2010 Developments

June 1, 2010 - Copper Canyon Resources announces an updated resource calculation incorporating the drill results from the 2005 and 2007 programs.  The resource estimate is based on core holes drilled between 1990 and 2007, and is an update to the existing NI 43-101 report prepared by Hatch and others in 2005 (The “Hatch Report”). The new study was in large part a confirmation of work completed by NovaGold geologists who have completed significant structural and geological work on the deposit, resulting in a greatly improved understanding of the geometry and mineralizing controls of the deposit.

A $1 million diamond drilling and ground based exploration program is planned for summer 2010. The objective of the drilling program is to test the mineralization both to depth and along strike with the intention of enhancing the size of the inferred resource and to further understand the deposit geology.  A ground based exploration program is planned to evaluate the potential for mineralization outside of the known deposit area with intent to identify future drill targets.

April 13, 2010 - NovaGold announced commencement of a pre-feasibility study at Galore Creek with an approximate timeline of 12 months to complete at which time they plan to begin a feasibility study with an anticipated timeframe of 12 - 18 months to complete.  According to the NovaGold website, some project value drivers include the project redesign and re-engineering that will lower costs, reduce time of construction and result in a shorter access road.  Major infrastructure will be moved out of the Galore Creek valley resulting in a conventional tailings dam and the capacity for project expansion.  This redesigned mine plan is the subject of the pre-feasibility study.

The proposed work program at Galore Creek for 2010 includes continued access road connection from HWY 37, bridges and engineering and geotechnical drilling for new mill and tailings site along access road.

January 5, 2010 - NovaGold announced that it and it's partner, Teck, are considering a more aggressive program in 2010 to advance Galore Creek toward a construction decision.  They expect to issue a new mine plan for the project in early 2010.  This plan is to include updated economics using higher gold and copper prices and an optimized project plan.

In general, the new design involves relocating the planned tailings and milling facilities out of the steep and narrow Galore Creek valley to the adjacent broader and drier valley to the south.  Access to the ore bodies in Galore Creek is expected to be through a 14km tunnel which will begin near km 91 on the access road and terminate in the Galore Creek valley.  A basic map of the new mine plan can be viewed on the NovaGold website buy clicking on the link.

2009 Developments

February 2009 - Late in 2008 it was anticipated that NovaGold and Teck Cominco were to announce a Go-Ahead plan for the development of Galore Creek.  Although this plan was not formally announced and details remain to be determined, a tentative plan has been revealed during NovaGold presentations at industry conferences.  According to these presentations, we have been able to compile an outline of this plan which proposes the access route and tunnel along with some infrastructure.  Please note that is very tentative plan and must be considered as such.  An outline of this proposed plan is provided at this link.

2008 Developments

Jan 16, 2008 - NovaGold and Teck Cominco announce the appointment of a highly experienced senior management team to lead the Galore Creek project through the next phase of evaluation and optimization. NovaGold and Teck Cominco have appointed Mr. Pol Guzman as President & General Manager and Mr. Gary Ward as Project Director of the Galore Creek Mining Corporation with the objective of producing a modified construction approach and execution plan that will deliver enhanced financial returns. This work is to begin immediately.

2007 Developments

Nov 26, 2007 - NovaGold and its joint-venture partner Teck Cominco, jointly announced that they have suspended construction on the Galore Creek Project due to rising costs and a longer anticipated construction schedule. To date the two companies have spent approximately $C660 million on access roads and infrastructure.  According to a statement issued jointly by NovaGold/Teck Cominco, “NovaGold and Teck Cominco continue to view the property (Galore Ck.) as a substantial resource and will initiate a comprehensive review to evaluate alternative development strategies.  NovaGold and Teck Cominco have agreed to amend the terms of Teck Cominco’s earn-in obligations in connection with the project. Under the amended arrangements, Teck Cominco will invest an additional $72 million in the partnership to be used over the next five years principally to reassess the project and evaluate alternative development strategies. In addition, Teck Cominco’s sole funding of other project costs incurred after August 1, 2007 will now total $263 million. NovaGold and Teck Cominco will share the next $100 million of project costs 33% and 67% respectively and will share costs proportionately thereafter.”

Teck Cominco’s President and CEO, Don Lindsay, said, “Very few copper-gold deposits of this quality have been discovered over the last few years even though the industry has invested billions of dollars in exploration world-wide. Galore Creek is a substantial resource and we will continue to work to determine how and when it can best be developed.”

Nov 19, 2007 - CPY receives formal notice that NovaGold has completed the requirements to earn a 60% participating interest in the Copper Canyon Property.  NovaGold may earn an additional 20% interest for a total 80% by paying Copper Canyon C$1 million by February 14, 2008 and by completing a feasibility study by September 30, 2011.

Sept 20, 2007 - CPY receives notice from NovaGold that a 12-hole, 16,200’ (4,940m) diamond drilling program has been completed.  A number of holes were targeted beneath and beyond the existing boundaries of the current inferred resource. Hole CC07-0033 was drilled to a total depth of 2076’ (633m), testing over 250m beneath historical drill-hole CC90-2, the highest grade hole in the Galore District, which intersected 888’ (270m) grading 1.92 g/tonne Au, 22.28 g/tonne Ag and 1.05% Cu. Follow-up drilling was also completed on hole CC05-030 (drilled in late 2005), which intersected 2.5m grading 50.6 g/t Au (1.5 oz/ton).  The assay results from the 2007 Drill program can be found in the December 19, 2007 news release.  A revised Inferred Resource is expected in 2008.

June 13, 2007 - CPY announces NovaGold’s plans to complete a 4250m (13,940ft) drill program on the Copper Canyon property.  The drilling program is designed to expand the resource by stepping out from the current deposit which has an inferred resource, further test the previously drilled 2.3m interval of 50 g/t gold and test an exploration target associated with a soil geochemical anomaly.  NovaGold is to fund the work and expects to complete its requirements to earn a 60% interest in the property.

May 23, 2007 - NovaGold Resources Inc. and Teck Cominco Ltd. announce they have formed a partnership that will invest $2-billion (U.S.) to build the Galore Creek copper-gold mine in north-western British Columbia. On closing of the transaction, NovaGold and Teck Cominco will each hold a 50-per-cent interest in the partnership. The new operating company is to be called the Galore Creek Mining Corporation.  As a result, Teck Cominco will also become a partner with Copper Canyon Resources as per the option agreement between NovaGold and Copper Canyon Resources.

April 26, 2007 - CPY and Romios Gold Resources Inc. (TSX-V:RG) execute a Letter of Intent to merge the companies in order to maximize shareholder value in the Galore Creek Project in north-western British Columbia. Under the proposed terms, Copper Canyon shareholders were to receive 1.5 shares in Newco for each Copper Canyon share held and Romios Gold shareholders would receive 1.0 share for each Romios share. Subsequently, on June 4, 2007 the proposed merger was cancelled by the parties following the announcement of the NovaGold/Teck Cominco joint venture.

April 24, 2007 - CPY implements a shareholder rights plan.  The Rights Plan is designed to encourage the fair and equal treatment of shareholders in connection with any take-over bid for the outstanding securities of the Company and to provide shareholders with adequate time to properly assess the merits of a take-over bid without undue pressure and to allow for competing bids to emerge.  The Rights Plan is further designed to give the Board of Directors time to consider alternatives to a take-over bid as a means of maximizing shareholder value. For more information about the Shareholder Rights Plan click this link.

March 21, 2007 - CPY optioned it's Severence property to Northern Freegold Resources (NFR) who may earn a 100% interest (less 3% NSR) by making staged cash payments totalling $50,000 and issuing 300,000 common shares.  An additional 500,000 shares will be issued to CPY in the event of a production decision or change in control of NFR to another company. The 3% NSR may be reduced to 1% by payment of $1,500,000.  Click this link for more information on the option agreement between Copper Canyon Resources and Northern Freegold Resources.

Feb 28, 2007 -  CPY received a payment of 74,074 shares from NovaGold Resources with a market value at the close of trading on February 26th of $1,473,332.  This share payment is the final of four equal payments made to CPY as one of the conditions for NG to earn a 60% interest in the Copper Canyon Project.  Click on the following link for more information regarding the conditions of the Copper Canyon option agreement with NovaGold.

Galore Creek

More information is available online at http://www.novagold.net/ Novagold has a number of powerpoint presentations on their website with excellent descriptions, photos and maps of the Galore Creek Project.  Highlight the “Investor Info” toolbar… then scroll down to find “Presentations”.

Updated January 7, 2010