Thursday, July 26, 2012

NovaGold Plunges; Paulson Holds 13% Stake, Baupost Group 3.6%

Looked at NG a couple of years ago and passed based on the valuation.  NG got a lot cheaper today, but I'd have to do more work to see why Barrick is pulling out of this project.

     July 26 (Bloomberg) -- NovaGold plunges as much as 33% on >3x avg. volume to lowest since Sept. 2009.
  * ABX earlier said Donlin Gold (50% owned by NG) doesn’t meet investment criteria; won’t make decision to  Build project “at this time"; ABX down as much as 8.3% post-earnings
  * NG down 48% YTD, worst performer in XAU index YTD
  * Among top holders of NG, according to Bloomberg data (as of 3/31, unless otherwise noted):
    * Electrum Strategic Resources 19% (as of 3/19)
    * Paulson & Co. 13% (as of 4/30)
    * Tradewinds Global 4.3% (as of 5/31); holds 2% of ABX
    * Baupost Group 3.6%
    * Aletheia Research 3.2%
    * Octavian Advisors 3.1%
    * York Capital Mgmt 1.9%
    * Tocqueville Asset Mgmt 1.9%
    * Chilton Investment 1.5%; also holds 0.8% of ZNGA, which is down >40% post-earnings
    * Blue Ridge Capital 1.3%
  * NOTE: Paulson had losses in all funds in June, led by 7.9% drop in Advantage Plus Fund (down 16% this year); Paulson’s Gold Fund is down 23 this year;

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