The all-share transaction establishes NovaGold Corporation, a unified parent company where current shareholders retain 65% ownership, with Paulson’s firm holding the remaining 35%. Located in the Kuskokwim Gold Belt of southwestern Alaska, the Donlin project is projected to yield 1.3 million ounces of gold annually during its first decade. Over a 27-year mine life, output is expected to stabilize at 1.1 million ounces. Company leadership anticipates that consolidating ownership will simplify decision-making and provide more efficient access to capital markets for the development phase.

While Paulson’s firm maintains a 40% economic interest, its voting power will be capped at 19.99%. The new entity will be co-chaired by Thomas Kaplan and John Paulson. NovaGold expects the deal to be immediately accretive to net asset value, gold reserves, and resources per share. The restructuring is scheduled to close in the fourth quarter.