Northern Dynasty confirms Final Environmental Impact Statement for Alaska’s Pebble Project describes a modern, environmentally sound mine that can co-exist with clean water and healthy fisheries
Northern Dynasty confirms Final Environmental Impact Statement for Alaska’s Pebble Project
describes a modern, environmentally sound mine that can co-exist with clean water and healthy fisheries
July 29 , 2020 Vancouver – Northern Dynasty Minerals Ltd. (TSX: NDM; NYSE American: NAK) ("Northern
Dynasty" or the "Company") and its 100% -owned US -based subsidiary Pebble Limited Partnership (the
“Pebble Partnership”) have completed a comprehensive review of the Final Environmental Impact Statement
(“Final EIS”) for the proposed Pebble copper-gold-molybdenum project, as published by lead federal
regulator the US Army Corps of Engineers (“USACE”) last week.
Northern Dynasty President & CEO Ron Thiessen confirmed the Fin al EIS for the Pebble Project describes a
modern mineral development project that can fully co -exist with the subsistence, commercial and
recreational fishing resources of southwest Alaska, while protecting water quality, downstream flows and
associated aquatic habitat. The USACE also found Pebble can make a significant socioeconomic contribution
to the Bristol Bay region, its residents and communities, as well as to state and local governments.
“In completing our comprehensive technical and legal review of the Final EIS for the Pebble Project, a
document comprising more than 2,000 pages plus appendices, I can confirm that it describes a project of
considerable merit that will fully protect important environmental values in the project area, that will create
tremendous benefits for Alaska’s people and governments, and one we expect to secure a positive Record of
Decision later this summer,” Thiessen said.
“But don’t take my word for it. I encourage anyone with an interest in Pebble, in Bristol Ba y fisheries, in the
vibrant Indigenous cultures of southwest Alaska or the State of Alaska itself to find out for themselves by
reading the Final EIS Executive Summary and supporting documents at pebbleprojecteis.com.”
While the USACE is the lead federal regulator for the Pebble EIS process, much of the work behind the scenes
was completed by AECOM – the 3 rd party EIS contractor selected in early 2018 . AECOM is a globally
recognized engineering, environmental, construction and infrastructure development firm with a long history
of providing regulatory compliance and other professional services associated with the development of large,
complex mineral and oil and gas development projects in Alaska and the United States.
Thiessen said AECOM’s extensive global experience and reputation as an engineering and environmental
leader adds additional credibility to the EIS findings. He said the Final EIS, published July 24, 2020 is clear that
development activities proposed at Pebble would not affect the number of adult salmon returning to Bristol
Bay watersheds, nor the value of the fishery:
o “Impacts to Bristol Bay salmon are not expected to be measurable…” (4.24-47)
o “Other salmon fisheries in Alaska exist in conjunction with non-renewable resource extraction industries.” (ES 86)
The Final EIS also concludes that Pebble’s potential effects on fish and fisheries will be undetectable at the
level of the Bristol Bay region as a whole (~40,000 sq. miles), within the two large drainage areas in which
project facilities are located (~23,000 sq. miles), or even within the direct project area (~10 sq. miles):
o “(The project) would not have measurable effects on the number of adult salmon returning to the Kvichak and
Nushagak river systems as a result of project construction and operations, due the limited lineal footage of upper
Koktuli River fish habitat affected by placement of fill.” (4.6-9)
o “The mine site area is not connected to the Togiak, Ugashik, Naknek, and Egegik watersheds and is not expected to
affect fish populations or harvests from these watersheds.” (Table 4.6-1, P4.6-4)
o “Considering the physical characteristics and current fish use of habitat to be removed, the consequently low
densities of juvenile Chinook and coho observed in the affected tributaries, and the few numbers of spawning coho
observed (see Section 3.24, Fish Values), impacts to anadromous and resident fish populations from these direct
habitat losses would not be measurable, and would be expected to fall within the range of natural variability.”
(4.24-46)
Similarly, the Final EIS finds that the proposed Pebble mine would not impact water resources in a manner
that affects aquatic species or local communities:
o “There would be no effects on any community groundwater or surface water supplies from the changes in
groundwater flows at the mine site.” (ES 67)
o “With few exceptions, predicted changes in habitat in the modeled portion of the upper mainstem Koktuli River
(upstream of the Swan River) are near zero or positive, suggesting that project effects from flow changes would not
negatively impact reaches downstream of the NFK and SFK confluence, or in UTC.” (4.24-13)
Pebble’s potential to create 850 direct, high -wage jobs and 2,000 total jobs is widely expected to have a
dramatic and positive impact, both regionally and state-wide. The Final EIS points to a range of other positive
socioeconomic benefits:
o “Reduced transportation costs would likely lower the high cost of living for the communities near the transportation
corridor….The natural gas pipeline would also provide opportunities for adjacent communities to lower their winter
heating costs, a positive impact.” (4.3-3)
o “Reduced transportation costs would lower the cost of living for these communities, all of which are minority and low
income.” (ES 53)
o “Local employment opportunities could offset current trends of outmigration in some communities and provide
service fee revenue to maintain or even improve community infrastructure.” (4.3-6-4.3-7)
o “In addition, an increased revenue stream to the LPB (Lake & Peninsula Borough), along with stabilization of
population levels attributable to employment opportunities, could result in improvements to community health care
facilities throughout the borough.” (4.3-8)
The Final EIS finds an operating mine at Pebble would make significant contributions to local and state
government revenues at a time when Alaska is facing a fiscal crisis related both to the COVID-19 pandemic
and a substantial drop in oil and gas investment and commodity prices:
o “An estimated $64 million annually in state corporate taxes during the operations phase. It was estimated that the
operations phase could also generate $41 million annually from State mining license taxes. The project could
generate $20 million annually (in 2011 dollars) in state royalty payments during the operations phase.” (4.3-11)
o “The project would generate $25 million annually in state taxes through construction, and $84 million annually in
state taxes and royalty payments during the operations phase. The project would generate $27 million annually in
severances taxes for the LPB during operations, and annual property tax revenue to the Kenai Peninsula Borough
based on assessed value of project-related real property.” (ES 47-48)
Importantly, the Final EIS makes clear the Pebble Partnership proposes to employ a tailings storage facility
design and operating protocols that preclude the type and scale of catastrophic failure seen in recent years
in Brazil and British Columbia:
o “The Applicant’s bulk TSF design is different than that of most other historic and current TSFs. The proposed design
is especially distinct when compared to most historic mines that have experience large failures.” (K4.27-4)
o “Most historic failures have been from dams built by upstream construction methods. The Applicant would
construct the bulk TSF embankments by downstream and centerline methods, not the upstream method.” (K4.27-3)
o “The Applicant has proposed a design for the bulk TSF that would minimize surface water storage above the tailings
and promote unsaturated, or dryer, conditions in the bulk tailings through drainage provisions.” (K4.27-4)
Pebble Partnership CEO Tom Collier noted the Final EIS for the Pebble Project represents the first time an
independent, expert regulatory body has comprehensively reviewed a development plan put forward by
the project’s proponents. He called the document “the most relevant and defensible science-based
assessment of the Pebble Project ever developed, and the administrative record upon which final
permitting decisions will be made.”
“I’ve been involved in countless EIS processes over the course of my career, and can attest to the rigor, the
attention to detail and objective care that the USACE and other federal, state and local cooperating
agencies have put into this review process,” Collier said. “I have every confidence in the legitimacy and the
integrity of the US Army Corps of Engineers’ findings when it comes to Pebble, and that this Final EIS
document will ultimately prevail against any challenge – legal or otherwise – as the most appropriate
administrative record upon which final permitting decisions at Pebble should and will be made.”
About Northern Dynasty Minerals Ltd.
Northern Dynasty is a mineral exploration and development company based in Vancouver, Canada. Northern Dynasty's
principal asset, owned through its wholly owned Alaska -based U.S. subsidiary, Pebble Limited Partnership (“PLP”), is a
100% interest in a contiguous block of 2,402 mineral claims in southwest Alaska, including the Pebble deposit. PLP is the
proponent of the Pebble Project, an initiative to develop one of the world's most important mineral resources.
For further details on Northern Dynasty and the Pebble Project, please visit the Company's website at
www.northerndynastyminerals.com or contact Investor services at (604) 684 -6365 or within North America at 1 -800-
667-2114. Review Canadian public filings at www.sedar.com and US public filings at www.sec.gov.
Ronald W. Thiessen
President & CEO
US Media Contact:
Dan Gagnier
Gagnier Communications
(646) 569-5897
Forward Looking Information and other Cautionary Factors
This release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than
statements of historical facts, that address exploration drilling, exploitation activities and events or developments that the Company
expects are forward -looking statements. A lthough the Company believes the expectations expressed in its forward -looking
statements are based on reasonable assumptions, such statements should not be in any way construed as guarantees of the ultimate
size, quality or commercial feasibility of the P ebble Project, that the Pebble Project will secure all required government permits, or
of the Company's future performance.
Assumptions used by NDM to develop forward-looking statements include the assumptions that (i) the Pebble Project will obtain all
required environmental and other permits and all land use and other licenses without undue delay, (ii) studies for the developm ent
of the Pebble Project will be positive, (iii) NDM will be able to establish the commercial feasibility of the Pebble Project, and (iv) NDM
will be able to secure the financing required to develop the Pebble Project. The likelihood of future mining at the Pebble Pr oject is
subject to a large number of risks and will require achievement of a number of technical, economic and legal objectives, including (i)
obtaining necessary mining and construction permits, licenses and approvals without undue delay, including without delay due to
third party opposition or changes in government policies, (ii) the completion of feasibility studies de monstrating the Pebble Project
mineral reserves that can be economically mined, (iii) completion of all necessary engineering for mining and processing faci lities,
and (iv) receipt by NDM of significant additional financing to fund these objectives as well as funding mine construction, which
financing may not be available to NDM on acceptable terms or on any terms at all. The Company is also subject to the specific risks
inherent in the mining business as well as general economic and business conditions, as well as risks relating to the uncertainties with
respect to the effects of COVID-19.
The National Environment Policy Act EIS process requires a comprehensive “alternatives assessment” be undertaken to consider a
broad range of development alternatives, th e final project design and operating parameters for the Pebble Project and associated
infrastructure may vary significantly from that currently being advanced. As a result, the Company will continue to consider various
development options and no final project design has been selected at this time.
For more information on the Company, Investors should review the Company's filings with the United States Securities and Exchange
Commission and its home jurisdiction filings that are available at www.sedar.com