Northern Dynasty Minerals Ltd. · TSX:NDM
Northern Dynasty Minerals — Hunter Dickinson — Investor Presentation (June 2007)
31 slides from Northern Dynasty Minerals's investor presentation, June 2007
Slide 1: Positioned For Growth
nn HUNTER aT “DICKINSON vy INC. Positioned For Growth June 2007
Slide 2: HDI Companies - Structure
HDI COMPANIES - STRUCTURE AHR ARQ KMK DGC FAN GBG NDM RVI TKO 100% HDI HDI is a multi-disciplinary team of professionals which services a select group of public companies on a cost recovery basis. Financing, acquisition and divestitures Investor relations, media services Geological, engineering, env
Slide 3: Project Commodities and Locations
PROJECT COMMODITIES AND LOCATIONS COMPANY SYMBOL COMMODITY LOCATION Amarc Resources AHR Gold AXREF BC, Canada Base Metals ARQ PGM Anooraq Resources ANO South Africa Nickel Copper ARQ Continental Minerals KMK Copper KMKCF Gold Tibet, China Detour Gold DGC Gold Ontario, Canada Zinc Farallon Resources
Slide 4: People and Offices
PEOPLE AND OFFICES HDI Head Office Vancouver Johannesburg Toronto Anchorage Beijing Mexico City Balfour Illiamna Rikaze Campo Morado Head Office 92 professional engineers, geologists, accountants, biological and social scientists, financial specialists, investor relations and media specialists Johan
Slide 5: 20 Years of Achievement
20 YEARS OF ACHIEVEMENT •$10 million → $3.0 billion market capitalization •1990 - Bob Dickinson and Bob Hunter received the Mine Developers of the Year Award for Canada •1992 - Mark Rebagliati received the Spud Huestis, BC Prospector of the Year Award for BC •1998 - Mark Rebagliati wins Prospector o
Slide 6: Initial Track Record
INITIAL TRACK RECORD NORTH AMERICAN METALS CORP. CONTINENTAL GOLD CORP. Share Price Share Price $20.00 $5.00 $1.10 $0.50 1985 1988 1988 1990 Homestake Takeover Placer Dome Takeover EL CONDOR RESOURCES LTD. Share Price $7.00 $0.45 1990 1996 Royal Oak Takeover Dec 2006
Slide 7: HDI Group of Companies
HDI GROUP OF COMPANIES - Focused programs to discover BRITISH ( ( ( ( ( ( ( Fort Fort FortNelson Nelson Nelson the next major copper, gold Dease Dease Lake Dease Dease Dease Dease Lake Lake Lake Lake ( ( ( ( ( ( ( COLUMBIA and/or zinc deposit in British Columbia. Carbonate Zinc l - Also searching wo
Slide 8: Boikgantsho, Ga-Phasha and Rietfontein PGM-Nickel Projects
HDI GROUP OF COMPANIES BOIKGANTSHO, GA-PHASHA, and RIETFONTEIN PGM-NICKEL PROJECTS South Africa Dec 2006
Slide 9: HDI Group of Companies
HDI GROUP OF COMPANIES Northern Limb BOIKGANTSHO ANOORAQ – ANGLO PGM Eastern Smelter Limb Anglo Platinum RIETFONTEIN Western ANOORAQ Ivanplats GA-PHASHA Limb LEBOWA ANOORAQ – ANGLO AMANDELBULT MESSINA NORTHAM TWICKENHAM UNION MODIKWA DER BROCHEN BAFOKENG IMPALA MARIKANA Granites RUSTENBURG KROONDAL
Slide 10: HDI Group of Companies
HDI GROUP OF COMPANIES • Black Economic Empowerment status • Partnering with Anglo Platinum Ga-Phasha • UG2: (50% ARQ, 50% AP) - Measured & Indicated: 17 million oz PGM @ 6.5 g/t - Inferred: 32 million oz PGM (6.8 g/t) • Merensky: - Measured & Indicated: 6 million oz PGM @ 4.4 g/t - Inferred: 19 mil
Slide 11: Xietongmen Project, Tibet, China
HDI GROUP OF COMPANIES XIETONGMEN PROJECT, Tibet, China Dec 2006
Slide 12: Xietongmen Deposit
HDI GROUP OF COMPANIES Xietongmen Deposit • Deposit is high-grade copper-gold porphyry • Now drilling second deposit target Dec 2006
Slide 13: Xietongmen Mineral Resources
HDI GROUP OF COMPANIES Xietongmen Mineral Resources1 Tonnes Cu Au Ag CuEQ Contained Cu Contained Au Millions % g/t g/t % Millions lb Millions oz Measured 198 0.44 0.62 3.95 0.80 1,911 3.94 Indicated 22 0.37 0.42 2.54 0.65 182 0.37 Total 220 0.43 0.61 3.87 0.78 2,092 4.31 Note 1: By prescribed defini
Slide 14: Detour Lake Project, Ontario, Canada
HDI GROUP OF COMPANIES DETOUR LAKE PROJECT Ontario, Canada • 3.4 M oz gold resource • Near-surface deposit amenable to open pit mining Ontario Quebec DETOUR • Excellent potential for resource expansion LAKE Cochrane Timmins • +50,000 m drilling program underway OTTAWA • Feasibility Study starting mi
Slide 15: Detour Lake resource table
HDI GROUP OF COMPANIES Au Grade Contained Au Grade Contained Tonnes Category cut Au cut uncut Au uncut (M) (g/t) (M oz) (g/t) (M oz) Indicated 20.0 2.14 1.4 2.70 1.7 Inferred 35.4 1.80 2.0 2.27 2.6 Dec 2006
Slide 16: Campo Morado Project, Guerrero, Mexico
HDI GROUP OF COMPANIES CAMPO MORADO PROJECT Guerrero, Mexico Dec 2006
Slide 17: New High-Grade Zone Drill Results
HDI GROUP OF COMPANIES New High-Grade Zone Drill Results High-Grade Inferred Resources For G-9* *Qualified Person for G9 Estimate is D. Gaunt, P.Geo, December 2006 Discovery Chronology 1) 1996 - Reforma 4) 1999- El Largo 2) 1997- Naranjo 5) 2005 - G9 -Richest deposit discovered to date 3) 1998- El R
Slide 18: G9 Production Outlook
HDI GROUP OF COMPANIES G9 PRODUCTION OUTLOOK • Mine production at G9 targeted for 2008 • Initial production target – 120 million lbs of zinc, 15 millions lbs of copper and 1 million oz silver per annum KEY PROJECT HIGHLIGHTS • High-grade starter zone, 15% Zn and 2% Cu • Excellent flotation recovery
Slide 19: Indicated Resources
HDI GROUP OF COMPANIES Indicated Resources1 $GMV/t2 Tonnes Au Ag Cu Pb Zn Deposit Cut-off x 1000 g/t g/t % % % Reforma 90 3,972 4.20 224 0.92 1.71 3.86 El Rey 90 1,051 2.74 154 0.52 1.20 4.45 Naranjo 90 2,056 2.77 136 0.82 1.24 4.12 El Largo 90 4,130 1.12 128 0.40 1.33 5.76 Total 90 11,209 2.67 165
Slide 20: Hollister and Burnstone Projects
HDI GROUP OF COMPANIES HOLLISTER PROJECT Carlin Trend, Nevada, USA BURNSTONE PROJECT Witwatersrand Basin, South Africa Dec 2006
Slide 21: Hollister and Burnstone Projects
HDI GROUP OF COMPANIES Hollister Project • Being developed underground for production • Substantial expansion potential 929,000 ounces Au @ 1.03 oz/ton Measured / Indicated 5,157,000 ounces Ag @ 5.7 oz/ton 872,000 ounces Au @ 1.03 oz/ton Inferred 3,169,000 ounces Ag @ 5.7 oz/ton Burnstone Project •
Slide 22: Pebble Project, Alaska, USA
HDI GROUP OF COMPANIES Northern Dynasty Minerals Ltd. PEBBLE PROJECT Alaska, USA Dec 2006
Slide 23: Northern Dynasty Minerals Ltd.
HDI GROUP OF COMPANIES Northern Dynasty Minerals Ltd. • Developing America’s most important new copper-gold-molybdenum project in Alaska • Two major deposits have been discovered – Pebble West is a 4.1 billion tonne open pit style deposit – Pebble East is a 3.4 billion tonne bulk underground style d
Slide 24: Total In-Situ Resources for the Pebble Deposits
HDI GROUP OF COMPANIES Northern Dynasty Minerals Ltd. Total In-Situ Resources for the Pebble Deposits are 67B Pounds Copper, 82M Ounces Gold and 4B Pounds Molybdenum. Pebble West Pebble East Dec 2006
Slide 25: One of the World's Largest Copper-Gold Porphyry Deposits
HDI GROUP OF COMPANIES Northern Dynasty Minerals Ltd. One of the World’s Largest Copper-Gold Porphyry Deposits1 Contained Metal Rank Project Gold Copper CuEQ 2 Au/Cu M oz B lbs B lbs Ratio 1 Grasberg 109 80 128 1.4 3 2 Pebble 82 67 124 1.2 3 Oyu Tolgoi 34 71 85 0.5 3 4 Los Pelambres 3 43 48 0.1 5 La
Slide 26: Holpan-Klipdam, Woutersspan, Saxendrift and Midamines Projects
HDI GROUP OF COMPANIES HOLPAN-KLIPDAM, WOUTERSPAN and SAXENDRIFT PROJECTS South Africa MIDAMINES CONCESSION Democratic Republic of Congo Dec 2006
Slide 27: Diamond operations
HDI GROUP OF COMPANIES • RVI has acquired proven operations with long-life resources • Operations have margins of approximately 50% • Diamond production is predominantly large gemstones (+2 carats) of exceptional quality • Current production is 2000c per month ($3m per month) • Objective to double p
Slide 28: Examples From This Year's Production
HDI GROUP OF COMPANIES Examples From This Years Production 156 carats 39 carats 152 carats 132 carats Flawless D Flawless D Flawless D Intense Yellow $5.7M $858,000 $4.3M $1.6M 51 carats 49 carats 34 carats 54 carats Flawless D D Vivid Yellow Fancy Yellow $1.3M $1.0M $720,000 $432,000 Dec 2006
Slide 29: Gibraltar Mine, British Columbia, Canada
HDI GROUP OF COMPANIES GIBRALTAR MINE British Columbia, Canada Dec 2006
Slide 30: Gibraltar Mine, Prosperity and Harmony
HDI GROUP OF COMPANIES Gibraltar Mine - 36,000 tpd copper-molybdenum operation - 300 employees - $65 million being invested to increase production capacity by 2008 - Copper production from 50 to 100 million lbs - Molybdenum production from 800,000 to 1.3 million lbs - 18-year mine life with drilling
Slide 31: Reserves and Resources
HDI GROUP OF COMPANIES Reserves and Resources1 2 Tonnes Cu Mo Cu Au GIBRALTAR (million) (%) (%) (billion lbs) (million oz) Proven & Probable 256 0.32 0.010 1.6 Measured & Indicated 611 0.28 0.008 3.4 PROSPERITY 3 Au (g/t) Proven & Probable 480 0.22 0.43 2.0 4.5 HARMONY 4 Au (g/t) Measured & Indicate