Thursday, March 11, 2010

NovaGold Resources (AMEX:NG) Hold Any Gold?

NovaGold Resources Gold Reserves

It's hard to tell what it is that's driving up the share price of NovaGold Resources (AMEX:NG), as there seems to be nothing to indicate the company has much if anything in reserves, as noted by the difference in classification between them and Barrick Gold (NYSE:ABX) over their jointly owned Donlin Creek property.

NovaGold claims 60 percent of the resources at Donlin are reserves, while Barrick lists the property as having no reserves. Someone's wrong there.

NovaGold has had a scandalous past, and taking into consideration they haven't had positive revenue and continue in negative cash flow from 2004 to 2009, you have to wonder what's going on there and if it's a shell company with no assets.

NovaGold Resources Gold Reserves

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