UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

FORM 10-Q

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended ~~February~~May 2831, 2026 OR

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Transition Period from to

Commission File Number: 001-31913

NOVAGOLD RESOURCES INC.

(Exact Name of Registrant as Specified in Its Charter)

British Columbia	N/A
(State or Other Jurisdiction of Incorporation or Organization)	(I.R.S. Employer Identification No.)
201 South Main Street, Suite 400 Salt Lake City, Utah, USA	84111
(Address of Principal Executive Offices)	(Zip Code)

British Columbia

N/A

(State or Other Jurisdiction of

Incorporation or Organization)

(I.R.S. Employer

Identification No.)

(801) 639-0511 (Registrant’s Telephone Number, Including Area Code)

201 South Main Street, Suite 400

Salt Lake City, Utah, USA

84111

(Address of Principal Executive Offices)

(Zip Code)

(801) 639-0511

(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:

Title of Each Class

Trading Symbol

Name of each exchange on which registered

Common Shares, no par value

NYSE American

Toronto Stock Exchange

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer ☒

Accelerated filer ☐

Non-accelerated filer ☐

Smaller reporting company ☐

Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of ~~March~~June 2719, 2026, the Company had 438,780,614 common shares, no par value, outstanding.

NOVAGOLD RESOURCES INC.

TABLE OF CONTENTS

			Page
PART I - FINANCIAL INFORMATION			1
	Item 1.	Financial Statements	1
	Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	14
	Item 3.	Quantitative and Qualitative Disclosures about Market Risk	21
	Item 4.	Controls and Procedures	21
PART II - OTHER INFORMATION			22
	Item 1.	Legal Proceedings	22
	Item 1A.	Risk Factors	22
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	22
	Item 3.	Defaults Upon Senior Securities	22
	Item 4.	Mine Safety Disclosures	22
	Item 5.	Other Information.	22
	Item 6.	Exhibits	22

Page

PART I - FINANCIAL INFORMATION		1

Item 1.	Financial Statements	1
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	15
Item 3.	Quantitative and Qualitative Disclosures about Market Risk	22
Item 4.	Controls and Procedures	22

PART II - OTHER INFORMATION		23

Item 1.	Legal Proceedings	23
Item 1A.	Risk Factors	23
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	23
Item 3.	Defaults Upon Senior Securities	23
Item 4.	Mine Safety Disclosures	23
Item 5.	Other Information.	23
Item 6.	Exhibits	23

Cautionary Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q contains forward-looking statements or information within the meaning of Canadian securities laws and the United States Private Securities Litigation Reform Act of 1995 concerning anticipated results and developments in our operations in future periods, planned exploration activities, the adequacy of our financial resources and other events or conditions that may occur in the future. These forward-looking statements may include statements regarding perceived merit of properties,; exploration results and budgets,; mineral reserves and resource estimates,; work programs,; anticipated timing of updated reports and/or studies including the Donlin Gold (as defined below) bankable feasibility study, and draft supplemental environmental impact statement; capital expenditures, operating costs, cash flow estimates, production estimates and similar statements relating to the economic viability of a project,; anticipated timing and impact of certain judicial and/or administrative decisions,; continued support of the state and federal permitting process,; future capital raising activities and their related dilutive effects,; the anticipated use of net proceeds from previous offerings,; sufficiency of working capital,; repayment of the Barrick Mining Corporation promissory note; timelines, and strategic plans, including our plans and expectations relating to the development, exploration, construction and operation of the Donlin Gold project,; permitting and the timing thereof, including the anticipated timing of the dam safety design packages and the issuance of the Dam Safety Certificates; infrastructure development, including but not limited to potential natural gas pipeline development,; the anticipated impact of the adoption of ASU 2025-11 on the Company’s consolidated financial statements,; the Company’s market price,; market prices for precious metals,; or other statements that are not statements of fact. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Statements concerning mineral resource estimates may also be deemed to constitute “forward-looking statements” to the extent that they involve estimates of the mineralization that will be encountered if the property is developed.

Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, identified by words or phrases such as “expects”, “is expected”, “anticipates”, “believes”, “plans”, “projects”, “estimates”, “assumes”, “intends”, “strategy”, “goals”, “objectives”, “potential”, “possible” or variations thereof or stating that certain actions, events, conditions or results “may”, “could”, “would”, “should”, “might” or “will” be taken, occur or be achieved, or the negative of any of these terms and similar expressions) are not statements of historical fact and may be forward-looking statements.

Forward-looking statements are based on a number of material assumptions, including those listed below, which could prove to be significantly incorrect:

●

our ability to achieve production at the Donlin Gold project;

● dependence on the cooperation of our co-owner in the exploration and development of the Donlin Gold project;

●

expectations regarding future gold prices and demand;

●

estimated capital costs, operating costs, production and economic returns;

●

estimated metal pricing, metallurgy, mineability, marketability and operating and capital costs, together with other assumptions underlying our mineral resource and mineral reserve estimates;

●

our expected ability to develop adequate infrastructure and that the cost of doing so will be reasonable;

●

assumptions that all necessary permits and governmental approvals will be obtained and retained, and the timing of such approvals;

●

assumptions made in the interpretation of drill results, the geology, grade and continuity of our mineral deposits;

●

our expectations regarding demand for equipment, skilled labor and services needed for the Donlin Gold project;

●

our activities not being adversely disrupted or impeded by development, operating or regulatory risks;

●

our expectations regarding the timing and outcome of certain judicial and/or administrative decisions, including but not limited to the appeals to: (i) the federal Joint Record of Decision and permits issued by the U.S. Army Corps of Engineers and U.S. Bureau of Land Management, and (ii) the State Clean Water Act Section 401 Certification (as defined below); and

●

our ability to fund the feasibility study update.

Forward-looking statements are subject to a variety of known and unknown risks, uncertainties and other factors that could cause actual events or results to differ from those reflected in the forward-looking statements, including, without limitation:

●

uncertainty of whether there will ever be production at the Donlin Gold project;

●

risks related to cooperation with our co-owner on which we depend for Donlin Gold project activities;

●

risks related to cooperation with Calista and TKC and our continued compliance with the mining lease and surface use agreement with each, respectively, for the Donlin Gold project subsurface mineral and surface rights;

●

ownership of the membership interests being contractually reduced;

●

risks related to failure of maintaining an effective system of disclosure controls;

●

our history of losses and expectation of future losses;

●

our concentrated property portfolio;

●

risks related to our ability to finance the development of the Donlin Gold project through external financing, strategic alliances, the sale of property interests or otherwise;

● uncertainty of estimates of capital costs, operating costs, production and economic returns, including the impact of inflation thereon and increases in energy prices due to geopolitical tensions;

●

commodity price fluctuations;

●

risks related to market events and general economic conditions;

●

risks related to opposition to operations at our mineral exploration and development properties from non-governmental organizations or civil society;

●

the risk that permits and governmental approvals necessary to develop and operate the Donlin Gold project will not be available on a timely basis, subject to reasonable conditions, or at all;

●

uncertainties relating to the assumptions underlying our mineral reserve and mineral resource estimates, such as metal pricing, metallurgy, mineability, marketability and operating and capital costs;

●

risks related to the inability to develop or access the infrastructure required to construct and operate the Donlin Gold project;

●

uncertainty related to title to the Donlin Gold project;

●

risks related to our largest shareholder;

●

risks related to conflicts of interests of some of the directors and officers of the Company;

●

risks related to the need for reclamation activities on our properties and uncertainty of cost estimates related thereto;

●

credit, liquidity, interest rate and currency risks;

●

mining and development risks, including risks related to infrastructure, accidents, equipment breakdowns, labor disputes or other unanticipated difficulties with, or interruptions in, development, construction or production;

●

risks related to changes in governmental regulation and uncertainties resulting from changes being implemented by the current U.S. federal administration including, but not limited to, the stability of pre-existing tax regimes and tariffs;

●

risks related to environmental laws and regulations;

●

risks related to our insurance;

●

risks related to title and other rights to our mineral properties;

●

risks related to increases in demand for equipment, skilled labor and services needed for exploration and development of the Donlin Gold project, and related cost increases;

●

our need to attract and retain qualified management and technical personnel;

●

uncertainty as to the outcome of potential litigation;

●

risks related to the effects of global climate change on the Donlin Gold project;

●

risks related to information technology systems;

●

risks related to cybersecurity attacks and breaches; and

●

risks related to the Company’s status as a “passive foreign investment company” in the United States.

This list is not exhaustive of the factors that may affect any of our forward-looking statements. Forward-looking statements are statements about the future and are inherently uncertain, and our actual achievements or other future events or conditions may differ materially from those reflected in the forward-looking statements due to a variety of risks, uncertainties and other factors, including, without limitation, those referred to in the Annual Report on Form 10-K for the year ended November 30, 2025, as filed with the SEC on January 22, 2026 (“Annual Report on Form 10-K”) and this Quarterly Report on Form 10-Q under the heading “Risk Factors” and elsewhere.

Our forward-looking statements contained in this Quarterly Report on Form 10-Q are based on the beliefs, expectations, and opinions of management as of the date of this report. We do not assume any obligation to update forward-looking statements if circumstances or management’s beliefs, expectations or opinions should change, except as required by law. For the reasons set forth above, investors should not place undue reliance on forward-looking statements.

PART I - FINANCIAL INFORMATION

Item 1. Financial Statements

NOVAGOLD RESOURCES INC.
CONDENSED CONSOLIDATED INTERIM BALANCE SHEETS
(Unaudited, US dollars in thousands)
	As of February 28, 2026			As of November 30, 2025
	As of May 31, 2026			As of November 30, 2025
ASSETS
Cash and cash equivalents	$	~~117~~78,~~493~~216		$	110,143
Term deposits		~~275~~292,000			5,000
Other assets (Note 6)		35,~~642~~823			2,344
Current assets		~~396~~376,~~135~~039			117,487
Investment in Donlin Gold (Note 5)		~~222~~221,~~532~~990			213,202
Other assets (Note 6)		~~767~~715			5,224
	$	~~619~~598,~~434~~744		$	335,913
LIABILITIES
Accounts payable and accrued liabilities	$	31,~~366~~380		$	1,981
Accrued payroll and related benefits		~~775~~1,613			2,656
Other liabilities (Note 8)		~~324~~340			301
Current liabilities		43,~~465~~333			4,938
Promissory note (Note 7)		~~169~~173,~~904~~649			166,296
Other liabilities (Note 8)		~~823~~745			885
		175,192			172,119
		177,727			172,119
EQUITY (DEFICIT)
Common shares		2,548,~~384~~493			2,251,741
Contributed surplus		~~135~~138,~~930~~089			136,690
Accumulated deficit		(2,~~215~~240,~~026~~519	)		(2,199,591	)
Accumulated other comprehensive loss		(25,046	)		(25,046	)
		444,242			163,794
		421,017			163,794
	$	~~619~~598,~~434~~744		$	335,913

Commitments and contingencies (Notes 7 and 8)

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

These condensed consolidated interim financial statements are authorized for issue by the Board of Directors on ~~April~~June 122, 2026. They are signed on the Company’s behalf by:

/s/ Gregory A. Lang /s/ Hume Kyle

NOVAGOLD RESOURCES INC.

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF LOSS AND COMPREHENSIVE LOSS

(Unaudited, US dollars in thousands except per share amounts)

	Three months ended
	Three months ended May 31,						Six months ended May 31,
	February 28,			February 28,
	2026			2025			2026			2025
	2026			2025
Operating expenses:
Operating expenses:
General & administrative (Note 11)	$	8,919		$	5,819		$	17,618		$	10,621
General & administrative (Note 11)	$	8,699		$	4,802
Equity loss – Donlin Gold (Note 5)		16,868			6,463			23,084			8,762
Equity loss – Donlin Gold (Note 5)		6,216			2,299
		25,787			12,282			40,702			19,383
		14,915			7,101
Loss from operations		(25,787	)		(12,282	)		(40,702	)		(19,383	)
Loss from operations		(14,915	)		(7,101	)
Other (expense) income:
Other (expense) income:
Warrant expense (Note 9)		—			(39,607	)		—			(39,607	)
Interest expense - promissory note (Note 7)		(3,608	)		(3,566	)
Interest expense – promissory note (Note 7)		(3,745	)		(3,707	)		(7,353	)		(7,273	)
Interest income		14,~~644~~048			1,~~035~~585			5,692			2,620
Other income (expense), net (Note 12)		1,444			516
Other (expense) income, net (Note 12)		(9	)		(264	)		1,435			252
Net loss		(1525,~~435~~493	)		(954,~~116~~275	)		(40,928	)		(63,391	)
Other comprehensive income (loss):
Foreign currency translation adjustments		—			~~(496~~556	)		—			60
Comprehensive loss	$	(1525,~~435~~493	)	$	(953,~~612~~719	)	$	(40,928	)	$	(63,331	)
Net loss per common share – basic and diluted	$	(0.0406	)	$	(0.0315	)	$	(0.10	)	$	(0.19	)
Weighted average shares outstanding
Basic and diluted (thousands)		~~415~~438,~~123~~779			~~334~~350,~~642~~213			427,081			342,513

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

NOVAGOLD RESOURCES INC.

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF CASH FLOWS

(Unaudited, US dollars in thousands)

	Three months ended
	Three months ended May 31,						Six months ended May 31,
	February 28,			February 28,
	2026			2025			2026			2025
	2026			2025
Operating activities:
Operating activities:
Net loss	$	(25,493	)	$	(54,275	)	$	(40,928	)	$	(63,391	)
Net loss	$	(15,435	)	$	(9,116	)
Adjustments:
Adjustments:
Equity loss – Donlin Gold (Note 5)		16,868			6,463			23,084			8,762
Equity loss – Donlin Gold		6,216			2,299
Share-based compensation (Note 13)		2,268			1,410			4,151			2,393
Share-based compensation		1,883			983
Warrant Expense (Note 9)		—			39,607			—			39,607
Interest expense on promissory note		3,608			3,566
Interest expense on promissory note (Note 7)		3,745			3,707			7,353			7,273
Change in fair value of marketable securities (Note 12)		(~~1,296~~50	)		(~~186~~97	)		(1,346	)		(283	)
Foreign exchange (gain) loss		(148	)		(330	)
Foreign exchange (gain) loss (Note 12)		62			379			(86	)		49
Other operating adjustments		65			96			11			15
Change in operating assets and liabilities
Other assets		~~410~~(2,648	)		(~~201~~965	)		(2,238	)		(1,166	)
Accounts payable and accrued liabilities		(1,~~387~~985	)		~~(401~~1,451	)		(598	)		1,050
Accrued payroll and related benefits		~~(1,887~~840	)		~~(1,762~~702	)		(1,047	)		(1,060	)
Income taxes payable		—			~~(214~~—	)		—			(214	)
Remediation liability		(613	)		(~~107~~17	)		(19	)		(124	)
Net cash used in operating activities		(56,~~262~~401	)		(51,~~460~~629	)		(11,663	)		(7,089	)
Investing activities:
Proceeds from term deposits		~~5,000~~—			—59,000			5,000			93,000
Purchases of term deposits		(~~275~~17,000	)		—(25,000	)		(292,000	)		(59,000	)
Funding of Donlin Gold		(1516,~~546~~326	)		(36,~~614~~799	)		(31,872	)		(10,413	)
Proceeds from sale of marketable securities		~~4,129~~488			~~952~~—			4,617			952
Net cash used in investing activities		(~~281~~32,~~417~~838	)		(227,~~662~~201	)		(314,255	)		24,539
Financing activities:
Proceeds from issuance of equity (Note 9)		~~310,200~~—			—243,839			310,200			243,839
Payments for costs related to equity issuance (Note 9)		~~(16,200~~—	)		—(9,734	)		(16,200	)		(9,734	)
Payments of withholding tax on share-based compensation		—			~~(82~~—	)		—			(82	)
Net cash provided by (used in) financing activities		~~294,000~~—			~~(82~~234,105	)		294,000			234,023
Effect of exchange rate changes on cash and cash equivalents		29(38	)		~~(51~~90	)		(9	)		39
Net change in cash and cash equivalents		7(39,~~350~~277	)		(8259,~~255~~767	)		(31,927	)		251,512
Cash and cash equivalents at beginning of period		~~110~~117,~~143~~493			4233,~~224~~969			110,143			42,224
Cash and cash equivalents at end of period	$	~~117~~78,~~493~~216		$	33293,~~969~~736		$	78,216		$	293,736
Supplemental disclosures of cash flow information:
Interest and dividends received	$	1,~~077~~170		$	~~757~~1,158		$	2,247		$	1,915
Income taxes paid	$	—		$	~~223~~—		$	—		$	223

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

NOVAGOLD RESOURCES INC.

CONDENSED CONSOLIDATED INTERIM STATEMENTS OF EQUITY (DEFICIT)

(Unaudited, US dollars and shares in thousands)

	Three months ended February 28, 2026
	Six months ended May 31, 2026
	Common shares				Contributed			Accumulated						Total
	Shares		Amount		surplus			deficit			AOCL*			equity
November 30, 2025		406,932	$	2,251,741	$	136,690		$	(2,199,591	)	$	(25,046	)	$	163,794
Share-based compensation		—		—		1,883			—			—			1,883
Private placement, net (Note 9)		31,020		294,000		—			—			—			294,000
Stock options exercised		217		1,408		(1,408	)		—			—			—
Warrants exercised (Note 9)		569		1,235		(1,235	)		—			—			—
Net loss		—		—		—			(15,435	)		—			(15,435	)
Other comprehensive income		—		—		—			—			—			—
February 28, 2026		438,738	$	2,548,384	$	135,930		$	(2,215,026	)	$	(25,046	)	$	444,242
Share-based compensation		—		—		2,268			—			—			2,268
Stock options exercised		42		109		(109	)		—			—			—
Net loss		—		—		—			(25,493	)		—			(25,493	)
May 31, 2026		438,780	$	2,548,493	$	138,089		$	(2,240,519	)	$	(25,046	)	$	421,017

	Three months ended February 28, 2025
	Six months ended May 31, 2025
	Common shares				Contributed			Accumulated						Total equity
														Total
	Shares		Amount		surplus			deficit			AOCL*			(deficit)
	Common shares				Contributed			Accumulated						(deficit)
	Shares		Amount		surplus			deficit			AOCL*			equity
November 30, 2024		334,567	$	1,989,245	$	93,377		$	(2,104,932	)	$	(25,106	)	$	(47,416	)
Share-based compensation		—		—		983			—			—			983
Performance share units (PSUs) settled in shares		79		2,130		(2,130	)		—			—			—
Withholding tax on PSUs		—		—		(81	)		—			—			(81	)
Net loss		—		—		—			(9,116	)		—			(9,116	)
Other comprehensive income		—		—		—			—			(496	)		(496	)
February 28, 2025		334,646	$	1,991,375	$	92,149		$	(2,114,048	)	$	(25,602	)	$	(56,126	)
Share-based compensation		—		—		1,410			—			—			1,410
Equity offering (Note 9)		65,024		234,105		—			—			—			234,105
Deferred share units (DSUs) settled in shares		50		225		(225	)		—			—			—
Warrants (Note 9)		—		—		39,607			—			—			39,607
Net loss		—		—		—			(54,275	)		—			(54,275	)
Other comprehensive loss		—		—		—			—			556			556
May 31, 2025		399,720	$	2,225,705	$	132,941		$	(2,168,323	)	$	(25,046	)	$	165,277

* Accumulated other comprehensive loss

The accompanying notes are an integral part of these condensed consolidated interim financial statements.

NOVAGOLD RESOURCES INC.

NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

(Unaudited, US dollars in thousands except per share amounts)

NOTE 1 – NATURE OF OPERATIONS AND BASIS OF PRESENTATION

NOVAGOLD RESOURCES INC. and its affiliates and subsidiaries (collectively, “NOVAGOLD” or the “Company”) operate in the mining industry, focused on the exploration for and development of gold mineral properties. The Company’s principal asset is a 60% interest in the Donlin Gold project in Alaska, USA. The Company has no realized revenues from its principal asset. The Donlin Gold project is owned and operated by Donlin Gold LLC (“Donlin Gold”), a limited liability company that is owned by wholly-owned subsidiaries of NOVAGOLD and Donlin Gold Holdings LLC (DGH), a subsidiary of Paulson Advantage Plus Master Ltd. and Paulson Partners LP (together, “Paulson”). Prior to June 3, 2025, Donlin Gold was owned equally by wholly-owned subsidiaries of NOVAGOLD and Barrick Mining Corporation (“Barrick”). See Note 5 regarding changes to Donlin Gold ownership on June 3, 2025.

The Condensed Consolidated Interim Financial Statements (“interim statements”) of NOVAGOLD are unaudited. In the opinion of management, all adjustments and disclosures necessary for a fair presentation of these interim statements have been included. The results reported in these interim statements are not necessarily indicative of the results that may be reported for the entire year. These interim statements should be read in conjunction with NOVAGOLD’s Consolidated Financial Statements for the year ended November 30, 2025. The year-end balance sheet data was derived from the audited financial statements and certain information and footnote disclosures required by United States generally accepted accounting principles (“U.S. GAAP”) have been condensed or omitted.

The functional currency of the Company is the U.S. dollar. Prior to April 22, 2025, the functional currency of NOVAGOLD ~~RESOURCES INC.~~, the parent company, was the Canadian dollar. Management reassessed the functional currency of the parent company, NOVAGOLD ~~RESOURCES INC.~~, and determined that as of April 22, 2025, given the increasing prevalence of U.S. dollar denominated activities and financing transactions, its functional currency changed from the Canadian dollar to the U.S. dollar. Prior to April 22, 2025, the effects of translating the Company’s Canadian operations from the Canadian dollar to the U.S. dollar were recorded in Other comprehensive income (loss) and Accumulated other comprehensive loss. The change in functional currency was accounted for prospectively from April 22, 2025, and prior period consolidated financial statements were not restated. Previously recorded cumulative translation adjustments were not reversed.

References in these Condensed Consolidated Interim Financial Statements and Notes to $ refer to United States (U.S.) dollars and C$ to Canadian dollars. Dollar amounts are in thousands, except for per share amounts.

NOTE 2 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Contingent note receivable

A portion of the consideration from the Company’s 2018 sale of Galore Creek to a subsidiary of Newmont Corporation (“Newmont”) included a $75,000 note receivable, contingent upon the approval of a Galore Creek project construction plan by the owner(s). The Company has not assigned a value to the contingent note receivable as management determined that the approval of the Galore Creek project construction was not probable as of the closing of the Galore Creek sale or in subsequent periods. The contingent note will be recognized when, in management’s judgement, it is probable that the payment will occur, and that the amount recorded will not reverse in subsequent periods.

Investment in affiliates

Investments in unconsolidated ventures over which the Company has the ability to exercise significant influence, but does not control, are accounted for under the equity method and include the Company’s investment in the Donlin Gold project. The Company identified Donlin Gold as a Variable Interest Entity (VIE) as it is dependent on funding from its owners. Prior to June 3, 2025, all funding, ownership, voting rights, and power was shared equally on a 50/50 basis between the owners of the VIE. On June 3, 2025, the Company increased its ownership interest in Donlin Gold to 60% (Note 5) resulting in the funding and ownership being shared on a 60/40 basis between the Company and its new Donlin Gold partner. However, the power to exercise control and direct the activities of Donlin Gold continues to be shared equally on a 50/50 basis between the Company and its new Donlin Gold partner. As such, the Company has determined it continues to not be the primary beneficiary of the VIE. The Company’s maximum exposure to loss is its equity investment in Donlin Gold.

NOVAGOLD RESOURCES INC.

NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

(Unaudited, US dollars in thousands except per share amounts)

The equity method is a basis of accounting for investments whereby the initial and any subsequent investment is recorded at cost and the carrying value is adjusted thereafter to include the investor’s pro rata share of post-acquisition earnings or losses of the investee, as computed by the consolidation method. Cash funding increases the carrying value of the investment. Profit distributions received or receivable from an investee reduce the carrying value of the investment.

Donlin Gold is a non-publicly traded equity investee owning an exploration and development project. Therefore, the Company assesses whether there has been a potential triggering event for other-than-temporary impairment by assessing the underlying assets of the equity investee for recoverability and assessing whether there has been a change in the development plan or strategy for the project. If the underlying assets are not recoverable, the Company will record an impairment charge equal to the difference between the carrying amount of the investee and its fair value.

Share-based payments

The Company records share-based compensation awards exchanged for employee services at fair value on the date of the grant and expenses the awards in the Consolidated Statements of Loss over the requisite employee service period. The fair values of stock options are determined using a Black-Scholes option pricing model. The fair values of PSUs are determined using a Monte Carlo valuation model. The Company’s estimates may be impacted by certain variables including, but not limited to, stock price volatility, employee stock option exercise behaviors, additional stock option and PSU grants, estimates of forfeitures, the Company’s performance, and the Company’s performance in relation to its peers.

Recently Issued Accounting Pronouncements and Securities and Exchange Commission Rules

In December 2023, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) 2023-09 “Income Taxes (Topic 740): Improvements to Income Tax Disclosures.” ASU 2023-09 enhances the transparency and decision usefulness of income tax disclosures through changes to the rate reconciliation and income taxes paid information. The standard is effective beginning with the Company’s Annual Report on Form 10-K for the fiscal year ended November 30, 2026, and subsequent interim periods, with early adoption permitted. The Company is currently evaluating the impact of the guidance on the consolidated financial statements.

In November 2024, the FASB issued ASU 2024-03 “Income Statement - – Reporting Comprehensive Income - – Expense Disaggregation Disclosures (Subtopic 220-40): Disaggregation of Income Statement Expenses.” ASU 2024-03 requires disaggregated disclosures of relevant income statement expenses to improve financial reporting by enhancing transparency in the notes to the financial statements, specifically regarding expense categories. The standard is effective beginning with the Company’s Annual Report on Form 10-K for the fiscal year ended November 30, 2028, and subsequent interim periods, with early adoption permitted. The Company is currently evaluating the impact of adopting this standard.

In December 2025, the FASB issued ASU 2025-11, “Interim Reporting (Topic 270) Narrow-Scope Improvements.” The ASU clarifies and reorganizes interim reporting guidance, including disclosure requirements related to events occurring since the end of the most recent annual reporting period, and improves the presentation and usability of interim financial statement disclosures. The ASU is effective for interim reporting periods within fiscal years beginning after December 15, 2027, with early adoption permitted. The Company is currently evaluating the impact of this ASU on its interim financial reporting and does not expect the adoption of this ASU to have a material impact on the consolidated financial statements.

6NOTE 3 – SEGMENTED INFORMATION

~~NOVAGOLD~~Operating ~~RESOURCES~~segments ~~INC~~are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker (CODM). At present, the Company operates a single reportable segment. The CODM, who is responsible for allocating resources and assessing the performance of the operating segments, has been identified as the Chief Executive Officer. The Chief Executive Officer evaluates the Company’s performance based on the overall results of the Company, including the performance of its investment in the Donlin Gold project (Note 5). The Company uses a single U.S. GAAP-consistent measure of segment profit or loss with no reconciling items or measurement differences. Management has concluded that consolidated net income (loss) is the appropriate measure of segment profit or loss. The CODM does not regularly receive or review discrete segment-level expense categories separate from those presented in the consolidated statements of operations. Accordingly, no significant segment expenses are separately disclosed, as all expenses are included within the consolidated statements of loss.

~~NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS~~6

~~(Unaudited,~~NOVAGOLD USRESOURCES ~~dollars in thousands except per share amounts)~~INC.

~~NOTE~~NOTES 3TO –CONDENSED ~~SEGMENTED~~CONSOLIDATED ~~INFORMATION~~INTERIM FINANCIAL STATEMENTS

~~Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision-maker~~ (~~CODM). At present~~Unaudited, ~~the~~US ~~Company~~dollars operates a single reportable segment. The CODM, who is responsible for allocating resources and assessing the performance of the operating segments, has been identified as the Chief Executive Officer. The Chief Executive Officer evaluates the Company’s performance based on the overall results of the Company, including the performance of its investment in ~~the~~thousands ~~Donlin~~except ~~Gold~~per ~~project~~share ~~(Note 5~~amounts). The Company uses a single U.S. GAAP-consistent measure of segment profit or loss with no reconciling items or measurement differences. Management has concluded that consolidated net income (loss) is the appropriate measure of segment profit or loss. The CODM does not regularly receive or review discrete segment-level expense categories separate from those presented in the consolidated statements of operations. Accordingly, no significant segment expenses are separately disclosed, as all expenses are included within the consolidated statements of loss.

NOTE 4 – NOTES RECEIVABLE

Galore Creek

On July 27, 2018, the Company sold its interest in the Galore Creek project to a subsidiary of Newmont for cash proceeds of $100,000 on closing, a $75,000 note due upon the earlier of the completion of a Galore Creek pre-feasibility study or July 27, 2021, a $25,000 note due upon the earlier of the completion of a Galore Creek feasibility study or July 27, 2023, and a contingent note for $75,000 due upon approval of a Galore Creek project construction plan by the owner(s). The Company received from Newmont $75,000 on July 27, 2021, and $25,000 on July 27, 2023.

No value was assigned to the final $75,000 contingent note. The Company determined that Galore Creek project construction approval was not probable as of the closing of the Galore Creek sale. The Company’s assessment ~~did~~has not ~~change~~changed as of ~~February~~May 2831, 2026. The contingent note will be recognized when, in management’s judgement, it is probable that the payment will occur, and that the amount recorded will not reverse in subsequent periods.

NOTE 5 – INVESTMENT IN DONLIN GOLD

On June 3, 2025, the Company closed on a membership interest purchase agreement among Paulson, Barrick Gold U.S. Inc., Barrick (together, the “Barrick Parties”), DGH (a subsidiary of Paulson), and NOVAGOLD Resources Alaska, Inc. (NGRA), a subsidiary of the Company, whereby the Barrick Parties sold their 50% interest in Donlin Gold to DGH and NGRA, for $1,000,000 (the “Donlin Gold Transaction”). In accordance with the agreement, NGRA acquired an additional 10% interest in Donlin Gold for $200,000 and DGH acquired a 40% interest in Donlin Gold for $800,000.

As part of the consideration paid for the additional 10% interest, NGRA paid an additional working capital adjustment of $980 to the Barrick Parties and incurred transaction costs of $9,070. The consideration, working capital adjustment and transaction costs were capitalized and included in the Company’s Investment in Donlin Gold.

The Donlin Gold project is owned and operated by Donlin Gold, a limited liability company in which, effective June 3, 2025, wholly-owned subsidiaries of NOVAGOLD and DGH owned a 60% and 40% interest, respectively. While the Company has a 60% economic interest in Donlin Gold following the Donlin Gold Transaction, the Company and Paulson have equal governance rights. Donlin Gold has a board of four representatives, with two representatives selected by Paulson and two representatives selected by the Company. All significant decisions related to Donlin Gold require the approval of at least a majority of the Donlin Gold board.

7Changes in the Company’s Investment in Donlin Gold are summarized as follows:

NOVAGOLD RESOURCES INC

	Three months ended May 31,						Six months ended May 31,
	2026			2025			2026			2025
Balance – beginning of period	$	222,532		$	3,912		$	213,202		$	2,597
Share of losses:
Mineral property expenditures		(16,735	)		(6,335	)		(22,827	)		(8,505	)
Depreciation		(121	)		(118	)		(233	)		(237	)
Accretion		(12	)		(10	)		(24	)		(20	)
		(16,868	)		(6,463	)		(23,084	)		(8,762	)
Funding		16,326			6,799			31,872			10,413
Balance – end of period	$	221,990		$	4,248		$	221,990		$	4,248

~~NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS~~7

~~(Unaudited,~~NOVAGOLD USRESOURCES ~~dollars in thousands except per share amounts)~~INC.

~~Changes~~NOTES inTO ~~the~~CONDENSED ~~Company’s~~CONSOLIDATED ~~Investment~~INTERIM inFINANCIAL ~~Donlin Gold are summarized as follows:~~STATEMENTS

	Three months ended February 28,
	2026			2025
Balance – beginning of period	$	213,202		$	2,597
Share of losses:
Mineral property expenditures		(6,092	)		(2,170	)
Depreciation		(112	)		(119	)
Accretion		(12	)		(10	)
		(6,216	)		(2,299	)
Funding		15,546			3,614
Balance – end of period	$	222,532		$	3,912

(Unaudited, US dollars in thousands except per share amounts)

The following amounts represent the Company’s 60% share of the assets and liabilities of Donlin Gold following the Donlin Gold Transaction on June 3, 2025. Subsequent to the completion of the Donlin Gold Transaction, the carrying value of the Company’s investment in Donlin Gold exceeded the net assets of Donlin Gold due to the capitalization of the consideration paid to acquire an additional 10% interest of Donlin Gold and transaction costs of $9,070. Prior to June 3, 2025, the Company held a 50% economic interest in Donlin Gold and the carrying value of the Company’s investment in Donlin Gold was less than the net assets of Donlin Gold as Donlin Gold capitalized Barrick’s initial contribution of the Donlin Gold property at inception as Non-current assets: Mineral property with a cost basis of $64,000 while the Company’s initial contribution to Donlin Gold consisted of historical exploration which NOVAGOLD previously expensed.

	As of February 28,			As of November 30,
	As of May 31,			As of November 30,
	2026			2025
Economic interest of Donlin Gold held		60	%		60	%
Company’s share of Donlin Gold assets and liabilities held
Current assets: Cash, prepaid expenses, and other receivables	$	1522,~~262~~466		$	5,591
Non-current assets: Right-of-use assets, property and equipment		12,~~280~~449			1,295
Non-current assets: Mineral property		39,185			39,185
Current liabilities: Accounts payable, accrued liabilities and lease obligations		(210,~~833~~620	)		(2,688	)
Non-current liabilities: Reclamation and lease obligations		(12,~~161~~290	)		(1,032	)
Net assets	$	51,~~733~~190		$	42,351

NOTE 6 – OTHER ASSETS

	As of February 28, 2026		As of November 30, 2025
	As of May 31, 2026		As of November 30, 2025
Other current assets:
Accounts receivable	$	6457	$	62
Interest receivable		~~768~~3,646		201
Receivable from Donlin Gold		~~335~~267		1,044
Prepaid expenses		~~789~~640		1,037
Marketable equity securities		1,~~686~~213		—
	$	35,~~642~~823	$	2,344
Other long-term assets:
Marketable equity securities	$	—	$	4,406
Right-of-use assets		~~676~~630		722
Office equipment		9185		96
	$	~~767~~715	$	5,224

8During the first and second quarters of 2026, management sold a portion of its marketable equity securities and anticipates selling the remaining positions within the next 12 months. As such, the marketable equity securities were reclassified to Other current assets during the first quarter of 2026.

~~NOVAGOLD~~NOTE ~~RESOURCES~~7 ~~INC~~– PROMISSORY NOTE

~~NOTES~~The TOCompany ~~CONDENSED~~has ~~CONSOLIDATED~~a ~~INTERIM~~promissory ~~FINANCIAL~~note ~~STATEMENTS~~payable to Barrick of $173,649, comprising $158,916 in principal, and $14,733 in accrued interest at U.S. prime plus 2%, compounded semi-annually. The original promissory note resulted from the agreement that led to the formation of Donlin Gold, where the Company agreed to reimburse Barrick for a portion of their expenditures incurred from April 1, 2006 to November 30, 2007. The promissory note and accrued interest are payable from 85% of distributed processed products, cash and other assets from Donlin Gold, and payments of 5% of certain net proceeds specified in the promissory note. The carrying value of the promissory note is based on accrued interest at U.S. prime plus 2%. The fair value of the promissory note approximates its prepayment option amount of $100,000 (Note 10).

~~(Unaudited, US dollars in thousands except per share amounts)~~8

~~During~~NOVAGOLD ~~the~~RESOURCES ~~first quarter of 2026, management has sold a portion of its marketable equity securities and anticipates selling the remaining positions over the next 12 months~~INC. ~~As such, the marketable equity security holdings have been reclassified to Other current assets during the first quarter of 2026.~~

~~NOTE~~NOTES 7TO –CONDENSED ~~PROMISSORY~~CONSOLIDATED ~~NOTE~~INTERIM FINANCIAL STATEMENTS

~~The Company has a promissory note payable to Barrick of $169~~(Unaudited,~~904,~~ ~~comprising~~US ~~$158,916~~dollars in ~~principal,~~thousands ~~and~~except ~~$10,988~~per inshare accrued interest at U.S. prime plus 2%, compounded semi-annually. The original promissory note resulted from the agreement that led to the formation of Donlin Gold, where the Company agreed to reimburse Barrick for a portion of their expenditures incurred from April 1, 2006 to November 30, 2007. The promissory note and accrued interest are payable from 85% of distributed processed products, cash and other assets, and payments of 5% of certain net proceeds specified in the promissory note. The carrying value of the promissory note is based on accrued interest at U.S. prime plus 2% and the terms for repayment from future mine production or from any net proceeds resulting from a reduction of the Company’s interest in Donlin Gold. The fair value of the promissory note approximates its prepayment option amount of $100,000 (Note 10amounts).

Concurrent with the closing of the Donlin Gold Transaction on June 3, 2025, the Company entered into an amended and restated secured promissory note with Barrick that provides the Company with the option to prepay the promissory note in full for $100,000 on or before December 3, 2026. In addition, the security package was modified in order to exclude any property held by Donlin Gold or the membership interest in Donlin Gold held by NGRA; however, it remains secured by NGRA’s right, title and interest to proceeds from Donlin Gold. All other terms of the promissory note remain the same.

Changes in the Company’s Promissory Note isare summarized as follows:

	As of February 28, 2026		As of November 30, 2025
	Six months ended May 31, 2026		Twelve months ended November 30, 2025
Balance – beginning of year	$	166,296	$	151,522
Balance – beginning of period	$	166,296	$	151,522
Interest expense on promissory note during period	$	3,608		14,774
Interest expense on promissory note		7,353		14,774
Balance – end of period	$	~~169~~173,~~904~~649	$	166,296

NOTE 8 – OTHER LIABILITIES

	As of February 28, 2026		As of November 30, 2025
	As of May 31, 2026		As of November 30, 2025
Other current liabilities:
Remediation liabilities	$	~~144~~155	$	124
Lease obligations		~~180~~185		177
	$	~~324~~340	$	301
Other long-term liabilities:
Remediation liabilities	$	~~275~~250	$	300
Lease obligations		~~548~~495		585
	$	~~823~~745	$	885

NOTE 9 – EQUITY TRANSACTIONS

2026 Private Placement Offering

On February 5, 2026, the Company closed a private placement for 31,020,000 common shares of NOVAGOLD at a price of $10.00 per share, which included the partial exercise of the overallotment option. On closing, the Company received aggregate gross proceeds of $310,200 before deducting fees and other offering expenses totaling approximately $16,200.

92025 Public Equity Offering and Private Placement Offering

On May 9, 2025, the Company closed a public equity offering of 47,850,000 shares of NOVAGOLD ~~RESOURCES~~at ~~INC~~a price of $3.75 per share. As part of the public equity offering, the Company granted the underwriters a 30-day overallotment option to purchase up to an additional 7,177,500 common shares at a price of $3.75 per share less underwriting discounts and commissions. Concurrent with the public offering, the Company also closed a private placement for 17,173,853 common shares of NOVAGOLD at a price of $3.75 per share on May 9, 2025. On June 5, 2025, the Company issued an additional 7,177,500 common shares of NOVAGOLD pursuant to the exercise in full of the overallotment option by the underwriters. The public equity offering and concurrent private placement offering are referred to herein as the “May 2025 Offering”.

~~NOTES~~On TOclosing ~~CONDENSED~~of ~~CONSOLIDATED~~the ~~INTERIM~~May ~~FINANCIAL~~2025 ~~STATEMENTS~~Offering, the Company received aggregate gross proceeds of $243,839 before deducting fees and other offering expenses totaling approximately $9,734. On closing of the overallotment option exercise, the Company received additional aggregate gross proceeds of approximately $26,915 before deducting fees and other offering expenses totaling approximately $1,434.

~~(Unaudited, US dollars in thousands except per share amounts)~~9

~~2025~~NOVAGOLD ~~Public~~RESOURCES ~~Equity Offering and Private Placement Offering~~INC.

OnNOTES ~~May~~TO 9,CONDENSED ~~2025,~~CONSOLIDATED ~~the~~INTERIM ~~Company~~FINANCIAL closed a public equity offering of 47,850,000 shares of NOVAGOLD at a price of $3.75 per share. As part of the public equity offering, the Company granted the underwriters a 30-day overallotment option to purchase up to an additional 7,177,500 common shares at a price of $3.75 per share less underwriting discounts and commissions. Concurrent with the public offering, the Company also closed a private placement for 17,173,853 common shares of NOVAGOLD at a price of $3.75 per share on May 9, 2025. On June 5, 2025, the Company issued an additional 7,177,500 common shares of NOVAGOLD pursuant to the exercise in full of the overallotment option by the underwriters. The public equity offering and concurrent private placement offering are referred to herein as the “May 2025 Offering”.STATEMENTS

~~On closing of the May 2025 Offering~~(Unaudited, ~~the~~US ~~Company~~dollars ~~received~~in ~~aggregate~~thousands ~~gross~~except ~~proceeds~~per ofshare $243,839 before deducting fees and other offering expenses totaling approximately $9,734. On closing of the overallotment option exercise, the Company received additional aggregate gross proceeds of approximately $26,915 before deducting fees and other offering expenses totaling approximately $1,434.amounts)

Warrants

Concurrent with the Donlin Gold Transaction announced on April 22, 2025, the Company entered into a backstop commitment agreement with certain institutional investors, pursuant to which the investors committed to purchase up to $170,000 of the Company’s common shares to partially fund the $200,000 payment to the Barrick Parties under the Donlin Gold Transaction discussed in Note 5. As consideration for providing this commitment, and independent of whether the backstop was ultimately exercised, the Company issued 25,500,000 warrants to the investors enabling them to purchase common shares of NOVAGOLD for an exercise price of $3.00 per share (“Backstop Warrants”). The Backstop Warrants contain a “cashless exercise” feature, such that, in lieu of making a cash payment to NOVAGOLD upon the exercise of the Backstop Warrant, the warrant holder may elect instead to receive upon such exercise (either in whole or in part) the net number of common shares equivalent to the Backstop Warrants’ intrinsic value, as determined according to the formula set forth in the Backstop Warrants. The Backstop Warrants expire in April 2030 and contain customary anti-dilution provisions.

As discussed above, the Company subsequently completed the May 2025 Offering and the backstop commitment expired unexercised in May 2025. The Company determined the Backstop Warrants met the conditions for equity classification in accordance with U.S. GAAP and were included as a component of shareholders’ equity (deficit).

The Company estimated the fair value of the Backstop Warrants using the Black-Scholes option pricing model on the grant date. Key inputs included a 5-year term, an exercise price of $3.00 per share, a risk-free interest rate of 3.97%, and an expected volatility of 51.20%, based on the Company’s 5-year historical stock price. Based on these assumptions, the estimated fair value was $1.55 per warrant, resulting in a total fair value of $39,607. As the Backstop Warrants were not a direct offering cost associated with the May 2025 Offering, the $39,607 was recorded as a non-cash expense in the second quarter of 2025.

Changes in the Company’s outstanding Backstop Warrants isare summarized as follows:

	As of February 28, 2026			As of November 30, 2025
	Six months ended May 31, 2026			Twelve months ended November 30, 2025
Balance – beginning of year		25,500,000			—
Issued during period		—			25,500,000
Exercised – shares issued		(569,333	)		—
Cashless exercise – warrants cancelled		(227,542	)		—
Balance – end of period		24,703,125			25,500,000

NOTE 10 – FAIR VALUE ACCOUNTING

~~NOVAGOLD~~Financial ~~RESOURCES~~instruments ~~INC~~measured at fair value are classified into one of three levels in the fair value hierarchy according to the significance of the inputs used in making the measurement. The three levels of the fair value hierarchy are as follows:

~~NOTES~~Level TO1 ~~CONDENSED~~— ~~CONSOLIDATED~~Unadjusted ~~INTERIM~~quoted ~~FINANCIAL~~prices ~~STATEMENTS~~in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;

~~(Unaudited,~~Level US2 ~~dollars~~— Quoted prices in ~~thousands~~markets ~~except~~that ~~per~~are ~~share~~not ~~amounts)~~active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and

~~NOTE~~Level 103 –— ~~FAIR~~Prices ~~VALUE~~or ~~ACCOUNTING~~valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).

~~Financial~~The Company’s financial instruments ~~measured~~consist atof cash and cash equivalents, term deposits, accounts receivable, including from Donlin Gold, marketable equity securities, accounts payable and accrued liabilities, and a promissory note. The fair value ~~are~~of ~~classified~~the ~~into~~promissory ~~one~~note approximates its prepayment option amount of ~~three~~$100,000 ~~levels~~(Note in7). ~~the~~The ~~fair~~promissory note’s carrying value ~~hierarchy~~is ~~according~~based toon ~~the~~accrued ~~significance~~interest at U.S. prime plus 2%. The fair values of the ~~inputs~~Company’s ~~used~~other infinancial ~~making~~instruments approximate their carrying value due to the ~~measurement~~short‐term nature of their maturity. The ~~three~~Company’s ~~levels~~financial instruments initially measured at fair value and then held at amortized cost include cash and cash equivalents, term deposits, accounts receivable, including from Donlin Gold, accounts payable and accrued liabilities, and a promissory note. The Company’s marketable equity securities are valued using quoted market prices in active markets and as such are classified within Level 1 of the fair value hierarchy. ~~are~~The fair value of the marketable equity securities was $1,213 as ~~follows:~~of May 31, 2026 ($4,406 as of November 30, 2025), calculated as the quoted market price of the marketable equity security multiplied by the quantity of shares held by the Company.

~~Level 1 — Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities;~~10

~~Level~~NOVAGOLD 2RESOURCES ~~— Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; and~~INC.

~~Level~~NOTES 3TO ~~— Prices~~CONDENSED orCONSOLIDATED ~~valuation~~INTERIM ~~techniques~~FINANCIAL ~~that require inputs that are both significant to the fair value measurement and unobservable (supported by little or no market activity).~~STATEMENTS

The Company’s financial instruments consist of cash and cash equivalents, term deposits, accounts receivable, including from Donlin Gold, marketable equity securities, accounts payable and accrued liabilities, and a promissory note. The fair value of the promissory note approximates its prepayment option amount of $100,000 (Note 7). The promissory note’s carrying value is based on accrued interest at U.S. prime plus 2% and the terms for repayment from future mine production or from any net proceeds resulting from a reduction of the Company’s interest in Donlin Gold. The fair values of the Company’s other financial instruments approximate their carrying value due to the short‐term nature of their maturity. The Company’s financial instruments initially measured at fair value and then held at amortized cost include cash and cash equivalentsUnaudited, ~~term~~US ~~deposits,~~dollars ~~accounts receivable, including from Donlin Gold, accounts payable and accrued liabilities, and a promissory note. The Company’s marketable equity securities are valued using quoted market prices~~ in ~~active~~thousands ~~markets~~except ~~and~~per asshare ~~such are classified within Level 1 of the fair value hierarchy. The fair value of the marketable equity securities was $1,686 as of February 28, 2026 ($4,406 as of November 30, 2025~~amounts)~~, calculated as the quoted market price of the marketable equity security multiplied by the quantity of shares held by the Company.~~

NOTE 11 – GENERAL AND ADMINISTRATIVE EXPENSE

	Three months ended February 28,
	Three months ended May 31,				Six months ended May 31,
	2026		2025		2026		2025
Share-based compensation (Note 13)	$	12,~~883~~268	$	~~983~~1,410	$	4,151	$	2,393
Salaries and benefits		12,~~955~~032		21,~~006~~787		3,987		3,793
Professional fees		3,~~573~~305		~~863~~1,358		6,878		2,221
Office expense		~~842~~797		~~688~~853		1,639		1,541
Corporate communications and regulatory		~~440~~512		~~256~~406		952		662
Depreciation		65		65		11		11
	$	8,~~699~~919	$	45,~~802~~819	$	17,618	$	10,621

NOTE 12 – OTHER ~~INCOME~~ (EXPENSE) INCOME, NET

	Three months ended February 28,
	Three months ended May 31,						Six months ended May 31,
	2026			2025			2026		2025
Change in fair market value of marketable equity securities	$	1,296		$	186
Change in fair market value of marketable securities	$	50		$	97		$	1,346	$	283
Foreign exchange gain (loss)		148			330
Fuel tax credit		—			18			—		18
	$	1,444		$	516
Foreign exchange gain (loss)		(62	)		(379	)		86		(49	)
Other		3			—			3		—
	$	(9	)	$	(264	)	$	1,435	$	252

NOVAGOLD RESOURCES INC.

NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

(Unaudited, US dollars in thousands except per share amounts)

NOTE 13 – SHARE-BASED COMPENSATION

The following table shows the recognized share-based compensation expense by award type:

	Three months ended February 28,
	Three months ended May 31,				Six months ended May 31,
	2026		2025		2026		2025
Stock options	$	1,~~239~~570	$	~~459~~780	$	2,809	$	1,239
Performance share unit plan		~~574~~618		~~454~~560		1,192		1,015
Deferred share unit plan		7080		70		150		139
	$	12,~~883~~268	$	~~983~~1,410	$	4,151	$	2,393

Stock options

A summary of stock options outstanding and activity during the ~~three~~six months ended ~~February~~May 2831, 2026 are as follows:

	Number of stock options			Weighted- average exercise price per share		Weighted- average remaining contractual term (years)		Aggregate intrinsic value
November 30, 2025		9,663,767		$	5.32
Granted		1,232,200			8.73
Exercised – shares issued		(~~216~~259,~~814~~177	)		6.5935
Cashless exercise – options cancelled		(~~319~~336,~~120~~757	)		6.5935
Expired		(674,300	)		9.91
Forfeited		(1978,~~133~~699	)		4.20
February 28, 2026		9,666,600		$	5.39		3.06	$	76,730
May 31, 2026		9,547,034		$	5.39		2.82	$	30,541
Vested and exercisable as of February 28, 2026		4,493,174		$	5.37		1.88	$	35,740
Vested and exercisable as of May 31, 2026		5,502,548		$	5.19		2.03	$	18,591

The following table summarizes key stock option valuation inputs and other information regarding the option grants:

	Three months ended February 28,
	Six months ended May 31,
	2026			2025
Weighted-average assumptions used to value stock option awards:
Expected volatility		57.1	%		—52.8	%
Risk-free interest rate		3.57	%		—3.63	%
Expected forfeiture rate		3.2	%		3.3	%
Expected dividend rate		—	%		—	%
Expected term of options (years)		4			—4
Weighted-average grant-date fair value	$	4.13		$	—1.94
Intrinsic value of options exercised	$	23,~~463~~066		$	—
Cash received from options exercised	$	—		$	—

As of ~~February~~May 2831, 2026, the Company had $86,~~161~~484 of unrecognized compensation cost related to 54,~~173~~044,~~426~~486 non-vested stock options expected to be recognized and vest over a period of approximately 2.9368 years.

~~Performance share units~~12

~~The~~NOVAGOLD ~~Company~~RESOURCES ~~has granted PSUs under the May 26, 2009 PSU Plan to all employees of the Company that represent shares potentially issuable in the future~~INC. PSUs granted pursuant to the PSU Plan have a three-year performance period between the grant date and the maturity date, when a vesting determination is made. The number of PSUs vesting is based on the Company’s common share price performance relative to the performance of the S&P/TSX Global Gold Index between the PSU grant date and the maturity date. This relative performance is converted to a percentage which translates to an adjustment factor used to determine the number of PSUs that will vest on or shortly after the maturity date. PSUs can vest anywhere from 0% to 150% of the PSU grant amount depending upon the relative share price performance.

12NOTES TO CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

~~NOVAGOLD~~(Unaudited, ~~RESOURCES~~US ~~INC~~dollars in thousands except per share amounts)

~~NOTES~~Performance TOshare ~~CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS~~units

~~(Unaudited~~The Company has granted PSUs under the May 26, US2009 ~~dollars~~PSU Plan to all employees of the Company that represent shares potentially issuable in ~~thousands~~the ~~except~~future. ~~per~~PSUs granted pursuant to the PSU Plan have a three-year performance period between the grant date and the maturity date, when a vesting determination is made. The number of PSUs vesting is based on the Company’s common share ~~amounts)~~price performance relative to the performance of the S&P/TSX Global Gold Index between the PSU grant date and the maturity date. This relative performance is converted to a percentage which translates to an adjustment factor used to determine the number of PSUs that will vest on or shortly after the maturity date. PSUs can vest anywhere from 0% to 150% of the PSU grant amount depending upon the relative share price performance.

A summary of PSU awards outstanding and activity during the ~~three~~six months ended ~~February~~May 2831, 2026 are as follows:

	Number of PSU awards			Weighted- average ~~grant~~exercise ~~day~~price ~~fair value~~ per award		Aggregate intrinsic value
November 30, 2025		2,074,300		$	4.65
Expired		(495,500	)		5.78
Forfeited		(24102,~~900~~300	)		4.14
Granted		425,900			9.11
February 28, 2026		1,979,800		$	5.33	$	31,058
May 31, 2026		1,902,400		$	5.38	$	11,820

The following table summarizes key PSU valuation inputs and other information regarding the PSU grants:

	Three months ended February 28,
	Six months ended
	May 31,			May 31,
	2026			2025
Weighted-average assumptions used to value PSU awards:
Expected volatility of Company shares		59.3	%		—54.8	%
Expected volatility of TSX index		31.4	%		—29.7	%
Expected correlation between Company shares and TSX		59.0	%		—63.2	%
Canadian risk-free interest rate		2.47	%		—	%
Risk-free interest rate		2.47	%		2.60	%
Expected term of PSUs (years)		3			—3
Number of PSUs granted		425,900			—849,200
Weighted-average grant-date fair value	$	9.11		$	—4.41

As of ~~February~~May 2831, 2026, the Company had $76,~~214~~275 of unrecognized compensation cost related to 1,~~979~~902,~~800~~400 non-vested PSU awards expected to be recognized and vest over a period of approximately 2.9368 years.

NOTE 14 – RELATED PARTY TRANSACTIONS

The Company provided management and administrative services to Donlin Gold for $~~429~~461 and $891 in the three and six months ended ~~February~~May 2831, 2026, respectively ($~~176~~156 and $332 in the three and six months ended ~~February~~May 2831, 2025, respectively). As of ~~February~~May 2831, 2026, the Company has accounts receivable from Donlin Gold of $~~335~~267 (November 30, 2025: $1,044) included in Other current assets.

As consideration for providing a backstop commitment to the Company on April 22, 2025, NOVAGOLD issued Backstop Warrants (Note 9) to three institutional investors, one of which was Electrum Strategic Resources L.P. ("“Electrum”). The Backstop Warrants had an estimated aggregate fair value at grant of $39,607. Electrum received 6,375,000 Backstop Warrants having a fair value of approximately $9,902. Dr. Thomas Kaplan, NOVAGOLD’s Chairman of the Board, is the Chairman and Chief Executive Officer of The Electrum Group LLC, an affiliate of Electrum. Electrum is the largest shareholder of NOVAGOLD.

Additionally, Electrum was one of two institutional investors who participated in the 2025 private placement that closed concurrently with the public equity offering at the same price as the 2025 public equity offering described in Note 9. Electrum purchased 13~~,333,334 shares of NOVAGOLD in the private placement for $50,000.~~

13NOVAGOLD RESOURCES INC.

~~Item~~NOTES 2.TO ~~Management’s~~CONDENSED ~~Discussion~~CONSOLIDATED ~~and~~INTERIM ~~Analysis~~FINANCIAL ~~of Financial Condition and Results of Operations~~STATEMENTS

~~In Management’s Discussion and Analysis of Financial Condition and Results of Operations~~(Unaudited, ~~“NOVAGOLD”,~~US ~~the~~dollars “Company”, “we,” “us” and “our” refer to NOVAGOLD RESOURCES INC. and its consolidated subsidiaries. The following discussion and analysis of our financial condition and results of operations constitutes management’s review of the factors that affected our financial and operating performance for the three-month periods ended February 28, 2026 and February 28, 2025. This discussion should be read in ~~conjunction~~thousands with the condensed consolidated interim financial statements and notes thereto contained elsewhere in this report and our Annual Report on Form 10-K, as well as other information we file with the Securities and Exchange Commission on EDGAR at www.sec.gov and with Canadian Securities Administrators on SEDAR+ at www.sedarplus.ca. References herein to $ refer to United States dollars and C$ to Canadian dollars, except asper ~~otherwise~~share ~~specified.~~amounts)

~~Paulson~~Additionally, ~~are~~Electrum ~~investment~~was ~~funds~~one ~~managed~~of bytwo ~~Paulson~~institutional ~~Advisers~~investors ~~LLC~~who participated in the private placement component of the May 2025 Offering as described in Note 9. Electrum purchased 13,333,334 shares of NOVAGOLD in the May 2025 Offering for $50,000.

Paul Chilson, P.E., who is the Manager, Mine Engineering for NOVAGOLD and a “qualified person” under National Instrument 43-101 – Standards of Disclosure for Mineral Projects and the Securities and Exchange Commission’s (SEC) current mining disclosure rules has approved the scientific and technical information contained herein.14

~~Highlights~~Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

~~During~~In ~~the~~Management’s ~~first~~Discussion ~~quarter~~and Analysis of ~~2026~~Financial Condition and Results of Operations, “NOVAGOLD”, ~~closed~~the an“Company”, ~~underwritten~~“we,” ~~bought~~“us” ~~deal~~and ~~private~~“our” ~~placement~~refer ~~issuing~~to ~~approximately~~NOVAGOLD 31RESOURCES ~~million~~INC. ~~common~~and ~~shares~~its atconsolidated asubsidiaries. ~~price~~The offollowing ~~$10.00~~discussion ~~per~~and ~~share~~analysis ~~for~~of ~~gross~~our ~~proceeds~~financial condition and results of ~~approximately~~operations ~~$310.2~~constitutes ~~million,~~management’s ~~including~~review of the ~~partial~~factors ~~exercise~~that ofaffected our financial and operating performance for the ~~underwriters’~~three- ~~overallotment~~and ~~option~~six-month periods ended May 31, 2026 and May 31, 2025. ~~The~~This ~~Company~~discussion ~~intends~~should tobe ~~use~~read in conjunction with the ~~net~~condensed ~~proceeds~~consolidated ofinterim ~~the~~financial ~~private~~statements ~~placement~~and ~~for~~notes ~~expenditures~~thereto ~~associated~~contained ~~with~~elsewhere ~~Donlin~~in ~~Gold~~this ~~activities~~report and our Annual Report on Form 10-K, ~~exercise~~as ofwell as other information we file with the ~~Company’s~~Securities ~~prepayment~~and ~~option~~Exchange Commission on ~~the~~EDGAR ~~promissory~~at ~~note~~www.sec.gov and with ~~Barrick,~~Canadian Securities Administrators on SEDAR+ at www.sedarplus.ca. References herein to $ refer to United States dollars and ~~general~~C$ ~~corporate~~to ~~purposes~~Canadian dollars, except as otherwise specified.

OnPaulson ~~January~~are 8,investment ~~2026,~~funds ~~NOVAGOLD~~managed ~~and~~by Paulson ~~and~~Advisers ~~their affiliates, as part of Donlin Gold’s infrastructure and energy strategy, announced that a non-binding Letter of Intent (LOI) was signed with Glenfarne Alaska LNG,~~ LLC~~, majority owner and developer of the Alaska LNG project, to explore the potential supply of natural gas for Donlin Gold’s on-site power generation~~.

OnPaul ~~February 9~~Chilson, ~~2026~~P.E., ~~NOVAGOLD~~who ~~and~~is ~~Paulson~~the ~~and~~Manager, ~~their~~Mine ~~affiliates~~Engineering ~~announced~~for ~~that~~NOVAGOLD ~~Fluor~~and ~~Corporation~~a (“~~Fluor~~qualified person”) ~~was~~under ~~selected~~National asInstrument ~~the~~43-101 ~~lead~~– ~~engineering~~Standards ~~firm~~of Disclosure for ~~the~~Mineral ~~Donlin~~Projects ~~Gold~~and ~~Bankable~~the ~~Feasibility~~Securities ~~Study~~and Exchange Commission’s (~~BFS~~SEC) ascurrent ~~the~~mining ~~project~~disclosure ~~advances~~rules ~~toward~~has ~~construction.~~approved ~~The~~the ~~BFS~~scientific isand ~~expected~~technical toinformation becontained ~~completed in 2027~~herein.

Following the end of the first fiscal quarter of 2026, NOVAGOLD and Paulson and their affiliates announced on March 12, 2026, the award of specialized contracts to three engineering firms — WSP USA, Inc. (WSP), Worley Alaska, Inc., and Hatch Ltd. (the “Specialist Contractors”) — to advance critical infrastructure and processing components, including the on-site power plant, natural gas pipeline, and the pressure oxidation circuit and oxygen plant, as part of the Donlin Gold BFS.Highlights

Fluor ~~and~~Corporation ~~the~~(“Fluor”), ~~Specialist~~as ~~Contractors~~lead ~~have~~engineering ~~commenced~~firm, ~~work~~continues onto ~~the~~integrate ~~BFS,~~major ~~under~~work ~~the~~packages ~~leadership~~and ofcoordinate ~~the~~technical ~~newly~~workstreams ~~appointed~~with ~~Project~~specialist ~~Director~~contractors ~~Frank~~WSP ~~Arcese~~USA, Inc. (~~see~~“WSP”), ~~release~~Worley ~~dated January 13~~Alaska, ~~2026~~Inc. (“Worley”), ~~who~~and ~~has~~Hatch ~~extensive~~Ltd. ~~experience~~(“Hatch”) insupporting ~~delivering~~the ~~large-scale~~Donlin ~~mining~~Gold ~~projects.~~project’s ~~With~~ongoing ~~major~~Bankable ~~contractors~~Feasibility ~~now~~Study on(BFS) ~~board~~update. ~~and~~Work ~~ongoing~~is ~~progress~~advancing on ~~the~~key ~~BFS~~infrastructure ~~workstreams,~~and ~~the~~unit ~~Company~~operations, ~~expects~~including tothe ~~review~~on-site ~~the~~power ~~schedule~~plant, ~~and~~natural ~~budget~~gas ~~for~~pipeline, ~~the~~pressure ~~next~~oxidation ~~phase~~circuit, ofand ~~development~~oxygen byplant, ~~mid-2026~~as ~~and~~part ~~provide~~of ~~any~~a ~~update~~disciplined approach to ~~guidance~~support asa ~~required~~high-quality BFS.

~~Company~~In ~~Overview~~support of the continued advancement of the BFS and the broader progression of the Donlin Gold project toward construction readiness and eventual commercial operation, management continues to assess key project requirements and advance recruitment efforts for critical positions.

WeNOVAGOLD had ~~operate~~liquidity inof ~~the~~$370.2 ~~gold~~million ~~mining industry, primarily focused on advancing the Donlin Gold project~~ in ~~Alaska.~~cash ~~The~~and ~~Donlin~~term ~~Gold~~deposits ~~project~~as isof ~~held~~May by31, ~~Donlin Gold~~2026, awhich ~~limited~~we ~~liability~~believe ~~company~~is ~~which,~~sufficient ~~following~~to ~~the~~complete ~~closing of~~ the Donlin Gold ~~Transaction on June 3~~BFS, ~~2025,~~exercise isour ~~owned~~option ~~60%~~to byprepay athe ~~wholly-owned~~Barrick ~~subsidiary~~promissory ofnote ~~NOVAGOLD~~later ~~and 40% by a wholly-owned subsidiary of Paulson. While NOVAGOLD has a 60% economic interest~~ in ~~Donlin~~2026 ~~Gold,~~and ~~governance~~cover ofcorporate ~~Donlin~~general ~~Gold is shared equally by NOVAGOLD~~ and ~~Paulson.~~administrative Wecosts ~~account~~ for ~~our~~at ~~interest~~least in the ~~Donlin~~next ~~Gold~~twelve ~~project using the equity method, which results in our 60% share of Donlin Gold’s expenses being recorded as a single line item in the income statement as an operating loss~~months.

Our corporate goals include completing the BFS and moving to a subsequent construction decision; maintaining a favorable reputation of NOVAGOLD and the Donlin Gold project among shareholders and stakeholders; promoting strong community outreach and a sustainability culture; maintaining strong safety and environmental performance; and managing the Company’s treasury effectively and efficiently. Our operations primarily relate to the delivery of project milestones, including the achievement of various technical, environmental, sustainable development, economic and legal objectives, obtaining necessary permits and maintaining those received in good standing, advancement of the BFS, preparation of engineering designs and maintaining sufficient capital resources to fund these objectives.Overview

14We operate in the gold mining industry, primarily focused on advancing the Donlin Gold project in Alaska. The Donlin Gold project is held by Donlin Gold, a limited liability company which, following the closing of the Donlin Gold Transaction (as defined below) on June 3, 2025, is owned 60% by a wholly-owned subsidiary of NOVAGOLD and 40% by a wholly-owned subsidiary of Paulson. While NOVAGOLD has a 60% economic interest in Donlin Gold LLC (“Donlin Gold”), governance of Donlin Gold is shared equally by NOVAGOLD and Paulson. We account for our interest in the Donlin Gold project using the equity method, which results in our 60% share of Donlin Gold’s expenses being recorded as a single line item in the income statement as an operating loss.

In the first quarter of 2026, Donlin Gold continued to prioritize meaningful engagement with local communities, stakeholders, and government representatives in the Yukon-Kuskokwim (Y-K) region, Alaska, and Washington, D.C., in support of project development and permitting. Decades of consistent outreach across 62 communities have fostered strong relationships, facilitated knowledge exchange, and reinforced the project’s social license while building lasting trust. Key activities in the first quarter included:15

● Donlin Gold participated in the Alaska Chamber of Commerce and Resource Development Council Legislative fly-in, providing project updates, meetings with Congressional delegation state directors, and holding discussions with the Alaska Department of Natural Resources Commissioner and Deputy Commissioner.Project

●Donlin ~~Additionally~~Gold has engaged extensively with communities, ~~the~~stakeholders, ~~Donlin~~and ~~Gold~~government ~~team~~representatives ~~conducted~~across 11the ~~key~~Yukon-Kuskokwim ~~legislative~~(Y-K) ~~visits~~region, Alaska, and ~~engaged~~Washington, ~~with~~D.C., ~~numerous~~supporting ~~state~~project ~~representatives~~development and ~~senators~~permitting.

●The ~~Donlin~~project ~~Gold~~is ~~and~~located ~~NOVAGOLD~~on ~~staff~~private ~~participated~~lands inselected under the ~~4th~~1971 ~~annual~~Alaska ~~Juneau~~Native ~~Mining~~Claims ~~Forum~~Settlement ~~and~~Act, asetting ~~joint~~it ~~legislative~~apart ~~reception~~from ~~for~~most ~~the~~other mining assets in Alaska, ~~Miners~~and ~~Association~~guiding outreach efforts. The Native Corporation landowners, ~~Trucking~~Calista ~~Association~~Corporation ~~and~~(“Calista”), ~~Alaska~~owner ~~General~~of ~~Contractors~~the ~~Association.~~mineral rights, and The ~~group~~Kuskokwim ~~also~~Corporation ~~attended~~(TKC), ~~Senator~~owner ~~Lisa~~of ~~Mukkowski’s~~the ~~holiday~~surface ~~luncheon~~estate, are pivotal for the future of the project, driving our continued local engagement and ~~co-sponsored~~providing aneconomic ~~event~~benefits ~~for~~to ~~Speaker~~the ~~Edgmon~~region, ~~Senator~~the ~~Cathy~~State ~~Geissel~~of Alaska, and ~~Representative~~its ~~Louise Stutes~~stakeholders.

●Decades ~~As part~~ of ~~the~~outreach ~~commitment~~with ~~between~~over ~~Donlin~~60 ~~Gold,~~regional ~~and~~communities ~~the~~have ~~landowners,~~created ~~Calista~~important ~~Corporation (“Calista”)~~relationships, ~~owner~~fostered ofknowledge ~~the~~sharing ~~mineral rights,~~ and ~~The~~reinforced Kuskokwim Corporation (TKC), to seek input and share knowledge on subsistence matters, Donlin Gold hosted its bi-annual Subsistence Community Advisory Committee (SCAC) in Anchorage. The SCAC members represent a range of perspectives on the project’s ~~that~~social ~~are important to consider as we advance development~~license. ~~Donlin~~The ~~Gold also held its first virtual SCAC session, which included participation from both SCAC and~~ Donlin Gold ~~Project~~team ~~Community~~remains ~~Advisory~~committed ~~Committees. The meetings focused on the Barge Communications Plan, providing SCAC members with an opportunity~~ to ~~review~~advancing the project ~~approach,~~responsibly ~~ask~~through ~~questions,~~transparent and ~~provide~~respectful ~~feedback that informs ongoing planning~~engagement.

●In ~~Donlin~~the ~~Gold~~second ~~also~~quarter 2026, regional presentations made to key associations provided an opportunity to share a project update atand overview of Donlin Gold’s community relations efforts. It also included a ~~town~~Calista ~~hall~~panel ~~meeting~~discussion inon ~~Bethel,~~local revenue sharing provisions between the ~~largest~~Alaska ~~town~~Native ~~downriver~~Corporations ~~from~~to support constructive dialogue regarding the project. Donlin Gold conducted regional community and shareholder engagement, including villages along the Kuskokwim River with visits to 11 Y-K communities, alongside Calista and TKC to support continued dialogue and relationship-building. Another Subsistence Community Advisory Committee meeting was held and focused on the introduction of the Subsistence Plan and the Barge Communication Plan, strengthening communication and coordination with subsistence users and regional stakeholders.

~~NOVAGOLD~~In isgovernment ~~committed~~relations toand ~~education~~external affairs, ~~community~~representatives ~~wellness,~~from ~~cultural~~NOVAGOLD ~~preservation,~~and ~~ecological~~Donlin ~~stewardship,~~Gold ~~and~~participated ~~best~~in ~~practices~~multiple ~~that~~legislative ~~enhance~~and ~~the~~advocacy ~~economic~~events, ~~health,~~including ~~and~~the ~~social~~Alaska ~~well-being~~Chamber of ~~our~~Commerce ~~employees~~and Resource Development Council legislative fly-in, Alaska Day on the ~~people~~Hill ofin Washington, D.C., the ~~Y-K~~Alaska ~~region~~Mining Forum, and ~~surrounding~~the ~~communities.~~Women in Resources reception, alongside 16 trade associations, that also featured Donlin-focused ~~Gold~~stakeholder ~~supports~~meetings. ~~these~~Government ~~efforts~~engagement ~~through~~with asenators ~~wide~~and ~~range~~representatives ofin ~~programs~~the second quarter – along with federal and ~~community~~state ~~events~~agencies including the Alaska Department of Natural Resources (ADNR), ~~supporting~~Department ~~cultural~~of ~~preservation~~Labor & Workforce Development, ~~strengthening~~Congressional ~~stakeholder~~Delegation ~~relationships~~State Directors, ~~advancing~~Bureau ~~economic~~of ~~and~~Land ~~social~~Management ~~well-being~~(BLM), and ~~promoting~~Department ~~youth~~of ~~engagement.~~the InInterior (DOI), focused on the ~~first~~pipeline ~~quarter~~corridor ofupdates, ~~2026~~geotechnical fieldwork, ~~Donlin~~permitting, ~~Gold~~workforce, ~~carried~~infrastructure, ~~out~~and regional logistics. Briefings were given to U.S. Senate candidates and the ~~following~~Y-K ~~key~~Health Corporation Board to share updates on ongoing project activities and ~~projects:~~regional engagement efforts.

●NOVAGOLD ~~Pursued~~is ~~its~~committed ~~support~~to ~~for~~education, community wellness, cultural preservation, ecological stewardship, and best practices that enhance the ~~Alaska~~economic, ~~Safe~~health, ~~Riders~~and ~~winter~~social well-being of our employees, the people of the Y-K region, and surrounding communities. Donlin Gold supports these efforts through fisheries studies, environmental activities, subsistence initiatives, and grants, while recognizing the importance of the region’s traditions and subsistence way of life, where environmental health is paramount. In the second quarter of 2026 a range of activities and projects were carried out around regional sporting and cultural events, including the Iditarod, Native Youth Olympics state tournament, Bethel Wrestling Club event, and the Donlin Gold Classic Invitational Basketball Tournament. Donlin Gold supported education, cultural, health, and safety ~~program~~initiatives across the Y-K region, ~~which~~including ~~promotes~~outreach to regional communities on the ~~secure~~Clean ~~use~~Up Green Up program and involvement in programs such as Camp Fire Alaska, the Lower Yukon School District Career Fair, and the University of ~~snowmachines~~Alaska Rural Alaska Honors Institute program. Additionally, ~~all~~the project supported community and youth-~~terrain~~focused ~~vehicles~~activities that promote inclusion, wellness, and ~~recreational~~support ~~off~~literacy and access to educational resources, including the Special Olympics Alaska Y-~~road~~K ~~vehicles~~Delta event, Kuspuk School District environmental programs, and the Bethel Community Services Foundation Library program.

●Our ~~Continued~~share ~~its support~~ of ~~local~~funding ~~stakeholders~~for ~~across education, sports, and cultural initiatives such as~~ the ~~Cook~~Donlin ~~Inlet~~Gold ~~Tribal~~project ~~Council’s~~in ~~Native Youth Olympics,~~ the ~~ASAA/First~~second ~~National~~quarter ~~Bank~~and ~~Alaska~~first ~~Wrestling~~six ~~State~~months ~~Championships, the Girl Scouts~~ of ~~Alaska,~~2026 ~~the~~was ~~Lower~~$16.3 ~~Yukon~~million ~~School District Career Fair, the Kusilvak Career Academy,~~ and ~~the~~$31.9 ~~University of Alaska Foundation’s Rural Alaska Honors Institute — a six-week~~million, ~~tuition-free program helping rural and Alaska Native students earn college credits and develop academic skills~~respectively. ~~Donlin~~We ~~Gold~~expect ~~also~~our ~~hosted~~total ~~and~~annual ~~supported the “~~Donlin Gold ~~Classic”~~funding ~~Invitational~~to ~~Basketball~~be ~~Tournament~~in atline ~~Bethel~~with ~~Regional~~our ~~High~~fiscal ~~School,~~2026 ~~bringing~~guidance ~~together~~of ~~varsity~~$78.8 ~~teams~~million ~~and~~as ~~community~~we ~~members~~continue ~~from~~to ~~across~~advance the ~~Y-K~~Donlin ~~region~~Gold BFS.

● Engaged with municipal leaders and community stakeholders across Alaska by participating in and supporting the Alaska Municipal League Conference, discussing regional priorities and development opportunities.Permitting

15Donlin Gold is a federally permitted project on private land designated for mining. Permitting in Alaska is a substantial undertaking supported by a diligent, thorough, transparent, and inclusive process for all involved, including stakeholders from the Y-K region. Completion of the Detailed Design Packages continues to be anticipated by the end of 2026/early 2027, with potential issuance of the Dam Safety Certificates in 2028.

~~● Collaborated with Calista’s Shareholder Relations Committee and travelled to four Y-K communities to engage directly with Calista shareholders on topics including Donlin Gold.~~16

~~These~~Upholding ~~various~~current ~~efforts~~permits ~~are~~and ~~also~~working ~~aligned with Donlin Gold’s long-term objectives~~ to ~~support~~secure ~~workforce~~key ~~development~~state ~~and regional economic participation as the project advances.~~approvals

~~Our share of funding for the~~ Donlin Gold ~~project~~continued ~~in the first quarter of 2026 was $15.5 million. We continue~~ to ~~expect~~support ~~our~~the ~~total~~state ~~annual~~and ~~Donlin~~federal ~~Gold~~agencies ~~funding~~defending totheir bepermits ~~$78.8~~in ~~million during fiscal 2026 to continue to advance~~ the ~~Donlin~~litigation ~~Gold~~described ~~BFS, in line with our previously issued guidance~~below.

~~Permitting~~NOVAGOLD continues to support the State of Alaska in defending the Department of Environmental Conservation’s (ADEC) Clean Water Act Section 401 Water Quality Certification (the “401 Certification”), which is the only remaining challenge to Donlin Gold’s permits in state court. On May 6, 2025, the Alaska Superior Court upheld ADEC’s issuance of the 401 Certification. Earthjustice filed an appeal in the Alaska Supreme Court and filed their opening brief on September 16, 2025. Donlin Gold’s and the State of Alaska’s briefs were filed on November 25, 2025, and Earthjustice’s reply brief was filed on January 9, 2026. Oral argument was held on June 3, 2026. A decision from the Court is currently pending.

On April 5, 2023, Earthjustice representing the Orutsararmiut Traditional Native Council and six Y-K villages filed suit against the U.S. government in the U.S. District Court for Alaska (the “Federal District Court”) asking the Federal District Court to invalidate the Donlin Gold Joint Record of Decision (JROD), which included the U.S. Army Corps of Engineer’s (“Corps”) issuance of the 404 permit and the DOI, BLM’s issuance of the ROW lease for the portions of the pipeline on Federal lands. The U.S. Department of Justice (DOJ) is adefending ~~federally~~the ~~permitted~~issuance of the permits by those Federal agencies. The State of Alaska, Donlin Gold, and Calista were granted intervenor status in this case. The DOJ filed their brief supporting the issuance of the JROD and the sufficiency of the environmental analysis in the Final Environmental Impact Statement on April 2, 2024. Amicus briefs supporting the project were filed by the village of Crooked Creek and the Alaska federal Congressional delegation. Oral arguments were held on ~~private~~June ~~land~~24, ~~designated~~2024, and the Federal District Court issued a decision on September 30, 2024. The decision rejected the plaintiffs’ arguments on two of the three issues raised in the litigation but agreed with plaintiffs that the federal agencies took too narrow of a view in analyzing the impact of a theoretical release from the tailings’ storage facility. The Federal District Court requested supplemental briefing on the appropriate remedy for ~~mining~~addressing ~~activities~~this byissue. ~~Calista~~On October 7, ~~owner~~2024, the plaintiffs filed a request for reconsideration on one of the ~~mineral~~issues ~~rights~~on which the Federal District Court had ruled against the plaintiffs and, at DOJ’s request, the Federal District Court suspended the schedule for briefing on the appropriate remedy until after the Federal District Court ruled on plaintiffs’ motion for reconsideration. On December 23, 2024, the Federal District Court denied plaintiffs’ request for reconsideration. Remedy briefing was completed in March 2025 and ~~TKC~~oral ~~owner~~argument on remedy was held May 9, 2025. On June 10, 2025, the Federal District Court issued an order denying Earthjustice’s request to vacate the permits and remanding the case to the agencies to supplement the National Environmental Policy Act analysis on the narrow issue regarding the analysis of a potential larger release from the ~~surface~~tailings ~~estate~~storage facility. ~~Permitting~~The Court retained jurisdiction over the case during the remand and ordered the agencies to file periodic status updates with the court. The Corps, in ~~Alaska~~consultation iswith BLM and other federal agencies, will be the lead agency for this Supplemental Environmental Impact Statement (SEIS) process to ensure a ~~substantial~~transparent, ~~undertaking~~science-based ~~supported~~review that provides the public and decision-makers with complete and accurate information. On October 27, 2025, Donlin Gold was also formally accepted into the Fixing America’s Transportation Act (FAST-41) program and coordinated by the Federal Permitting Improvement Steering Council. The FAST-41 is a ~~diligent~~federal initiative that increases transparency, ~~thorough~~accountability, ~~transparent~~and predictability in permitting. A Notice of Intent to prepare a SEIS was issued in January 2026, and ~~inclusive~~the ~~process~~public comment period for ~~all~~the ~~involved,~~scoping ~~including~~process ~~stakeholders~~closed ~~from~~in February 2026. The Corps and cooperating agencies will review and consider comments received and proceed with preparation of the Ydraft SEIS which is anticipated to be published in September 2026 in accordance with the coordinated FAST-K41 ~~region~~permitting schedule.

~~Comments~~To ~~from~~date, ~~Alaska~~all ~~Department~~permits ofand ~~Natural~~approvals ~~Resources’~~granted ~~(“ADNR”)~~to onDonlin ~~the~~Gold ~~preliminary~~by ~~dam~~federal ~~safety~~and ~~design~~state ~~packages~~agencies ~~are~~remain ~~anticipated~~ in ~~2026.~~place ~~BGC~~while ~~Engineering~~the ~~has~~legal ~~been~~challenges ~~appointed~~described asabove ~~the~~proceed. ~~contractor~~We ~~for~~recognize the ~~Detailed~~importance ~~Design~~of ~~Packages~~preparedness and organization on these matters. ~~Completion~~Donlin Gold and its owners continue their unwavering support of the ~~Detailed~~state ~~Design~~and ~~Packages~~federal ~~continues~~agencies toin bedefending ~~anticipated~~their bythorough ~~the~~and ~~end~~diligent ofpermitting ~~2026/early 2027~~processes, including working with ~~potential~~the ~~issuance~~federal ofagencies and all stakeholders on an appropriate remedy to address the ~~Dam~~Federal ~~Safety~~District ~~Certificates~~Court’s inremand ~~2028~~decision.

~~Upholding~~Financing ~~current~~Activities ~~permits~~During ~~and working to secure key state approvals~~2026

~~Donlin~~The ~~Gold~~Company ~~continued~~completed a private placement offering on February 5, 2026 of 31,020,000 common shares at a price of $10.00 per share for aggregate gross proceeds of $310.2 million less $16.2 million of issuance costs. The Company intends to ~~support~~use the ~~state~~net ~~and~~proceeds ~~federal~~of ~~agencies~~the ~~defending~~private ~~their~~placement ~~permits~~for inexpenditures associated with Donlin Gold activities, exercise of the ~~litigation~~Company’s ~~described~~prepayment ~~below~~option on the promissory note with Barrick, and general corporate purposes.

~~NOVAGOLD~~Overview ~~continues to support the State~~ of Alaska in defending the Department of Environmental Conservation’s (ADEC) Clean Water Act Section 401 Water Quality Certification (the “401 Certification”), which is the only remaining challenge to Donlin Gold’s ~~permits~~Transaction ~~in state court. On May 6, 2025, the Alaska Superior Court upheld ADEC’s issuance of the 401 Certification. Earthjustice filed an appeal in the Alaska Supreme Court~~ and ~~filed~~Financing ~~their~~Activities ~~opening~~During ~~brief on September 16,~~ 2025~~. Donlin Gold’s and the State of Alaska’s briefs were filed on November 25, 2025, and Earthjustice’s reply brief was filed on January 9, 2026. Oral argument is scheduled for April 8, 2026.~~

On ~~April~~June 53, ~~2023~~2025, ~~Earthjustice~~NOVAGOLD ~~representing~~and ~~the~~Paulson, ~~Orutsararmiut~~through ~~Traditional~~wholly-owned ~~Native~~subsidiaries, ~~Council~~completed ~~(ONC)~~a ~~and~~$1 ~~six~~billion ~~Y-K~~acquisition ~~villages~~of ~~filed~~Barrick’s ~~suit~~50% ~~against~~interest ~~the U.S. government~~ in ~~the~~Donlin ~~U.S.~~Gold ~~District Court for Alaska~~ (the “~~Federal~~Donlin ~~District~~Gold ~~Court~~Transaction”) ~~asking~~pursuant ~~the Federal District Court~~ to ~~invalidate~~ the ~~Donlin~~terms ~~Gold Joint Record~~ of ~~Decision~~a ~~(JROD),~~membership ~~which~~interest ~~included~~purchase ~~the~~agreement ~~U.S.~~dated ~~Army~~April ~~Corps~~22, of2025 ~~Engineer’s~~ (the “~~Corps~~MIPA”) ~~issuance~~among ofBarrick ~~the~~Gold ~~404 permit and the Department of Interior, Bureau of Land Management (BLM)’s issuance of the ROW lease for the portions of the pipeline on Federal lands. The~~ U.S. ~~Department~~Inc. ~~of Justice~~ (~~DOJ~~“Barrick Gold”), isBarrick, ~~defending the issuance of the permits by those Federal agencies. The State of Alaska~~Paulson, Donlin Gold, ~~and~~Holdings ~~Calista~~LLC ~~were~~(DGH), ~~granted~~a ~~intervenor~~subsidiary ~~status in this case. The DOJ filed their brief supporting the issuance~~ of ~~the~~Paulson, ~~JROD~~ and ~~the sufficiency of the environmental analysis in the Final Environmental Impact Statement on April 2~~NGRA, ~~2024.~~a ~~Amicus~~subsidiary ~~briefs supporting the project were filed by the village~~ of ~~Crooked Creek and~~ the ~~Alaska federal Congressional delegation~~Company. ~~Oral arguments were held on June 24~~NOVAGOLD, ~~2024,~~through ~~and the Federal District Court issued a decision on September 30~~NGRA, ~~2024.~~acquired ~~The~~an ~~decision~~additional ~~rejected~~10% ~~the~~interest ~~plaintiffs’ arguments on two of the three issues raised~~ in ~~the~~Donlin ~~litigation~~Gold but agreed with plaintiffs that the federal agencies took too narrow of a view in analyzing the impact of a theoretical release from the tailings’ storage facility. The Federal District Court requested supplemental briefing on the appropriate remedy for ~~addressing~~$200 ~~this issue. On October 7~~million, ~~2024,~~increasing ~~the~~its ~~plaintiffs~~stake ~~filed~~to a60% ~~request for reconsideration on one~~ of ~~the~~Donlin ~~issues on which the Federal District Court had ruled against the plaintiffs and~~Gold, atwhile ~~DOJ’s request~~Paulson, ~~the~~through ~~Federal District Court suspended the schedule for briefing on the appropriate remedy until after the Federal District Court ruled on plaintiffs’ motion for reconsideration. On December 23~~DGH, ~~2024,~~acquired the ~~Federal~~remaining ~~District~~40% ~~Court~~interest ~~denied plaintiffs’ request~~ for ~~reconsideration.~~$800 ~~Remedy briefing was completed in March 2025 and oral argument on remedy was held May 9, 2025~~million. OnBoth ~~June~~owners ~~10,~~have ~~2025,~~equal ~~the~~governance ~~Federal~~rights ~~District~~in ~~Court~~Donlin issued an order denying Earthjustice’s request to vacate the permits and remanding the case to the agencies to supplement the National Environmental Policy Act analysis on the narrow issue regarding the analysis of a potential larger release from the tailings storage facilityGold. The ~~Court~~Donlin ~~retained~~Gold ~~jurisdiction~~Transaction ~~over~~marks ~~the~~a ~~case~~significant ~~during~~milestone ~~the remand and ordered the agencies to file periodic status updates with the court. The Corps,~~ in ~~consultation with BLM and other federal agencies, will be the lead agency for this Supplemental Environmental Impact Statement (SEIS) process to ensure~~ a ~~transparent, science~~long-~~based~~term ~~review~~strategy ~~that~~to ~~provides~~advance the ~~public and decision-makers with complete and accurate information. On October 27, 2025,~~ Donlin Gold ~~was~~project. ~~also formally accepted into the Fixing America~~NOVAGOLD’s ~~Transportation~~portion ~~Act~~of ~~(FAST-41) program and coordinated by~~ the ~~Federal~~acquisition ~~Permitting~~was ~~Improvement~~funded ~~Steering~~through ~~Council. The FAST-41 is~~ a ~~federal~~combination ~~initiative that increases transparency, accountability, and predictability in permitting. A Notice~~ of ~~Intent to prepare~~ a ~~SEIS was issued in January 2026, and the~~ public ~~comment~~equity ~~period~~offering ~~for the scoping process closed in February 2026. The Corps~~ and ~~cooperating~~a ~~agencies~~concurrent ~~will~~private review and consider comments received and proceed with preparation of the draft SEIS which is anticipated to be published in September 2026 in accordance with the coordinated FAST-41 permitting scheduleplacement.

1617

ToAmended ~~date, all permits~~ and ~~approvals~~Restated ~~granted~~Limited toLiability ~~Donlin~~Company ~~Gold~~Agreement byfor ~~federal and state agencies remain in place while the legal challenges described above proceed. We recognize the importance of preparedness and organization on these matters.~~ Donlin Gold and its owners continue their unwavering support of the state and federal agencies in defending their thorough and diligent permitting processes, including working with the federal agencies and all stakeholders on an appropriate remedy to address the Federal District Court’s remand decision. LLC

~~Financing~~In ~~Activities~~connection ~~During~~with ~~First~~the ~~Quarter~~closing of ~~2026~~the Donlin Gold Transaction, NGRA, DGH and Donlin Gold entered into an amended and restated limited liability company agreement (the “A&R LLC Agreement”) governing Donlin Gold, pursuant to which the Company and Paulson have equal governance rights. NGRA had previously entered into a limited liability company agreement with Barrick Gold and Donlin Gold (the “Prior LLC Agreement”) dated December 1, 2007, as amended from time to time. Pursuant to the terms of the A&R LLC Agreement, the primary amendments to the Prior LLC Agreement consist of the following:

● The ~~Company~~deadlock ~~completed~~provision acontained ~~private~~in ~~placement~~Article ~~offering~~XVI onof ~~February~~the 5,Prior ~~2026~~LLC ofAgreement ~~31,020,000~~has ~~common~~been ~~shares~~replaced atwith a ~~price~~provision ~~of $10.00 per share~~ for ~~aggregate~~non-binding ~~gross~~mediation ~~proceeds of $310.2 million less $16.2 million of issuance costs. The Company intends to use the net proceeds of the private placement~~ for ~~expenditures~~dispute ~~associated with Donlin Gold activities, exercise of the Company’s prepayment option on the promissory note with Barrick, and general corporate purposes~~resolution.

~~Overview~~● Consistent with the Prior LLC Agreement, the funding for Donlin Gold will be shared by both parties based on their percentage ownership. For example, since NGRA holds 60% of the membership interests of Donlin Gold, ~~Transaction~~it will have the responsibility to fund 60% of the expenses of Donlin Gold. However, regardless of the fact that DGH holds 40% of Donlin Gold, DGH and ~~Financing~~NGRA ~~Activities~~have ~~During~~equal ~~2025~~governance rights. This adjustment to the parties’ voting interests, as set forth in the A&R LLC Agreement means that (i) NGRA’s voting percentage interests are defined as its membership interest from time to time less an absolute 10% and (ii) DGH’s voting percentage interests are defined as its membership interest from time to time plus an absolute 10%. For this reason, although NGRA holds 60% of the membership interests of Donlin Gold, it only has a 50% voting interest.

On● ~~June~~The 3,parties ~~2025,~~agree ~~NOVAGOLD and Paulson, through wholly-owned subsidiaries, completed a $1 billion acquisition of Barrick’s 50% interest in Donlin Gold (the “Donlin Gold Transaction”) pursuant~~ to ~~the~~manage ~~terms of a membership interest purchase agreement dated April 22, 2025 (~~the ~~“MIPA”)~~operations ~~among Barrick Gold U.S. Inc. (“Barrick Gold”), Barrick, Paulson, Donlin Gold Holdings LLC (DGH), a subsidiary~~ of ~~Paulson, and NGRA, a subsidiary of the Company. NOVAGOLD, through NGRA, acquired an additional 10% interest in~~ Donlin Gold ~~for $200 million, increasing its stake to 60% of Donlin Gold, while Paulson, through DGH, acquired the remaining 40% interest for $800 million. Both owners have equal governance rights~~ in ~~Donlin Gold. The Donlin Gold Transaction marks~~ a ~~significant~~manner ~~milestone~~to inavoid aadverse ~~long-term~~tax ~~strategy~~consequences to ~~advance~~ the ~~Donlin~~parties, ~~Gold~~including ~~project.~~pursuant ~~NOVAGOLD’s~~to ~~portion~~Section 4943 of the ~~acquisition~~Internal ~~was~~Revenue ~~funded through a combination of a public equity offering and a concurrent private placement~~Code.

~~Amended~~● ~~and~~Certain ~~Restated~~provisions ~~Limited~~in ~~Liability~~the ~~Company~~Prior LLC Agreement ~~for~~have been deleted or amended as a result of such provisions being outdated or no longer relevant due to the current development and permitting status of Donlin Gold ~~LLC~~.

InAmended ~~connection with the closing of the Donlin Gold Transaction, NGRA, DGH~~ and ~~Donlin~~Restated ~~Gold~~Promissory entered into an amended and restated limited liability company agreement (the “A&R LLC Agreement”) governing Donlin Gold, pursuant to which the Company and Paulson have equal governance rights. NGRA had previously entered into a limited liability company agreement with Barrick Gold and Donlin Gold (the “Prior LLC Agreement”) dated December 1, 2007, as amended from time to time. Pursuant to the terms of the A&R LLC Agreement, the primary amendments to the Prior LLC Agreement consist of the following:Note

●Pursuant ~~The~~to ~~deadlock~~the ~~provision~~Prior ~~contained~~LLC Agreement for Donlin Gold, the Company issued a promissory note to Barrick Gold to repay Barrick out of future mine production cash flow for a portion of Barrick’s prior expenditures on the Donlin Gold project. Concurrent with the Donlin Gold Transaction announcement on April 22, 2025, NOVAGOLD entered into a prepayment option agreement with Barrick, which provided the Company with an option to prepay the promissory note in ~~Article~~full ~~XVI~~for $90 million prior to the closing of the ~~Prior~~Donlin ~~LLC~~Gold ~~Agreement~~Transaction. ~~has~~The ~~been~~$90 ~~replaced~~million prepayment option was not exercised prior to closing. In connection with athe ~~provision~~closing of the Donlin Gold Transaction, on June 3, 2025 NGRA and Barrick Gold amended and restated the promissory note primarily to (i) modify the security package in order to exclude any property held by Donlin Gold or membership interest in Donlin Gold held by NGRA, but ensure it remains secured by NGRA’s right, title and interest to proceeds from Donlin Gold and (ii) provide the ability for ~~non-binding~~NGRA ~~mediation~~to prepay and retire the promissory note for ~~dispute~~an ~~resolution~~aggregate of $100 million until December 3, 2026. In connection with the amended and restated promissory note, NGRA has made an irrevocable direction to Donlin Gold whereby Donlin Gold shall distribute to Barrick Gold, until the promissory note is fully repaid, 85% of distributed processed products, cash and other assets, and payments of 5% of certain net proceeds specified in the promissory note. As per the amended and restated promissory note, the principal amount owed is $158.9 million.

●Backstop ~~Consistent with the Prior LLC~~ Agreement, the funding for Donlin Gold will be shared by both parties based on their percentage ownership. For example, since NGRA holds 60% of the membership interests of Donlin Gold, it will have the responsibility to fund 60% of the expenses of Donlin Gold. However, regardless of the fact that DGH holds 40% of Donlin Gold, DGH and NGRA have equal governance rights. This adjustment to the parties’ voting interests, as set forth in the A&R LLC Agreement means that (i) NGRA’s voting percentage interests are defined as its membership interest from time to time less an absolute 10% and (ii) DGH’s voting percentage interests are defined as its membership interest from time to time plus an absolute 10%. For this reason, although NGRA holds 60% of the membership interests of Donlin Gold, it only has a 50% voting interest.

●In ~~The~~order ~~parties~~to ~~agree~~ensure toavailable ~~manage~~financing for the ~~operations~~Company’s $200 million obligation under the MIPA, funding commitments of ~~Donlin~~up ~~Gold~~to in$170 amillion ~~manner~~were obtained from Electrum, Paulson, and Kopernik Global Investors, LLC, on behalf of investment funds and accounts managed by them (“Kopernik”, together with Electrum and Paulson, the “Investors”) pursuant to ~~avoid~~a ~~adverse~~backstop ~~tax~~agreement ~~consequences~~dated April 22, 2025 (“Backstop Agreement”). Pursuant to the ~~parties~~Backstop Agreement, ~~including~~the ~~pursuant~~Investors agreed to ~~Section~~purchase, ~~4943~~on ofa non-brokered, private placement basis, up to $170 million in the ~~Internal~~Company’s ~~Revenue~~common ~~Code~~shares at $3.00 per share, representing up to 56,666,667 common shares in the aggregate.

● Certain provisions in the Prior LLC Agreement have been deleted or amended as a result of such provisions being outdated or no longer relevant due to the current development and permitting status of Donlin Gold.18

~~Amended~~While the Company did not exercise its rights provided by the Backstop Agreement, in consideration for entering into the Backstop Agreement, the Company issued an aggregate of 25,500,000 warrants to purchase the Company’s common shares (the “Warrants”), with each Warrant entitling the holder thereof to purchase one common share (a “Warrant Share”) at an exercise price of $3.00 per Warrant Share for a period of five years from the date of issuance. The Warrants contain a “cashless exercise” feature, such that, in lieu of making the cash payment otherwise contemplated to be made upon such exercise of the Warrant, the holder may elect instead to receive upon such exercise (either in whole or in part) the net number of common shares determined according to a formula set forth in the Warrants. The Warrants were issued in the following amounts: (i) 12,750,000 Warrants to Paulson; (ii) 6,375,000 Warrants to Electrum; and ~~Restated~~(iii) ~~Promissory~~6,375,000 ~~Note~~Warrants to Kopernik. During the six months ended May 31, 2026, 796,875 Warrants were exercised by way of the cashless exercise feature, resulting in the issuance of 569,333 NOVAGOLD shares and the cancellation of 227,542 Warrants to cover the exercise price. As at May 31, 2026, 24,703,125 Backstop Warrants remained outstanding.

~~Pursuant~~The toBackstop ~~the Prior LLC~~ Agreement ~~for~~further ~~Donlin~~provided ~~Gold,~~ the ~~Company~~Investors ~~issued~~with aregistration ~~promissory~~rights, ~~note~~pursuant to ~~Barrick~~which ~~Gold~~the toCompany ~~repay~~had ~~Barrick~~agreed ~~out~~to, ofamong ~~future~~other ~~mine~~things, ~~production~~file ~~cash flow for~~ a ~~portion~~registration ofstatement ~~Barrick’s~~with ~~prior~~the ~~expenditures~~SEC onregistering the ~~Donlin~~resale ~~Gold~~of ~~project. Concurrent with~~ the ~~Donlin~~Warrant ~~Gold~~Shares ~~Transaction~~and ~~announcement~~to oncause ~~April~~such ~~22,~~registration ~~2025,~~statement ~~NOVAGOLD~~to ~~entered~~remain ~~into~~effective auntil ~~prepayment option agreement with Barrick, which provided~~ the ~~Company~~earlier ~~with~~of an(a) ~~option~~three toyears ~~prepay~~from the ~~promissory~~issuance ~~note in full for $90 million prior to the closing~~ of the ~~Donlin~~Subscribed ~~Gold~~Shares ~~Transaction.~~(which ~~The~~were ~~$90 million prepayment option was~~ not ~~exercised~~issued), ~~prior~~(b) tothe ~~closing.~~date Inon ~~connection~~which ~~with~~all ~~the closing~~ of the ~~Donlin~~Subscribed ~~Gold~~Shares ~~Transaction, on June 3, 2025 NGRA~~ and ~~Barrick~~Warrant ~~Gold~~Shares ~~amended~~shall ~~and~~have ~~restated~~been ~~the~~sold, ~~promissory~~or ~~note primarily to~~ (ic) ~~modify~~on the ~~security~~first ~~package~~date inon ~~order~~which toeach ~~exclude~~Investor ~~any~~can ~~property~~sell ~~held~~all byof ~~Donlin~~its ~~Gold~~Subscribed Shares and/or ~~membership~~Warrant ~~interest~~Shares in(or ~~Donlin~~shares ~~Gold~~received ~~held~~in byexchange ~~NGRA,~~therefor) ~~but~~under ~~ensure~~Rule it144 ~~remains~~of ~~secured~~the bySecurities ~~NGRA’s~~Act ~~right,~~without ~~title~~limitation ~~and~~as ~~interest~~ to ~~proceeds from Donlin Gold and (ii) provide~~ the ~~ability~~manner ~~for~~of ~~NGRA~~sale toor ~~prepay and retire~~ the ~~promissory~~amount ~~note for an aggregate~~ of ~~$100~~such ~~million~~securities ~~until~~that ~~December~~may 3,be ~~2026~~sold. InThe ~~connection~~Backstop ~~with~~Agreement ~~the~~also ~~amended~~contained ~~and~~customary ~~restated~~indemnification ~~promissory~~and ~~note,~~other ~~NGRA~~provisions ~~has~~customary ~~made~~for anregistration ~~irrevocable~~rights ~~direction~~of tothis ~~Donlin~~type. ~~Gold~~Pursuant ~~whereby~~to ~~Donlin~~discussions ~~Gold~~with ~~shall~~the ~~distribute~~Investors toand ~~Barrick Gold, until~~ the ~~promissory~~Placement ~~note~~Investors is(as ~~fully~~defined ~~repaid~~below), ~~85%~~the ofCompany ~~distributed~~may ~~processed~~file ~~products,~~a ~~cash~~resale ~~and~~registration ~~other~~statement ~~assets,~~in ~~and~~the ~~payments~~future ofupon 5%request of ~~certain~~such ~~net~~investors ~~proceeds~~with ~~specified~~respect into the ~~promissory~~Warrant ~~note.~~Shares Asor ~~per~~common ~~the~~shares ~~amended~~issued ~~and~~pursuant ~~restated~~to ~~promissory note,~~ the ~~principal~~Subscription ~~amount~~Agreement ~~owed~~(as isdefined ~~$158~~below).~~9 million.~~

17Public Offering and Concurrent Private Placement

~~Backstop~~On May 7, 2025, the Company entered into an underwriting agreement related to a public offering of 47,850,000 of the Company’s common shares at a public offering price of $3.75 per share (the “Underwriting Agreement”). In addition, the Company granted the underwriters an option exercisable for 30 days from the date of the Underwriting Agreement to purchase up to 7,177,500 of additional common shares of the Company (the “Overallotment Option”). The net proceeds from the public offering were approximately $169.7 million. The Overallotment Option was exercised in full on June 5, 2025, bringing the total net proceeds to the Company for the public offering and the Overallotment Option to approximately $195.2 million after deducting the underwriting discount and offering expenses. The Company made certain customary representations, warranties and covenants concerning the Company and the registration statement in the Underwriting Agreement and also agreed to indemnify the underwriters against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the “Securities Act”).

InConcurrently ~~order~~with tothe ~~ensure~~public ~~available~~offering ~~financing~~announced ~~for~~in May 2025, the Company’s ~~$200~~completed ~~million~~a ~~obligation~~private ~~under~~placement ~~the~~offering ~~MIPA,~~on ~~funding~~May ~~commitments~~9, 2025 of up17,173,853 tocommon ~~$170~~shares ~~million~~at ~~were~~a ~~obtained~~price ~~from~~equal ~~Electrum,~~to ~~Paulson,~~the ~~and~~public ~~Kopernik~~offering ~~Global~~price ~~Investors,~~for ~~LLC,~~aggregate ongross ~~behalf~~proceeds of approximately $64.4 million with Electrum and investment funds and accounts managed by ~~them (“~~Kopernik”, ~~together~~Global ~~with~~Investors, ~~Electrum~~LLC ~~and~~(each ~~Paulson,~~a ~~the~~ “~~Investors~~Placement Investor”). ~~pursuant~~The toCompany entered into a ~~backstop~~Subscription ~~agreement~~Agreement dated ~~April~~May 227, 2025 (the “~~Backstop~~Subscription Agreement”). ~~Pursuant~~with toeach ~~the~~of ~~Backstop Agreement,~~ the Placement Investors ~~agreed~~setting toout ~~purchase,~~the onterms aof ~~non-brokered,~~the concurrent private placement ~~basis~~, upwhich toincluded ~~$170~~similar ~~million~~resale inregistration ~~the~~rights ~~Company’s~~as ~~common~~contained ~~shares~~in atthe $3Backstop Agreement.00 ~~per~~The ~~share,~~concurrent ~~representing~~private upplacement toclosed ~~56,666,667~~on ~~common~~May ~~shares~~9, ~~in the aggregate~~2025.

~~While~~Second ~~the~~Quarter Company did not exercise its rights provided by the Backstop Agreement, in consideration for entering into the Backstop Agreement, the Company issued an aggregate of 25,500,000 warrants to purchase the Company’s common shares (the “Warrants”), with each Warrant entitling the holder thereof to purchase one common share (a “Warrant Share”) at an exercise price of $3.00 per Warrant Share for a period of five years from the date of issuance. The Warrants contain a “cashless exercise” feature, such that, in lieu of making the cash payment otherwise contemplated to be made upon such exercise of the Warrant, the holder may elect instead to receive upon such exercise (either in whole or in part) the net number of common shares determined according to a formula set forth in the Warrants. The Warrants were issued in the following amounts: (i) 12,750,000 Warrants to Paulson; (ii) 6,375,000 Warrants to Electrum; and (iii) 6,375,000 Warrants to Kopernik. During the three months ended February 28, 2026, ~~796,875~~Financial Warrants were exercised by way of the cashless exercise feature, resulting in the issuance of 569,333 NOVAGOLD shares and the cancellation of 227,542 Warrants to cover the exercise price. As at February 28, 2026, 24,703,125 Backstop Warrants remained outstanding.Results

~~The~~Net ~~Backstop~~loss ~~Agreement~~and ~~further~~loss ~~provided~~per ~~the~~share ~~Investors~~in ~~with~~the ~~registration~~second ~~rights,~~quarter ~~pursuant~~of to2026 ~~which~~were ~~the~~$25.5 ~~Company~~million ~~had~~and ~~agreed to~~$0.06, ~~among other things~~respectively, ~~file~~compared ato ~~registration~~net ~~statement~~loss ~~with~~and ~~the~~loss ~~SEC~~per ~~registering~~share ~~the resale~~ of ~~the~~$54.3 million ~~Warrant Shares~~ and to$0.15, ~~cause~~respectively, ~~such~~in ~~registration statement to remain effective until~~ the ~~earlier~~second ofquarter ~~(a) three years from the issuance~~ of ~~the~~2025. ~~Subscribed~~NOVAGOLD’s ~~Shares~~net ~~(which~~loss ~~were~~during ~~not issued), (b)~~ the ~~date~~second onquarter ~~which all~~ of ~~the~~2026 ~~Subscribed~~decreased ~~Shares~~by ~~and~~$28.8 ~~Warrant~~million ~~Shares~~from ~~shall have been sold, or (c) on~~ the ~~first~~comparable ~~date~~prior onyear ~~which~~period ~~each~~primarily ~~Investor~~due ~~can~~to ~~sell~~a ~~all~~$39.6 ofmillion ~~its~~non-cash ~~Subscribed~~charge ~~Shares~~recognized ~~and/or Warrant Shares (or shares received~~ in ~~exchange therefor) under Rule 144 of~~ the ~~Securities~~prior ~~Act~~year ~~without~~related ~~limitation as~~ to ~~the~~warrants ~~manner~~issued ofunder ~~sale or~~ the ~~amount of such securities that may be sold. The~~ Backstop Agreement ~~also~~signed ~~contained~~on ~~customary~~April ~~indemnification~~22, ~~and~~2025 ~~other provisions customary for registration rights of this type. Pursuant to discussions with the Investors~~ and ~~the~~higher ~~Placement~~interest ~~Investors~~income ~~(as defined below), the Company may file a resale registration statement~~ in ~~the~~2026 ~~future~~partially ~~upon~~offset ~~request~~by ofhigher ~~such~~expenditures ~~investors~~at ~~with~~Donlin ~~respect~~Gold due to ~~the~~ongoing ~~Warrant~~BFS ~~Shares~~activities orand ~~common~~higher ~~shares~~general ~~issued~~and ~~pursuant~~administrative toexpenses ~~the~~at ~~Subscription Agreement (as defined below)~~NOVAGOLD.

~~Public~~The ~~Offering~~Company’s share of Donlin Gold expenses in the second quarter of 2026 was $10.4 million higher than the comparative prior year period due to ongoing 2026 activities by Fluor, WSP, Worley and ~~Concurrent~~Hatch ~~Private~~to ~~Placement~~advance Donlin Gold’s BFS update and the Company’s share of Donlin Gold expenditures increasing by 10% to 60% starting in the third quarter of 2025. General and administrative expenses increased in the second quarter of 2026 by $3.1 million from the comparable prior year period primarily due to higher professional fees, share-based compensation and employee compensation. Professional fees were elevated during the second quarter and the first six months of 2026 but remained generally in line with quarterly cadence expectations and are expected to decline during the remainder of the year. Share-based compensation expense in the second quarter increased by $0.9 million versus the comparative 2025 period primarily due to the issuance of two annual share award grants during the trailing twelve-month period contributing to a disproportionately larger share-based compensation expense during the second quarter and the first six months of 2026.

On May 7, 2025, the Company entered into an underwriting agreement related to a public offering of 47,850,000 of the Company’s common shares at a public offering price of $3.75 per share (the “Underwriting Agreement”). In addition, the Company granted the underwriters an option exercisable for 30 days from the date of the Underwriting Agreement to purchase up to 7,177,500 of additional common shares of the Company (the “Overallotment Option”). The net proceeds from the public offering were approximately $169.7 million. The Overallotment Option was exercised in full on June 5, 2025, bringing the total net proceeds to the Company for the public offering and the Overallotment Option to approximately $195.2 million after deducting the underwriting discount and offering expenses. The Company made certain customary representations, warranties and covenants concerning the Company and the registration statement in the Underwriting Agreement and also agreed to indemnify the underwriters against certain liabilities, including liabilities under the Securities Act of 1933, as amended (the “Securities Act”).19

18Net loss and loss per share for the six months ended May 31, 2026 were $40.9 million and $0.10, respectively, compared to net loss and loss per share of $63.4 million and $0.19, respectively, for the first six months of 2025. NOVAGOLD’s net loss during the first six months of 2026 decreased by $22.5 million from the comparable prior year period primarily due to the same reasons discussed above.

~~Concurrently~~Liquidity with the public offering announced in May 2025, the Company completed a private placement offering on May 9, 2025 of 17,173,853 common shares at a price equal to the public offering price for aggregate gross proceeds of approximately $64.4 million with Electrum and ~~investments~~Capital funds and accounts managed by Kopernik Global Investors, LLC (each a “Placement Investor”). The Company entered into a Subscription Agreement dated May 7, 2025 (the “Subscription Agreement”) with each of the Placement Investors setting out the terms of the concurrent private placement, which included similar resale registration rights as contained in the Backstop Agreement. The concurrent private placement closed on May 9, 2025.Resources

~~First~~Liquidity ~~Quarter 2026 Financial Results~~overview

~~Net~~The ~~loss~~Company monitors its liquidity and ~~loss~~capital ~~per~~resources ~~share~~on ina ~~the~~regular ~~first~~basis ~~quarter~~to ofensure ~~2026~~it ~~were~~has ~~$15.4~~sufficient ~~million~~liquidity and ~~$0.04,~~capital ~~respectively,~~resources ~~compared~~ to ~~net~~meet ~~loss~~its ~~and~~current ~~loss~~operating ~~per~~and ~~share~~capital ~~of $9~~requirements.6 ~~million~~As ~~and~~of ~~$0.03~~May 31, ~~respectively~~2026, in the ~~first~~Company ~~quarter~~had ofcash ~~2025.~~resources ~~NOVAGOLD’s~~comprising ~~net~~cash ~~loss~~and ~~during~~cash ~~the~~equivalents, ~~first~~term ~~quarter~~deposits, ofand ~~2026~~marketable ~~increased~~securities bytotaling approximately $6371.34 million, ~~from~~which ~~the~~we ~~comparable~~believe ~~prior~~is ~~year~~sufficient ~~period primarily due~~ to ~~higher~~complete ~~expenditures~~the at Donlin Gold ~~following the commencement of~~ BFS, ~~related~~exercise ~~activities~~our ~~including~~option ~~hiring~~to ~~for~~prepay ~~key~~the ~~roles~~Barrick onpromissory ~~the~~note ~~Donlin~~later ~~Gold~~in ~~project~~2026 ~~team~~ and ~~higher~~cover corporate general and administrative ~~expenses~~costs for at ~~NOVAGOLD~~least the next twelve months.

~~The~~With ~~Company’s share of Donlin Gold expenses in~~ the ~~first~~commencement ~~quarter~~ of ~~2026 was $3.9 million higher than~~ the ~~comparative prior year period due to camp remaining open this winter, increased project activity following Fluor being awarded the lead engineering role for the~~ Donlin Gold BFS in early ~~February~~ -2026, ~~and the Company~~NOVAGOLD’s share of Donlin Gold expenditures ~~increasing~~is byexpected ~~10%~~ to ~~60%~~increase ~~starting~~over in the ~~third~~next ~~quarter~~15 ofto ~~2025.~~21 ~~General~~months ~~and~~compared ~~administrative~~to ~~expenses~~historical ~~increased~~levels. inThe ~~the~~Company ~~first~~believes ~~quarter~~it ofis ~~2026~~fully byfunded ~~$3.9~~to ~~million~~complete ~~from~~ the ~~comparable~~Donlin ~~prior~~Gold ~~year~~BFS ~~period~~and ~~primarily~~intends ~~due~~ to ~~higher~~exercise ~~professional~~its ~~fees~~option ~~and~~to ~~share-based~~prepay ~~compensation.~~the ~~Professional~~Barrick ~~fees~~promissory ~~were~~note ~~elevated~~in ~~during~~2026. ~~the~~The ~~first~~Company ~~quarter~~expects ~~but~~to ~~remained~~raise inadditional ~~line~~capital ~~with~~at ~~quarterly~~some ~~cadence~~point ~~expectations and are expected~~ to ~~decline~~support ~~from~~additional ~~first~~future ~~quarter~~activities, ~~levels~~including ~~during~~ the ~~remainder~~commencement of ~~the~~detailed ~~year and remain within previously issued 2026 guidance~~engineering. ~~Share-based~~As ~~compensation~~a ~~expense~~result inof ~~the~~a ~~first~~delinquent ~~quarter~~filing ~~increased~~of bya ~~$0.9~~Form ~~million~~8-K ~~versus~~in ~~the~~June ~~comparative~~ 2025, ~~period~~NOVAGOLD ~~primarily~~will ~~due~~not tobe ~~the~~eligible ~~issuance~~to ofuse ~~two~~a ~~annual~~Form ~~share award grants during the last twelve~~S-~~month~~3 ~~period~~registration ~~contributing~~statement to aregister ~~disproportionately~~its ~~larger~~securities ~~share-based~~with ~~compensation~~the ~~expense~~SEC ~~during~~until ~~the~~July ~~quarter~~2026.

~~Liquidity~~Future funding to support developing the Donlin Gold project is anticipated to include, among other things, a combination of corporate debt and ~~Capital~~equity, ~~Resources~~project specific debt, infrastructure financing and potentially a royalty, stream and/or government support. NOVAGOLD’s continued operations, in the longer term, are dependent on its ability to generate future cash flows and maintain sufficient capital resources. There is no assurance that the Company will be successful in its efforts to raise additional capital on favorable terms, or at all. For further information, refer to the section titled Item 1A. Risk Factors – Our ability to continue the exploration, permitting and development of the Donlin Gold project, to complete the Bankable Feasibility Study for the Donlin Gold project, to fund construction of the Donlin Gold project, and to continue as a going concern, will depend in part on our ability to obtain suitable financing in our Annual Report on Form 10-K.

~~Liquidity~~NOVAGOLD’s ~~overview~~anticipated operating expenditures during fiscal year 2026 are unchanged from previously issued guidance of approximately $98.5 million, including $78.8 million to fund the Donlin Gold project, and $19.7 million for corporate general and administrative costs.

The Company’s ~~monitors~~financial ~~its~~position ~~liquidity~~includes ~~and~~the ~~capital~~following ~~resources~~as ~~on a regular basis to ensure it has sufficient liquidity and capital resources to meet its current operating and capital requirements. As~~ of ~~February~~May 2831, 2026, the Company had cash resources comprising cash and cash equivalents, term deposits, and marketable securities totaling approximately $394.2 million, which are sufficient to cover the anticipated funding costs in respect of the Donlin Gold project and corporate general and administrative costs for at least the next twelve months.:

~~With~~● ~~the~~Cash commencement of the Donlin Gold BFS during the first quarter of 2026, NOVAGOLD’s pro-rata share of Donlin Gold expenditures is expected to increase over the next 18 to 24 months from fiscal 2025 levels. The Company believes it is fully funded to complete the Donlin Gold BFS and tocash ~~exercise~~equivalents ~~its option to prepay the Barrick promissory note. The Company expects to raise additional capital at some point to support additional future activities, including the commencement~~ of ~~detailed engineering~~$78.2 ~~As a result of a delinquent filing of a Form 8-K in June 2025~~million, ~~NOVAGOLD~~primarily ~~will~~held ~~not~~at bethree ~~eligible~~Canadian tochartered ~~use~~banks ~~a Form S-3 registration statement to register its securities~~ with ~~the~~investment ~~SEC~~grade ~~until~~credit ~~July 2026~~ratings. ~~This may adversely impact the Company’s ability to raise additional capital prior to that time.~~

~~Future~~● ~~funding~~Term todeposits ~~support developing the Donlin Gold project is anticipated to include, among other things, a combination~~ of ~~corporate debt and equity, project specific debt, and potentially a royalty, stream and government support~~$292.0 ~~NOVAGOLD’s~~million ~~continued~~held ~~operations,~~at intwo ~~the~~Canadian ~~longer~~chartered ~~term,~~banks ~~are dependent on its ability to generate future cash flows~~ and ~~maintain~~one ~~sufficient~~large ~~capital resources~~U. ~~There is no assurance that the Company will be successful in its efforts to raise additional capital on favorable terms, or at all~~S. ~~For~~bank ~~further~~with ~~information,~~investment ~~refer~~grade tocredit ~~the~~ratings ~~section titled Item 1A. Risk Factors – Our ability to continue the exploration, permitting~~ and ~~development~~maturities of ~~the~~less ~~Donlin~~than ~~Gold~~one project, to complete the Bankable Feasibility Study for the Donlin Gold project, to fund construction of the Donlin Gold project, and to continue as a going concern, will depend in part on our ability to obtain suitable financing in our Annual Report on Form 10-Kyear.

19● Marketable securities valued at $1.2 million that are traded on active markets.

~~NOVAGOLD’s~~● ~~anticipated~~Promissory ~~operating~~note ~~expenditures~~payable ~~during~~to ~~fiscal~~Barrick ~~year~~of ~~2026~~$173.6 million, including accrued interest at U.S. prime plus 2%, compounded semi-annually. The promissory note and accrued interest are ~~unchanged~~payable from ~~previously~~85% ~~issued~~of ~~guidance~~distributed processed products, cash and other assets, and payments of ~~approximately~~5% ~~$98~~of certain net proceeds specified in the promissory note.5 ~~million~~On June 3, ~~including~~2025, ~~$78.8~~the ~~million~~Company entered into an amended and restated secured promissory note with Barrick that provides the Company with an option to ~~fund~~prepay the ~~Donlin~~promissory ~~Gold~~note ~~project,~~in ~~and~~full for $~~19.7~~100 million ~~for~~on ~~corporate~~or ~~general~~before ~~and~~December ~~administrative~~3, ~~costs~~2026.

~~The Company’s financial position includes the following as of February 28, 2026:~~20

● Cash ~~and cash equivalents of $117.5 million, primarily held at three Canadian chartered banks with investment grade credit ratings.~~flows

●In ~~Term~~the ~~deposits~~second quarter of 2026, cash and cash equivalents decreased by $~~275~~39.03 million, ~~held~~primarily atdue ~~two~~to ~~Canadian~~$17.0 ~~chartered~~million ~~banks~~in ~~and~~purchases ~~one~~of ~~large~~term Udeposits, $16.S.3 ~~bank~~million ~~with~~in ~~investment~~Donlin ~~grade~~Gold ~~credit~~funding ~~ratings~~and $6.4 million in corporate general and ~~maturities~~administrative ofcosts, less ~~than~~$0.5 ~~one~~million ~~year~~in proceeds from the sale of marketable securities.

●Cash ~~Marketable~~used ~~securities~~in ~~valued~~operating atactivities during the second quarter of 2026 was $14.78 million ~~that~~higher ~~are~~than ~~traded~~the oncomparative ~~active~~prior ~~markets~~year period. Cash used in investing activities during the second quarter of 2026 increased by $60.0 million from the comparative prior year period primarily due to $51.0 million lower net redemption of term deposits and $9.5 million in incremental Donlin Gold funding partially offset by $0.5 million in proceeds from the sale of marketable securities. Funding of Donlin Gold was higher in the second quarter of 2026 compared to the same period in 2025 due to the commencement of the Donlin Gold BFS in early-2026 and due to the Company’s share of Donlin Gold funding increasing by 10% to 60% starting in the third quarter of 2025.

●Cash ~~Promissory~~provided ~~note~~by ~~payable~~financing toactivities ~~Barrick~~during ofthe ~~$169.9~~second ~~million,~~quarter ~~including~~of ~~accrued~~2026 ~~interest~~decreased atby U$234.S.1 ~~prime~~million ~~plus 2%, compounded semi-annually. The promissory note and accrued interest are payable~~ from ~~85%~~the ofcomparative ~~distributed~~prior ~~processed~~year ~~products,~~period ~~cash~~primarily ~~and~~due ~~other~~to ~~assets,~~a ~~and payments of 5% of certain net proceeds specified in the promissory note~~$243.8 Onmillion ~~June~~public 3,equity ~~2025,~~offering ~~the Company entered into an amended~~ and ~~restated~~concurrent ~~secured~~private ~~promissory~~placement ~~note~~in ~~with Barrick that provides~~ the ~~Company~~prior ~~with~~year anperiod ~~option~~less ~~to prepay the promissory note in full for~~ $~~100~~9.7 million onof orissuance ~~before December 3, 2026~~costs.

~~Cash~~Outstanding ~~flows~~Share Data

InAs of June 19, 2026, the ~~first~~Company ~~quarter~~had 438,780,614 common shares issued and outstanding. Also, as of June 19, 2026, ~~cash~~the ~~and~~Company ~~cash~~had: ~~equivalents~~i) ~~increased~~a bytotal ~~$7.4~~of ~~million~~24,703,125 ~~primarily~~warrants ~~due~~outstanding towith an exercise price of $~~310~~3.200 ~~million~~per inshare; ~~proceeds~~ii) ~~from~~a total of 9,547,034 stock options outstanding; 8,189,534 with a ~~private~~weighted-average ~~placement~~exercise ~~offering~~price ~~less~~of $165.242 ~~million~~per share and the remaining 1,357,500 of ~~issuance~~those ~~costs~~stock ~~and~~options with a weighted-average exercise price of C$47.124 ~~million~~per inshare; ~~proceeds~~and ~~from~~iii) ~~the~~1,902,400 ~~sale~~PSUs; ofand ~~marketable~~iv) ~~securities~~331,338 ~~partially~~deferred ~~offset~~share byunits ~~$270~~outstanding.0 ~~million~~Upon inexercise ~~net~~or ~~purchases~~pay out, as applicable, of ~~term~~the ~~deposits~~foregoing convertible securities, ~~$15.5~~the ~~million~~Company inwould ~~Donlin~~be ~~Gold~~required ~~funding~~to ~~and~~issue ~~corporate~~a ~~general~~maximum ~~and~~of ~~administrative~~37,435,097 ~~costs~~common shares.

Cash used in operating activities during the first quarter of 2026 was $0.2 million lower than the comparative prior year period. Cash used in investing activities during the first quarter of 2026 increased by $278.7 million from the comparative prior year period primarily due to $270.0 million in net purchases of term deposits and $11.9 million in incremental Donlin Gold funding partially offset by $3.2 million in proceeds from the sale of marketable securities. Funding of Donlin Gold was higher in the first quarter of 2026 compared to the same period in 2025 due to increased activity following the commencement of the Donlin Gold BFS in early February 2026 and due to the Company’s share of Donlin Gold funding increasing by 10% to 60% starting in the third quarter for 2025.21

~~Cash~~Item ~~provided by financing activities during the first quarter of 2026 increased by $294~~3.1 ~~million~~Quantitative ~~from~~and ~~the~~Qualitative ~~comparative~~Disclosures ~~prior~~about ~~year~~Market ~~period primarily due to $310.2 million in proceeds from a private placement offering less $16.2 million of issuance costs.~~Risk

~~Outstanding~~Our ~~share~~financial ~~data~~instruments are exposed to certain financial risks, including credit and interest rate risks.

AsCredit of March 27, 2026, the Company had 438,780,614 common shares issued and outstanding. Also, as of March 27, 2026, the Company had: i) a total of 24,703,125 warrants outstanding with an exercise price of $3.00 per share; ii) a total of 9,606,600 stock options outstanding; 8,249,100 with a weighted-average exercise price of $5.41 per share and the remaining 1,357,500 of those stock options with a weighted-average exercise price of C$7.24 per share; and iii) 1,979,800 PSUs; and iv) 321,573 deferred share units outstanding. Upon exercise or pay out, as applicable, of the foregoing convertible securities, the Company would be required to issue a maximum of 37,600,998 common shares.risk

20Concentration of credit risk exists with respect to our cash and cash equivalents, and term deposit investments. Cash and cash equivalents are primarily held at three Canadian chartered banks with investment grade credit ratings. All term deposits are held at two Canadian chartered banks and one large U.S. bank with investment grade credit ratings and have maturities of less than one year.

~~Item~~Interest 3.rate ~~Quantitative and Qualitative Disclosures about Market Risk~~risk

~~Our~~The ~~financial~~interest ~~instruments~~rate ~~are~~on ~~exposed~~the promissory note owed to ~~certain~~Barrick ~~financial~~is ~~risks,~~variable ~~including~~with ~~credit~~the U.S. prime rate. Based on the amount owing on the promissory note as of May 31, 2026, and ~~interest~~assuming all other variables remain constant, a 1% change in the U.S. prime rate ~~risks~~would result in an increase/decrease of approximately $1.7 million in the interest accrued on the promissory note per annum.

~~Credit~~Item ~~risk~~4. Controls and Procedures

~~Concentration~~Management, with the participation of ~~credit~~our ~~risk~~President ~~exists~~and ~~with~~Chief ~~respect~~Executive toOfficer and Chief Financial Officer, evaluated the effectiveness of our ~~cash~~disclosure controls and ~~cash~~procedures ~~equivalents,~~(as defined in Rules 13a-15(e) and ~~term~~15d-15(e) ~~deposit~~of ~~investments~~the Exchange Act) as of May 31, 2026. ~~Cash~~On the basis of this review, our President and ~~cash~~Chief ~~equivalents~~Executive ~~are~~Officer ~~primarily~~and ~~held~~Chief atFinancial ~~three~~Officer ~~Canadian~~concluded ~~chartered~~that ~~banks~~our ~~with~~disclosure ~~investment~~controls ~~grade~~and ~~credit~~procedures ~~ratings.~~are ~~All~~effective ~~term~~to ~~deposits~~ensure that the information we are ~~held~~required atto ~~two~~disclose ~~Canadian~~in ~~chartered~~reports ~~banks~~that we file or submit under the Exchange Act is recorded, processed, summarized and ~~one~~reported ~~large~~within ~~U.S.~~the ~~bank~~time ~~with~~periods ~~investment~~specified ~~grade~~in ~~credit~~the ~~ratings~~rules and ~~maturities~~forms of ~~less~~the ~~than~~SEC ~~one~~and ~~year~~to ensure that information required to be disclosed in the reports filed or submitted under the Exchange Act is accumulated and communicated to our management, including our President and Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.

~~Interest~~There ~~rate~~have ~~risk~~not been any changes in the Company’s internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) promulgated by the SEC under the Exchange Act) during the Company’s most recently completed fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Company’s internal control over financial reporting. The Company’s internal controls over financial reporting are based on criteria established in Internal Control – Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.

The interest rate on the promissory note owed to Barrick is variable with the U.S. prime rate. Based on the amount owing on the promissory note as of February 28, 2026, and assuming all other variables remain constant, a 1% change in the U.S. prime rate would result in an increase/decrease of approximately $1.7 million in the interest accrued on the promissory note per annum.22

~~Item~~PART 4.II - ~~Controls~~OTHER ~~and Procedures~~INFORMATION

~~Management,~~Item with the participation of our President and Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Exchange Act) as of February 28, 20261. OnLegal the basis of this review, our President and Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures are effective to ensure that the information we are required to disclose in reports that we file or submit under the Exchange Act is recorded, processed, summarized and reported within the time periods specified in the rules and forms of the SEC and to ensure that information required to be disclosed in the reports filed or submitted under the Exchange Act is accumulated and communicated to our management, including our President and Chief Executive Officer and Chief Financial Officer, as appropriate to allow timely decisions regarding required disclosure.Proceedings

~~There~~From ~~have~~time ~~not~~to ~~been~~time, ~~any~~the ~~changes~~Company inmay ~~the~~be ~~Company’s~~a ~~internal~~party ~~control~~to ~~over~~litigation ~~financial~~or ~~reporting~~legal ~~(as~~proceedings ~~defined~~that inare ~~Rules~~considered ~~13a-15(f)~~ordinary ~~and~~routine ~~15d-15(f)~~litigation ~~promulgated~~incidental byto ~~the~~our ~~SEC~~business ~~under~~or not material. Notwithstanding the ~~Exchange~~foregoing, ~~Act)~~please ~~during~~refer to the ~~Company’s~~sections ~~most~~titled ~~recently~~Litigation ~~completed~~in ~~fiscal~~Item ~~quarter~~7 ~~that~~– ~~have~~Management’s ~~materially~~Discussion ~~affected,~~and orAnalysis ~~are~~of ~~reasonably~~Financial ~~likely~~Condition toand ~~materially~~Results ~~affect,~~of ~~the~~Operations ~~Company’s~~in ~~internal~~our ~~control~~Annual ~~over~~Report ~~financial~~on ~~reporting.~~Form ~~The~~10-K ~~Company’s~~and ~~internal~~Upholding ~~controls~~current ~~over~~permits ~~financial~~and ~~reporting~~working ~~are~~to ~~based~~secure onkey ~~criteria~~state ~~established~~approvals in ~~Internal~~Item ~~Control~~2 – ~~Integrated~~Management’s ~~Framework~~Discussion ~~(2013)~~and ~~issued~~Analysis byof ~~the~~Financial ~~Committee~~Condition and Results of ~~Sponsoring~~Operations ~~Organizations~~in ofthis ~~the~~Quarterly ~~Treadway~~Report ~~Commission~~on Form 10-Q.

21Item 1A. Risk Factors

~~PART~~Except II as set forth below, there have been no material changes to the risk factors set forth in our Annual Report on Form 10-K. ~~OTHER~~The ~~INFORMATION~~risk factors in our Annual Report on Form 10-K, in addition to the other information set forth in this quarterly report, could materially affect our business, financial condition or results of operations. Additional risks and uncertainties not currently known to us or that we deem to be immaterial could also materially adversely affect our business, financial condition or results of operations.

~~Item~~Increases 1.in ~~Legal~~energy ~~Proceedings~~prices and inflationary pressures could materially increase our capital and operating costs and adversely affect the economic viability of our projects.

~~From~~Global ~~time~~energy tomarkets ~~time,~~have ~~the~~experienced ~~Company~~significant ~~may~~volatility, beincluding aincreases ~~party~~in tooil ~~litigation~~and orfuel ~~legal~~prices ~~proceedings~~associated ~~that~~with ~~are~~geopolitical ~~considered~~developments ~~ordinary~~involving ~~routine~~Iran ~~litigation~~and ~~incidental~~disruptions to ~~our~~shipping ~~business~~through ~~or not material. Notwithstanding~~ the ~~foregoing,~~Strait ~~please~~of ~~refer~~Hormuz. toProlonged ~~the~~disruptions ~~section titled Litigation~~ in ~~Item~~global 7.energy ~~Management’s~~supply ~~Discussion~~or ~~and~~transportation ~~Analysis~~routes ofmay ~~Financial~~lead ~~Condition~~to ~~and~~sustained ~~Results~~increases ~~of Operations~~ in ~~our~~oil ~~Annual~~and ~~Report~~other onenergy ~~Form 10-K~~prices.

~~Item~~Energy 1Acosts are a significant component of the cost of developing and operating mining projects. ~~Risk~~Sustained ~~Factors~~increases in the price of oil, fuel, power and other energy inputs may increase the cost of construction, transportation, equipment operation and the production and delivery of consumables used in mining operations. Higher energy prices may also contribute to broader inflationary pressures affecting the costs of labor, materials, equipment, reagents, contractors and other services required for the development and operation of our projects.

~~Except~~Estimated ascapital ~~set~~costs, ~~forth~~operating ~~below~~costs, ~~there~~production ~~have~~levels ~~been~~and noeconomic ~~material~~returns ~~changes~~for to the ~~risk~~Donlin ~~factors~~Gold ~~set~~project ~~forth~~are inbased ~~our~~on ~~Annual~~assumptions ~~Report~~regarding, onamong ~~Form~~other ~~10-K.~~things, ~~The~~input ~~risk~~costs, ~~factors~~energy inprices, ~~our~~supply ~~Annual~~chains ~~Report~~and oninflation. ~~Form~~If ~~10-K~~energy prices remain elevated or inflation persists, inactual ~~addition~~costs tomay ~~the~~be ~~other~~significantly ~~information~~higher ~~set~~than ~~forth~~our incurrent ~~this~~estimates. ~~quarterly~~Higher ~~report,~~costs or increased uncertainty regarding future costs could ~~materially~~adversely affect ~~our~~project ~~business~~development decisions, ~~financial~~reduce ~~condition~~projected oreconomic ~~results~~returns, ofrequire ~~operations.~~additional ~~Additional~~financing ~~risks~~or ~~and~~result ~~uncertainties~~in ~~not~~delays ~~currently~~in ~~known~~development ~~to us~~ or ~~that~~construction. weAny ~~deem~~of tothese befactors ~~immaterial~~ could ~~also~~ materially and adversely affect our business, financial condition, or results of operations and the economic viability of our projects.

~~Increases~~Item in2. ~~energy~~Unregistered ~~prices~~Sales ~~and~~of ~~inflationary~~Equity ~~pressures~~Securities ~~could materially increase our capital~~ and ~~operating~~Use ~~costs and adversely affect the economic viability~~ of ~~our projects.~~Proceeds

Global energy markets have experienced significant volatility, including increases in oil and fuel prices associated with geopolitical developments involving Iran and disruptions to shipping through the Strait of HormuzNone. ~~Prolonged disruptions in global energy supply or transportation routes may lead to sustained increases in oil and other energy prices.~~

~~Energy~~Item ~~costs are a significant component of the cost of developing and operating mining projects~~3. ~~Sustained~~Defaults ~~increases~~Upon inSenior the price of oil, fuel, power and other energy inputs may increase the cost of construction, transportation, equipment operation and the production and delivery of consumables used in mining operations. Higher energy prices may also contribute to broader inflationary pressures affecting the costs of labor, materials, equipment, reagents, contractors and other services required for the development and operation of our projects.Securities

Estimated capital costs, operating costs, production levels and economic returns for the Donlin Gold project are based on assumptions regarding, among other things, input costs, energy prices, supply chains and inflationNone. If energy prices remain elevated or inflation persists, actual costs may be significantly higher than our current estimates. Higher costs or increased uncertainty regarding future costs could adversely affect project development decisions, reduce projected economic returns, require additional financing or result in delays in development or construction. Any of these factors could materially and adversely affect our business, financial condition, results of operations and the economic viability of our projects.

Item 24. ~~Unregistered~~Mine ~~Sales~~Safety ~~of Equity Securities and Use of Proceeds~~Disclosures

~~None~~These disclosures are not applicable to us.

Item 35. ~~Defaults~~Other ~~Upon Senior Securities~~Information.

None.

Item 46. ~~Mine Safety Disclosures~~Exhibits

~~These~~See ~~disclosures~~Exhibit ~~are not applicable to us~~Index.

~~Item 5. Other Information.~~23

~~None.~~SIGNATURES

~~Item~~Pursuant 6.to ~~Exhibits~~the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

See Exhibit Index.

Date: June 24, 2026	NOVAGOLD RESOURCES INC.



	By:	/s/ Gregory A. Lang
		Gregory A. Lang
		President and Chief Executive Officer (principal executive officer)

22By: /s/ Peter Adamek Peter Adamek Vice President and Chief Financial Officer (principal financial and accounting officer)

~~SIGNATURES~~24

~~Pursuant~~EXHIBIT ~~to the requirements of the Securities Exchange Act of 1934, the Company has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.~~INDEX

Date: April 1, 2026	NOVAGOLD RESOURCES INC.
Exhibit No.		Description
	By:	/s/ Gregory A. Lang
10.1		2004 Stock Award Plan of NOVAGOLD Resources Inc. (as amended) (incorporated by reference to Appendix A to Registrant’s definitive proxy statement, filed with the Securities and Exchange Commission on March 25, 2026)
		Gregory A. Lang
10.2		NOVAGOLD Resources Inc. 2009 Performance Share Unit Plan (as amended) (incorporated by reference to Appendix C to Registrant’s definitive proxy statement, filed with the Securities and Exchange Commission on March 25, 2026)
		President and Chief Executive Officer (principal executive officer)
31.1		Certification of the Chief Executive Officer required by Rule 13a-14(a) or Rule 15d-14(a)
31.2		Certification of the Chief Financial Officer required by Rule 13a-14(a) or Rule 15d-14(a)
32.1		Certification of the Chief Executive Officer pursuant to 18 U.S.C. Section 1350
32.2		Certification of the Chief Financial Officer pursuant to 18 U.S.C. Section 1350
101		The following materials are filed herewith: (i) Inline XBRL Instance, (ii) Inline XBRL Taxonomy Extension Schema, (iii) Inline XBRL Taxonomy Extension Calculation, (iv) XBRL Taxonomy Extension Labels, (v) XBRL Taxonomy Extension Presentation, and (vi) Inline XBRL Taxonomy Extension Definition.
104		Cover Page Interactive Data File – The cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

~~By: /s/ Peter Adamek Peter Adamek Vice President and Chief Financial Officer (principal financial and accounting officer)~~25

EXHIBIT INDEX

Exhibit No.		Description
10.1		Underwriting Agreement, dated February 5, 2026, by and among NOVAGOLD Resources Inc., BMO Nesbitt Burns Inc., RBC Dominion Securities Inc., and Scotia Capital Inc. (incorporated by reference to Exhibit 1.1 to the Current Report on Form 8-K of the Company filed with the SEC on February 5, 2026)
10.2		Form of Subscription Agreement, dated February 5, 2026, between NOVAGOLD Resources Inc. and the investors party thereto (incorporated by reference to Exhibit 10.1 to the Current Report on Form 8-K of the Company filed with the SEC on February 5, 2026)
31.1		Certification of the Chief Executive Officer required by Rule 13a-14(a) or Rule 15d-14(a)
31.2		Certification of the Chief Financial Officer required by Rule 13a-14(a) or Rule 15d-14(a)
32.1		Certification of the Chief Executive Officer pursuant to 18 U.S.C. Section 1350
32.2		Certification of the Chief Financial Officer pursuant to 18 U.S.C. Section 1350
101		The following materials are filed herewith: (i) Inline XBRL Instance, (ii) Inline XBRL Taxonomy Extension Schema, (iii) Inline XBRL Taxonomy Extension Calculation, (iv) XBRL Taxonomy Extension Labels, (v) XBRL Taxonomy Extension Presentation, and (vi) Inline XBRL Taxonomy Extension Definition.
104		Cover Page Interactive Data File – The cover page interactive data file does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document.

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