Northern Dynasty Minerals Ltd. confirmed last week that it is in active settlement negotiations with the US Environmental Protection Agency, aiming to overturn the federal preemptive veto that has blocked development of the Pebble copper and gold project in Southwest Alaska.
The July 3 filing in US District Court follows a 90-day litigation pause requested by the federal government in February, and a subsequent 30-day extension in May to allow new EPA leadership to review the case. The agency has now concluded its internal review and is engaged in talks with Pebble Limited Partnership, Northern Dynasty’s US subsidiary.
“Agency officials remain open to reconsideration, and defendants and PLP are negotiating to explore a potential settlement,” the EPA’s court filing states. “Those discussions have addressed a potential further submission from PLP that would inform any agency reconsideration.”
Northern Dynasty characterized the development as a significant breakthrough in its long effort to challenge the EPA’s 2023 preemptive veto under Section 404(c) of the Clean Water Act, which barred development of the mine before permitting could be completed.
Ron Thiessen, Northern Dynasty President and CEO, framed the potential reversal as not just a regulatory milestone but a strategic move for the U.S. economy and national defense.
The EPA and Pebble jointly requested an additional 14-day extension of the case’s current abeyance, with a status update due to the court by July 17.
The parties expect to reach agreement within that time on what new information Pebble may submit to support the agency’s reconsideration.
Though the news was released over the July 4 holiday, investor response was swift once markets reopened. Northern Dynasty’s stock jumped nearly 18% in pre-market trading on July 7 and surged to a peak of $2.96 by July 10.
The company received an additional boost from President Donald Trump’s July 8 announcement of a 50% tariff on copper imports — a national security measure aimed at reducing dependence on foreign metals, especially from China.
The action followed a February executive order to review the US copper trade under national security provisions.
Containing an estimated 6.4 billion pounds of copper, 300 million pounds of molybdenum, 7.4 million ounces of gold, 37 million ounces of silver, and 200,000 kilograms of rhenium, the Pebble deposit is one of North America’s most significant untapped sources of critical minerals. Its supporters argue the mine could play a vital role in U.S. energy independence and industrial resilience.
If a settlement is reached and the EPA withdraws its veto, the Pebble project could re-enter the permitting process and that may reignite one of the nation’s most fiercely contested development debates.
