2013 First Quarter and Project Update

2013 FIRST QUARTER &
PROJECT UPDATE

APRIL 11, 2013
1
NYSE-MKT, TSX: NG www.novagold.com

CONFERENCE CALL ATTENDEES

▸ Introduction
Mélanie Hennessy (Vice President Corporate Communications)

▸ Corporate Update
Greg Lang (President & Chief Executive Officer)

▸ First Quarter Financials & 2013 Budget
David Ottewell (Vice President & Chief Financial Officer)

▸ Closing Remarks
Greg Lang (President & Chief Executive Officer)

▸ Question & Answer Session
Greg Lang & David Ottewell

2

CAUTIONARY STATEMENTS
REGARDING FORWARD-LOOKING STATEMENTS
This presentation includes certain “forward-looking statements” within the meaning of applicable securities laws, including the United States Private Securities Litigation Reform Act of
1995. All statements, other than statements of historical fact, included herein including, without limitation, statements relating to Donlin Gold’s and Galore Creek’s future operating or
financial performance, are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as “plans”, “expects”, “anticipates”,
“believes”, “intends”, “estimates”, “potential”, “possible” and similar expressions, or statements that events, conditions or results “will”, “may”, “could”, or “should” occur or be achieved.
These forward-looking statements are set forth in the slides pertaining to the implementation of the Donlin Gold second updated Feasibility Study and the Galore Creek Pre-Feasibility
Study. Froward-looking statements may include statements regarding perceived merit of properties; exploration results and budgets; mineral reserves and resource estimates; work
programs; capital expenditures; timelines; strategic plans; completion of transactions; market price of precious base metals; or other statements that are not statements of fact. Forward-
looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ
materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from our expectations include the uncertainties involving the
need for additional financing to explore and develop properties and availability of financing in the debt and capital markets; uncertainties involved in the interpretation of drilling results
and geological tests and the estimation of reserves and resources; the need for continued cooperation between NOVAGOLD and Barrick Gold in the exploration and development of the
Donlin Gold property; between NOVAGOLD and Teck Resources Ltd. in the exploration and development of the Galore Creek property; the need for cooperation of government
agencies and native groups in the development and operation of properties; the need to obtain permits and governmental approvals; risks of construction and mining projects such as
accidents, equipment breakdowns, bad weather, non-compliance with environmental and permit requirements, unanticipated variation in geological structures, ore grades or recovery
rates; unexpected cost increases; fluctuations in metal prices and currency exchange rates; and other risk and uncertainties disclosed in reports and documents filed by NOVAGOLD
with applicable securities regulatory authorities from time to time. The forward-looking statements made herein reflect management’s beliefs, opinions and projections on the date the
statements are made. Except as required by law, the Company assumes no obligation to update the forward-looking statements of beliefs, opinions, projections, or other factors, should
they change.

REGARDING SCIENTIFIC AND TECHNICAL INFORMATION
Unless otherwise indicated, all reserve and resource estimates included in this presentation have been prepared in accordance with Canadian National Instrument 43-101 Standards of
Disclosure for Mineral Projects (“NI 43-101”) and the Canadian Institute of Mining, Metallurgy and Petroleum Definition Standards for Mineral Resources and Mineral Reserves (“CIM
Definition Standards”). Canadian standards, including NI 43-101, differ significantly from the requirements of the United States Securities and Exchange Commission (“SEC”), and
reserve and resource information in this presentation may not be comparable to similar information disclosed by U.S. companies. In particular, and without limiting the generality of the
foregoing, the term “resource” does not equate to the term “‘reserves”. Under U.S. standards, mineralization may not be classified as a “reserve” unless the determination has been
made that the mineralization could be economically and legally produced or extracted at the time the reserve determination is made. The SEC’s disclosure standards normally do not
permit the inclusion of information concerning “measured mineral resources”, “indicated mineral resources” or “inferred mineral resources” or other descriptions of the amount of
mineralization in mineral deposits that do not constitute “reserves” by U.S. standards in documents filed with the SEC. U.S. investors should also understand that “inferred mineral
resources” have a great amount of uncertainty as to their existence and great uncertainty as to their economic and legal feasibility. It cannot be assumed that all or any part of an
“inferred mineral resource” will ever be upgraded to a higher category. Under Canadian rules, estimated “inferred mineral resources” may not form the basis of feasibility or pre-feasibility
studies except in rare cases. Investors are cautioned not to assume that all or any part of an “inferred mineral resource” exists or is economically or legally mineable. Disclosure of
“contained ounces” in a resource is permitted disclosure under Canadian regulations; however, the SEC normally only permits issuers to report mineralization that does not constitute
“reserves” by SEC standards as in-place tonnage and grade without reference to unit measures. The requirements of NI 43-101 for identification of “reserves” are also not the same as
those of the SEC, and reserves reported in compliance with NI 43-101 may not qualify as “reserves” under SEC standards. Accordingly, information concerning mineral deposits set
forth herein may not be comparable to information made public by companies that report in accordance with United States standards.

3

2013 GOALS AND MILESTONES
Focused on Advancing Our Projects On Time and On Budget

Q4 - 13
Q4 - 13
Q3 - 13 Update on
Donlin Gold
Q2 - 13 Donlin Gold Preliminary
cost Draft EIS
Q1 - 13 Galore reduction progress
Creek opportunities
Q1 - 13 Complete endowment update
public update
Q1 - 13 Appointed scoping for
Richard Donlin Gold
Galore Williams VP EIS
Creek Engineering &
exploration Development
Received
drill results strengthening
$54.0 M
proceeds technical
from in the expertise
money
warrants

4

THE RIGHT PROJECT – DONLIN GOLD
Arguably the World’s Most Significant Gold Project

Largest gold project in development

Among the highest grade large-scale open-pit deposits

Excellent expansion potential along strike & at depth

Poised to be world’s largest gold producer, one of only six >1Moz/year

Safe: In Alaska, 2nd largest gold producing state in U.S.

5

www.novagold.com

2013 FIRST-QUARTER
FINANCIALS

DAVID OTTEWELL, VICE PRESIDENT & CFO

Q1 2013 – PROJECT ACTIVITY
▸ Donlin Gold
> Held public scoping meetings around project area
> Compiled and presented all environmental and social baseline data to the Corps to facilitate
preparation of the EIS
> Project funding (NG 50% share)
> FY-2013: US$15.0 million to continue permitting
> Q1-2013: US$2.4 million

▸ Galore Creek
> Exploration and geotechnical drilling in 2013
> Project funding (NG 50% share)
> FY-2013: $8.0 million for follow-up drilling and new targets (exploration season May-Oct.)
> Q1-2013: $0.7 million

7

Q1 2013 – OPERATING PERFORMANCE ANALYSIS
in thousands of Canadian dollars

Three months Three months
ended ended
Highlights
February 28, 2013 February 29, 2012
$ $
Expenses(1) 3,474 5,866
Share-based payments 5,526 10,088
Project care and maintenance - 2,574
Mineral properties - 907
Decommissioning expense - 1,651
Foreign exchange (gain) loss (7,883) (1,411)
Share of losses – Donlin Gold 2,986 3,623
Share of losses – Galore Creek 2,482 4,065
Other (gains) losses (9) 25
Operating loss (6,576) (27,388)

(1) General and administrative, salaries and severance, professional fees, corporate and development expenses
8

Q1 2013 – CASH FLOW HIGHLIGHTS
in thousands of Canadian dollars
Three months ended Three months ended
Highlights February 28, 2013 February 29, 2012
$ $
Cash used in operating activities (9,307) (24,649)
Cash from financing activities 54,014 320,100
Cash used in investing activities - (13,625)
Foreign exchange effect on cash 11,601 178
Increase (decrease) in cash 56,308 282,004
Cash and cash equivalents
Beginning 253,037 60,572
Ending 309,345 342,576
Ending US$ 299,941 346,207

9

NOVAGOLD’S FUTURE FINANCIAL OBLIGATIONS HAVE DECREASED
SUBSTANTIALLY
Clear Focus Begins with Strong Funding to Execute on All Fronts

Highlights: 40
$3
▸ US$300M in cash and cash
equivalents1 $8

▸ US$95M cash available for convertible 30
notes2

US$ (Millions)
2013: $15
20
▸ 62% spending reduction
▸ Donlin Gold Q1-2013 spending
US$2.4M (NOVAGOLD 50%-share)
10 $0.7
▸ Galore Creek Q1-2013 spending $15 $2.4
US$0.7M (NOVAGOLD 50%-share)
$6.1
▸ Administrative expenses US$3.5M and 0
2013 Budget3 Q1-2013 Spending
working capital US$2.6M
1) Cash and cash equivalents as of February 28, 2013
2) The Notes mature on May 1, 2015. The holders of the Notes have the right to require the Donlin Gold G&A and Miscellaneous
Company to repurchase all or part of their Notes on May 1, 2013 (“put option”)
Galore Creek Interest4
3) 2013 anticipated budget expenditure disclosed on February 12, 2013
4) Assuming full repayment of US$95M in convertible notes

10

DONLIN GOLD PUBLIC COMMENT PERIOD
Communication on all Levels is a Core Value

▸ U.S. Army Corps of Engineers (“the Corps”) launched website for the EIS
project: www.donlingoldeis.com
▸ Public scoping is 2nd phase of the EIS process
▸ Important opportunity to ask questions, identify concerns, and offer ideas
related to the proposed project and its environmental effects
▸ Helps shape the direction of the EIS analysis
▸ Donlin Gold public comment period (Dec. 14/12 - March 29/13)
▸ 13 public meetings in villages/communities in Western Alaska and
Anchorage
▸ Very well attended with knowledgeable audience and overall positive
feedback on the Project
▸ The Corps received constructive comments that will be beneficial in
developing a robust EIS
▸ Public scoping summary document will be available on the EIS website
▸ Core focus is the development of an environmentally responsible Project
design, and spending significant time working with communities in the region

11
NYSE-MKT, TSX: NG www.novagold.com 12-07-26

DONLIN GOLD PERMITTING PROCESS
Regulatory Process Currently Focused on Environmental Impact Statement (“EIS”)
What is an EIS?
A disclosure document that is part
of the regulatory process and led
by the U.S. Army Corps of What is the Permitting Process?
Engineers that provides the Concurrent with and supported by the EIS process, the Federal and
agencies and the public with State regulatory agencies will consider all of the required permits and
information needed to make authorizations for the project.
permitting decisions on the project

Record of
Preliminary Decision
Notice of Public Public Final
Draft EIS Draft EIS subject to
Intent Scoping Comment EIS/Permit
30-Day
Period Issuance
Appeal
Submitted Period
Ended
12/14/12 03/29/13

2012 2016
Permitting Process ~3-4
Impacts Discussed in the EIS years

• Hydrology • Fish & Aquatic Habitat
• Air & Water Quality • Wildlife • Cultural Resources
• Noise • Socioeconomics • Visual Resources
• Wetlands • Threatened & Endangered Species • Recreation, Safety & Feasibility
• Cumulative Impacts • Land Use and Subsistence

12

GALORE CREEK
2012 Drilling Program Extended Mineralization Substantially Beyond Pit Limit
▸ Completed 27,873-meter drilling program
▸ Significant intercepts, including 86 meters grading 1.31%Cu and 0.46g/t Au, lead
to the discovery of the new Legacy zone, a 700 -meter long mineralized zone,
currently open in all directions and adjacent to the Central Pit
▸ Results expected to increased endowment and enhance the mine plan

13

GALORE CREEK
Well Positioned to Update Resource Model and Improve Overall Economics
▸ NOVAGOLD continues to consider the potential sale of its share of Galore Creek
meanwhile enhancing its value through exploration and technical studies on a reduced
budget
▸ 2013 work and exploration program
▸ Update resource model with 2012 drill results in Q3-2013
▸ Drilling to define the extent of the Legacy mineralization, and assess its impact on
future mine design
▸ Once in production, as envisioned by the Pre-Feasibility Study, Galore Creek is
expected to be the largest and lowest cash cost copper mine in Canada

14

THE NOVAGOLD TEAM
Senior Industry Leaders to Bring Donlin Gold through Permitting and Beyond

MANAGEMENT
▸ Former President of Barrick Gold North America
Gregory A. Lang
▸ 35 years experience building & operating major mines
President & CEO ▸ Intimate knowledge of Donlin Gold
▸ Former EVP and General Counsel of Goldcorp
David Deisley ▸ Regional General Counsel for Barrick Gold North America
Executive Vice President and ▸ Extensive track record in project permitting, corporate social responsibility,
General Counsel mergers and acquisitions and corporate development
▸ 25 years of mining industry experience

David Ottewell ▸ Former VP and Corporate Controller of Newmont Mining Corporation
▸ 25 years of mining industry experience
Vice President and Chief ▸ Diverse experience in all facets of financial management, from mine operations
Financial Officer to executive corporate financial management of premier gold producers
Mélanie Hennessey ▸ Held variety of senior IR & corporate communication positions with Goldcorp
Vice President, Corporate Inc., New Gold Inc., and Hecla Mining Company
Communications ▸ Leading NOVAGOLD’s internal and external communications functions

Ron Rimelman ▸ 25 years of environmental experience , managing environmental impact
assessments and permitting activities world-wide
Vice President, Environment, ▸ Leadership role on mine permitting and NEPA evaluations for mine projects in
Health, Safety & Sustainability Alaska since 1993
Richard Williams ▸ Former Project Director for the Pueblo Viejo project in the Dominican Republic
Vice President, Engineering ▸ 30 years of experience developing and operating major mines world-wide
and Development ▸ Particular expertise in autoclave technology

15

2013 - AN EXCITING YEAR AHEAD
NOVAGOLD Well Positioned to Deliver on All Corporate Objectives

A simplified corporate structure
resulting in reduced ongoing
expenditures

Experienced team and
Focused on advancing
committed stakeholders
Donlin Gold up the
represent the right foundation
value chain
to execute on all fronts

Strong cash balance to take
Donlin Gold through expected
3-4 years of permitting

16

APPENDIX

17

MAJOR DISCOVERIES ARE INCREASINGLY RARE
Very Few and No Easy Quality Development Assets Left

Significant
decline in gold
discoveries
since 2006

Gold reserves
are being mined
out at a high rate

Source: Metals Economics Group – Strategies for Gold Reserves Replacement 2012

Note: Major gold discoveries based on a cut off of 2 M/oz of gold in total reserves, resources and past production (or at
least 1 M/oz in defined reserves)

18

THE CLIMATE OF DECLINING GRADE AND ESCALATING COSTS
Donlin Gold Has Among the Highest Grade for an Open-Pit Deposit

Grade, g/t Cost US$/oz
2.5 1,200

Donlin Gold Mining
1
2.24 g/t average Mined grade
M&I grade 2.0
36% 1,000

above reserve grade
“Reserve grade are
800
down 50% over 10 Reserve grade
1.5
years negatively
impacting 600
production cost
and capex which 1.0

have tripled in the 400
same time period”
0.5
Pierre Lassonde, 200

DGF 2012
0.0 0
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011

Total cash cost Depreciation Exploration & sustaining capex Other and administrative 2

Source: GFMS Mine Economics, LBMA, World Gold Council
1) 2002-2004 data set includes primary gold mines only, 2005 onwards, includes porphyry copper gold mines
2) Includes exceptional items

19

DONLIN GOLD: THE LARGEST DEVELOPMENT-STAGE GOLD DEPOSIT
Feasibility Study in Place and Permitting Underway

45

40 39.0

35

30
M&I Au Resources (Moz)

25.8
25

20 19.0
16.5
14.6 14.0
15

10

5

--
Donlin Gold Detour Lake Metates Livengood Rosia Montana Kibali

LOCATION: USA CANADA MEXICO USA ROMANIA D.R. CONGO

Source: Donlin Gold data as per Donlin Creek Gold Project Alaska, USA, NI 43-101 Technical Report on Second “Updated Feasibility Study”, effective November 18, 2011, as amended January 20,
2012 (the “Updated Feasibility Study”). Measured and Indicated resources are inclusive of Proven and Probable reserves. See “Cautionary Note Concerning Reserve & Resource Estimates” and
“Reserve & Resource Base” with footnotes in the appendix. RBC peer group data based on large, open pit, gold focused development projects.

20

DONLIN GOLD: AMONG HIGHEST-GRADE DEPOSITS IN THE WORLD
Large-Scale Open-Pit Gold Development

4.00

3.50 3.38

3.00

2.50
M&I Au Grade (g/t)

2.24

2.00

1.50
1.30
1.04
1.00

0.55 0.50
0.50

--
Kibali Donlin Gold Rosia Montana Detour Lake Livengood Metates

LOCATION: D.R. CONGO USA ROMANIA CANADA USA MEXICO

Source: Donlin Gold data as per the Updated Feasibility Study. Measured and Indicated resources are inclusive of Proven and Probable reserves. See “Cautionary Note Concerning Reserve & Resource
Estimates” and “Reserve & Resource Base” with footnotes in the appendix. RBC peer group data based on large, open pit, gold focused development projects.

21

DONLIN GOLD: SUBSTANTIAL EXPLORATION POTENTIAL
Multiple Drill Prospects and Targets Exist Along 8km Trend

▸ Future mine situated in 3km
segment of 8km mineralized
trend
▸ Over the last six years, the
mineral endowment has more
than doubled
▸ Located largely on private land,
designated for mining
▸ Gold-bearing drill holes along
the 8km trend
▸ Exploration upside:
• In-pit resource conversion
• In-pit/deep-pit exploration
• Near-pit targets (East ACMA,
3km = 39 Moz M&I (including 34 Moz P&P), 6 Moz Inferred1 Akivik Zone and Snow)
• Area resource potential
1) See “Cautionary Note Concerning Reserve & Resource Estimates” and “Reserve & Resource Base” with footnotes in the appendix.

22

DONLIN GOLD: ANTICIPATED TO BE TOP-TIER PRODUCER
By Far the Largest Evolving Gold Producer from Existing Projects
1.60
1
1.50

1.40

1.20
LOM Average Annual Au Production (Moz)

2
1.10
1.00

0.80 0.76

0.66
0.60
0.60 0.56
0.51

0.40

0.20

0.00
Donlin Gold Metates Detour Lake Kibali Livengood Rosia Montana

LOCATION: USA MEXICO CANADA D.R. CONGO USA ROMANIA

Source: Donlin Gold data: Updated Feasibility Study. Measured and Indicated resources are inclusive of Proven and Probable reserves. See “Cautionary Note Concerning Reserve & Resource
Estimates” and “Reserve & Resource Base” with footnotes in the appendix. RBC peer group data based on large, open pit, gold focused development projects.
1) Projected annual gold production during first five full years of mine life
2) Projected annual gold production during full life of mine

23

JURISDICTIONAL SAFETY BECOMING THE “EXISTENTIAL” INVESTMENT
CRITERION
“Large-Scale Quality Assets” Raising the Question “Where in the World Are You?”

• Recently highlighted regions/countries
with heightened geopolitical risk

▸ Accelerated industry focus on jurisdictional safety and resource nationalism in
many of the largest gold and copper-producing countries
▸ Countries such as Mongolia, Kyrgyzstan, Peru, Indonesia and Ghana have all
stated their intentions to seek higher mining taxes and royalties
▸ Civil and labor unrest in South Africa and Greece with countries looking to get
an increased stake in mining companies
▸ Very limited number of quality assets in low geo-political risk jurisdictions

24

GALORE CREEK
High-Grade Mineral Inventory in a Safe, Mining-Friendly Jurisdiction
Copper (M&I) Copper (Inf) Gold (M&I) Gold (Inf)
71.4 89.7 64.0
20 20
17.1

14.1

Millions of Au Oz.
Billions of Cu Lbs.

15 13.3 15
12.8
12.0

10 9.1 10
7.1
5.3
5 2.9 5

0 0
Pebble

KSM

El Morro

Prosperity

Mt. Milligan
Galore Creek
Project Name Pebble KSM Galore El Morro Prosperity Mt. Milligan
Creek1

Grade Cu (%) 0.41% 0.20% 0.48% 0.53% 0.24% 0.18%

Grade Au (g/t) 0.35 0.51 0.31 0.56 0.41 0.32

Grade Ag (g/t) N/A 2.94 5.18 N/A N/A N/A

• N. Dynasty
• Goldcorp
(50%) • NOVAGOLD
• Seabridge (70%) • Taseko • Thompson
Owner(s) • Anglo- (50%)
(100%) • New Gold (100%) Creek (100%)
American • Teck (50%)
(30%)
(50%)

Location USA Canada Canada Chile Canada Canada

1) Represents 100% of Galore Creek, of which NOVAGOLD owns 50%, and 100% of Copper Canyon, of which NOVAGOLD owns 70%. See slides 12 and 13 for additional information.
Source: Metals Economics Group, company websites, and NOVAGOLD. Peer projects were selected on the basis of their primary copper endowment and are ranked by the size of their
MI&I copper resources. Measured and Indicated resources include Proven and Probable Reserves. See “Cautionary Note Concerning Reserve and Resource Estimates” and “Reserve and
Resource Table” with footnotes.
25

GALORE CREEK
Flagship of the Next Generation of North American Copper-Gold Mines
▸ Potentially the largest copper producer in Canada:
▸ Forecast to produce 6.2B lbs Cu, 4.0M oz Au and 65.8M oz Ag over an 18-year
mine life; fourth largest copper producer in North America
▸ Potential to be lowest cost copper producer in Canada:
▸ Cash costs average $0.80/lb Cu at PFS Base Case metal price assumptions and
$0.42/lb Cu at PFS Upside Case metal prices1
▸ Project concept simplified – mining in the Galore Valley and processing in the
West More Valley
▸ Open pit
▸ 2.2:1 strip ratio
▸ Truck and shovel operation
▸ 14km tunnel for conveying crushed ore
▸ Designed to accommodate future expansions
▸ Standard flotation circuit – 95,000 tpd nominal design
▸ Single copper concentrate with significant gold value
1) Cash costs net of by-product credits. Base Case utilizes metal prices of US$2.65/lb copper, US$1,100/oz gold and US$18.50/oz silver and a foreign exchange rate of 1.11 CAD/USD.
Upside Case metal prices are closing prices on July 27, 2011 of US$4.44/lb Cu, US$1,613/oz Au and US$40.34/oz Ag respectively and foreign exchange rate of 0.949 CAD/USD.

26

NOVAGOLD RESERVE/RESOURCE TABLE
At April 30, 2012
Donlin Gold (NOVAGOLD 50%)
Tonnage Grade* Metal content NOVAGOLD share**
GOLD
Mt g/t Moz Moz
Reserves (100%)1
Proven 7.7 2.32 0.57 0.29
Probable 497.1 2.08 33.28 16.64
P&P 504.8 2.09 33.85 16.93
Resources (100%)3 inclusive of reserves
Measured 7.7 2.52 0.63 0.31
Indicated 533.6 2.24 38.38 19.19
M&I 541.3 2.24 39.01 19.50
Inferred 92.2 2.02 5.99 3.00

Galore Creek (NOVAGOLD 50%)
COPPER
Mt %Cu Mlbs Mlbs
Reserves (100%)2
Proven 69.0 0.61 900.0 450.0
Probable 459.1 0.58 5,900.0 2,950.0
P&P 528.0 0.59 6,800.0 3,400.0
Measured 108.4 0.48 1,147.0 573.5
Indicated 706.3 0.50 7,786.0 3,893.0
M&I 814.7 0.50 8,933.0 4,466.5
Inferred 346.6 0.42 3,230.0 1,615.0
Mt g/t Moz Moz
GOLD
Reserves (100%)2
Proven 69.0 0.52 1.15 0.58
Probable 459.1 0.29 4.30 2.15
P&P 528.0 0.32 5.45 2.73
Measured 108.4 0.48 1.70 0.85
Indicated 706.3 0.28 6.40 3.20
M&I 814.7 0.31 8.00 4.00
Inferred 346.6 0.24 2.70 1.35
Mt g/t Moz Moz
SILVER
Reserves (100%)2
Proven 69.0 4.94 11.0 5.5
Probable 459.1 6.18 91.2 45.6
P&P 528.0 6.02 102.2 51.1
Measured 108.4 4.10 14.30 7.15
Indicated 706.3 5.38 122.10 61.05
M&I 814.7 5.21 136.40 68.20
Inferred 346.6 4.28 47.73 23.87

27

RESERVE/RESOURCE TABLE (CON’T)

Copper Canyon (NOVAGOLD 70%)
Resources (100%)5,6
COPPER Mt %Cu Mlbs Mlbs
Inferred 53.7 0.50 592.0 414.4
GOLD Mt g/t Moz Moz
Inferred 53.7 0.73 1.26 0.88
SILVER Mt g/t Moz Moz
Inferred 53.7 10.60 18.36 12.85

t = metric tonne Approximate cut-off grades (see Resource Footnotes below):
M = million Donlin Gold Reserves1: 0.57 g/t gold
g/t = grams/tonne Resources3: 0.46 g/t gold
* Reserve grade is diluted; resource Galore Creek Reserves2: C$10.08 NSR
grade is in situ. Resources4: C$10.08 NSR
** NOVAGOLD share net after earn-ins Copper Canyon Resources5,6: 0.6% copper equivalent

28

RESERVE/RESOURCE TABLE (CON’T)
Notes:
a. These resource estimates have been prepared in accordance with NI43-101 and the CIM Definition Standard, unless otherwise noted.
b. See numbered footnotes below on resource information.
c. Rounding as required by reporting guidelines may result in apparent summation differences between tonnes, grade and contained metal content
d. Tonnage and grade measurements are in metric units. Contained gold and silver ounces are reported as troy ounces, contained copper pounds as imperial pounds

Resource Footnotes:
Mineral Reserves are contained within Measured and Indicated pit designs, and supported by a mine plan, featuring variable throughput rates, stockpiling and cut-off optimization. The pit designs and mine plan were optimized on diluted grades using the following economic and technical parameters: Metal price for
gold of US$975/oz; reference mining cost of US$1.67/t incremented US$0.0031/t/m with depth from the 220 m elevation (equates to an average mining cost of US$2.14/t), variable processing cost based on the formula 2.1874 x (S%) + 10.65 for each US$/t processed; general and administrative cost of US$2.27/t
processed; stockpile rehandle costs of US$0.19/t processed assuming that 45% of mill feed is rehandled; variable recoveries by rock type, ranging from 86.66% in shale to 94.17% in intrusive rocks in the Akivik domain; refining and freight charges of US$1.78/oz gold; royalty considerations of 4.5%; and variable pit
slope angles, ranging from 23º to 43º. Mineral Reserves are reported using an optimized net sales return value based on the following equation: Net Sales Return = Au grade * Recovery * (US$975/oz – (1.78 + (US$975/oz – 1.78) * 0.045)) - (10.65 + 2.1874 * (S%) + 2.27 + 0.19) and reported in US$/tonne. Assuming
an average recovery of 89.54% and an average S% grade of 1.07%, the marginal gold cutoff grade would be approximately 0.57 g/t, or the gold grade that would equate to a 0.001 NSR cutoff at these same values. The life of mine strip ratio is 5.48. The assumed life-of-mine throughput rate is 53.5 kt/d.

Mineral Reserves are contained within Measured and Indicated pit designs using metal prices for copper, gold and silver of US$2.50/lb, US$1,050/oz, and US$16.85/oz, respectively. Appropriate mining costs, processing costs, metal recoveries and inter ramp pit slope angles varing from 42º to 55º were used to
generate the pit phase designs. Mineral Reserves have been calculated using a 'cashflow grade' ($NSR/SAG mill hr) cut-off which was varied from year to year to optimize NPV. The net smelter return (NSR) was calculated as follows: NSR = Recoverable Revenue – TCRC (on a per tonne basis), where: NSR = Net
Smelter Return; TCRC = Transportation and Refining Costs; Recoverable Revenue = Revenue in Canadian dollars for recoverable copper, recoverable gold, and recoverable silver using metal prices of US$2.50/lb, US$1,050/oz, and US$16.85/oz for copper, gold, and silver, respectively, at an exchange rate of
CDN$1.1 to US$1.0; Cu Recovery = Recovery for copper based on mineral zone and total copper grade; for Mineral Reserves this NSR calculation includes mining dilution. SAG throughputs were modeled by correlation with alteration types. Cash flow grades were calculated as the product of NSR value in $/t and
throughput in t/hr. The life of mine strip ratio is 2.16.

Mineral Resources are contained within a conceptual Measured, Indicated and Inferred optimized pit shell using the following assumptions: gold price of US$1,200/oz; variable process cost based on 2.1874 * (sulphur grade) + 10.6485; administration cost of US$2.29/t; refining, freight & marketing (selling costs) of
US$1.85/oz recovered; stockpile rehandle costs of US$0.20/t processed assuming that 45% of mill feed is rehandled; variable royalty rate, based on royalty of 4.5% * (Au price – selling cost). Mineral Resources have been estimated using a constant Net Sales Return cut-off of US$0.001/t milled. The Net Sales Return
was calculated using the formula: Net Sales Return = Au grade * Recovery * (US$1200/oz – (1.85 + ((US$1200/oz – 1.85) * 0.045)) - (10.65 + 2.1874 * (S%) + 2.29 + 0.20)) and reported in US$/tonne. Mineral Resources are inclusive of Mineral Reserves. Mineral Resources that are not Mineral Reserves do not have
demonstrated economic viability. Inferred Resources are in addition to Measured and Indicated Resources. Inferred Resources have a great amount of uncertainty as to their existence and whether they can be mined legally or economically. It cannot be assumed that all or any part of the Inferred Resources will ever
be upgraded to a higher category. See "Cautionary Note Concerning Reserve & Resource Estimates".

Mineral resources are contained within a conceptual Measured, Indicated and Inferred optimized pit shell using the same economic and technical parameters as used for Mineral Reserves. Tonnages are assigned based on proportion of the block below topography. The overburden/bedrock boundary has been
assigned on a whole block basis. Mineral resources have been estimated using a constant NSR cut-off of C$10.08/t milled. The Net Smelter Return (NSR) was calculated as follows: NSR = Recoverable Revenue – TCRC (on a per tonne basis), where: NSR = Diluted Net Smelter Return; TCRC = Transportation and
Refining Costs; Recoverable Revenue = Revenue in Canadian dollars for recoverable copper, recoverable gold, and recoverable silver using silver using the economic and technical parameters mentioned above. The mineral resource includes material within the conceptual M,I&I pit that is not scheduled for processing
in the mine plan but is above cutoff. Mineral Resources are inclusive of Mineral Reserves. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. Inferred Resources are in addition to Measured and Indicated Resources. Inferred Resources have a great amount of uncertainty
as to their existence and whether they can be mined legally or economically. It cannot be assumed that all or any part of the Inferred Resources will ever be upgraded to a higher category. See "Cautionary Note Concerning Reserve & Resource Estimates".

The copper-equivalent grade was calculated as follows: CuEq = Recoverable Revenue ÷ 2204.62 * 100 ÷ 1.55. Where: CuEq = Copper equivalent grade; Recoverable Revenue = Revenue in US dollars for recoverable copper, recoverable gold and recoverable silver using metal prices of US$1.55/lb, US$650/oz, and
US$11/oz for copper, gold, and silver, respectively; for the purposes of the equivalency formula, Cu Recovery is assumed to be 100%. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. Inferred Resources are in addition to Measured and Indicated Resources. Inferred
Resources have a great amount of uncertainty as to their existence and whether they can be mined legally or economically. It cannot be assumed that all or any part of the Inferred Resources will ever be upgraded to a higher category. See "Cautionary Note Concerning Reserve & Resource Estimates".

NOVAGOLD Canada Inc. has agreed to transfer its 60% joint venture interest in the Copper Canyon property to the Galore Creek Partnership, which is equally owned by NOVAGOLD Canada Inc. and a subsidiary of Teck Resources Limited. The remaining 40% joint venture interest in the Copper Canyon property is
owned by another wholly owned subsidiary of NOVAGOLD.

Cautionary Note Concerning Reserve & Resource Estimates
This summary table uses the term “resources”, “measured resources”, “indicated resources” and “inferred resources”. United States investors are advised that, while such terms are recognized and required by Canadian securities laws, the United States Securities and Exchange Commission (the “SEC”) does not
recognize them. Under United States standards, mineralization may not be classified as a “reserve” unless the determination has been made that the mineralization could be economically and legally produced or extracted at the time the reserve determination is made. Mineral resources that are not mineral reserves
do not have demonstrated economic viability. United States investors are cautioned not to assume that all or any part of measured or indicated resources will ever be converted into reserves. Further, inferred resources have a great amount of uncertainty as to their existence and as to whether they can be mined
legally or economically. It cannot be assumed that all or any part of the inferred resources will ever be upgraded to a higher category. Therefore, United States investors are also cautioned not to assume that all or any part of the inferred resources exist, or that they can be mined legally or economically. Disclosure of
“contained ounces” is permitted disclosure under Canadian regulations, however, the SEC normally only permits issuers to report “resources” as in place tonnage and grade without reference to unit measures. Accordingly, information concerning descriptions of mineralization and resources contained in this release
may not be comparable to information made public by United States companies subject to the reporting and disclosure requirements of the SEC.

NI 43-101 is a rule developed by the Canadian Securities Administrators, which established standards for all public disclosure an issuer makes of scientific and technical information concerning mineral projects. Unless otherwise indicated, all resource estimates contained in this circular have been prepared in
accordance with NI 43-101 and the CIM Definition Standards.

Technical Reports and Qualified Persons

The documents referenced below provide supporting technical information for each of NOVAGOLD's projects.

Project Qualified Person(s) Most Recent Disclosure & Filing Date
Donlin Gold Tony Lipiec, P. Eng., AMEC Donlin Creek Gold Project
Gordon Seibel R.M. SME, AMEC Alaska, USA

Kirk Hanson P.E., AMEC NI 43-101 Technical Report on Second Updated Feasibility Study amended filing on January 23, 2012

Galore Creek Robert Gill, P.Eng., AMEC Galore Creek Copper–Gold Project,

Jay Melnyk, P.Eng., AMEC British Columbia, NI 43-101 Technical Report on Pre-Feasibility Study,
Greg Kulla, P.Geo., AMEC filed on September 12, 2011
Greg Wortman, P.Eng., AMEC
Dana Rogers, P.Eng., Lemley International

Heather White, B.Sc., P.Eng., who is a consultant to NOVAGOLD and a “qualified person” under NI 43-101, has approved the scientific and technical information included in this section related to: (i) Donlin Gold since the issuance of the technical report filed on January 23, 2012, and (ii) Galore Creek since the
issuance of the technical report filed on September 12, 2011.

29

CONTACT US

NOVAGOLD RESOURCES INC.
200 Granville St., Suite 2300
Vancouver, BC
Canada V6C 1S4

T 604 669 6227 TF 1 866 669 6227 F 604 669 6272
www.novagold.com
info@novagold.com

Mélanie Hennessey Erin O’Toole
VP, Corporate Communications Analyst, Investor Relations
melanie.hennessey@novagold.com erin.otoole@novagold.com

30

2013 First Quarter and Project Update

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