Message #8 From:
NewsBot Date: November 15, 2005 10:30:00 AM
NG News NovaGold Resources Inc.: Final 2005 Drill Results at Donlin Creek Continue to Confirm High Grade Mineralization
VANCOUVER, British Columbia--(BUSINESS WIRE)--Nov. 15, 2005--NovaGold Resources Inc. (TSX:NG)(AMEX:NG) -
Highlights
- Final results received from 27,000 meter (88,000 ft) 2005 drill program targeted to upgrade inferred gold resources to measured and indicated gold resources, as well as complete geotechnical and condemnation drilling for mine planning
- Results continue to confirm geologic model and grades
- Drill results highlights include:
- DC05-1033 with 4 mineralized intervals totaling 90.0 meters grading 6.4 g/t Au including 70.0 meters grading 7.4 g/t Au
- DC05-1063 with 7 mineralized intervals totaling 103.4 meters grading 6.7 g/t Au including intervals of 12.0 meters grading 16.3 g/t Au and 20.7 meters of 7.9 g/t Au
- DC05-1065 with 9 mineralized intervals totaling 258.2 meters grading 5.0 g/t Au including intervals of 25.0 meters grading 10.2 g/t Au, 29.7 meters of 7.1 g/t Au, and 65.9 meters of 5.8 g/t Au
- DC05-1018 with 8 mineralized intervals totaling 277.5 meters grading 3.59 g/t Au including intervals of 64.7 meters grading 5.4 g/t Au and 28.3 meters of 5.9 g/t Au
- Donlin Creek 2005 program anticipated expenditures of approximately $US14 million for drilling, Pre-Feasibility engineering design and environmental baseline data collection
2005 Donlin Creek Infill Program Update
The NovaGold/Placer Dome Donlin Creek Joint Venture continues to advance the Donlin Creek gold project towards feasibility and permitting. The 2005 Donlin Creek work program has three key components: 1) a 27,000 meter (88,000 foot) drill program with 84 infill, geotechnical and condemnation core holes and 25 condemnation/geotechnical reverse circulation holes; 2) detailed engineering and design studies; 3) and preparation of baseline and environmental assessment data for submission of permitting documents.
Final assay results for all remaining holes have now been received. Results from the initial 19 drill holes from the program were released on August 16th 2005 in a NovaGold press release. The primary focus of the infill drill program is to increase the 11.0 million ounce measured and indicated gold mineral resource by upgrading a portion of the existing 14.3 million ounce gold inferred mineral resource. The current drill program and sampling protocol were completed with oversight by qualified person Robert Pease, General Manager, Canada Exploration and Global Major Projects for Placer Dome. A rigorous quality control and quality assurance protocol was utilized on the project including blank and reference samples with each batch of assays. All drill samples were analyzed by fire assay at Chemex Labs in Vancouver, BC, Canada. Final assay results, from both the Acma and Lewis deposits, are presented in Table 1 below. Composite intervals were calculated by NovaGold based on the drill hole results provided by Placer Dome.
Of particular note are drill holes: DC05-1033 with 4 mineralized intervals totaling 90.0 meters grading 6.4 g/t Au including 70.0 meters grading 7.4 g/t Au; DC05-1063 with 7 mineralized intervals totaling 103.4 meters grading 6.7 g/t Au including intervals of 12.0 meters grading 16.3 g/t Au and 20.7 meters of 7.9 g/t Au; DC05-1065 with 9 mineralized intervals totaling 258.2 meters grading 5.0 g/t Au including intervals of 25.0 meters grading 10.2 g/t Au, 29.7 meters of 7.1 g/t Au, and 65.9 meters of 5.8 g/t Au; and DC05-1018 with 8 mineralized intervals totaling 277.5 meters grading 3.59 g/t Au including intervals of 64.7 meters grading 5.4 g/t Au and 28.3 meters of 5.9 g/t Au. High grade mineralization remains open at depth within the Acma and Lewis deposits.
The results of the 2005 drilling are currently will be incorporated into new 3D rock type and alteration models for the Acma, Lewis and Akivik areas that will be used in an updated resource estimate expected in the first quarter of 2006.
Highlights from continuing engineering studies include: completion and analysis of geotechnical and condemnation drilling, installation and data collection from wind monitoring instruments, and additional metallurgical test work including 14 tonnes of material shipped to PDI lab in Vancouver for continuing bench and pilot test work.
Environmental baseline work continues with additional habitat, fisheries and waste characterization studies along with the on-going water quality studies in preparation for formal permit applications.
About the Donlin Creek Project
The Donlin Creek property contains a measured and indicated mineral resource estimated at 11 million ounces of gold, and an inferred mineral resource estimated at 14.3 million ounces of gold, making it one of the largest undeveloped gold resources in North America. Further information on tonnes and grade can be found on the Company's website at www.novagold.net/s/projectresources.asp. The Company's 70% interest in Donlin Creek is held through a joint venture with Placer Dome. Placer Dome became manager of the joint venture effective November 2002 and can earn an additional 40% interest (bringing its total to 70% interest) in the joint venture by expending a minimum of US$32 million on the property, completing a bankable feasibility study and making a positive construction decision on or before November 2007. A bankable feasibility study is a comprehensive analysis and assessment of a project economics used by the banking industry for financing purposes.
NovaGold is a precious metals company focused on the exploration and development of high quality mineral properties in Alaska and Western Canada. NovaGold is rapidly advancing three of North America's largest undeveloped gold and copper deposits: the Galore Creek copper-gold-silver project, the Donlin Creek gold project in partnership with Placer Dome, the Ambler project in partnership with Rio Tinto, as well as the Company's Nome Operations including: Rock Creek, Big Hurrah and Nome Gold. NovaGold has 72.9 million shares outstanding, is well financed with no long-term debt, and has one of the largest resource bases of any exploration or development stage precious metals company. More information is available online at www.novagold.net.
Forward-Looking Statements: This press release contains forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that are not historical facts and are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements, including, risks related to exploration stage of the Company's projects; market fluctuations in prices for securities of exploration stage companies; uncertainties about the availability of additional financing; uncertainties related to fluctuations in gold prices and other risks and uncertainties described in the Company's registration statement on Form 40-F and Reports on Form 6-K filed with the Securities and Exchange Commission. Although we believe the expectations reflected in our forward looking statements are reasonable, results may vary, and we cannot guarantee future results, levels of activity, performance or achievements.
Table 1. Summary of Significant Composited Intervals - 2005 Donlin Creek Infill Drilling
Higher Grade Intervals greater than 4.0 g/t Highlighted in Bold. All significant intervals use a 1 g/t Au cut-off with a maximum of 2 continuous internal waste samples and a minimum grade thickness interval of 10 gram meters for internal composites. Holes marked with (i) ended in mineralization.
