Barrick Gold has completed the sale of its 50% stake in Alaska’s Donlin Gold project for $1-billion in cash, handing over one of the world’s largest undeveloped gold deposits to joint buyers Novagold Resources and Paulson Advisers, the companies announced Tuesday.

The transaction reshapes ownership of Donlin Gold, with Novagold increasing its interest from 50% to 60%, and Paulson acquiring a 40% stake. The new joint owners have equal governance rights and say they are aligned in a renewed push to advance the project through an updated feasibility study and targeted exploration.

“Today we completed the successful and strategic Donlin Gold transaction,” said Novagold CEO Greg Lang. “This constitutes a truly transformational transaction and an exciting new chapter for Donlin Gold as we advance one of the best and most jurisdictionally attractive gold development projects in the world.”

Novagold sees Donlin as a cornerstone asset. The company raised sufficient funding through an upsized public offering and concurrent private placement to acquire its additional 10% stake for $200-million and support its share of ongoing project activities. As of March 1, Novagold held $327-million in cash earmarked for the acquisition and workstreams including the feasibility study update, resource conversion drilling, and engineering.

Paulson Advisers, a Novagold shareholder, contributed $800-million for its 40% stake.

The new owners will now review the 2025 Donlin Gold budget, currently pegged at $43-million on a 100% basis, and prioritise a full feasibility study update, a 2025 drilling campaign aimed at reserve conversion and resource expansion, continued technical and permitting work, and sustained community and government engagement in Alaska.

Donlin boasts an estimated 39-million ounces in measured and indicated gold resources, but has remained undeveloped since its discovery decades ago due to high projected development costs and complex permitting requirements. The project is located on land owned by the Calista and The Kuskokwim, Alaska Native stakeholders that support development.

While Novagold declined to prepay its existing $90-million debt to Barrick at closing, it retains the option to settle the amount for $100-million within 18 months. If the option is not exercised, the debt – currently valued at $158.9-million – will remain in place under its original terms.