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Investing.com - H.C. Wainwright has raised its price target on Northern Dynasty Minerals (NYSE:NAK) to $2.50 from $1.30 while maintaining a Buy rating, citing ongoing settlement discussions with the Environmental Protection Agency regarding the Pebble Project. The stock, currently trading at $1.40 and with a market capitalization of $950 million, has delivered an impressive 337% return over the past year according to InvestingPro data.
The mining company announced on Thursday, July 4, that it has been negotiating with the EPA to explore a potential settlement. This development follows the EPA’s indication of openness to reconsider prior decisions related to the Pebble Project in a court filing on July 3. InvestingPro analysis indicates the company currently operates with moderate debt levels, though its short-term obligations exceed liquid assets.
According to H.C. Wainwright, the court filing confirmed that Northern Dynasty Minerals is engaged in ongoing settlement discussions with the EPA. Both parties are discussing what submissions would be most helpful to support the agency’s reconsideration of the Pebble Project.
Northern Dynasty management expects a resolution to be announced within two weeks, with further status updates anticipated by July 17, 2025. This timeline suggests a potentially swift resolution to the regulatory issues that have affected the project.
H.C. Wainwright’s significant price target increase nearly doubles the previous valuation, reflecting the firm’s optimistic outlook on the potential positive outcome of these settlement discussions. While the stock trades near its 52-week high of $1.59, InvestingPro identifies 12 additional investment signals that could impact your trading decisions. Unlock these insights and more with an InvestingPro subscription.
In other recent news, Northern Dynasty Minerals Ltd. announced that it has received a $12 million royalty payment, marking the third tranche investment under its royalty agreement. The agreement, initially dated July 26, 2022, has been amended to allow for increased payment flexibility and an extended expiration date. This payment brings the total investment in the royalty to $36 million, with the Royalty Holder gaining additional rights to a percentage of the payable gold and silver production from the Pebble Project. The company also revealed that future tranches can be funded by September 30, 2025, with a final option by December 31, 2025. In another development, Northern Dynasty has set June 19, 2025, for its Annual General Meeting of shareholders, as confirmed in a recent SEC filing. Shareholders will receive necessary documents related to the meeting, including a Notice and Access Notification and an Information Circular. This scheduling complies with the Securities Exchange Act of 1934. These updates reflect Northern Dynasty’s ongoing strategic financial management and shareholder engagement efforts.
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