Northern Dynasty completes $22 million financing
18 March 2004 - 1:00AM
PR Newswire (US)
Northern Dynasty completes $22 million financing Engineering and
permitting programs commence for a major mine development at
Pebble, Alaska VANCOUVER, March 17 /PRNewswire-FirstCall/ -- Ronald
W. Thiessen, President and CEO of Northern Dynasty Minerals Ltd.
(TSX Venture: NDM; OTCBB: NDMLF) is pleased to announce that
Northern Dynasty has completed the $22 million, non-brokered,
private placement financing that was announced on February 11,
2004. The financing was for 2.75 million units at Cdn$8.00 per unit
with each unit consisting of a share and one half warrant. Each
whole warrant is exercisable within one year to acquire one further
common share at Cdn$9.00. Proceeds of the financing will be used to
rapidly advance the Pebble Project, located in southwestern Alaska,
USA towards a major mine development. Northern Dynasty is committed
to engineer, permit, construct and operate a long life,
large-scale, open pit, gold-copper-molybdenum mine at the site. A
recent independent resource estimateby Norwest Corporation
established the Pebble deposit as the largest gold deposit, and at
the same time, the second largest copper deposit in North America.
Pebble contains 26.5 million ounces of gold, 16.5 billion pounds of
copper and 900 million pounds of molybdenum within an Inferred
Mineral Resource of 2.74 billion tonnes grading 0.55%
copper-equivalent (0.30 grams gold per tonne, 0.27% copper and
0.015% molybdenum above a cut-off grade of 0.30%
copper-equivalent). Furthermore, substantial near surface,
higher-grade starter resources have been identified within the
deposit that can be mined with almost no waste removal.
Higher-grade resources facilitate rapid recovery of capital costs
during the early years of a large scale mining operation. Current
evaluations of the optimum milling capacity for the Pebble Project
range from 90,000 to 200,000 tonnes per day. Northern Dynasty has
commenced collecting the engineering and environmental data for
completion of a Bankable Feasibility Study as well as the
submission of an Environmental Impact Statement (EIS) for permits
to construct and operate a mine and related infrastructure. Field
engineering data collection and multi-rig core drilling to
establish measured and indicated resources as well asholes for
geotechnical, metallurgical and hydrological design will commence
this month. Currently, the most immediate areas of necessary
expertise for project development are well covered by a spectrum of
in-house engineers and scientists in conjunction with top level
consultants. With regard to infrastructure development, the State
of Alaska has accelerated its program for the construction of
"Roads to Resources" relative to the Pebble Project. An existing
Alaskan Department of Transport study to investigate alternative
road and port sites has recently been amended to provide the
necessary facilities in line with Northern Dynasty's proposed
development schedule. The exhaustive alternative analysis underway
will lead to detailed engineering studies of the best port site and
road corridor selection. All engineering work will be completed
with sufficient accuracy for input into the EIS document and permit
application for the Pebble Project. In addition, under the
direction of Governor Frank Murkowski, a working group has been
convened to evaluate the demand for and the benefits of a regional
energy system (i.e. fuel supplies, power stations and transmission
lines). The terms of technical reference, funding protocol and
timetable under which the power needs of Southwest Alaska and the
Pebble Project can be quantified, will be defined by this working
group in the coming weeks. Included in the evaluations will be
potential improvements and benefits to the Railbelt power system.
For further details on Northern Dynasty Minerals Ltd. please visit
Northern Dynasty's website at http://www.northerndynasty.com/ or
contact Investor Services at 604-684-6365 or within North America
at 1-800-667-2114. ON BEHALF OF THE BOARD OF DIRECTORS (signed)
Ronald W. Thiessen President and CEO For more information on the
Pebble Project please contact the following persons at 604-684-6365
or 1-800-667-2114: Brian Mountford, P.Eng. - Project Director -
Engineering Bruce Jenkins - Director of Environment, Permitting and
Socio-Economic Planning No regulatory authority has approved or
disapproved the information contained in this news release. This
release includes certain statementsthat may be deemed "forward-
looking statements". All statements in this release, other than
statements of historical facts, that address future production,
reserve potential, exploration drilling, exploitation activities
and events or developments that the Company expects are
forward-looking statements. Although the Company believes the
expectations expressed in such forward-looking statements are based
on reasonable assumptions, such statements are not guarantees of
future performance and actual results or developments may differ
materially from those in the forward-looking statements. Factors
that could cause actual results to differ materially from those in
forward-looking statements include market prices, exploitation and
exploration successes, continued availability of capital and
financing, and general economic, market or business conditions.
Investors are cautioned that any such statements are not guarantees
of future performance and that actual results or developments may
differ materially from those projected in the forward-looking
statements. For more information on the Company, Investors should
review the Company's home jurisdiction filings that are available
at http://www.sedar.com/. DATASOURCE: Northern Dynasty Minerals
Ltd. CONTACT: the following persons at (604) 684-6365 or
1-800-667-2114: Brian Mountford, P.Eng. - Project Director -
Engineering; Bruce Jenkins - Director of Environment, Permitting
and Socio-Economic Planning
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