VANCOUVER, June 24, 2019 /PRNewswire/ - Northern Dynasty
Minerals Ltd. (TSX: NDM; NYSE American: NAK) ("Northern
Dynasty" or the "Company") announces that it has closed
its previously announced bought deal offering. A total of
12,200,000 common shares of the Company were sold at a price of
US$0.41 per share (the "Offering
Price") for gross proceeds of approximately US$5.0 million. The Offering was completed
pursuant to an underwriting agreement dated June 19, 2019 among the Company and Cantor
Fitzgerald Canada Corporation, as lead underwriter and sole book
runner, and a syndicate of underwriters including BMO Capital
Markets, H.C. Wainwright & Co., LLC. and TD Securities Inc.
(collectively, the "Underwriters"). The Underwriters were
paid a 6% cash commission and received 244,000 non-transferable
common share purchase warrants (the "Underwriter Warrants").
Each Underwriter Warrant entitles the holder to acquire one
common share of the Company at the Offering Price for a period of
12 months.
The proceeds from the Offering are anticipated to be used for:
(i) operational expenditures, including engineering, environmental,
permitting and evaluation expenses associated with the Pebble
Project and advancement of the U.S. Army Corps of Engineers
Environmental Impact Statement ("EIS"); (ii) ongoing
outreach and engagement with political and regulatory offices in
the Alaska state and U.S. federal
governments, Alaska Native partners and broader regional and
state-wide stakeholder groups; and (iii) general corporate
purposes.
The Offering was made by way of a prospectus supplement (the
"Prospectus Supplement") to the Company's existing Canadian
base shelf prospectus (the "Base Shelf Prospectus") and
related U.S. registration statement on Form F-10 (SEC File No.
333-229262) (the "Registration Statement"). The U.S.
form of Base Shelf Prospectus is included in the Registration
Statement. This press release does not constitute an offer to
sell or the solicitation of an offer to buy securities, nor will
there be any sale of the securities in any jurisdiction in which
such offer, solicitation or sale would be unlawful prior to the
registration or qualification under the securities laws of any such
jurisdiction. The securities being offered have not been approved
or disapproved by any regulatory authority, nor has any such
authority passed upon by the accuracy or adequacy of the Prospectus
Supplement, the Base Shelf Prospectus or the Registration
Statement.
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, the Pebble
Partnership, 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.
Ronald W. Thiessen
President & CEO
Forward Looking Information and other
Cautionary Factors
This news release contains "forward-looking information" within
the meaning of applicable Canadian securities legislation, and
"forward-looking statements" within the meaning of the United
States Private Securities Litigation Reform Act of 1995
(collectively referred to as "forward-looking information"). The
use of any of the words "expect", "plan", "update" and similar
expressions are intended to identify forward-looking information or
statements. These statements include expectations about the use of
proceeds of the Offering, the finalization of the Environmental
Impact Study by the U.S. Army Corps of Engineers, the ability of
the Company to proceed with permit applications for the development
of the Pebble Project, the ability of the Company to obtain the
necessary federal and state permits for the development of the
Pebble Project and the ability of the Company to secure the
required Canadian and US regulatory and stock exchange acceptances
for the Offering. Though the Company believes the expectations
expressed in its forward-looking statements are based on reasonable
assumptions, such statements are subject to future events and third
party discretion such as regulatory personnel. For more information
on the Company, and the risks and uncertainties connected with its
business, Investors should review the Company's home jurisdiction
filings at www.sedar.com and its filings with the United States
Securities and Exchange Commission at www.sec.gov.
View original
content:http://www.prnewswire.com/news-releases/northern-dynasty-announces-closing-of-us5-0-million-bought-deal-300873410.html
SOURCE Northern Dynasty Minerals Ltd.