OUR ESG Approach
Our business is built on the principle that robust financial, social, environmental, and governance performance are equally vital for our success. Embracing strong ESG practices is crucial in achieving our business objectives, generating enduring value for local communities, and meeting the financial expectations of our shareholders. From establishing and fostering relationships with local communities from the start of project planning to implementing socially and environmentally responsible closure practices, sustainability is ingrained in our activities, and NOVAGOLD continually explores innovative ways to enhance stakeholder value.
Our commitment to responsible mining extends throughout our corporate vision and management systems, forming the bedrock of our business. We employ a comprehensive and agile strategy for risk management, which integrates input and output from diverse stakeholders spanning ESG, finance, technology, legal, and overarching business risks. The significance of ESG is acknowledged at the highest levels of the Company, with direct Board engagement in goal setting and performance oversight, encompassing the Company’s actions regarding climate change
“The Donlin Gold Project is a critical opportunity for Calista Corporation, its shareholders, and the communities in the Yukon-Kuskokwim region. We support the project because our region needs economic development that protects our subsistence resources and provides jobs and training for our young people.We actively participate in developing the Donlin Gold project because this is our land, where Calista shareholders live and gather food. We cannot continue our subsistence lifestyle without income. Over decades, we have witnessed the positive impact of Donlin Gold on our shareholders who have worked there. If developed, the project will provide many more living-wage jobs in our Region. Past Donlin staff have shared that being employed allowed them to continue, or return to, living in the region.”
Andrew Guy
President and CEO,
Calista Corporation
ABOUT NOVAGOLD
NOVAGOLD is a well-financed precious metals company, solely focused on the responsible and sustainable development of its flagship 50 percent-owned Donlin Gold project in Alaska, one of the safest mining jurisdictions in the world. Donlin Gold LLC, the company tasked with the development and operation of the Donlin Gold project, is owned equally by NOVAGOLD and Barrick Gold Corporation.
NOVAGOLD has a corporate office in Vancouver and an executive office in Salt Lake City; all activities are confined to North America. Funding to explore our mineral properties and to operate NOVAGOLD was acquired primarily through previous equity financing consisting of public offerings of our common shares and warrants, as well as through debt financing consisting of convertible notes and additionally through the sale of assets. As no gold is currently produced, no operating earnings are currently generated. One of NOVAGOLD’s core values is to deliver long-term benefits to our shareholders and project stakeholders through responsible mining. The Donlin Gold project is being developed with input from our Alaska Native Corporation partners and local stakeholders who have knowledge of the region and understand the importance of a subsistence lifestyle. This valuable input helps us manage and minimize environmental impacts and assists us in setting and meeting high standards for ESG performance. With a strong balance sheet, NOVAGOLD is well-positioned to continue to advance the Donlin Gold project.
ABOUT Donlin Gold
The Donlin Gold project is located on private land that was designated for mining activities five decades ago. Donlin Gold LLC has life-of-mine agreements with Calista, the regional Alaska Native Corporation which owns the subsurface mineral rights and some of the surface land rights, and TKC, a collection of 10 village corporations which owns most of the surface land rights. These rights were conveyed to both Calista and TKC by the United States Congress through the Alaska Native Claims Settlement Act (ANCSA). Donlin Gold LLC partners with and provides support to Alaska Native communities surrounding the project.
With approximately 39 million ounces of gold in the measured and indicated mineral resource categories (541 million tonnes at an average grade of approximately 2.24 grams per tonne on a 100 percent basis)1, inclusive of proven and probable mineral reserves, Donlin Gold is considered one of the largest, highest-grade, and most prospective known open pit gold deposits in the world. According to our 2021 Technical Report and the S-K 1300 Technical Report Summary, once in production, Donlin Gold is expected to produce an average of more than one million ounces per year over a 27-year mine life on a 100 percent basis.
As an advanced stage development project, current activities are focused on updating the geologic resource model, engineering trade-off studies, community outreach, government engagement, and workforce development in preparation for the eventual construction and operation of the project. Donlin Gold has received all of its federal permits and most of its major State permits; it is currently working on securing the remaining State permits.
1 Donlin Gold data as per the report entitled “NI 43-101 Technical Report on the Donlin Gold Project, Alaska, USA” with an effective date of June 1, 2021 (the “2021 Technical Report”) and the report titled “S-K 1300 Technical Report Summary on the Donlin Gold Project, Alaska, USA” (the “S-K 1300 Technical Report Summary”), dated November 30, 2021. Donlin Gold possesses Measured Resources of approximately 8 Mt grading 2.52 g/t and Indicated Resources of approximately 534 Mt grading 2.24 g/t, each on a 100% basis and inclusive of Mineral Reserves, of which approximately 4 Mt of Measured Resources and approximately 267 Mt of Indicated Resources inclusive of Reserves is attributable to NOVAGOLD through its 50% ownership interest in Donlin Gold LLC. Exclusive of Mineral Reserves, Donlin Gold possesses Measured Resources of approximately 1 Mt grading 2.23 g/t and Indicated Resources of approximately 69 Mt grading 2.44 g/t, of which approximately 0.5 Mt of Measured Resources and approximately 35 Mt of Indicated Resources exclusive of Mineral Reserves is attributable to NOVAGOLD. Donlin Gold possesses Proven Reserves of approximately 8 Mt grading 2.32 g/t and Probable Reserves of approximately 497 Mt grading 2.08 g/t, each on a 100% basis, of which approximately 4 Mt of Proven Reserves and approximately 249 Mt of Probable Reserves is attributable to NOVAGOLD. Mineral Reserves and Resources have been estimated in accordance with NI 43-101 and S-K 1300.