- Northern Dynasty Minerals (NDM) has signed an agreement with an investor (royalty holder) to receive up to US$60 million over the next two years
- In exchange, Northern Dynasty will get the right to receive a portion of the future gold and silver production from the Pebble Project throughout the life of the mine
- At the same time the agreement was being executed, Northern Dynasty received an initial payment of $12 million from the royalty holder
- Northern Dynasty is a mineral exploration and development company based in Vancouver
- Northern Dynasty Minerals Ltd. opened trading at C$0.35 per share
Northern Dynasty Minerals (NDM) has signed an agreement with an investor (royalty holder) to receive up to US$60 million over the next two years.
In exchange, Northern Dynasty will get the right to receive a portion of the future gold and silver production from the Pebble Project throughout the life of the mine.
At the same time the agreement was being executed, Northern Dynasty received an initial payment of $12 million from the royalty holder.
“It has become clear to us that to develop a world-class mineral deposit like Pebble requires time, patience and sufficient liquidity to successfully navigate the established legal process and continue ongoing efforts to work with the people in the region,” stated Ron Thiessen, Northern Dynasty President and CEO.
“This financing, when completed, also gives us the financial wherewithal to keep fighting against what we consider to be unfounded interference by U.S. Federal Government agencies in an otherwise well-established, legal permitting process, as well as to deal with challenges from well-funded parties from outside the area that lack scientific or other factual studies to support their opposition,” he added.
The agreement gives the royalty holder the right to invest additional funds, in $12 million increments, to an aggregate total of $60 million, within two years of the date of the agreement.
In return, Northern Dynasty obtains the right to receive up to 10 per cent of the payable gold and up to 30 per cent of the payable silver (in each case, in the aggregate) on the same terms as the first tranche.
Northern Dynasty is a mineral exploration and development company based in Vancouver, Canada.
Northern Dynasty Minerals Ltd. opened trading at C$0.35 per share.
