NovaGold Resources’ Donlin Gold LLC Signs a Non-Binding Natural Gas LOI with Glenfarne Alaska LNG

NovaGold Resources Inc. (NYSE:NG) is one of the 10 Best Precious Metal Stocks to Buy After the U.S. Venezuela Mission.

All five analysts covering NovaGold Resources Inc. (NYSE:NG) have rated it a Buy, with a median price target of $12.50, implying an upside of approximately 24% as of January 9. Over the past six months, NG shares have soared by over 127%.

On January 8, NovaGold Resources Inc. (NYSE:NG) reported that Donlin Gold LLC has signed a non-binding Letter of Intent (LOI) with Glenfarne Alaska LNG for a natural gas and power supply arrangement for the Donlin Gold mine project in Southwest Alaska. NovaGold holds a 60% stake in Donlin Gold LLC, while Paulson Advisers holds a 40% stake.

According to the LOI, Glenfarne Alaska will supply up to 50 million cubic feet of natural gas per day, supporting the development and construction of the Donlin Gold pipeline. The pipeline stretches from Southcentral Alaska to the mine site and will power the plant to supply electricity to the mine. Greg Lang, NOVAGOLD’s President and CEO, said:

”Powering Donlin Gold with natural gas from Alaska LNG could offer major advantages for the proposed mine and the Southwestern Alaska region by harnessing the strategic potential of such an important gold endowment for the industry and the United States. Aligning Alaska LNG and Donlin Gold’s pipeline schedules could reduce fuel costs, optimize transportation and logistics, streamline material procurement, and leverage shared expertise to lower overall project expenses.”

The companies have obtained primary state and federal permits for the pipeline route, with Supplemental environmental review underway. Moreover, Donlin Gold is working on its Bankable Feasibility Study, with proposals under consideration from notable engineering firms, and the selection of the contractor is expected in the first half of 2026.

NovaGold Resources Inc. (NYSE:NG) is a prominent gold miner that explores and develops gold mineral properties in the U.S. The company has a 60% stake in the Donlin Gold project with over 493 mining claims.

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Disclosure: None. This article is originally published at Insider Monkey.