Ambler In January 2010, NovaGold purchased 100% of the Ambler project from Kennecott, a subsidiary of Rio Tinto. NovaGold acquired its initial interest in Ambler in 2004, forming a joint venture with Rio Tinto through which NovaGold could earn a 51% interest in the property. With the decision to acquire 100% of the property, NovaGold's exploration team is focused on expanding the Ambler resource and working with local communities and Alaskan Native corporations to develop this promising high-grade copper-zinc-gold-silver property. The Ambler property comprises 36,670 hectares (90,600 acres) of patented, State of Alaska and Federal BLM mining claims, covering a major portion of the precious-metal-rich Ambler volcanogenic massive sulfide ("VMS”) belt. VMS deposits generally form in clusters, like pearls on a string, and the district contains a number of deposits with identified historical resources. The Arctic deposit is the most advanced deposit on the property. With 17 million tonnes grading 4% copper, 6% zinc, 0.8 g/t gold and 60 g/t silver, and an additional 12 million tonnes of inferred resources, Arctic ranks among the largest and richest known VMS deposits in the world based on both total contained metal and value per tonne metrics. On an equivalent metal basis, the average metal content exceeds 8% copper equivalent. NovaGold has a solid record of identifying exploration opportunities and bringing value to shareholders by expanding resources through exploration success. NovaGold feels there is excellent potential to expand the existing resources at the Arctic deposit and locate new high-quality resources in nearby areas, as well as identify new exploration targets in the district. During 2010, NovaGold will continue to hold community meetings in the Ambler region to discuss the project and identify a development path that includes the local communities and NANA Corporation, the regional Alaskan Native corporation. Work at the property will focus on initiating the environmental and engineering studies necessary to complete a pre-feasibility engineering study to assess project economics. NovaGold will continue to work closely with the Kobuk River villages, the Northwest Arctic Borough, NANA Corporation and the State of Alaska to discuss and evaluate development alternatives for the project.

The Arctic deposit ranks among the largest and richest VMS deposits in the world.