Northern Dynasty Minerals Ltd (NYSEAMERICAN: NAK) is screaming for the top in the market this morning. However, if you’re looking for an SEC filing or press release that may be the cause of the gains, you’re going to be hard pressed to find it. The company hasn’t issued any news.
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So, Why Is NAK Stock Up Nearly 10% This Morning?
That’s a very difficult question to answer. Due to the fact that there has been no material news released, any answer I provide to this question is my opinion and nothing ore than speculation. Nonetheless, I do believe that there’s a good reason for the gains and it all has to do with elections.
Yesterday, United States citizens hit the polls to decide who will be the next leader of this great country. While there is still no final result to the presidential election, it looks like President Donald Trump may surprisingly win reelection.
No, this isn’t a politics blog, and yes, we’re getting to Northern Dynasty Minerals in a minute.
Nonetheless, pollsters seem to have unanimously projected that Joe Biden would become the next President of the United States. However, as the votes are being counted, it looks like Donald Trump has a real chance at maintaining his position in the White House. At the same time, it seems clear that the republicans will maintain control of the Senate. So, what does this all have to do with the price of tea in China.
Nothing, but it has everything to do with NAK stock!
Northern Dynasty Minerals’ claim to fame is an undeveloped mine known as Pebble. Unfortunately however, the company has been working for around a decade and has spent millions upon millions of dollars to bring the mine to fruition as the EPA has taken similar measures to stop potential progress.
A couple of years ago, NAK reached an agreement with the EPA in a United States court room. As long as the company met stringent requirements, it would be able to apply for permitting. So far, all seems to be going well, but there’s one big step left.
In order to move forward, NAK will need to get the President’s approval. Of course, given regulatory changes put in place by the Trump Administration, and Biden’s history of environmental activity, the project has a much better chance of coming to fruition with Trump in office than it does with Biden in office.
The fact that Trump has a fighting chance of remaining in position as the President of the United States, and the fact that republicans are likely to maintain control of the Senate, things are starting to look up for Northern Dynasty Minerals.
The Bottom Line
The bottom line here is simple regardless of where you stand on politics, it’s clear that President Trump is a much better outcome for NAK and its investors than a potential President Biden. If Trump does win re-election and maintain his position as President of the United States, there’s a strong chance that Northern Dynasty Minerals will be able to move forward with its mine relatively soon.
While the pollsters would have you believe that there wasn’t a snowball’s chance in hell, the reality is that there seems to be a very good chance that Trump will remain in office as the votes are counted. That’s a great thing for the mining industry as a whole, including NAK. So, if you’re not paying attention to NAK stock yet, you’re likely missing out.
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Sold all my shares today! The Trump ship is going down and with it my dreams of riches via NAK