our treasury comprising cash and term deposits decreased by $26.8 million-$343.4 million during the third quarter, reflecting $24.8 million of funding of Donlin Gold and $9.8 million of NovaGold's corporate G&A costs, partially offset by $3.8 million in interest income and $1.2 million in proceeds from the sale of marketable securities.

[Peter Adamek, VP and CFO at NovaGold]

Corporate G&A cash expenditures during the third quarter increased by $5.5 million, and our share of Donlin Gold funding increased by $16.7 million compared to the prior year for reasons discussed on the previous slide. Moving to slide 18, our treasury at the end of the third quarter was at a very robust $343.4 million. NovaGold is well-funded, enabling us to complete the Donlin Gold bankable feasibility study in 2027, exercise our option to prepay the Barrick promissory note during the current quarter, and cover our corporate G&A costs for at least the next 12 months. As noted earlier, our legal and professional fees have been elevated in 2026 and are expected to remain elevated for the balance of the year and into early 2027 until we complete the previously announced transaction.

[Peter Adamek, VP and CFO at NovaGold]

As such, we have increased our 2026 corporate G&A guidance by $11.5 million-$31.2 million to support the completion of the transaction to acquire 100% of Donlin Gold. I will now turn the presentation over to Greg to discuss the third quarter highlights.

[Greg Lang, President and CEO at NovaGold]

Thank you, Peter. It's worth reflecting on the value created through the company's long-term commitment to advancing the Donlin Gold project. Over the past two decades, extensive drilling and exploration programs have significantly increased Donlin's reserves and resources. The company successfully advanced permitting for the Donlin Gold project, representing an important step in its development. In June 2025, NovaGold and Paulson jointly acquired Barrick's 50% interest in Donlin, increasing NovaGold's ownership to 60% and Paulson's to 40%. Looking even further back, a key milestone occurred in 2008 and 2010 when Electrum and Paulson became major shareholders of NovaGold. That commitment has continued through recent announcements to consolidate Paulson's remaining interest in Donlin, bringing NovaGold ownership to 100%. These events, combined with the project's attributes of scale, grade, location, and production profile, underpin the value creation and incredible investment opportunity.

[Greg Lang, President and CEO at NovaGold]

Many of our shareholders view NovaGold as an unexpiring warrant on an ounce of gold. On slide 21, the bar chart illustrates the post-tax net present value at various gold prices, both on the current ownership basis and a pro forma basis following the proposed consolidation. With gold prices above $4,000 an ounce, this reflects a value of over $50 billion at a 0% discount rate, or approximately $20 billion at a 5% discount rate. This projection underscores the substantial economic potential of the Donlin Gold project in the current market environment. As slide 22 highlights, Donlin Gold is positioned to become one of the highest annual gold producers in the world, projected to produce 1.3 million ounces annually in the first 10 years of production and over 1 million ounces annually over its 27-year mine life.

[Greg Lang, President and CEO at NovaGold]

Looking at slide 23, Donlin Gold hosts approximately 40 million ounces of measured and indicated resources at an average grade of about two and a quarter grams per ton. This is more than twice the industry average. The project's exceptional scale, strong grade, and long mine life provide a robust foundation for value creation and position Donlin to remain resilient across a wide range of gold price environments. Moving on to slide 24, we believe there are significant exploration opportunities beyond the current resources in the ACMA and Lewis pits, as illustrated in the graphic in the upper right-hand corner, which covers approximately 3 kms of the 8-km gold-bearing trend, representing just a small portion of our overall land package. This underscores the potential to add ounces and extend the mine life through further exploration.

[Greg Lang, President and CEO at NovaGold]

As slide 10 outlines, Donlin Gold's current permitting status and the advantages of its location in Alaska, with a well-established regulatory framework and supportive approach to responsible resource development. Collaboration with state and federal agencies remains constructive. At the state level, we continue to support Alaska in defending the Clean Water Act Section 401 certification with a decision anticipated within the coming year following oral arguments which were made on June third this year. At the federal level, the Army Corps of Engineers and the Bureau of Land Management published the supplemental environmental impact statement on September 23rd of this year, analyzing a larger theoretical tailings release. All permits remain in place, with public comments open through October 23rd and the final EIS anticipated in April 2027.

[Greg Lang, President and CEO at NovaGold]

Dam safety permitting also advanced as expected, with detailed design packages for the project's seven dams anticipated by the end of the year or early 2027, and the issuance of dam safety certificates is expected in 2028. On slide 26, we highlight a quote from Governor Mike Dunleavy, who has expressed strong backing for responsible resource development in Alaska, including the Donlin Gold project. We appreciate his advocacy and look forward to continuing open and constructive communications with him and his team. Turning to slide 27, we highlight our longstanding collaboration and ongoing engagement with Calista and TKC, whose roles as private landowners are integral to the success of Donlin Gold. Their shared commitment to responsible development, grounded in deep local knowledge and stewardship, supports job creation, long-term economic opportunities, and the preservation of cultural heritage across the YK region.

[Greg Lang, President and CEO at NovaGold]

NovaGold is supported by a seasoned management team, as shown on slide 28, with a proven track record of mine development across the Americas. Our team is complemented by the Donlin Gold Project Execution Team, including Frank Arcese, and supported leading contractors, including Fluor, WSP, Worley, and Hatch. Together, they bring deep technical and project execution expertise to advance Donlin Gold efficiently, responsibly, and with a strong focus on execution discipline. We deeply appreciate the continued support and confidence of our long-term shareholders, some of whom are highlighted on Slide 29. NovaGold remains committed to responsibly advancing the Donlin Gold Project, delivering on key milestones, and fulfilling our commitments. We sincerely thank our shareholders, stakeholders, our board of directors, and the entire Donlin Gold team for their continued support, trust, dedication, and hard work.

[Greg Lang, President and CEO at NovaGold]

The recently announced consolidation of Donlin Gold represents an important milestone for our shareholders, simplifying the ownership structure and increasing NovaGold's direct exposure to the significant value and long-term potential of the project. We believe this positions NovaGold to capture greater value from Donlin Gold for the benefit of our shareholders as we continue to advance the project and build over the momentum created in the last year. In closing, slide 30 summarizes the core attributes that distinguish Donlin Gold as a truly differentiated asset within the global gold sector. Donlin Gold combines exceptional scale, high-grade open pit mineralization, a long mine life, low projected operating costs, significant exploration potential, and a stable jurisdiction. A project that stands apart among large-scale gold development opportunities.

[Greg Lang, President and CEO at NovaGold]

With the bankable feasibility study and subsequent stages of development ahead, Donlin Gold is supported by an experienced leadership and project execution team, strong relationships with local landowners, and a clear commitment to responsible development, providing a strong foundation for disciplined advancement and long-term shareholder value. Operator, we are now prepared to take questions.

[Mélanie Hennessey, VP of Corporate Communications at NovaGold]

Again, please remember that we will not be addressing any questions or providing further comments regarding the pending transaction during the Q&A portion of the call.

[Operator]

Once again, if you have a question, please press star then one.

[Mélanie Hennessey, VP of Corporate Communications at NovaGold]

We have a few questions from the line of Matt Kovacs online. Last quarter, Matt thanked you for your integrity and family perspective regarding NovaGold, and that is directed to Dr. Thomas Kaplan. Again, thank you for your commitment. Not to get political, but the current administration seems very bullish in the progression of mining precious metals. Would you see any reason to expedite? What are your thoughts on the administration?

[Thomas Kaplan, Chairman at NovaGold]

First of all, thank you for the question, and thank you for your continued support for NovaGold. Thank you. One of the very nice things about the Donlin project is that we have not been a political football. We were permitted under President Obama. Those permits were defended under President Biden. Needless to say, the Trump administration has expressed a very ardent passion for Alaska, and we do benefit from that. We have not had to request assistance regarding permitting because we have the permits that we need to advance. We have our federal permits. So we have not needed the support of the administrations, but we have always had it. We have had bipartisan political support in Alaska.

[Thomas Kaplan, Chairman at NovaGold]

If there are opportunities to be able to accelerate the timeline for Donlin, and I think that there could be, they involve the fact that a number of countries have committed hundreds of billions of dollars to investment in the U.S. Japan, $550 billion. Korea, $350 billion. Countries in the Gulf, the UAE, et cetera, hundreds and hundreds of billions of dollars. Being able to participate in what will be the largest single gold mine in the U.S., in a bull market in gold, located in a state that is already the second-largest gold producer in the U.S. after Nevada. We believe that this is a very compelling case for those who want to invest in the U.S. to be able to do so. If you are an Asian country and your investment is on the Pacific Coast of Alaska, already investment-grade for you.

[Thomas Kaplan, Chairman at NovaGold]

That is not a deterrent. It is the opposite. It is an inducement. Similarly, all the countries that I mentioned are bullish consumers of gold. The Japanese, the Emiratis. The South Korean central bank has officially reinitiated its gold purchase program. We do believe that we benefit from the tailwinds of the gold bull market. We benefit from the tailwinds of gravitation towards jurisdictional safety. We benefit from the tailwinds of those who have made commitments to investing in the U.S. under this administration. Being able to see that one of the offerings in the buffet is America's largest gold mine, which we think is going to assist us in the financing that we are working on in parallel with all of the work that you heard Greg referring to on the ground. Thank you.

[Mélanie Hennessey, VP of Corporate Communications at NovaGold]

Thank you. The next question is also from the line of Matt Kovacs and addressed to Dr. Kaplan. I have been hearing a rumor of an eight-year bull cycle coming to an end for gold soon. Do you believe that we will see a gold price near $5,000 in the next six months? Thanks again, Matt.

[Thomas Kaplan, Chairman at NovaGold]

The short answer is yes. The bigger answer is, I believe that we are just in the foothills of the gold bull market. I do not see this as an eight-year bull market. I see this as being a pullback within the context of a much longer wave that will take gold far beyond $5,000, will take gold far beyond the highs this year. In fact, I have said publicly that I can easily see gold going into the tens of thousands. I believe that we have not even gotten started. The comparison that I make, and I did this before we had the peak in the pullback, is to the Dow Jones, which began its bull market when it broke through 1,000 definitively in around 1980, reached 3,650-ish. We had the crash of 1987, which you can barely see on a long-term chart.

[Thomas Kaplan, Chairman at NovaGold]

It's so tiny in comparison to what happens next. That took it down to about $2,650, then it began to chug along to taking us to $50,000. I think that we are embarked upon something the likes of which people have not really had the opportunity to experience since the great bull market in the equities markets of the last decades. The short answer is yes, we are going to see $5,000. The longer answer is, I believe that that is just scratching the surface of one of the biggest bull markets that will have been seen in modern history.

[Thomas Kaplan, Chairman at NovaGold]

For many years, people would ask me which currency to own, and I would say, "If you're looking at what I would call colloquially paper currencies, unless you are nimble and can look at things like the Swiss franc or the Singapore dollar, et cetera, go for the US dollar. All paper currencies are toilet tissue, but the US dollar, for a number of reasons, is double ply." And I would say, "But if you want the currency that's going to be the best performer against everything, that's gold." Both of those things, I think, have been good advice. People would say that seems mutually exclusive to say buy the dollar and buy gold, and I said, "That's a myth." There are many myths about gold. There was a myth that you have to have strong commodities for gold to prosper. It's not true.

[Thomas Kaplan, Chairman at NovaGold]

Oil is barely where it was 20 years ago. You don't need to have inflation. We didn't have inflation and gold multiplied in value. The dollar is stronger now than it was 20 years ago. So what you're really dealing with is a duck. It looks like a duck. It tastes like a duck. It quacks like a duck. It walks like a duck. It's a duck. I can't say what I think the dollar will do against other paper currencies. I really don't know, because we're in a very different environment when it comes to the underpinnings of what made the dollar double ply. I'm just agnostic. But my comment has been against gold, the dollar will collapse.

[Thomas Kaplan, Chairman at NovaGold]

If you look at gold through that lens, if you take the chart which shows gold going parabolic and you just flip it over, I would ask you to see it as a currency against the dollar, and it's very daunting to be a dollar bull against gold. It's a long-term trend. We're in the early phases of it. Like I would say, the 1987-ish washout that we saw in the Dow Jones. But this is not over at all, and this pullback, whenever it ends, will be, to my mind, if past is prologue, the definitive end leading to the next long wave in gold.

[Mélanie Hennessey, VP of Corporate Communications at NovaGold]

Thank you. With no further questions, I will hand it back over to Greg for closing remarks.

[Greg Lang, President and CEO at NovaGold]

Well, thank you, Mélanie. And thank you everyone for taking the time to listen to our quarterly update today. Take care.

[Operator]

This brings to a close today's conference call. You may disconnect your lines. Thank you for participating and have a pleasant day.

Participants

Analysts

• Mélanie Hennessey, VP of Corporate Communications at NovaGold
• Greg Lang, President and CEO at NovaGold
• Peter Adamek, VP and CFO at NovaGold
• Thomas Kaplan, Chairman at NovaGold