Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : NovaGold Resources Inc. (NG) -NYSE MKT -- Ignore unavailable to you. Want to Upgrade?

To: The Ox who wrote (123)	4/14/2020 2:32:27 PM
From: The Ox	Read Replies (1) \| Respond to of 129

seekingalpha.com Excerpt: Thomas Kaplan Thank you very much, Greg. And I certainly hope that all of you who are on the call and those of our friends and shareholders who aren’t that our words fall upon you in a state of safety and good health. These are unfortunately, the very interesting times that the Chinese would refer to. And all of us have to be an even greater cognizant of the challenges that we’ll be facing in the years ahead. With that, let’s remind ourselves what we have in Donlin and what makes it not just something that is a Tier 1 asset, an expression to which I’m indebted to Mark Bristow at Barrick, but also something which Greg himself referred to as unique. As many of you know, Greg came from Barrick, where he was the President of Barrick North America for many, many years, running an operation that was actually producing more gold than Goldcorp at the time. When he came into NovaGold, I came into NovaGold. I’d already been an investor from the end of 2008. But when Greg became CEO, I became Chairman. We celebrated 8 years together and during that time, I’m very confident that every statement that we’ve made, every promise that we have expressed has been met with success. The primary reason for that is because of not just the management team, but the fact that Donlin is not just a "world-class asset", it really is unique. There is no other development stage asset in the world, which combines the reserve grade, production capability, the exploration potential, the mine life, the leverage to gold and superimposed on to all of that in a jurisdiction that will allow you to keep the fruits of the leverage when the time comes for you to ring the cash register. But in fact, it really is even better than that. Donlin is the right asset for this moment in the gold market. If we could move to the next slide, gold is in a secular bull market. But we went through a cyclical downturn from 2011ish until last year. I was not immune to the nuclear winter psychology in a certain sense of the gold industry and when David Rubenstein wanted to interview me about gold for his Bloomberg peer-to-peer series, I said, do we really have to talk about it? I want to wait until gold pops. And by a stroke of luck, when we did the interview, gold had, had its last real pullback and the price was $1,280. And from then on, it started to move up and never went down below that. So we got it lucky and yet, luck is really only a part of it. The reasons to own gold are multifaceted. I’ll get to those in a moment. But suffice to say that when David asked me what my target was for gold, I told him that based on the industry fundamentals themselves and the challenges faced by the gold industry, I believe that a normative supply-demand equilibrium would come somewhere between $3,000 and $5,000 an ounce. That is still my initial target, but I also alluded and this is a year ago to some other dimly perceived variables that could make that just a first target. <Snip>