NovaGold Resources has agreed to acquire the remaining shares in Donlin Gold from Paulson Advisors in an all-stock transaction.
The deal, announced Wednesday, will consolidate NovaGold's ownership of the Alaska-based gold mine and create a combined entity valued at US$4.2 billion.
The move marks a significant shift in the corporate structure of one of North America's largest gold assets.
By taking full control, NovaGold eliminates the minority interest held by the investment firm, streamlining decision-making for the project's development and operations.
The all-stock nature of the deal suggests a strategic alignment of interests between the two parties, avoiding immediate cash outflows for NovaGold.
This development adds to a wave of consolidation activity in the mining sector.