NovaGold Resources Inc. - Exhibit 99.1 - Filed by newsfilecorp.com
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NEWS RELEASE |
David Ottewell Appointed Vice President and Chief Financial
Officer of NOVAGOLD
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An Accomplished Gold-Industry Financial Officer with a
Proven Track Record of Success |
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NOVAGOLD’s Executive Team is Strengthened as Donlin
Gold Advances through Permitting, a Construction Decision and
Beyond |
September 19, 2012 — Vancouver, British Columbia —
NOVAGOLD RESOURCES INC. (TSX, NYSE-MKT: NG) (“NOVAGOLD” or “the
Company”) is pleased to announce the appointment of David Ottewell to the
position of Vice President and Chief Financial Officer, effective November 13,
2012. In this senior role, Mr. Ottewell will be responsible for all aspects of
NOVAGOLD’s financial management as the Company advances permitting and financial
optimization of its 50%-owned Donlin Gold Project (“Donlin Gold” or the
“Project”) in Alaska. The Project is owned equally by wholly-owned subsidiaries
of NOVAGOLD and Barrick Gold Corporation (“Barrick Gold”).
Mr. Ottewell is a highly accomplished financial executive with
over 25 years of mining industry experience. He currently serves as Vice
President and Controller for Newmont Mining Corporation (“Newmont”), one of the
world's largest gold producers. During his tenure with Newmont, Mr. Ottewell led
the global accounting functions, ensuring consistent delivery and quality
control in external reporting to shareholders and regulators in the U.S. and
Canada. Notably, having held the position of a mine site Controller during his
career, Mr. Ottewell not only has a wide frame of reference in corporate
financial matters, but also has tremendous experience and understanding of the
mining industry from the ground up.
Prior to joining Newmont in 2005, Mr. Ottewell had a 16-year
career with Echo Bay Mines Ltd., a prominent precious metals mining company with
multiple operations in the Americas. He started his accounting career at Ernst
and Whinney, a major accounting firm. Mr. Ottewell holds a Bachelor of Commerce
degree from the University of Alberta and is a member of the Canadian Institute
of Chartered Accountants.
With the appointment of Mr. Ottewell, Elaine Sanders,
NOVAGOLD’s current Vice President and Chief Financial Officer, will be
transitioning full-time as Chief Financial Officer for NovaCopper Inc.
(“NovaCopper”), a base-metals exploration company focused on exploring and
developing Alaska’s prolific Ambler mining district, one of the richest and
most-prospective known copper districts in the world. NovaCopper is a separate
and independent company, formed as a result of NOVAGOLD’S re-organization which
was completed in May 2012. At NOVAGOLD, Ms. Sanders held progressively
responsible positions since joining as Controller in March 2003. She was
promoted to Vice President Finance in 2006, appointed Corporate Secretary in
2008, and has been the Vice President and Chief Financial Officer since February
2011.
“David Ottewell has extensive and diverse experience in all
facets of the financial management of a precious metals company, from mine
operations to executive corporate financial management of one of the world’s
premier gold producers,” said Gregory Lang, NOVAGOLD’s President and Chief
Executive Officer. “David exemplifies the high level of professionalism and
financial integrity we have sought to advance the development of Donlin Gold, a
uniquely attractive North American asset which, when in production, is projected
to emerge as the world’s largest single gold producing mine. With David’s
appointment, NOVAGOLD will not only have brought on an excellent professional
with a track record of success but will have completed the assembly of a
seasoned senior management team of industry leaders with proven skills to move
Donlin Gold up the value chain through permitting, a construction decision and
beyond.”
“During her nine-year tenure, Elaine has made significant
contributions to NOVAGOLD,” added Mr. Lang. “We thank her for her successful
financial leadership as the Company transitioned from an explorer to a developer
of major mining projects in the U.S. and Canada. We all look forward to Elaine’s
continued contribution to NovaCopper as it carries out its highly successful and
exciting exploration program at the Upper Kobuk Mineral Projects in Alaska.”
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About NOVAGOLD
NOVAGOLD is a well-financed precious metals company engaged in
the exploration and development of mineral properties in North America. The
Company’s flagship asset is its 50%-owned Donlin Gold project in Alaska, one of
the safest jurisdictions in the world. With approximately 39 million ounces of
gold in the Measured and Indicated resource categories (541 million tonnes at an
average grade of approximately 2.2 grams per tonne), Donlin Gold is regarded to
be one of the largest, and most prospective known gold deposits in the world.
According to the Updated Feasibility Study, once in production, Donlin Gold
should average approximately 1.5 million ounces of gold per year for the first
five years, followed by decades of more than one million ounces per year. The
Donlin Gold project has substantial exploration potential beyond the designed
footprint which currently covers only three kilometers of an approximately
eight-kilometer strike length of the property. Permitting is underway for the
Donlin Gold project, a clearly defined process expected to take 3-4 years.
NOVAGOLD also owns 50% of the Galore Creek copper-gold-silver project located in
northern British Columbia. According to the 2011 Pre-Feasibility Study, Galore
Creek is expected to be the largest copper mine in Canada, a tier-one
jurisdiction, when it is put into production. NOVAGOLD is currently evaluating
opportunities to sell all or a portion of its interest in Galore Creek and will
apply the proceeds toward the development of Donlin Gold. NOVAGOLD has a strong
track record of forging collaborative partnerships, both with local communities
and with major mining companies.
Scientific and Technical Information
Scientific and technical information contained herein with
respect to Donlin Gold is derived from the “Donlin Creek Gold Project Alaska,
USA NI 43-101 Technical Report on Second Updated Feasibility Study” compiled by
AMEC. Kirk Hanson, P.E., Technical Director, Open Pit Mining, North America,
(AMEC, Reno), Gordon Seibel, R.M. SME, Principal Geologist, (AMEC, Reno), Tony
Lipiec, P.Eng. Manager Process Engineering (AMEC, Vancouver) are the Qualified
Persons responsible for the preparation of the independent technical report,
each of whom are independent “qualified persons” as defined by NI 43-101.
NOVAGOLD Contact:
Mélanie Hennessey
Vice President, Corporate
Communications
Erin O’Toole
Analyst, Investor Relations
604-669-6227 or 1-866-669-6227
Cautionary Note Regarding Forward-Looking Statements
This press release includes certain “forward-looking
information” and “forward-looking statements” (collectively “forward-looking
statements”) within the meaning of applicable securities legislation, including
the United States Private Securities Litigation Reform Act of 1995. All statements,
other than statements of historical fact, included herein including, without
limitation, the timing of permitting and potential development of the Project,
statements relating to NOVAGOLD’s future operating and financial performance,
outlook, and the potential sale of all or part of NOVAGOLD’s interest in
Galore Creek are forward-looking statements. Forward-looking statements are
frequently, but not always, identified by words such as “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
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 prices for precious and base metals; intended use of proceeds; 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 NOVAGOLD’s expectations
include the uncertainties involving the need for additional financing to explore
and develop properties and
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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
with Barrick Gold Corporation and Teck Resources Limited for the continued exploration
and development of the Donlin Gold and Galore Creek properties; 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, which could include significant increases in estimated capital
and operating costs; fluctuations in metal prices and currency exchange rates;
and other risk and uncertainties disclosed in NOVAGOLD’s Annual Information
Form for the year-ended November 30, 2011, filed with the Canadian securities
regulatory authorities, and NOVAGOLD’s annual report on Form 40-F filed
with the United States Securities and Exchange Commission and in other NOVAGOLD
reports and documents filed with applicable securities regulatory authorities
from time to time. NOVAGOLD’s forward-looking statements reflect the beliefs,
opinions and projections on the date the statements are made. NOVAGOLD assumes
no obligation to update the forward-looking statements of beliefs, opinions,
projections, or other factors, should they change, except as required by law.
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