NovaGold Announces Second Quarter 2012 Results and Provides Update on Donlin Gold

- Donlin Gold Board Approved Updated Feasibility Study; Permitting to Commence - Spin-out of NovaCopper Completed for NovaGold to Focus on its Flagship Donlin Gold Project NovaGold Resources Inc.

today announced the results for the second quarter ended May 31, 2012 along with an update on the advancement of its flagship 50%-owned Donlin Gold project in Alaska. On July 11, 2012, the Donlin Gold LLC Board of Directors ("Donlin Gold Board") approved the Updated Feasibility Study of the Donlin Gold Project ("Donlin Gold" or the "Project") located in Alaska. Donlin Gold is owned equally by a wholly-owned subsidiary of NovaGold and a wholly-owned subsidiary of Barrick Gold Corporation ("Barrick"). Donlin Gold is one of the largest known and highest grade undeveloped open-pit gold deposits in the world. The Donlin Gold Board has also given authorization to file permit applications, which is expected to be underway shortly. The Company also reported on the status of its 50%-owned Galore Creek Project in British Columbia and the divestiture of its Rock Creek property in Alaska. Details of the Company's financial results are described in the consolidated financial statements and Management's Discussion and Analysis ("MDA") which, together with further details on each of the Company's projects, including resource and reserve estimates, will be available on the Company's website at www.novagold.net, on SEDAR at www.sedar.com, and on EDGAR at www.sec.gov. All amounts are in Canadian dollars unless otherwise stated and all resource and reserve estimates are shown on a 100% project basis despite NovaGold's interests in Donlin Gold and Galore Creek. Other Significant Highlights: -- Completed the spin-out of the newly-formed public entity NovaCopper Inc., which owns the Upper Kobuk Mineral Project located in the Ambler district in Alaska, one of the richest and most-prospective copper- dominant polymetallic districts in the world -- Implemented divestiture of the Rock Creek project to further simplify NovaGold's asset structure and focus on Donlin Gold -- Initiated the process of divestiture of NovaGold's share of the Galore Creek project where the exploration program is on track and on budget, with an updated resource statement expected later in 2012 -- Maintained strong cash balance with approximately $300 million, sufficient to take Donlin Gold through permitting and satisfy all pending financial obligations