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Northern Dynasty: EPA initiates process to withdraw its Proposed Determination

Corporate Updates

Northern Dynasty: EPA initiates process to withdraw its Proposed Determination

July 11, 2017 V ancouver. BC –- Northern Dynasty Minerals Ltd. (TSX: NDM; NYSE MKT: NAK)

("Northern Dynasty" or the "Company") reports that the US Environmental Protection Agency (“EPA”) has

begun a process to withdraw a Proposed Determination it issued under the Clean Water Act (“CWA”) in 2014

that would have restricted development of the Pebble Project in southwest Alaska (see

https://www.epa.gov/bristolbay).

On May 12, 2017, EPA and Northern Dynasty’s wholly -owned subsidiary, Alaska -based Pebble Limited

Partnership ("Pebble Partnership" or "PLP"), reached a settlement agreement that allows the Pebble Project to

proceed into normal course permitting under the CWA and National Environmental Policy Act (“NEPA”). The

federal agency’s proposal to formally withdraw its Proposed Determination further clarifies PLP’s right to

proceed into normal course permitting unencumbered by any extraordinary development restrictions , and

complies with EPA’s legal obligations under the settlement agreement.

“The current administration at EPA is closely focused on enforcing environmental standards and permitting

requirements for major development projects like Pebble in a way that is both rigorous and robust, but also

consistent in order to provide predictability and an even-playing field for all resource developers,” said Pebble

Partnership CEO Tom Collier. “It’s an approach all Alaskans and all Americans should support, because it has

the benefit of maintaining the high standards for environmental protection for which the state and country are

known, while attracting investment in projects that create high -wage jobs and other much -needed economic

benefits in our country.”

Collier said EPA Administrator Scott Pruitt has stated he does not support the unprecedented pre-emptive veto

that his predecessor initiated at Pebble in July 2014. However, Pruitt also made clear his staff will follow the

necessary steps to properly assess and withdraw the Proposed Determination – an administrative process that

has now begun.

“Due process and open, transparent decision-making matters to this administration,” Collier said. “And that is

something we both accept and respect.”

Collier expressed confidence that EPA will withdraw its Proposed Determination at the conclusion of the

administrative process initiated today. The US House Committee on Science, Space and Technology urged

Administrator Pruitt to take such action back in February 2017, stating that EPA actions at Pebble were based

on “a questionable scientific assessment that relied on pre- determined conclusions,” and that EPA officials

“acted with bias and predetermined conclusions aimed to prevent this project and improperly expand EPA’s

authority under the Clean Water Act.”

Under the terms of its settlement with Pebble, EPA has agreed it will not file a Recommended Determination

under CWA Section 404(c) until a final Environmental Impact Statement (“EIS”) for the Pebble Project has

been completed by the US Army Corps of Engineers (the “Corps”) – so long as that occurs within a period of

four years following the May 2017 settlement, and PLP applies for permits with 30 months of the settlement

date. In return for these commitments, PLP agreed to terminate two lawsuits it brought against EPA under the

Federal Advisory Committee Act and Freedom of Information Act.

Northern Dynasty is now focused on qualifying a nd securing a new major funding partner for the Pebble

Project, while the Pebble Partnership is advancing plans to initiate federal and state permitting with a smaller,

environmentally-optimized project design. B oth major project milestones – re-partnering and initiating

permitting under the CWA and NEPA – are expected to be achieved in the near term.

“We believe the project design we are preparing to advance into permitting, as well as the social and

stakeholder programs and commitments we are building around our project, will address many of the priorities

and concerns we have heard from stakeholders in Alaska,” said Northern Dynasty President & CEO Ron

Thiessen. “We have every confidence that a permitting process led by the Corps will be objective and science-

based, and provide us an opportunity to demonstrate that Pebble is a project of merit that will provide very

substantial benefits to the people and communities of southwest Alaska, the state and nation as a whole.”

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 US subsidiary Pebble Limited

Partnership and other wholly- owned subsidiaries, is a 100% interest in a contiguous block of 2,402 mineral

claims in southwest Alaska, including the Pebble deposit. The Pebble Partnership 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 we bsite at

www.northerndynasty.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

Canadian Media Contact:

Ian Hamilton

DFH Public Affairs

(416) 206-0118 x.222

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. Although 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 Pebble Project or of the Company's future performance. Assumptions used by the

Company to develop forward-looking statements include the following: the Pebble Project will obtain all required environmental and

other permits and all land use and other licenses, studies and development of the Pebble Project will continue to be positive, and no

geological or technical problems will occur. The likelihood of future mining at the Pebble Project is subject to a large number of risks

and will require achievement of a number of technical, economic and legal objectives, including obtaining necessary mining an d

construction permits, approvals, licenses and title on a timely basis and delays due to third party opposition, changes in government

policies regarding mining and natural resource exploration and exploitation, the final outcome of any litigation, completion of pre-

feasibility and final feasibility studies, preparation of all necessary engineering for surface o r underground mining and processing

facilities as well as receipt of significant additional financing to fund these objectives as well as funding mine constructi on. Such

funding may not be available to the Company on acceptable terms or on any terms at all. There is no known ore at the Pebble Project

and there is no assurance that the mineralization at the Pebble Project will ever be classified as ore. The need for complian ce with

extensive environmental and socio -economic rules and practices and the requir ement for the Company to obtain government

permitting can cause a delay or even abandonment of a mineral project. The Company is also subject to the specific risks inherent in

the mining business as well as general economic and business conditions. For mor e information on the Company, Investors should

review the Company's filing s with the United States Securities and Exchange Commission and its home jurisdiction filings that are

available at www.sedar.com.