New York, Jan 30, 2026, 16:09 EST — Trading after hours.
- NovaGold shares dropped roughly 20% on Friday, wiping out much of the gains made in January.
- The U.S. Army Corps of Engineers has launched a fresh environmental review related to the Donlin Gold mine permits.
- Investors are eyeing a $300 million share offering set to wrap up on Feb. 5, with a comment deadline looming on Feb. 24.
NovaGold Resources shares plunged Friday, finishing around 20.5% lower at $8.73 amid heavy volume. The stock started the day at $10.26 before dropping to a low of $8.72.
This drop hits hard because NovaGold doesn’t have any producing mines. The stock is basically a wager on Donlin Gold in Alaska — and on how fast the project can navigate permitting, engineering, and financing challenges. 1
The U.S. Army Corps of Engineers announced plans to prepare a supplemental environmental impact statement (SEIS) for Donlin Gold. This extra review aims to evaluate a more extensive tailings spill scenario under federal environmental regulations. The outcome will determine if existing federal permits are changed, upheld, or withdrawn. 2
Simply put, an SEIS adds another round of scrutiny to a project that’s already undergone a full environmental impact statement. It can impose stricter conditions, extend deadlines, or, at worst, reopen fundamental approvals.
NovaGold, holding a 60% stake in Donlin Gold, is advancing its bankable feasibility study — the crucial engineering and cost analysis lenders usually demand before greenlighting major project financing. The company also highlighted its 2026 budget plans, which cover Donlin-related expenditures along with corporate costs. 1
Next week, all eyes turn to financing. NovaGold announced plans to offload 30 million shares through a bought-deal private placement priced at $10 each, aiming to raise roughly $300 million. The deal is expected to close around Feb. 5, pending regulatory green lights. 3
A bought deal happens when underwriters commit to buying shares outright, then flip them to investors. This approach can speed up raising capital but also sparks dilution concerns, especially if the stock is volatile.
Insider selling was also reported in a separate filing. Director Elaine J. Dorward-King exercised options on 35,200 shares at $9.96 each and sold 33,322 shares between $10.41 and $10.53 on Jan. 27. She now holds 35,265 shares outright. 4
At least one firm remained upbeat earlier this week. B. Riley bumped its price target on NovaGold from $11 to $13, maintaining a “Buy” rating, according to a note shared by TheFly. 5
There is, however, a definite risk angle. The Corps’ process opens a fresh opportunity for opponents to push back, while the agency’s final options—modify, reaffirm, or rescind—are wording that can keep risk premiums elevated, particularly for a single-asset developer.
Traders are zeroing in on two key dates: the expected close of the bought-deal around Feb. 5 and the Feb. 24 cutoff for public feedback on the SEIS process. 2
