NOVAGOLD Resources Inc. Closes $310.2 Million Private Placement

By Chris Stiles • Wednesday, April 01 11:55 • Permanent Link

NOV recently released its 10-Q report. NOVAGOLD RESOURCES INC. is a gold mining company focused on advancing the Donlin Gold project in Alaska, where it holds a 60% economic interest through a subsidiary. The project covers 493 mining claims across about 29,008 hectares in the Kuskokwim and Mt. McKinley Recording Districts, and the company was incorporated in 1984 and renamed NOVAGOLD Resources Inc. in March 1987.

In Item 2, management said the first quarter of 2026 was dominated by financing, engineering work, and permitting activity tied to Donlin Gold. NOVAGOLD closed an underwritten bought deal private placement on February 5, 2026, selling 31,020,000 common shares at $10.00 each for gross proceeds of $310.2 million, less $16.2 million of issuance costs. The company said it plans to use the net proceeds for Donlin Gold expenditures, the prepayment option on the Barrick promissory note, and general corporate purposes.

NOVAGOLD’s share of Donlin Gold funding in the quarter was $15.5 million, and it reaffirmed expected full-year fiscal 2026 funding of $78.8 million. The company said Fluor Corporation was selected on February 9, 2026 as lead engineering firm for the Bankable Feasibility Study, which is expected to be completed in 2027. On March 12, 2026, NOVAGOLD and Paulson announced specialist contracts with WSP USA, Worley Alaska, and Hatch to advance work on the on-site power plant, natural gas pipeline, pressure oxidation circuit, and oxygen plant.

The company also said it signed a non-binding letter of intent on January 8, 2026 with Glenfarne Alaska LNG to explore natural gas supply for on-site power generation. In permitting, NOVAGOLD said comments from the Alaska Department of Natural Resources on preliminary dam safety design packages are expected in 2026, detailed design packages are targeted for completion by the end of 2026 or early 2027, and potential dam safety certificates are expected in 2028. The company added that a draft supplemental environmental impact statement is anticipated in September 2026 under the FAST-41 schedule. As a result of these announcements, the company's shares have moved -5.85% on the market, and are now trading at a price of $7.73. For more information, read the company's full 10-Q submission here.

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