Vancouver’s Northern Dynasty Minerals (TSX:NDM) is willing to go to court to challenge a ballot that aims to halt development of its massive Pebble copper-gold project in Southwest Alaska.
On Tuesday, the company, which is an affiliate of the privately held Hunter Dickinson group, said a narrow vote in Alaska’s Lake & Peninsula Borough has supported an initiative to restrict development of state-owned resources, specifically targeting mining projects.
If upheld, the initiative could have serious consequences for the proposed Pebble project, which is believed to be one of the largest undeveloped metal deposits of its kind in the world. (See “Vancouver miner claims to have world-class copper gold asset” – issue 1061; February 23-March 1, 2010.)
“Pebble simply has too much potential for the region and the state to allow special interests to forestall its development before an optimized mine plan is proposed for the consideration of federal and state regulators and the people of Alaska,” commented Northern president and CEO Ron Thiessen.
Despite the alleged economic benefits the project would generate for the state, critics have argued that its relative proximity to the headwaters of Bristol Bay could have serious impacts for salmon fisheries in the area.
Thiessen believes the ballot is unconstitutional and unenforceable, adding that next month the Alaska Superior Court will begin proceedings to consider its constitutionality.
At press time, Northern Dynasty’s stock had slipped $0.13 to $7.27.
Joel McKay
@jmckaybiv