NOTE 5. INVESTMENT IN AFFILIATES

6 Months Ended

May 31, 2014

Investments in and Advances to Affiliates, Schedule of Investments [Abstract]

NOTE 5. INVESTMENT IN AFFILIATES

	At May 31, 2014		At November 30,  2013
Donlin Gold LLC, Alaska, U.S.A	$	3,480	$	1,720
Galore Creek Partnership, British Columbia, Canada		298,978		305,735
	$	302,458	$	307,455

Donlin Gold LLC

On December 1, 2007, together with Barrick Gold US Inc. (“Barrick”), the Company formed a limited liability company (“Donlin Gold LLC”) to advance the Donlin Gold project in Alaska. Donlin Gold LLC has a board of four directors, with two directors selected by Barrick and two directors selected by the Company. All significant decisions related to Donlin Gold LLC require the approval of Barrick and the Company. The Company has a 50% interest in Donlin Gold LLC.

Changes in the Company’s 50% investment in Donlin Gold LLC are summarized as follows:

	Six months ended May 31,
	2014			2013
Balance – beginning of period	$	1,720		$	4,185
Funding		7,746			6,898
Share of losses		(5,986	)		(6,528	)
Balance – end of period	$	3,480		$	4,555

The following amounts represent the Company’s 50% share of the assets and liabilities of Donlin Gold LLC.  Donlin Gold LLC has capitalized as Mineral Property the initial contribution of the Donlin Gold property with a carrying value of $64,000 resulting in a higher carrying value of the Mineral Property than the Company.

	At May 31, 2014			At November 30,  2013
Current assets: Cash, prepaid expenses and other receivables	$	4,139		$	3,390
Non-current assets: Property and equipment		484			541
Non-current assets: Mineral property		32,692			32,692
Current liabilities: Accounts payable and accrued liabilities		(1,143	)		(2,211	)
Non-current liabilities: Reclamation obligation		(692	)		(692	)
Net assets	$	35,480		$	33,720

Galore Creek Partnership

The Galore Creek project is owned by the Galore Creek Partnership (“Partnership”) a partnership in which wholly owned subsidiaries of NOVAGOLD and Teck Resources Limited (“Teck”) each own a 50% interest. The Partnership was formed in May 2007. Teck earned its 50% interest in the Partnership upon completion of its funding commitment of C$373,300 in June 2011. Commencing June 2011, the partners have funded the project costs on a 50/50 basis.

Changes in the Company’s 50% investment in the Partnership are summarized as follows:

	Six months ended May 31,
	2014			2013
Balance – beginning of period	$	305,735		$	335,086
Funding		1,445			2,067
Share of losses		(1,250	)		(5,193	)
Exploration tax credit		(693	)		—
Foreign currency translation		(6,259	)		(13,879	)
Balance – end of period	$	298,978		$	318,081

The following amounts represent the Company’s 50% share of the assets and liabilities of the Partnership. As a result of recording the Company’s investment in the Partnership at fair value in June 2011, the carrying value of the Company’s 50% interest in the Partnership is higher than 50% of the book value of the Partnership. Therefore, the Company’s investment in the Partnership does not equal 50% of the net assets recorded by the Partnership:

	At May 31, 2014			At November 30,  2013
Current assets: Cash, prepaid expenses and other receivables	$	532		$	377
Non-current assets: Property and equipment		268,733			263,797
Current liabilities: Accounts payable and accrued liabilities		(462	)		(483	)
Non-current liabilities: Payables and reclamation obligation		(8,724	)		(8,533	)
Net assets	$	260,079		$	255,158

Equity losses of affiliates

	Three months ended May 31,				Six months ended May 31,
	2014		2013		2014		2013
Donlin Gold LLC:
Mineral property expenditures	$	3,083	$	3,480	$	5,893	$	6,420
Depreciation		48		54		94		108
		3,131		3,534		5,987		6,528
Galore Creek Partnership:
Mineral property expenditures		47		422		328		932
Care and maintenance expense		438		696		922		1,050
Depreciation		—		1,586		—		3,211
		485		2,704		1,250		5,193
		3,616	$	6,238	$	7,237	$	11,721