NOVAGOLD Resources has signed a series of definitive agreements to acquire the remaining 40% interest in Donlin Gold from Paulson Advisers and its affiliates in an all-share transaction.
The deal will give NOVAGOLD full ownership of Donlin Gold and lead to the creation of a new US-domiciled parent company, NovaGold Corporation, which will seek a listing on the New York Stock Exchange.
The resulting company is expected to have an equity value of around $4.2bn (C$5.91bn).
Following completion, current NOVAGOLD shareholders, including Paulson's existing equity interest, are expected to hold around 65% of NovaGold Corporation, while Paulson will receive an approximate 35% stake on a fully diluted basis for its Donlin Gold share.
Paulson's economic interest in the combined entity will be around 40%, with voting rights capped at 19.99%.

#Gold #around #paulson

NovaGold extended its winning streak to a third consecutive day on Wednesday, surging 10.30 percent to close at $6.21 apiece after expanding its gold portfolio with the full acquisition of the Donlin Gold project in Alaska.
In a statement on the same day, NovaGold Resources Inc. (NYSEAmerican:NG) said that it entered into a definitive agreement with Paulson Advisers LLC to acquire the latter's entire 40 percent stake in the project through an all-share transaction valued at $4.2 billion.
NovaGold Resources Inc. (NYSEAmerican:NG) will effectively own 100 percent of Donlin Gold—whose projected annual 1.3-million-ounce gold production in its first decade and 1.1-million-ounce gold production over the 27-year mine life is expected to render it the largest gold development project in the US.
It currently holds approximately 40 million ounces of measured and indicated mineral resources, which represents more than twice the industry's average grade.
For illustration purposes only. Photo by Tom Fisk on Pexels

#novagold #nyseamerican #production