Status and Location — The Baird property is located in the Baird mountains of northwest Alaska, 35 miles north of Kiana, Alaska in the western part of the Brooks Range and consists of 60,560 acres of 100% owned Alaka state (442 state claims) claims, and the 9,600 acre Omar claim block where the Company is earning a 60% joint venture interest from Teck (60 state claims). The property lies 100 kilometers southeast of Red Dog, the world's largest zinc producing mine. The property covers rolling to mountainous terrain in the southern Brooks Range along the Squirrel River. Exploration is helicopter-supported either from Kiana a small native village along the Kobuk River which drains into Kotzebue Sound or from seasonal camps established on the property.

Project Map — Baird Geology And Geochemistry

Exploration 2009 — The limited work program focused on following up geochemical anomalies generated by a 2007 NovaGold sampling program. Most work was focused on the Capital Hill area at the southeast end of the 10 kilometer long Peak mineralized trend. Here, scattered narrow gossan trains occur in the carbonate for over 1.5 kilometers and include a broad zone of mixed gossan, silica rock, and baritic rock. A two meter wide silica-barite vein in the carbonate returned 5.3% Zn. From broad areas of carbonate subcrop with widely scattered cobbles and pebbles of gossan float, samples of gossan return as much as 1% Zn, 0.5% Pb, and 500 ppm Cu. All the material is strongly oxidized and determining original metal concentrations will require drilling. Additional results are pending.

These exceptionally large metal anomalies are hosted in Paleozoic carbonates, and Re-Os dating of Cu mineralization at Omar by the U.S.G.S. shows an early Devonian age of mineralization, demonstrating that the Baird occurrences are part of the same regional metallization event that produced the nearby Red Dog zinc deposit, the Ruby Creek copper deposit, and the Ambler Cu-Zn deposit. The Company's geologists believe that the Baird property represents an excellent district-scale target in which to locate another giant base metal deposit.

Work by NovaGold and the Company to date includes collecting 3,826 soil, rock, talus fine, and stream silt samples and has identified four large copper-zinc mineralized areas ranging from 4 to 10 kilometers in length which contain multi-percent-level copper and zinc mineralization hosted by Paleozoic carbonate (see Map C). At Omar, an historic drill program conducted by Bear Creek Mining Co. in the 1960’s intersected 6.1 meters of 9.6% copper in one hole, and 36.6 meters grading 3.2% copper in another within a 4.3 kilometer long area of anomalous Cu and Zn. The Deadfall prospect lies within a 4 kilometer belt of strongly anomalous Zn and Pb where channel samples returned 36 meters grading 6% zinc and 21.7 grams silver per tonne. At Frost, a 4.3 kilometer belt of strongly anomalous Zn and Cu in soils is coincident with widely extensive silica-barite rock with strong copper and zinc mineralization occurring in both stratabound and cross cutting structural zones. The fourth area, Peak, consists of an extensive 10 kilometer long trend of Zn, Pb, and Ba geochemical anomalies with locally anomalous Cu.

Geology — The project area contains a folded and faulted sequence of Paleozoic age limestone and dolomite, the Baird Group, which host strong oncentrations of copper and zinc. Mineralization in the Baird Mountains shares a Cu-Zn-Pb-Ba-Co-Ge-F geochemical signature with the large Ruby Creek deposit and other showings at Bornite 100 miles to the east. Important mineral occurrences which cover a roughly 20 by 12 kilometer area are the Omar prospect (on the optioned Teck Cominco property) ; and the Frost, Deadfall, Powdermilk and Peak prospects on NovaGold ground.

Historical Exploration — Bear Creek Mining Co. completed limited exploration and drilling sixteen tightly clustered shallow, small diameter core holes in the Omar prospect in the 1960’s. Results include Cu values of 9.59% over 6.1 meters (DH-05) and 3.16% over 36.6 meters (DH-06). Cominco American conducted limited reconnaissance sampling in the area in the 1980’s and 1990’s. No other significant exploration has
occurred in the area.

NovaGold Exploration — In 2006, NovaGold acquired its initial land holdings in the area staking the Frost, Deadfall and Peak occurrences and subsequently optioned the in-held Omar property then held by Aur Resources. Novagold then completed a regional airborne magnetic, radiometric and resistivity survey resulting in a series of conductive anomalies.

In 2007 NovaGold began field work completed collection of 3304 soil samples, 355 rocks, 144 silt samples, 45 pan concentrate samples, and 23 talus fine samples along with both detailed and broad scale mapping of the mineralized areas. The prospect exhibits high concentrations of Cu and Zn over unusually broad areas for a carbonate terrain.

PRINCIPAL MINERALIZED AREAS SO FAR IDENTIFIED INCLUDE THE FOLLOWING:

The Omar prospect has numerous occurrences of copper sulfide as chalcopyrite, bornite and chalcocite hosted in brecciated dolostone along a 3 km long structurally complex zone. NovaGold rock samples shows up to 34.3% Cu, 0.85% Zn, and 0.4% Co from select samples along the mineralized zone. Copper in soils and talus fines define a 3 km x 0.5 km 200 ppm Cu anomaly with 1 km x 0.5 km >500 ppm Cu anomaly. Significant zinc and cobalt soil anomalies mimic the copper mineralization.

At Deadfall, a steeply dipping zone in recrystallized dolomite contains disseminated coarse sphalerite and galena. Continuous channel sampling of the 47 meter wide outcropping zone returned 12 meters of 10.1% Zn and 42.4 g/tonne Ag within 36 meters of 6% Zn and 21.7 g/tonne Ag. The remaining 11 meter width of the full 47 meter zone returned 1.7% Zn and 8.2 g/tonne Ag.

The zone trends eastward under cover where a roughly 4 km x 0.5 km long >400 ppm zinc and >100 ppm lead soil and talus fine geochemical anomaly has been defined. Select rock samples from the area have returned up to 28% Zn.

The Frost Cu-Zn prospect consists of a massive barite-sulfide-fluorite zone with sphalerite, galena, bornite and chalcopyrite. The Frost zone is manifest as sparse outcrops and abundant rubble crop and float over a 750 meters strike length, a 200 meter width and 300 meters of elevation. Both stratabound banding and crosscutting textures are present. Subsequent soil and talus fine sampling have defined a roughly 4 km x 2 km 200 ppm Zn with more locally elevated copper values. Select rock samples contain up to 30.6% Zn, 20.2% Cu, and 52.6 g/t Ag.

At Peak, Zn and Pb mineralized carbonate outcrops and soils anomalous in Zn and Ba extend along a roughly a 13 kilometer linear trend. Mineralization consists of smithsonite encrustations and coarsely crystalline disseminated sphalerite, galena, and massive barite. Select rock samples contain up to 33.1% Zn and 4.1% Pb.

Recent trace element and multi-element analyses by the USGS on a suite of select samples from the various prospects have returned highly anomalous values including Co 0.43%, Ga 111 ppm, Ge 91 ppm, Re 0.59 ppm, In 0.67 ppm and U 130 ppm.

Target Type — The shear scale of the system and the size of the soil/talus anomalies in carbonate terrain are highly prospective. It is unclear as yet if the target area represents an analog to high-grade moderate tonnage epigenetic carbonate hosted Cu/Zn deposits such as Tsumeb, Kipushi, Ruby Creek and Kennicott or is a syngentic Sedex system analogous to Mount Isa or the Irish Sedex deposits.

2009 Exploration — Plans for 2009 include additional soil and talus fine sampling to complete coverage over the claim block; additional geologic mapping; ground geophysics to augment NovaGolds 2006 airborne EM and magnetic survey; and initial drilling (3000 meters) at Omar, Deadfall, Frost, and Peak.

* More information coming soon *