Q3 2023 NovaGold Resources Inc Earnings Call
Thank you for standing by this is the conference operator, welcome to the Noah Gould, Tony twenty-three third quarter financial results Conference call and webcast. As a reminder, all participants are in listen only mode and the conference is being recorded after the presentation, there will be an opportunity to ask.
Speaker 1: Thank you for standing by. This is the conference operator. Welcome to the NOAA Gold 2023, third quarter financial results conference call and webcast. As a reminder, all participants are in listen-only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions.
Hence to join the question queue. You May Press Star then one on your telephone keypad should you need assistance during the conference call you may signal, an operator by pressing star zero.
Speaker 1: To join the question queue, you may press star, then 1 on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star and zero. Webcast viewers may submit questions through the text box in the lower right corner of the webcast frame.
Cas viewers may submit questions through the text box in the lower right corner of the webcast frame I would now like to turn the conference over to Melanie Hennessey Vice President Corporate Communications. Please go ahead.
Speaker 1: I would now like to turn the conference over to Melanie Hennessey, Vice President, Corporate Communications.
Yeah.
Speaker 2: Thank you and good morning everyone. We are pleased that you have joined us for November , 2021 2020 third quarter financial results before another date on the domain.
Thank you and good morning, everyone. We are pleased that he has joined us.
Third quarter financial results.
All right.
Gotcha.
Speaker 2: On today's call, we have Greg Lang, Nova Gold's president and CEO , and David Ottawa, Nova Gold's vice president and CFO .
On today's call, we have Greg Lang, <unk>, President and CEO and David at a well known gold Vice President and CFO .
Speaker 2: At the end of the webcast, we will take questions by phone. Additionally, we will respond to questions received by email.
At the end of the webcast, we will take questions by phone. Additionally, we will respond to questions received by email.
I would like to remind our listeners that as stated on slide three any statements made today may contain forward looking information such as projections and goals, which are likely to involve risks detailed in our various Edgar and SEDAR filings and forward looking disclaimers included in this presentation.
Speaker 2: I would like to remind our listeners as stated on slide 3, any statements made today may contain forward looking information, such as projections and goals. Which are likely to involve risk detail in our various Edgar and feeder filings and forward looking disclaimers included in this presentation.
Speaker 2: I now have the pleasure of turning the presentation over to our President and CEO , Greg Lang. Greg?
I now have the pleasure of turning the presentation.
CEO , Greg Lang great.
Thank you Melanie.
Speaker 3: Before we begin, I would like to note that Dr. Thomas Kaplan, our chairman and largest shareholder, sends his regrets for not being able to be on the call this morning as he is in transit back to the U.S. after several weeks abroad.
Before we begin I would like to note that Dr. Thomas Kaplan, our chairman and largest shareholder.
His regrets for not being able to be on the call. This morning, and she is in transit back to the U S. After several weeks of bra.
Speaker 3: ahead of going into our third quarter activities. I'd like to begin today's call by providing a brief overview on slide five.
I hear that's going into our third quarter activities I'd like to begin today's call by providing an.
Overview on slide five.
On why both us and our shareholders you Donlin gold as a tier one asset.
Speaker 3: on why both us and our shareholders view Donovan Gold as a tier one asset.
With approximately 39 million ounce should go edit impression grade two in a quarter ground more than twice the industry average.
Speaker 3: For approximately 39 million apps should go at an impressive grade of two and a quarter grams, more than twice the industry average, in a projected mine life of almost 30 years.
Adjusted mine life of almost 30 years.
Speaker 3: Donald Gold has the potential to become a significant and cost effective producer.
Donlin gold has the potential to become a significant and cost effective producer.
Speaker 3: In addition, excellent expiration potential exists beyond the known resource area, which covers less than 5% of our extensive landhook.
In addition, excellent exploration potential exists beyond the known resource area, which covers less than 5% of our extensive landholding.
Speaker 3: And importantly, the project is situated on private land designated for mining in Alaska, a world-leading jurisdiction known for responsible mining practices and enduring partnership.
And importantly, the project is situated on private land designated for mining in Alaska.
World, leading jurisdiction known for responsible mining practices.
Enduring partnerships.
Speaker 3: with Chalista and T.T.S. Sheet that position the project favorably on a path toward development.
With Jewish too and Teekay Chi.
Positioning the project favorably on a path toward development.
It is important.
Speaker 3: put into context the company's accomplishments since the reorganization over 10 years ago, especially for those who are new investors and less familiar with NovaGo.
Put into context, the company's accomplishments since the reorganization over 10 years ago, especially for those who are new investors and less familiar with novel gold.
Speaker 3: We have been focused on executing a strategy that was set in motion by a chairman and me. Thank you very much.
We have been focused on executing a strategy that was set in motion.
Joining me.
In 2012 names.
Speaker 3: Namely, to unlock the value of noble gold high quality assets for our shareholders and dedicate all of our energy for creating a maximum leveraged pure gold play on unique endowment. That is the Donovan project, its loan on slide ship.
Namely to unlock the value of novel Gold's high quality assets for our shareholders and dedicate all of our energy towards creating a maximum leverage pure gold play.
And gentlemen.
The Donlin project is flowing on slide six.
Speaker 3: Looking at slide seven Alaska offers an excellent environment for mine and is in one of the world's safest District
Looking at Slide seven Alaska offers an excellent environment for mining.
One of the world's safest jurisdictions.
It ranked the second largest gold producer in the United States with a well defined permitting process.
Speaker 3: It ranks the second-largest goal producer in the United States with the well-defined permitting process. The first-largest goal producer in the United States with the well-defined permitting process.
Numerous companies.
Speaker 3: have achieved success here, and the government is very supportive and recognizes the importance of responsible natural resource development.
Have achieved success here and the government is very supportive and recognizes the importance of responsible natural resource development.
Speaker 3: Three year, our environmental, social, and governance achievements, it should...
During the year, our environmental social and governance achievements.
On slide eight.
Included in excellent health and safety record with zero lost time incidents.
Speaker 3: included an excellent health and safety record with zero lost time incidents again over 10 years since of this clean record.
In over 10 years.
This clean record.
Speaker 3: Project site workforce composed primarily of elastinative employees.
Try workforce.
Those primary way of Alaska Native employees.
Speaker 3: an increase in community engagement and investments throughout the region.
And an increase in community engagement and investments throughout the region.
From a governance standpoint, our board exhibit a well balanced composition with strong representation of minorities and women.
Speaker 3: From government standpoint, our board exhibits a well-balanced composition with strong representation of minorities in women.
And Noverco.
Yeah, Yeah prove our employees are women, highlighting our dedication to diversity and inclusion.
Speaker 3: Your half of our employees are women, highlighting our dedication to diversity and inclusion.
Throughout the remainder of the year, we will continue to monitor reflect and refine our environmental social and governance performance.
Speaker 3: Throughout the remainder of the year, we will continue to monitor, reflect, and refine our environmental, social, and governance performance.
Speaker 3: including maintaining strong records of health and safety at the project site.
Putting maintaining strong records of health and safety of the project site.
Speaker 3: expanding our investments and partnership with the local communities.
Expanding our investments in partnership with the local communities.
Speaker 3: and working to enhance our governance practices, including implementation of our human rights and new diversity, equity, and inclusion policy.
And working to enhance our governance practices, including implementation of our human rights and new diversity equity and inclusion policies.
Speaker 3: As currently envisioned with approximately 39 million ounces, down the globe hosts one of the largest and highest grade undeveloped open pit endowments in the world, which would average over a million ounces per year for 27 years.
As currently envisioned with approximately 39 million ounces.
Gold coast, one of the largest and highest grade undeveloped open pit and damaged in the world, which would average over a million ounces per year for 27 years.
Speaker 3: When you're looking at the group of gold development projects in North and South America, as shown on slide 9, this fight-
When looking at the group of gold development projects in North and South America as shown on slide nine.
It's by far the largest.
Speaker 3: and with global goal production continuing to decrease.
And with global gold production continuing to decrease.
Speaker 3: It is clear that the industry needs projects of scale, grade, and longevity to ride out multiple gold price cycles.
It is clear that the industry needs projects.
Oh, great and longevity.
To write out multiple gold price cycles.
With the greater more than twice the industry average for an open pit at two in accordance grams as shown on slide 10.
Speaker 3: With the greater more than twice the industry average for an open pit, at 2.25 grams is shown on slide 10.
Speaker 3: This advantage is expected to put down land as one of the lowest cost gold producers in the industry.
Advantage is expected to put donlin.
One of the lowest cost gold producers in the industry.
Excellent exploration potential exists beyond the defined resources located in the asthma and Louis areas on the diagram shown here, which Aki.
Speaker 3: Excellent exploration potential exists beyond the defined resources located in the Akma and Lewis areas on the diagram shown here, which
Speaker 3: occupies only three kilometers of an eight kilometer mineralized belt.
Occupies only three kilometers of an eight kilometer mineralized belt.
As highlighted on slide 11.
Speaker 3: The critical upside exists to potentially increase ounces and extend the mine life. Given the majority of the land is not the real.
Critical upside exist to potentially increase ounces and extend the mine life.
Given the majority of the land.
He's not thoroughly explored.
Turning to slide 12.
Speaker 3: Tom and I offer his unique leverage to go in a place where you can keep the fruits of that leverage.
I'm Gonna offers unique leverage to gold in a place where you can keep the fruits of that leverage.
Speaker 3: As you see on the bar chart, it offers exceptional value and a wide range of gold prices.
As you see on the Bar chart. It offers exceptional value and a wide range of gold prices.
In the upper right corner.
Speaker 3: We added a quote from the McClellan report on the coming gold market and how high gold prices would go.
Out of the quote from Maclellan report on the come and go to market and how high gold prices would go.
Speaker 3: We thought that might be of interest in his relevant, given recent industry trading activity.
We thought that might be of interest and it's relevant given recent industry trading activities.
Speaker 3: As private landowners, both TKC and Celista are dedicated to developing down the goal in a way that remains consistent with the elders vision of responsible development while creating jobs and economic benefits for the surrounding communities as well as protecting the local culture.
There's private landowners, both teekay <unk> and calista are dedicated to developing donlin gold in a way that remains consistent with the elders vision of responsible development, while creating jobs and economic burden.
For the surrounding communities as well as protecting the local culture.
Speaker 3: A few quotes are provided for milliliters of both elastinative corporations on slide 13.
A few quotes are provided from the leaders of both Alaska Native corporations on slide 13.
Speaker 3: To list and TKC's knowledge and guidance has been critical over the years throughout the permitting, sustainability, and community engagement.
So arista and Teekay huge knowledge and guidance has been critical over the years throughout the permitting sustainability.
And community engagement initiatives.
We are actually I appreciate there are meaningful input regarding the land.
Speaker 3: We immensely appreciate their meaningful input regarding the land and the significant economic needs required to sustain healthy living for their community.
And the significant economic needs required to sustain healthy living for their communities.
Our partners continue and time tested collaboration projects support and full engagement are extremely valuable and ensuring responsible and economic development throughout all phases of the Diamond project.
Speaker 3: Our partners continue and time tested collaboration, project support, and full engagement are extremely valuable in ensuring responsible and economic development throughout all phases of the Diamond Project.
With the combination of these attribute donlin gold has the potential to form the cornerstone of genuine and sustainable economic development in the Y K region.
Speaker 3: With the combination of these attributes, Donald M. Gold has a potential to form the cornerstone of genuine and sustainable economic development in the YK region for many decades to come.
For many decades to come.
I will now touch on the milestones that were achieved in the third quarter and the ongoing activities at the Donlin project.
Speaker 3: I will now touch on the milestones that were achieved in the third quarter in the ongoing activities at the Gongland Project.
Turning to slide 15.
Speaker 3: This year's field program was safely completed as scheduled in July , with the majority of our local hires coming from the YK region.
This year's field program was safely completed as scheduled in July with.
With the majority of our local hires coming from the Y K region.
The program included comprehensive field work and geotechnical drilling required for the Alaska Dam safety certificates.
Speaker 3: The program included comprehensive field work and geotechnical drilling required for the elastic and safety certificate.
Speaker 3: This involved data collection at the locations earmarked the water retention structures, including the proposed failing storage.
This involves data collection at the locations earmarked for water retention structures, including the proposed tailings storage.
Speaker 3: The fieldwork included over 1800 meters of drilling, 74 water retention structure test picks, and over 25 kilometers of seismic surveys.
The field work included over 1800 meters of drilling 74.
Water retention structure test pits and over 25 kilometers of.
Seismic survey.
Additional field work, including defining the groundwater side with hydrological drilling that provided essential information for mine planning and design.
Speaker 3: Additional field work included defining the groundwater site with hydrologic drilling that provided essential information for mind planning and design.
At the historic linemen clashes site restoration work encompassed a significant stream and pond habitat creation.
Speaker 3: At the historic Lyman placer site, restoration work encompassed a significant stream and pond habitat creation.
Final word included.
Speaker 3: Final work, including anticipated, a quiet life access and use is planned for next year's field season.
The anticipated on quite a class access and use is planned for next year's field season.
Speaker 3: Furthermore, the owners were doing work to validate the updated geologic and resource model, and it is also being used for various mine planning scenarios.
Furthermore.
The owners, we're doing work to validate the updated geologic and resource model and it is also being used for various mine planning scenarios.
Speaker 3: with support from the owners and third party consultants. Donald also completed trade-off studies and extensive analysis of project assumptions, inputs, and design components, such as optimizing the engineering, metallurgy, hydrology, and power infrastructure.
With support from the owners and third party consultants dominant also completed tradeoff studies, an extensive analysis on them.
Project assumptions and clips and designed components, such as optimizing the engineering metallurgy hydrology and power infrastructure.
Speaker 3: The recently completed Tapper M.C. Board provided valuable information from the Donald Gold LLC Board and the owner.
The recently completed comprehensive work, providing valuable information from the Donlin Gold LLC board and the owners.
Speaker 3: was discussed further at the recent workshop in Alaska and helping us define the next steps in the continued advancement of the Dalin Gold project.
Which was discussed further at the recent workshop in Alaska.
Helping us define the next steps and the continued advancement of the Donlin Gold project.
On slide 16.
Speaker 3: We highlight our third quarter community activities at Downland Goal.
We highlight our third quarter community activities at Donlin gold.
Speaker 3: June , Donald Gold added another community of liaison representatives for the local village of Nunapitchette, thereby increasing the total team members to ship.
In June Donlin gold added another community liaison representative for the local village unit pitch it.
By increasing the total team members to six.
Speaker 3: These collaborative efforts reinforced by the establishment of 14 shared value statements with key villages in the YK region.
These collaborative efforts, we enforced by the establishment of 14 shared value statements with Chi villages in the Y K region.
Speaker 3: These statements, formalized down-and-goals, consistent engagement with the local community.
These statements formalized donlin gold's consistent engagement with the local communities.
Speaker 3: build long-term relationships and address the Pacific community needs.
Build long term relationships and address specific community needs.
Speaker 3: We also conducted another successful in it for the Long Hall backhoe program for the six year in a row.
We also conducted another successful in it for the long haul backhaul program for the six year in a row.
Speaker 3: This project is dedicated to the collection and removal and safe disposal of hazardous materials and electronic waste from villages in the region.
This project is dedicated to the collection and removal and shape disposal of hazardous materials and electronic waste from villages in the region.
Speaker 3: Preventing adverse impacts on landfills and waterways.
Renting adverse impact on landfills and waterways.
Speaker 3: This year's program achieved significant milestones, including the removal of waste from fish camps in the middle Cuskquim River.
This year's program achieved significant milestones, including the removal of waste from fish camps in the Middle Kuskokwim River.
In addition, donlin gold employees from three villages.
Speaker 3: In addition, Donald Gold employees from three villages.
Speaker 3: Try to keep part in initiating waste backhaul operations along the Yukon River.
Played a key part in initiating waste backhaul operations, along the Yukon River.
Speaker 3: Foundland Gold also supported the Excel Alastair Program in June , which is a nonprofit organization providing supplemental academic, career, and technical education initiatives for rural youth and young adults throughout the region.
Donlin Gold also supported the XL Alaska program in June .
Which is a nonprofit organization, providing supplemental academic career and technical education initiatives for rural youth and young adult throughout the region.
Speaker 3: Students receive high school credit towards graduation and concurrent college credit.
Students receive high school credit towards graduation, and Concord College credits.
Speaker 3: Salon Gold is a federally permitted project on private Alaska Native Corporation land. Designated by law for mining activities as part of the 1971 Alaska Native Crane Shalom.
Donlin gold is a federally permitted project private Alaska Native Corporation land designated by law for mining activities as part of the 1971, Alaska Native claim settlement.
Speaker 3: This is a differentiating factor for many other mining projects in Alaska.
This is a differentiating factor for many other mining projects in Alaska.
Speaker 3: Permitting in the United States and Alaska represents a significant and rigorous endeavor where success hinges on years of dedicated effort, ensuring a diligent,
Permitting in the United States, Alaska represents a significant and rigorous endeavor, where success hinges on years of dedicated effort ensuring a diligent.
Speaker 3: thorough, and transparent, all-inclusive process.
Thorough and transparent all inclusive process.
Speaker 3: Slide 17 lists all the federal and state permits and certificates received to date.
Slide 17, Mitch all the federal and state permits and certificates reshape debate.
Speaker 3: We received our federal permits from the U.S. Army Corps of Engineers and the BLM in 2018, followed by numerous state permits listed on the attached slide.
We received our federal permit from the U S Army Corps of Engineers, and the Bureau P. L. M in 2018.
By numerous state permits registered on the attached slide.
Donlin gold its owners and partners.
Speaker 3: Celista and TTC was asked to implement understanding of the project permitting and regulatory procedures and remain committed.
Calista and Teekay she possesses an intimate understanding of the project permitting and regulatory regulatory procedures and remain committed.
Speaker 3: to supporting the Federal and State agencies in defending these permits.
Two supporting the federal and state agencies in defending these permits.
Speaker 3: As shown on slide 18, several positive updates occurred in the third quarter.
As shown on slide 18, chaparral positive updates occurred in the third quarter.
Speaker 3: The new air quality permit was issued in July and was not a Pino.
The new air quality permit was issued in July and was not appeal.
Donlin Gold's had applied for new air quality permit in 'twenty to 'twenty two.
Speaker 3: Dr. Gold had applied for new air quality permit in 2022.
Speaker 3: based on updated modeling and emissions control information. In April and July , thanks for watching.
Operator: Thank you for standing by. This is the Conference Operator. Welcome to the NOAA Gold 2023, third quarter financial results conference call and webcast. As a reminder, all participants are in listen only mode and the conference is being recorded. After the presentation, there will be an opportunity to ask questions. To join the question queue, you may press star then one on your telephone keypad. Should you need assistance during the conference call, you may signal an operator by pressing star and zero. Webcast viewers may submit questions through the text box in the lower right corner of the webcast frame.
Based on updated modeling and emissions control information.
In April and July .
The Alaska Superior Court upheld.
Speaker 3: The last department of natural resources, issuance of the right-away lease, and in the earth justice cases,
The Alaska Department of natural resources issuance, the right away lease.
And then the Earth justice patients respectively.
Speaker 3: under appeal and the briefing process is underway.
Your appeal in the briefing process is underway.
Speaker 3: The regularly scheduled reissuance of the Alaska Pollutant Discharge Elimination System Permit.
The regularly scheduled reassurance of the Alaska pollutant discharge elimination system permit.
Speaker 3: is underway and was extended indefinitely through the reassurance, which is expected to occur.
Is underway and was extended indefinitely through reassurance, which is expected to occur next year.
Melanie Hennessey: I would now like to turn the conference over to Melanie Hennessey, Vice President Corporate Communications. Please go ahead. Thank you and good morning everyone. We are pleased that you have joined us for NOAA Gold 2023, third quarter financial results for four and a half days on the Donald Gold project. On today's call, we have Greg Lang, NOAA Gold's President and CEO, and David Ottewell, NOAA Gold's Vice President and CFO. At the end of the webcast, we will take questions by phone.
Okay.
Speaker 3: On September 1st, the Alaska Superior Court affirmed the decision on Alaska Gold's water rights after completing the briefing process and holding oral arguments linked to the appeal filed by Earthjustice.
On September 1st the Alaska Superior Court affirmed.
Melanie Hennessey: Additionally, we will respond to questions received by email. I would like to remind our listeners as stated on slide three, any statements made today may contain forward looking information, such as projections and goals, which are likely to involve risk detail in our various Edgar and Cedar filings. And forward looking, the claimers included in this presentation.
The decision on Alaska Goldwater rates after completing the briefing process and holding oral arguments linked to the a P O filed by Earth Justice.
Also during the third quarter.
Speaker 3: The Environmental Commissioner upheld the clean water.
The environmental Commissioner upheld the clean water Act.
Speaker 3: Act Section 401 certification of the US Army Corps of Engineers permit.
Section 401 certification of the U S Army Corps of engineers permit.
Speaker 3: Despite multiple challenges, all appeals against Don and Gold permits have been unsurceptible today, underscoring our ongoing confidence in the process.
Despite multiple challenges all appeals against Donlin gold permits have been unsuccessful to date underscoring our ongoing confidence in the process.
Speaker 3: We recognize the importance of preparedness, and organization in these matters.
We recognize the importance of preparedness and organization in these matters.
Greg Lang: I now have the pleasure of turning the presentation over to our president and CEO, Greg Lang. Greg? Thank you, Melanie.
Speaker 3: With our unwavering support of Donald Gold and its owners, we will continue to back the agencies in defending their thorough and diligent permitting process.
Our unwavering support of Donlin gold and its owners, we will continue to back the agency's defending the thorough and diligent permitting process.
Greg Lang: Before we begin, I would like to note that Dr. Thomas Chaplin, our chairman and largest shareholder, sends his regrets for not being able to be on the call this morning, as he is in transit back to the US after several weeks of run. A head of going into our third quarter activities, I'd like to begin today's call by providing a brief overview on slide five on why both us and our shareholders view Donald Gold as a tier one asset.
With that I will now turn the call over to David Agarwal, Our Chief Financial Officer to review the third quarter financial results.
Speaker 3: With that, I will now turn the call over to David Augawell, our chief financial officer to review the third quarter financial results.
Dave.
Okay. Thank you Greg.
Speaker 4: Point 20 highlights are operating performance. We reported a net loss of 11.1 million into third quarter, a 5 million decrease from the prior year quarter. Primarily due to lower field expenses at Donland Gold. Steelwork and geotechnical drilling for the Alaska Dam Safety Certificate applications and hydrological drilling to support mind planning and design completed in July this year.
Slide 20 highlights our operating performance.
We reported a net loss of $11 1 million in the third quarter of 5 million decrease from the prior year quarter, primarily due to lower field expenses at Donlin gold.
Well still Burke and geotechnical drilling for the Alaska Dam safety certificates applications and hydrological drilling to support mine planning and design completed in July this year.
Greg Lang: For approximately 39 million hours of gold at an impressive grade of two and a quarter grams, more than twice the industry average in the projected mine life of almost 30 years, Donald Gold has the potential to become a significant and cost effective producer. In addition, excellent expiration potential exists beyond the known resource area, which covers less than 5% of our extensive land holdings. And importantly, the project is situated on private land designated for mining in Alaska, a world-leading jurisdiction known for responsible mining practices and enduring partnerships with Solistic and TTC, that position the project favorably on a path toward development.
Speaker 4: During the prior year quarter, the large exploration drilling program was progressing towards completion.
During the prior year quarter, the large exploration drilling program was progressing towards completion.
Speaker 4: increased interest expense on the promissory note, was offset by increased interest income on cash in terms of deposit.
Increased interest expense on the promissory note was offset by increased interest income on cash and term deposits.
Third quarter cash flows are highlighted on slide 21.
Speaker 4: Third quarter cash flows are highlighted on slide 21.
Speaker 4: Cash in term deposits increased by $21.1 million, with $25 million received from Newmont, $3 million used for G&A, and $2.5 million to fund our share of Donlan Gold.
Cash and term deposits increased by 21.1 million with $25 million received from Newmont 3 million used for G&A.
And two and a half million to fund our share of Donlin gold.
Speaker 4: Decrease in cash used in the third quarter 2023 compared to 2022 was due to a reduction in the required Donlin Gold funding and increased interest received on cash and term deposits due to higher interest rates.
The decrease in cash used in the third quarter of 2023 compared to 22, two was due to a reduction in the required donlin gold funding and increased interest received on cash and term deposits.
Greg Lang: The position is important, to put into context the company's accomplishments since the reorganization over 10 years ago, especially for those who are new investors unless familiar with Noble Gold. We have been focused on executing a strategy that was set in motion by our chairman and me in 2012, namely to unlock the value of Noble Gold's high quality assets for our shareholders and dedicate all of our energy for creating a maximum leveraged pure gold play on unique endowment that is the dominant project in Sloanen's slide six.
Due to higher interest rates.
On slide 22 for the full fiscal year 2023, we expect to spend approximately $13 million in G&A cost.
Speaker 4: On slide 22 for the full fiscal year 2023, we expect to spend approximately 13 million on G&A costs.
Speaker 4: $18 million to fund Donley Gold, and $1 million on remediation costs at the former New Gold House property near Nome, Alaska.
$18 million to fund Donlin gold and $1 million on remediation costs at the former new Gold House property near normal Alaska.
Our forecast funding of Donlin gold through November 30th.
Speaker 4: Our forecast funding of Donald Gold through November 30th is 1 million higher than originally planned due to additional mining studies.
Is 1 million higher than originally planned due to additional mining studies.
Okay.
Back to you Greg.
Thank you Dave.
Donlin gold.
We have support from the owners and various third party consultants.
Speaker 3: We've supported from the honors and very good party consultant.
Greg Lang: Looking at slide seven, Alaska offers an excellent environment for money and is in one of the world's safest jurisdictions. It ranks the second artist gold producer in the United States with the well-defined permitting process. Humors companies have achieved success here and the government is very supportive and recognizes the importance of responsible natural resource development. Three year, our environmental, social and governance achievements issued on slide eight included an excellent health and safety record with zero lost time incidents again over 10 years of this clean record.
Speaker 3: We completed numerous trade-off studies and extensive analysis on all project assumptions, inputs, and design components.
Completed numerous tradeoff studies, an extensive analysis on all projects assumptions inputs and designed components, such as mine engineering metallurgy hydrology power and infrastructure.
Speaker 3: such as mine engineering, metallurgy, hydrology, power, and infrastructure.
This recently completed work provided valuable information for the Donlin Gold Board and its owners. These were discussed in depth.
Speaker 3: This recently completed work provided valuable information for the Donald and Gold Board and its owners. These were discussed in depth.
At the most recent joint workshop, we held in Alaska, with Barrick and Theyre, helping to define the next steps in the adaption of the Donlin Gold project.
Speaker 3: At the most recent joint workshop we held in Alaska with Ferret and they're helping to define the next steps in the advancement of the Donland Gold Project and a work plan for the coming years. We look forward to the...
And our work plan for the coming years.
We look forward to providing an update.
In the next months.
There are many different conflicting economic wins that are causing turbulence, which I believe ultimately will be very positive for gold.
Speaker 3: There are many different conflicting economic winds that are causing turbulence, which I believe ultimately will be very positive for growth.
Greg Lang: A project site workforce composed primarily of elastinated employees and an increase in community engagements and investments throughout the region. From governance standpoint, our board exhibits a well-balanced composition with strong representation of minorities and women. At Noble Gold, we are a half of our employees or women highlighting our dedication to diversity and inclusion. Throughout the remainder of the year, we will continue to monitor, reflect and refine our environmental, social and governance performance, including maintaining strong records of health and safety at the project site, expanding our investments and partnership with the local communities and working to enhance our governance practices, including implementation of our human rights and new diversity equity and inclusion policies.
Speaker 3: We're seeing right now gold tests the $1800 support lab.
We're seeing right now go past the $1800 support level.
Speaker 3: And after this test is done, I think we can expect a short move upwards in the not-
And after this test is done I think we can expect a sharp move upwards.
Not too distant future.
Speaker 3: The chart on slide 24 provides a history of gold cycles from 1970 onwards.
The chart on Slide 24 provides a history of gold cycles from 1970 onward.
The cycle, we find ourselves. It currently has several distinguishing factors that were not seen in past cycles.
Speaker 3: The cycle we find ourselves in currently has several distinguishing factors that we're not seeing in past sites.
Speaker 3: such as central banks, accumulating gold, and unprecedented rates, government debt.
Such as central banks, accumulating gold at unprecedented rates.
Government debt.
Stork, Ohio's lack of new discoveries and rising globalization trends just to name a few of the things which are predicted.
Speaker 3: Black-abute discoveries, and rising globalization trends, just to name a few of the things which are predicted, have a positive impact on goals.
They have a positive impact on gold.
Speaker 3: escalating demand and supply limitations underscore the value of mining equities with top tier pre-production assets. Industrial Sh ?????? the
Escalating demand and supply limitations underscored the value of mining equities with top tier preproduction assets.
Greg Lang: As currently envisioned with approximately 39 million ounces, down in Gold host one of the largest and highest-grade undeveloped open-pit endowments in the world, which would average over a million ounces per year for 27 years. When looking at the group of Gold Development projects in North and South America as shown on slide nine, it is by far the largest and with global Gold production continuing to decrease, it is clear that the industry needs projects of steel, grade and longevity to write out multiple Gold price shikes.
Donlin Gold's steadfast commitment.
Speaker 3: To advancing this extraordinary project, carefully up the value chain is reflected in our increased investments in extensive and expanded partners.
The adaption this extraordinary project carefully up the value chain.
As reflected in our increased investments and extensive and expanded partnerships.
The work done on the project has added considerable value in a responsible manner.
Speaker 3: The work done on the project has added considerable value and a responsible matter for all stakeholders, including Alaska residents and NovaGold shareholders.
We're all stakeholders, including Alaska residents and Noverco shareholders.
Brahma hoax.
Speaker 3: status as a true tier one asset in a world leading jurisdiction.
Status as a true tier one asset in a world leading jurisdiction.
Greg Lang: Reynolds. With the greater more than twice the industry average for an open pit at two and a quarter grams as shown on slide 10, this advantage is expected to put Donlin as one of the lowest cost gold producers in the industry. Excellent exploration potential exists beyond the defined resources located in the ECMA and Lewis areas on the diagram shown here, which occupies only three kilometers of an eight kilometer mineralized belt. It's highlighted on slide 11.
And it is anticipated to provide exceptional cold leverage.
Speaker 3: and it is anticipated to provide exceptional gold leverage and economic benefits.
And economic benefits for all stakeholders.
It's one of the top development gold projects in the World Donlin Gold, where you built.
Speaker 3: He's running the top development goal project in the world. Down and gold. What do you build?
Speaker 3: He's expected to serve as a cornerstone for economic, sustainable growth in the region for many years to come.
It is expected to serve as a cornerstone for economic sustainable growth in the region for many years to come.
Speaker 3: I wish to thank all of our dedicated shareholders for choosing to invest in Nova Gold as well as their engagement, patience, and valuable insight over the year.
I wish to thank all of our dedicated shareholders for choosing to invest in notebook roll as well as for engagement patients and valuable insight over the years.
Greg Lang: Incredible outside exists to potentially increase ounces and extend the mine life, given the majority of the land is not thoroughly explored. Turning to slide 12, Donlin offers unique leverage to gold in a place where you can keep the fruits of that leverage. As you see on the bar chart, it offers exceptional value and a wide range of gold prices. In the upper right corner, we added a quote from McClellan report on the coming gold market and how high gold prices would go.
Speaker 3: We also look forward to providing updates on developments on Donovan Gold.
We also look forward to providing updates on and relevant on Donlin gold.
With that operator, we will now open the line for questions.
Speaker 3: With that operator, we will now open the line for questions.
Thank you we will now begin the question and answer session to join the question queue. You May Press Star then one on your telephone keypad, you will hear a tone acknowledging your request.
Speaker 1: Thank you. We will now begin the question-and-answer session. To join the question queue, you may press star, then one on your telephone keypad. You will hear a tone acknowledging your request. If you are using a speakerphone, please pick up your handset before pressing any keys. To withdraw your question, please press star, then two.
Using a speakerphone please pick up your handset before pressing any keys to withdraw your question. Please press Star then two.
Speaker 1: The first question comes from Lucas Pipes with Be Rally Securities. Please go ahead.
First question comes from Lucas pipes with B Riley Securities. Please go ahead.
Thank you. Good morning, everyone. This is this is Nick Charles asking a question on behalf of Lucas Congratulations on the recent progress Greg last quarter, you touched on on the fine tuning on the metallurgical side as part of the comprehensive.
Speaker 5: Thank you. Good morning, everyone. This is Nick Giles asking a question on behalf of Lucas. Congratulations on the recent progress. Greg, last quarter, you touched on the fine-tuning on the metallurgical side.
Greg Lang: We thought that might be of interest and is relevant, given recent industry trading activities. As private landowners, both TKC and Celista are dedicated to developing Donlin gold in a way that remains consistent with the elder's vision of responsible development while creating jobs and economic benefits for the surrounding communities as well as protecting the local culture. A few quotes are provided from the leaders of both Alaska Native corporations on slide 13. Celista and TKC's knowledge and guidance has been critical over the years throughout the permitting, sustainability and community engagement initiatives.
Speaker 6: Part of the comprehensive work and, you know, with the trade-off studies now completed, I was wondering if you could maybe expand on some of the optimization done as it relates to inputs, assumptions, et cetera. And then maybe a second question to follow up there. You said working to define these next steps. So I was wondering if there's a particular bucket here whether inputs or assumptions that's really driving that process. Thank you very much. Thank you very much. Sure. Thank you for...
Hence of work and you know what.
With the trade off studies now completed I was wondering if you could maybe expand on some of the optimization done as it relates to input assumptions.
Et cetera, and then maybe a second question a follow up there you said working to define these next steps. So I was wondering if there's a particular bucket here, whether inputs or assumptions, that's really driving that process, but thank you very much.
Sure. Thanks, Thank you for joining the call this morning.
Give our best to Lucas.
Speaker 7: 62
Thank you.
Speaker 3: The feasibility study and hence the infrastructure concepts for Donlin are somewhat dated now. I think it was important for us to revisit them and make sure that the assumptions on how to fuel the project, how to generate power, how to access it, to make sure they were still valid. As we've wrapped up all of these studies, I think the original concept was validated and that was very important that it stood the test of time.
You know the feasibility study and hence the infrastructure concepts predominant or are somewhat dated now and I think it was important for us to revisit them and make sure that the assumptions on how to few of the projects how to generate power or how to access it now to make sure they were still valid.
Greg Lang: We immensely appreciate their meaningful input regarding the land and the significant economic needs required to sustain healthy living for their communities. Our partners continued and time tested collaboration, project support, and full engagement are extremely valuable in ensuring responsible and economic development throughout all phases of the Donlin project.
We've wrapped up all of these studies I think the original concept was validated and that we should you know very important that has stood the test of time.
Speaker 3: A lot of the work you mentioned specifically, metal energy, you know, very much a fine tuning process, you know, course me to grind a little bit to save on power.
A lot of the work you mentioned specifically metallurgy.
Greg Lang: With the combination of these attributes, Donlin gold has a potential to form the cornerstone of genuine and sustainable economic development in the YK region for many decades to come.
Yeah, very much of a fine tuning process.
Of course mean to grind a little bit to save on power and yeah.
Speaker 3: and some fine tuning to the flotation cells to increase the recovery a couple of percent. So very in-depth work that enhances the project, although it hasn't really, it's not significantly changed it. And I think that's the same with all of the infrastructure and our general assumptions on the project. The project has conceived and permitted remains the best approach to pick forward.
Some fine tuning to the flotation cells to increase the recovery a couple percent so yeah very in.
In depth work that enhances the project, although it hasnt really it's not significantly changed it and I think that's the same with you know all of the infrastructure and our general assumptions on the project.
Greg Lang: I will now touch on the milestones that were achieved in the third quarter and the ongoing activities at the Donlin project. Turning to slide 15. This year's field program was safely completed as scheduled in July, with the majority of our local hires coming from the YK region. The program included comprehensive field work and geotechnical drilling required for the elastic and safety certificates. This involved data collection at the locations here marked the water retention structures, including the proposed failing storage.
The project has conceived and permitted remains the best approach to take forward.
Okay.
Speaker 5: Greg, that's really helpful. I appreciate all the color there.
Craig that's that's really helpful and I appreciate all the color there.
Speaker 5: Maybe just one more, more from a macro perspective, you know, we have a strong dollar, rising yields, inflation that seems to be sticking around with regard to some project costs. What do you think we need to see here to bring some resource investors off the sidelines?
Maybe just one more and more from a macro perspective, you know, we we have a strong dollar right rising yields inflation that seems to be sticking around with regard to some project costs.
What do you think we need to see here to bring some some resource investors off the sidelines.
Greg Lang: The fieldwork included over 1,800 meters of drilling, 74 water retention structure test pits, and over 25 kilometers of seismic survey. Additional fieldwork included defining the ground water excite with hydrologic drilling that provided essential information for mind planning and design. At the historic Lyman Placysite, restoration work encompassed a significant stream and pond habitat creation. Final work included anticipated aquatic life access and use is planned for next work to validate the updated geologic and resource model and you're just also being used for various mind planning scenarios with support from the owners and third-party consultants.
Speaker 3: Well, I think you're absolutely right. Resource investors are completely off on the sidelines and we're not seeing any new institutional investors coming in.
Well I think you're absolutely right resource investors are.
Our completely off on the sidewalk and were you know and we're not seeing any new institutional investors coming here.
Speaker 3: And I think it's very much not just in the gold markets, but really throughout the equities, people are taking away and see, look, what's gonna happen with interest rates? Is it higher for longer? And the strength of the dollar is also playing into gold and gold equities. So I think what we need to see to really break this is the Fed has been a signal sooner or later that they can't keep raising.
It's very much not just in the Gulf markets weren't really throughout the equities people are taking a wait and see look you know what's going to happen with interest rates you know it is higher for longer.
And the strength of the dollar is also playing into gold and gold equities. So I think what we need to see to really break this is.
You know the fed is going to signal sooner or later that they can't keep raising inflation.
Speaker 3: in the space interest rates. And if you look at gold prices in pretty much every major currency, other than US dollar, they're trading at record high price.
Right, Yeah, and if you looked at gold prices in pretty much every major currency other than U S dollar theyre trading at record high prices.
Speaker 3: And I think once we, once the Fed signals that the rate heights are over with, I think the dollar will stabilize if not dropped and that will be very good for gold. I think gold is just, you know, calling to significantly break out.
I think once we once the fed signaled since the rate hikes or are over with I think the dollar will stabilize if not draw and that will be very good for coal I think Goldman is just you know calling to significantly breakout.
Greg Lang: Don and also completed trade-off studies and extensive analysis on project assumptions inputs and design components such as optimizing the engineering, metallurgy, hydrology and power infrastructure. The recently completed comprehensive work provided valuable information for the Don and Gold LLC board and the owners, which was discussed further at the recent workshop in Alaska and are helping us define the next steps in the continued advancement of the Don and Gold project.
Speaker 3: when the economic turbulence caused by the rising rates settles down.
When the economic turbulence caused by the rising rates shuts down.
Okay.
Speaker 5: Greg, as always, we really appreciate your perspective, so that you and the team can continue best of luck.
Greg It is always a we really appreciate your perspective, so that you and the team continued best of luck.
Yeah.
Thank you.
We also have a question coming from the webcast from one of our shareholders even with M D.
Speaker 2: We also have a question coming from the webcast from one of our shareholders, David Lucensky. Can you strike a deal with an energy company to supply the pipeline to the line at their cost?
Can you strike a deal with an energy company.
To supply the pipeline to the mine up their car.
Greg Lang: On slide 16, we highlight our third quarter community activities at Don and Gold. In June, Don and Gold added another community of liaison representatives for the local village of Nunapixit, thereby increasing the total team members to six. These collaborative efforts reinforced by the establishment of 14 shared value statements with key villages in the YK region. These statements formalized Don and Gold's consistent engagement with the local communities, build long-term relationships and address specific community needs. We also conducted another successful in-it for the long-haul backhoe program for the six-year-in-a-row. This project is dedicated to the collection and removal and safe disposal of hazardous materials and electronic waste from villages in the region.
Well, David Thank you for your questions and your interest.
Speaker 3: Thank you for your question, your interest.
Speaker 3: You know, now that I think we've settled that, you know, bringing gas to the site.
Now that I think we've scheduled that are bringing gas to the site.
Speaker 3: is the most viable option. And in the future, perhaps using Donovan as a hub for energy for the region. You know, I think now that we've settled that, the conversations with other interested parties will take on a new life. And it would be our preference to bring in a third party to own an operate at pipeline. And we would end up as customers.
Is the most viable option and in the future, perhaps using donlin is a hub for energy for the region. You know I think now that we've settled with that.
The conversations with other interested parties will you will take on a new life and it would be our preference to bring in a third party to own and operate that pipeline and we would end up as customers.
Speaker 3: So it's certainly something that is on our minds as we continue to address the questions.
Certainly something that.
Is on our minds as we continue to advance the project.
Speaker 1: This concludes the question and answer session. I would like to turn the conference back over to Greg for any closing remarks.
This concludes the question and answer session I would like to turn the conference back over to Greg for any closing remarks.
Oh right.
Speaker 3: But thank you everyone on behalf of that.
Thank you everyone on behalf of Rod.
Speaker 3: Novago, our chairman, our board. Thank you for your continued interest in the company and taking the time to get a third quarter update. And we look forward to additional updates as we lay out the plans for next year.
Novo goes at our chairman and our board. Thank you for your continued interest in the company and taking the time to go to a third quarter update and we look forward to additional updates as we lay out the plans for next year.
Greg Lang: Anderson. Preventing adverse impacts on landfills and waterways. This year's program achieved significant milestones, including the removal of waste from fish tanks in the middle of Cushroom River. In addition, Don and Golden employees from three villages play the key part in initiating waste Alaska program in June, which is a nonprofit organization providing supplemental academic, career, and technical education initiatives for rural youth and young adults throughout the region. Students receive high school credit toward graduation and concurrent college credits.
Thank you.
This does conclude today's conference call you may disconnect. Your lines. Thank you for participating and have a pleasant day.
Speaker 1: This concludes today's conference call. You may disconnect your lines. Thank you for participating and have a pleasant day.
Speaker 8: N 3, nine.
Okay.
[music].
Okay.
Uh huh.
[music].
Greg Lang: Don and Golden is a federally permitted project on private Alaska Native Corporation land, designated by-law for mining activities as part of the 1971 Alaska Native Crane Settlement Act. This is a differentiating factor for many other mining projects in Alaska. Permitting in the United States to Alaska will represent a significant and rigorous endeavor where success hinges on years of dedicated effort, ensuring a diligent, thorough, and transparent, all-inclusive process.
Yeah.
Yeah.
Greg Lang: Slide 17 lists all the federal and state permits and certificates received to date. We received our federal permits from the U.S. Army Corps of Engineers and the BLM in 2018, followed by numerous state permits listed on the attached slide. Don and Golden, its owners and partners, Celista and TTC possess an intimate understanding of the project permitting and regulatory procedures and remain committed to supporting the federal and state agencies in defending these permits.
Yeah.
Yeah.
Okay.
Yeah.
Yeah.
Greg Lang: As shown on slide 18, several positive updates occurred in the third quarter. The new air quality permit was issued in July and was not appealed. Don and Golden had applied for new air quality permit in 2022 based on updated modeling and emissions control information. In April and July, the Alaska Superior Court appealed the Alaska Department of Natural Resources issuance of the right-of-way lease and in the Earth justice cases, respectively, under appeal and the briefing process is underway.
Okay.
Yeah.
Yeah.
Greg Lang: The regular and scheduled reissuance of the Alaska pollutant discharge elimination system permit is underway and was extended indefinitely through the reissuance, which is expected to occur next year. On September 1st, the Alaska Superior Court affirmed the decision on Alaska Gold's Water Rakes after completing the briefing process and holding oral arguments linked to the P.O, filed by Earth Justice.
Yeah.
Yeah.
Yeah.
Yeah.
Greg Lang: Alexis. Also, during the third quarter, the Environmental Commissioner upheld the Clean Water Act Section 401 certification of the U.S. Army Corps of Engineers permit. Despite multiple challenges, all appeals against Don and Gold permits have been unsuccessful today, underscoring our ongoing confidence in the process. We recognize the importance of preparedness and organization in these matters. With our unwavering support of Don and Gold in its owners, we will continue to back the agencies in defending their thorough and diligent permitting process.
Yeah.
Yeah.
Yeah.
David Ottewell: With that, I will now turn the call over to David Ottewell, our chief financial officer to review the third quarter financial results. Okay. Thank you, Greg. Like 20 highlights are operating performance. We reported a net loss of 11.1 million into the third quarter, a 5 million decrease from the prior year quarter, primarily due to lower field expenses at Don and Gold. With field work and geotechnical drilling for the Alaska Dam Safety Certificate applications and hydrological drilling to support mind planning and design completed in July this year.
David Ottewell: During the prior year quarter, the large exploration drilling program was progressing towards completion. Increased interest expense on the promissory note was offset by increased interest income on cash in term deposits. Third quarter cash flows are highlighted on slide 21. Cash in term deposits increased by 21.1 million. With 25 million received from Newmont, 3 million used for DNA and 2.5 million to fund our share of Don and Gold. Decreasing cash used in the third quarter, 2023 compared to 2022 was due to a reduction in the required Don and Gold funding and increased interest received on cash in term deposits due to higher interest rates.
David Ottewell: On slide 22 for the full fiscal year 2023, we expect to spend approximately 13 million on DNA costs, 18 million to fund Don and Gold, and 1 million on remediation costs at the former New Gold House property near in Alaska. Our forecast funding of Don and Gold through November 30 is 1 million higher than originally planned due to additional mining studies.
David Ottewell: Back to you, Greg.
Greg Lang: Thank you, Dave. Don and Gold, with support from the owners and various third-party consultants, completed numerous trade-off studies and extensive analysis on all project assumptions, inputs and design components such as mine engineering, metallurgy, hydrology, power and infrastructure. Sure. This recently completed work provided valuable information for the Donland Gold Board and its owners. These were discussed in depth. At the most recent joint workshop we held in Alaska with Ferret and they're helping to define the next steps in the advancement of the Donland Gold Project and a work plan for the coming years.
Greg Lang: We look forward to providing an update in the next month. There are many different conflicting economic wins that are causing turbulence, which I believe ultimately will be very positive for Gold. We're seeing right now, Gold tests the $1800 support level. And after this test is done, I think we can expect a short move upwards in the not too distant future. The chart on slide 24 provides a history of Gold cycles from 1970 onward.
Greg Lang: The cycle we find ourselves in currently has several distinguishing factors that were not seen in past cycles. Such as central banks accumulating gold and unprecedented rates, government debts and historical highs, lack of new discoveries and rising globalization trends just to name a few of the things which are predicted to have a positive impact on gold. Escalating demand and supply limitations underscore the value of mining equities with top tier pre-production assets. Donland Gold's steadfast commitment to advancing this extraordinary project, carefully up the value chain, is reflected in our increased investments and extensive and expanded partnerships.
Greg Lang: The work done on the project is added considerable value and responsible matter for all stakeholders, including Alaska residents and Nova Gold shareholders. Donland holds status as a true tier one asset in a world leading jurisdiction and is anticipated to provide exceptional gold leverage and economic benefits for all stakeholders. As one of the top development gold projects in the world, Donland Gold, what he's built, is expected to serve as a cornerstone for economic, sustainable growth in the region for many years to come.
Greg Lang: I wish to thank all of our dedicated shareholders for choosing to invest in Nova Gold as well as their engagement, patience and valuable insight over the years. We also look forward to providing updates on developments on Donland Gold.
Operator: With that operator, we will now open the line for questions. Thank you. We will now begin the question and answer session. To join the question queue, you may press star then one on your telephone keypad. You will hear a tone acknowledging your request. If you're using a speaker phone, please pick up your handset before pressing any keys. To withdraw your question, please press star then two.
Lucas Pipes: The first question comes from Lucas Pipes with Be Riley Securities.
Nick Giles: Please go ahead. Thank you. Good morning everyone.
Greg Lang: This is Nick Giles asking a question on behalf of Lucas. Congratulations on the recent progress. Greg, last quarter you touched on the fine tuning on the metallurgical side as part of the comprehensive work. And you know, with the trade-off studies now completed, I was wondering if you could maybe expand on some of the optimization done as it relates to inputs, assumptions, et cetera. And then maybe a second question to follow up there. You said working to define these next steps. So I was wondering if there's a particular bucket here, whether inputs or assumptions that's really driving that process.
Greg Lang: Thank you very much. Sure. Thank you for joining the call this morning. I think the feasibility study enhanced the infrastructure concepts for Donald or somewhat dated now. And I think it was important for us to revisit them and make sure that the assumptions on how to fuel the project, how to generate power, how to access it, you have to make sure they were still valid. And as we wrap up all of these studies, I think the original concept was validated.
Greg Lang: And that was very important that it stood the test of time. A lot of the work you mentioned, specifically metallurgy, you know, very much a fine tuning process, you know, corresponding to grind a little bit to save on power. And, you know, some fine tuning to the flotation cells to increase the recovery a couple percent. So, you know, very in-depth work that enhances the project, although it hasn't really, you know, it's not significantly changed it. And I think that's the same with, you know, all of the infrastructure and our general assumptions on the project is the project that's conceived and permitted remains the best approach to take forward.
Nick Giles: Great. That's really helpful. I appreciate all the color there.
Greg Lang: Maybe just one more, more from a macro perspective, you know, we've a strong dollar, rising yields, inflation that seems to be sticking around with regard to some project costs. What do you think we need to see here to bring some resource investors off the sidelines? Well, I think you're absolutely right. Resource investors have are completely off on the sidelines and we're, you know, and we're not seeing any new institutional investors coming in.
Greg Lang: And I think it's very much not just in the gold markets, but really throughout the equities people are taking away and see, look, you know, what's going to happen with interest rates, you know, is it higher for longer and the strength of the dollar is also playing into, you know, gold and gold equities. So I think what we need to see to really break this is, you know, the Fed has been a signal sooner or later that they can't keep raising interest rates.
Greg Lang: And if you look at gold prices in pretty much every major currency, other than US dollar, they're trading at record high price, and I think once the Fed signals that the rate hikes are over with, I think the dollar will stabilize if not drop and that will be very good for gold. I think gold is just, you know, calling to significantly break out when the economic turbulence caused by the rising rates sells down.
Nick Giles: You and the team can continue best of luck. Thank you.
Unknown Attendee: We also have a question coming from the webcast from one of our shareholders, David Lucensky.
Greg Lang: Can you strike a deal with an energy company to supply the pipeline to the line at their cost? Well, thank you for your question and your interest. You know, now that I think we've settled that bringing gas to the site is the most viable option and in the future, perhaps using dominant is a hub for energy for the region. You know, I think now that we've settled that the conversations with other interested parties will, it will take on a new life and it would be our preference to bring in a third party to own an operate at pipeline and we would end up as customers. So certainly something that is on our minds as we continue to advance the project.
Unknown Attendee: This concludes the question and answer session.
Greg Lang: I would like to turn the conference back over to Greg for any closing remarks. All right, but thank you everyone on behalf of Nova gold and our chairman board. Thank you for your continued interest in the company and taking the time to get a third quarter update. And we look forward to additional updates as we lay out the plans for next year.
Unknown Attendee: Thank you.
Operator: This concludes today's conference call. You may disconnect your lines. Thank you for participating and have a pleasant day. Thank you very much.