2011 NovaGold update

NovaGold Update (above picture is property of NovaGold)  http://www.novagold.com/index.asp

March 17, 2011

NovaGold (NG) -- Novagold rejected a buyout from Barrick Gold (ABX) for $16 a share several years ago and it has been all downhill for Novagold since then. The company's two flagship properties are still many years away from operations, and progress on them is proceeding at a snail's pace, while the company's once-promising Rock Creek mine has been written off the balance sheet entirely after environmental problems and a fatal accident ruined that mine's utility.

As best as I can tell, shares have rebounded from less than 50 cents to more than $12 largely due to a slick press relations campaign combined with the investment of several noted investors such as George Soros, who bought in at prices of less than half what Novagold trades for today. The company still is woefully underfinanced and cannot build either its Donlin Creek or Galore Creek mines without selling itself out entirely or diluting itself beyond recognition. Read my articles Novagold: The Precious Metals Sector's Most Overvalued Stock (Part 1) (Part 2) for the complete story.

http://seekingalpha.com/article/257998-5-junior-mining-stocks-to-sell-be

http://www.novagold.com/index.asp