NOVAGOLD Announces Closing of Galore Creek Transaction
VANCOUVER, BC—NOVAGOLD RESOURCES INC. (TSX, NYSE American: NG) announced that the transaction with Newmont Mining Corporation (NYSE: NEM) (“Newmont”), in which NOVAGOLD agreed to sell its 50% interest in the Galore Creek project (“Project”), owned by the Galore Creek Partnership (GCP) for total consideration of up to $275 million, announced on July 26, 2018, has closed. As contemplated by the Share Purchase Agreement, NOVAGOLD has received $100 million and transferred its interest in the Project and the Copper Canyon property to a subsidiary of Newmont. NOVAGOLD anticipates applying the proceeds from the sale toward the development of its 50%-owned Donlin Gold project in Alaska.
Scientific and Technical Information
Some scientific and technical information contained herein with respect to the Donlin Gold project is derived from the “Donlin Creek Gold Project Alaska, USA NI 43-101 Technical Report on Second Updated Feasibility Study” prepared by AMEC with an effective date of November 18, 2011, as amended January 20, 2012 (the “Second Updated Feasibility Study”). Kirk Hanson, P.E., Technical Director, Open Pit Mining, North America, (AMEC, Reno), and Gordon Seibel, R.M. SME, Principal Geologist, (AMEC, Reno) are the Qualified Persons responsible for the preparation of the independent technical report, each of whom are independent “qualified persons” as defined by NI 43-101.