"NovaGold’s stock rallies 36% on its Paulson-backed purchase of a stake in Alaska’s Donlin gold-mine projectUpping his exposure to one of the hottest investments this year, billionaire investor John Paulson is teaming up with Canada’s NovaGold Resources Inc. to purchase a stake in an Alaskan gold-mining project.
NovaGold NG +39.21% CA:NG announced Tuesday that it has entered into a deal with Paulson Advisers LLC, which is a hedge fund under the investment company Paulson & Co., to buy Barrick Gold Corp.’sGOLD -2.35% ABX -2.47% 50% stake in Donlin Gold LLC, which runs an Alaskan gold-mining project of the same name, for $1 billion in cash.NovaGold’s stock rallied 36% on Tuesday, while Barrick Gold fell 2%.NovaGold will take a 20% stake in Donlin, and Paulson an 80% stake. NovaGold also has an option to buy outstanding debt owed to Barrick linked to the Donlin project for $90 million if that is done before closing of the deal, which is expected in the second or early third quarter of 2025. The debt will remain outstanding if that option isn’t exercised.“Donlin Gold is one of the most attractive development gold projects in the world. With 39 million ounces of gold at double the industry-average grade, and an optimal location in the prime jurisdiction of Alaska — already the second-largest gold-producing state in the United States — we believe that the project could create value for decades to come,” Paulson said in a statement.The billionaire has long been a gold fan and has exposure to several gold-mining companies through his family office, Paulson & Co. Those include stakes in NovaGold, as well as Seabridge Gold Inc.Paulson’s stake in the Donlin project comes as the price of gold has soared nearly 30% on investor concerns over the economy linked to President Donald Trump’s global tariff plans. More recently, concerns over the independence of the Federal Reserve have driven investors into gold and out of the dollarhe deal comes just two days after Oppenheimer technical analyst Ari H. Wald flagged four stocks from the VanEck Gold Miners ETF GDX -2.77% as offering better value than investing in gold itself.“We’ve maintained a bullish outlook on the price of gold since the start of 2024 and have preferred the commodity over the equities that mine for the commodity,” Wald said in a research note. ”Our relative preference has shifted toward the gold miners (GDX) based on a decade-long base positioned to inflect higher vs. spot gold.” (MarketWatch)"
"President Trump’s executive orders, impacting Alaska! This is unbelievably good news for the people of Alaska that believe in opportunity. President Trump delivered on his first day in office! This is why elections matter. What do they mean? It means Alaska is back in business! To the people of King Cove, it means they finally get the ability to get a road! For the State of Alaska it means ANWR and NPRA are back in business.. It means a timber industry in the Tongass National Forest can once again take place. It means Alaska can begin the process finally getting its remained acreage of land from the federal government! It could mean thousands and thousands of jobs, an additional opportunity for the great State of Alaska. On behalf of the Great State of Alaska… THANK YOU PRESIDENT PRESIDENT TRUMP!"
Governor Mike Dunleavy
UNLEASHING ALASKA’S EXTRAORDINARY RESOURCE POTENTIAL
"By the authority vested in me as President by the Constitution and the laws of the United States of America, it is hereby ordered:Section 1. Background. The State of Alaska holds an abundant and largely untapped supply of natural resources including, among others, energy, mineral, timber, and seafood. Unlocking this bounty of natural wealth will raise the prosperity of our citizens while helping to enhance our Nation’s economic and national security for generations to come. By developing these resources to the fullest extent possible, we can help deliver price relief for Americans, create high-quality jobs for our citizens, ameliorate our trade imbalances, augment the Nation’s exercise of global energy dominance, and guard against foreign powers weaponizing energy supplies in theaters of geopolitical conflict.Unleashing this opportunity, however, requires an immediate end to the assault on Alaska’s sovereignty and its ability to responsibly develop these resources for the benefit of the Nation. It is, therefore, imperative to immediately reverse the punitive restrictions implemented by the previous administration that specifically target resource development on both State and Federal lands in Alaska..."
"My belief is TNR's Shotgun Gold Project can potentially grow and become a foremost, immediate satellite site Gold deposit to Donlin Gold's Mining Camp infrastructure. This vision is based on our exploration work and academic studies like the ones from Dr Tim Baker in which Shotgun Gold Project is not only listed alongside Donlin Creek as one of the "Major Porphyry Gold Deposits" but is also projected to contain the similar porphyry intrusion-related type system as Donlin."
Kirill Klip, Executive Chairman
TNR Gold Corp.
Angela Harmantes from Proactive wrote about the new report on TNR Gold from Fundamental Research Corp:
"TNR Gold’s portfolio spans various mining assets, with a key focus on its Shotgun gold project in Alaska and royalties in two advanced-stage projects in Argentina: the Mariana lithium project, owned by Ganfeng Lithium, and the Los Azules copper-gold project, held by McEwen Copper."
"TNR Gold is on the brink of generating significant royalty revenue from its stake in Ganfeng Lithium's Mariana lithium project in Argentina as it heads toward commercial production, Fundamental Research analysts believe.The analysts have raised their share price target for TNR from $0.24 to $0.28 per share, highlighting the imminent cash flow potential from this strategic investment."
(Angela Harmantes)
Alastair Ford: TNR Gold’s Recent Rejection of a Takeover Bid From Lithium Royalty Has Shone a Spotlight on the Value of Its Royalty and Exploration Portfolio
TNR Gold – AmeriGold – Shotgun Gold
The Company’s strategy with the Shotgun Gold Project is to attract a partnership with one of the major gold mining companies. TNR is actively introducing the project to interested parties. We may be at the beginning of a great discovery. There is a clear path on how to move this project forward using the geological and geophysical research currently available to target drilling to expand the resource and form the basis of a preliminary economic analysis. The next step is to acquire a partner who shares our vision and recognises the growth potential and value to be added to the Shotgun project over time.
Our strategy presented to potential strategic partners involves the creation of a JV with one of the major gold mining companies, where our partner will be investing very substantial capital in the development of the Shotgun Gold Project while earning a stake in the project.
TNR Gold shareholders will benefit from the strategic partner’s capital being invested “in the ground” and industry expertise, including operations in Alaska.
The Management is investigating the best value creation strategies for the Shotgun Gold Project and has put in place the corporate structure of AmeriGold – the stand-alone company that could potentially inherit the Shotgun Gold Project JV operations after the contemplated potential spinout from TNR Gold.
This article is for information only and provides publicly available information and my personal Vision and valuation matrix of TNR Gold. I am the largest individual shareholder of our Company. Nothing in this blog post constitutes investment advice, offer or solicitation of the sale of any securities. Please carefully read all our Legal Disclaimers and conduct your own due diligence as always.
Thank you for your support of TNR Gold!
Tesla Nicola rEVolution and Gold.
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