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ANNUAL INFORMATION FORM

FOR THE YEAR ENDED DECEMBER 31, 2007

****

This annual information form (AIF) is as of March 26,
2008

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|ITEM
      1.           TABLE OF CONTENTS
|-----------------------------------------

|                                                                    |                                                                       | Page
|------------------------------------------------------------------- | --------------------------------------------------------------------- | ----
|ITEM
      1.                                                       | TABLE
      OF CONTENTS                                               | 2   
|ITEM
      2.                                                       | PRELIMINARY
      NOTES                                               | 3   
|INCORPORATION
      OF CONTINUOUS DISCLOSURE DOCUMENTS BY REFERENCE | 3                                                                    
|GLOSSARY                                                            | 4                                                                    
|RESOURCE
      CATEGORY (CLASSIFICATION) DEFINITIONS                | 5                                                                    
|ITEM
      3.                                                       | CORPORATE
      STRUCTURE                                             | 7   
|ITEM
      4.                                                       | GENERAL
      DEVELOPMENT OF THE BUSINESS                             | 8   
|THREE
      YEAR HISTORY                                            | 8                                                                    
|SIGNIFICANT
      ACQUISITIONS AND SIGNIFICANT DISPOSITIONS         | 8                                                                    
|ITEM
      5.                                                       | DESCRIPTION
      OF BUSINESS                                         | 9   
|THE
      PEBBLE PROJECT                                            | 9                                                                    
|ITEM
      6.                                                       | DIVIDENDS                                                             | 26  
|ITEM
      7.                                                       | DESCRIPTION
      OF CAPITAL STRUCTURE                                | 26  
|ITEM
      8.                                                       | MARKET
      FOR SECURITIES                                           | 27  
|ITEM
      9.                                                       | ESCROWED
      SECURITIES                                             | 27  
|ITEM
      10.                                                      | DIRECTORS
      AND OFFICERS                                          | 28  
|ITEM
      11.                                                      | PROMOTERS                                                             | 38  
|ITEM
      12.                                                      | LEGAL
      PROCEEDINGS                                               | 38  
|ITEM
      13.                                                      | INTEREST
      OF MANAGEMENT AND OTHERS IN MATERIAL TRANSACTIONS      | 38  
|ITEM
      14.                                                      | TRANSFER
      AGENT AND REGISTRAR                                    | 39  
|ITEM
      15.                                                      | MATERIAL
      CONTRACTS                                              | 39  
|ITEM
      16.                                                      | INTERESTS
      OF EXPERTS                                            | 39  
|ITEM
      17.                                                      | ADDITIONAL
      INFORMATION                                          | 39  
|ITEM
      18.                                                      | DISCLOSURE
      FOR COMPANIES NOT SENDING INFORMATION CIRCULARS      | 40  
|ITEM
      19.                                                      | CONTROLS
      AND PROCEDURES                                         | 40  
|ITEM
      20.                                                      | AUDIT
      COMMITTEE, CODE OF ETHICS, ACCOUNTANT FEES AND EXEMPTIONS | 41  
|ITEM
      21.                                                      | OFF
      BALANCE SHEET ARRANGEMENTS                                  | 42  
|ITEM
      22.                                                      | TABULAR
      DISCLOSURE OF CONTRACTUAL OBLIGATIONS                   | 42  

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| |  3  | Annual Information Form
| | ----- | -----------------------

|ITEM 2. | PRELIMINARY
      NOTES
|------- | -----------------------

THE STATEMENTS HEREIN ARE STRICTLY THOSE OF NORTHERN DYNASTY LTD. AND ARE
  NOT TO BE CONSTRUED AS DISCLOSURES OF ANY OTHER PARTY INCLUDING THE PEBBLE PARTNERSHIP
  OR ANGLO-AMERICAN PLC.

|This AIF will be incorporated into a filing with
        the United States Securities Exchange Commission under form 40F. It includes
        certain statements that may be deemed "forward-looking statements"
        within the meaning of Section 27A of the Securities Act of 1933
        and Section 21E of theSecurities Exchange Act of 1934. All statements
        in this AIF, other than statements of historical facts, that address future
        production, reserve potential, exploration drilling, exploitation activities
        and events or developments that the Company expects are forward-looking
        statements. Although the Company believes the expectations expressed in
        such forward-looking statements are based on reasonable assumptions, such
        statements are not guarantees of future performance and actual results
        or developments may differ materially from those in the forward-looking
        statements. Factors that could cause actual results to differ materially
        from those in forward-looking statements include market prices, exploitation
        and exploration successes, continued availability of capital and financing
        and general economic, market or business conditions, as well as those
        factors addressed in the “Risk Factors” section of this AIF.
        Investors are cautioned that any such statements are not guarantees of
        future performance and that actual results or developments may differ
        materially from those projected in the forward-looking statements.
|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Incorporation of Continuous Disclosure Documents by
Reference

In this Annual Information Form (“AIF”), the “Company”
  or “Northern Dynasty” refers to Northern Dynasty Minerals Ltd. and
  all its subsidiaries and affiliated partnerships together unless the context
  states otherwise.

Incorporated by reference into this AIF are the comparative audited
  consolidated financial statements and Managements Discussion and Analysis
  for Northern Dynasty for the fiscal year ended December 31, 2007 and 2006 together
  with the auditors report thereon. These documents are available for review
  on the SEDAR website located at www.sedar.com. All financial information in this AIF
  is prepared in accordance with Canadian generally accepted accounting principles
  (Canadian GAAP).

Documents incorporated by reference in this AIF include all the
  audited financial statements for the year ended December 31, 2007 and 2006,
  and a technical report prepared pursuant to NI 43-101 dated copies of which
  are available on request from the offices of Northern Dynasty or by downloading
  from the SEDAR web site (indicated above).

Cautionary Note to Investors Concerning Estimates of
Measured, Indicated and Inferred Resources

This AIF uses the terms measured resources, indicated
  resources and inferred resources. Northern Dynasty advises
  the investors that while these terms are recognized and required by Canadian
  regulations (under National Instrument 43-101 Standards of Disclosure for Mineral
  Projects), the United States Securities and Exchange Commission does not recognize
  them. Investors are cautioned not to assume that any part or all of the mineral
  deposits in these categories will ever be converted to reserves.In addition,
  inferred resources have a great amount of uncertainty as to their
  existence and economic and legal feasibility. It cannot be assumed that all
  or any part of an Inferred Mineral Resource will ever be upgraded to a higher
  category. Under Canadian regulations, estimates of Inferred Mineral Resources
  may not form the basis of Feasibility or Prefeasibility Studies, or economic
  studies except for a Preliminary Assessment as defined under 43-101. Investors
  are cautioned not to assume that part or all of an inferred resource exists,
  or is economically or legally mineable.

Currency and Metric Equivalents

All dollar amounts are expressed in Canadian dollars unless otherwise
  indicated. The Company’s accounts are maintained in Canadian dollars.
  The business activities of the Company, carried out through a wholly-owned Alaska
  subsidiary acting as a nominee for a general partnership of wholly-owned affiliated
  companies until July 26, 2007 at which time the general partnership was reconstituted
  as an Alaska limited partnership and re-named the Pebble Limited Partnership.
  On July 31, 2007 an indirectly wholly-owned subsidiary of Anglo subscribed for
  50% of the equity of the Pebble Limited Partnership which from August 1, 2007
  onwards conducted its business primarily with United States dollars. The rate
  of exchange on December 31, 2007, as reported by the Bank of Canada for the
  conversion of one Canadian dollar into one United States dollar, was 1.0088.

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| |  4  | Annual Information Form
| | ----- | -----------------------

The following table sets forth (i) the rate of exchange for the
Canadian dollar, expressed in U.S. dollars, in effect at the end of the periods
indicated, (ii) the average of exchange rates in effect on the last day of each
month during such periods, and (iii) the high and low exchange rates during such
periods, each based on the noon rate of exchange as reported by the Bank of
Canada for conversion of one Canadian dollars into one U.S. dollars.

|                        |  | Year Ended December 31 | 
|----------------------- |  | ---------------------- | 
|                        |  | 2007                   | 
|Rate at end of period   |  | 1.0088                 | 
|Average rate for period |  | 0.9311                 | 
|High for period         |  | 1.0585                 | 
|Low for period          |  | 0.8504                 | 

For ease of reference, the following factors for converting metric
  measurements into Imperial equivalents are as follows:

| | Metric Units | Multiply by | Imperial Units            
| | ------------ | ----------- | --------------------------
| | Hectares     | 2.471       | = acres                   
| | Metres       | 3.281       | = feet                    
| | Kilometres   | 0.621       | = miles (5,280 feet)      
| | Grams        | 0.032       | = ounces (troy)           
| | Tonnes       | 1.102       | = tons (short) (2,000 lbs)
| | grams/tonne  | 0.029       | = ounces (troy)/ton       

Glossary

In this Annual Information Form (AIF) the following terms
have the meanings set forth herein:

|National Instrument NI
      43-101 | The Canadian securities rule which establishes disclosure
      standards for mineral projects by Canadian resource companies.                                                                                                                                                     
|----------------------------------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                                    |                                                                                                                                                                                                                                                                                    
|Composite Hydrothermal
      System | Created by hydrothermal process or processes in which
      there is evidence of more than one centre or source of hydrothermal
      fluids, and potentially more than one mineral deposit.                                                                                       
|                                    |                                                                                                                                                                                                                                                                                    
|HDGI                                | Is a reference to Hunter Dickinson Group Inc. (now
      renamed 3537137 Canada Inc.) which is the related party corporation which
      originally held the options to the Pebble Project, and which was acquired
      by the Company to become a 100% subsidiary in fiscal 2006.

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| |  5  | Annual Information Form
| | ----- | -----------------------

|Hydrothermal Alteration                  | Alteration of rocks or minerals by the reaction of hot,
      or hydrothermal, water with pre-existing (or host) rocks or minerals. The
      products of this reaction may also be a hydrothermal mineral deposit, that
      is, gangue and ore minerals that have been deposited in fractures, faults,
      breccia openings, etc., by replacement or open-space filling from watery
      fluids of 50-700 degrees C temperature and of 1-3 kilobars pressure.
|---------------------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|                                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|Induced Polarization (IP)
      Survey | A geophysical survey used to identify a feature that
      appears to be different from the typical or background survey results when
      tested for levels of electro- conductivity; IP detects both chargeable,
      pyrite-bearing rock and non- conductive rock that has a high content of
      quartz. It is commonly used to explore for mineralization associated with
      porphyry copper deposits.                                                  
|                                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|Mineral Symbols                          | Au - Gold; Ag - Silver; Al - Aluminum; Cu - Copper; Fe -
      Iron; Mo - Molybdenum; Na - Sodium; O - Oxygen; Pb - Lead; S - Sulphur; Zn
      - Zinc.                                                                                                                                                                                                                                                                                                            
|                                         |                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|Porphyry deposit                         | A type of mineral deposit in which ore minerals are
      widely disseminated, generally of low grade but large tonnage.                                                                                                                                                                                                                                                                                                                                           

Resource Category (Classification) Definitions

The discussion of mineral deposit classifications in this AIF
adheres to the mineral resource and mineral reserve definitions and
classification criteria developed by the Canadian Institute of Mining (2005).
Estimated mineral resources fall into two broad categories dependent on whether
the economic viability of them has been established and these are namely
resources (potential for economic viability) and ore reserves (viable
economic production is feasible). Resources are sub-divided into categories
depending on the confidence level of the estimate based on level of detail of
sampling and geological understanding of the deposit. The categories, from
lowest confidence to highest confidence, are inferred resource, indicated
resource and measured resource. Reserves are similarly sub-divided by order of
confidence into probable (lowest) and proven (highest). These classifications
can be more particularly described as follows:

A Mineral Resource is a concentration or occurrence of
diamonds, natural solid inorganic material, or natural solid fossilized organic
material including base and precious metals, coal, and industrial minerals in or
on the Earths crust in such form and quantity and of such a grade or quality
that it has reasonable prospects for economic extraction. The location,
quantity, grade, geological characteristics and continuity of a Mineral Resource
are known, estimated or interpreted from specific geological evidence and
knowledge.

An Inferred Mineral Resource is that part of a Mineral
Resource for which quantity and grade or quality can be estimated on the basis
of geological evidence and limited sampling and reasonably assumed, but not
verified, geological and grade continuity. The estimate is based on limited
information and sampling gathered through appropriate techniques from locations
such as outcrops, trenches, pits, workings and drill holes.

An Indicated Mineral Resource is that part of a
Mineral Resource for which quantity, grade or quality, densities, shape and
physical characteristics, can be estimated with a level of confidence sufficient
to allow the appropriate application of technical and economic parameters, to
support mine planning and evaluation of the economic viability of the deposit.
The estimate is based on detailed and reliable exploration and testing
information gathered through appropriate techniques from locations such as
outcrops, trenches, pits, workings and drill holes that are spaced closely
enough for geological and grade continuity to be reasonably assumed.

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| |  6  | Annual Information Form
| | ----- | -----------------------

A Measured Mineral Resource is that part of a Mineral
Resource for which quantity, grade or quality, densities, shape, and physical
characteristics are so well established that they can be estimated with
confidence sufficient to allow the appropriate application of technical and
economic parameters, to support production planning and evaluation of the
economic viability of the deposit. The estimate is based on detailed and
reliable exploration, sampling and testing information gathered through
appropriate techniques from locations such as outcrops, trenches, pits, workings
and drill holes that are spaced closely enough to confirm both geological and
grade continuity.

A Mineral Reserve is the economically mineable part of
a Measured or Indicated Mineral Resource demonstrated by at least a Preliminary
Feasibility Study. This Study must include adequate information on mining,
processing, metallurgical, economic and other relevant factors that demonstrate,
at the time of reporting, that economic extraction can be justified. A Mineral
Reserve includes diluting materials and allowances for losses that may occur
when the material is mined.

A Probable Mineral Reserve is the economically mineable part
of an Indicated and, in some circumstances, a Measured Mineral Resource
demonstrated by at least a Preliminary Feasibility Study. This Study must
include adequate information on mining, processing, metallurgical, economic, and
other relevant factors that demonstrate, at the time of reporting, that economic
extraction can be justified.

A Proven Mineral Reserve is the economically mineable
part of a Measured Mineral Resource demonstrated by at least a Preliminary
Feasibility Study. This Study must include adequate information on mining,
processing, metallurgical, economic, and other relevant factors that
demonstrate, at the time of reporting, that economic extraction is
justified.

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| |  7  | Annual Information Form
| | ----- | -----------------------

|ITEM 3. | CORPORATE
      STRUCTURE
|------- | -------------------------

Northern Dynasty Minerals Ltd. is a mineral exploration company
  incorporated on May 11, 1983 pursuant to the Company Act of the Province
  of British Columbia (predecessor law to the British Columbia Corporations
  Actin force since 2004), under the name Dynasty Resources Inc..
  On November 30, 1983 the Company changed its name to Northern Dynasty
  Explorations Ltd. and subsequently, on October 11, 1997, changed its name
  to Northern Dynasty Minerals Ltd. Northern Dynasty became a reporting company
  in the Province of British Columbia on April 10, 1984 and was listed on the
  Vancouver Stock Exchange (now the TSX Venture Exchange and herein generally
  TSX Venture) from 1984-1987, listed on the Toronto Stock Exchange
  from 1987-1993, and unlisted but still in good standing with all securities
  commissions from 1993 to 1994, and thereupon listed on TSX Venture from 1994
  to October 30, 2007 when it began trading on the Toronto Stock Exchange (TSX).
  In November 2004, the common shares of Northern Dynasty were also listed on
  the American Stock Exchange (AMEX).

The head office of Northern Dynasty is located at Suite 1020,
  800 West Pender Street, Vancouver, British Columbia, Canada V6C 2V6, telephone
  (604) 684-6365, facsimile (604) 684-8092. The Company’s legal registered
  office is in care of its Canadian attorneys Lang Michener LLP, Barristers &
  Solicitors, at Suite 1500, 1055 West Georgia Street, Vancouver, British Columbia,
  Canada V6E 4N7, telephone (604) 689 9111, facsimile (604) 685 7084

The Company’s Alaska mineral resource exploration business
  is operated through an Alaska registered limited partnership, The Pebble Partnership,
  in which the Company owns a 50% interest through an Alaska general partnership
  of two 100% subsidiaries, which general partnership is named the Northern Dynasty
  Partnership. The business address of the Northern Dynasty Partnership is Suite
  604, 3201 C Street, Anchorage Alaska USA, 99503.

In this Annual Information Form, a reference to the Company
or Northern Dynasty includes a reference to its wholly-owned subsidiaries and
consolidated interests, unless the context clearly indicates otherwise. Certain
terms used herein are defined in the text and others are included in the
glossary of this Annual Information Form.

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| |  8  | Annual Information Form
| | ----- | -----------------------

|ITEM 4. | GENERAL DEVELOPMENT OF
      THE BUSINESS
|------- | -----------------------------------------

Three Year History

Northern Dynasty is a mineral exploration company focused on
developing the Pebble Project a copper-gold-molybdenum mineral project. The
Pebble Project is located in Alaska, 17 miles (27 kilometers) from the village
of Iliamna, and approximately 200 miles (320 kilometers) southwest of the city
of Anchorage.

To December 31, 2007, Northern Dynastys aggregate exploration
expenditures on the Pebble Project total approximately $223 million with
acquisition costs of approximately $168 million, bringing the total invested in
the property to approximately $391 million. Northern Dynasty does not have any
operating revenue, although historically it has had annual interest revenue as a
consequence of investing surplus funds pending the completion of exploration
programs.

Significant Acquisitions,Dispositions and Group Reorganization

In July 2007, the Company reorganized its Alaska affiliates in
  order to reconstitute them as an Alaska limited partnership so that an affiliate
  of Anglo American plc (“Anglo”) could subscribe for 50% of the equity
  of the limited partnership (named The Pebble Partnership and herein “the
  Partnership”). Although the Partnership owns the Pebble Project, the Company
  does not consider the Anglo participation to be in the nature of a disposition
  of its Pebble Project interests because of Anglo’s financial contribution
  requirements described herein. Immediately prior to July 31, 2007 Northern Dynasty
  owned, through its affiliates a 100% working interest in the Pebble project
  subject to a small net profits royalty held by a predecessor-in-interest on
  a portion of the Pebble Project lands.

On July 26, 2007, the Company converted a wholly-owned general
  partnership formed in 2006 to hold its Pebble Property interests into the Partnership
  (being a limited partnership), so that an indirect wholly-owned subsidiary of
  Anglo could subscribe for 50% of the Partnership's equity effective July 31,
  2007. Each of the Company and Anglo effectively has equal rights in the Partnership
  through wholly-owned affiliates. The Partnership's assets include the shares
  of two Alaska subsidiaries which hold registered title to the Pebble mining
  claims. To maintain its 50% interest in the Partnership, Anglo will be required
  to make staged cash investments into the Partnership aggregating to US$1.425
  billion.

The purpose of the Partnership is to engineer, permit,
construct and operate a modern, long-life mine at the Pebble Project. The
transaction agreements lay out a schedule to accomplish this goal, targeting
completion of a prefeasibility study by December 2008, a feasibility study by
2011 and commencement of commercial production by 2015.

The Partnership agreement provides for equal project control
  rights for both partners, with no operator’s fees payable to either party.(
  redacted versions of the Partnership documents are available for download at
  www.SEDAR.com) After Anglo’s staged contribution is completed, both partners
  will be equally responsible to fund the Partnership operations in connection
  with the Pebble Project going forward.

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| |  9  | Annual Information Form
| | ----- | -----------------------

|ITEM 5. | DESCRIPTION OF
      BUSINESS
|------- | -----------------------------

The Pebble Project

The following is a description of the Pebble Project at
December 31, 2007.

The Pebble Project is Subject to Alaska Laws

Northern Dynasty is required to strictly comply with all Alaska
statutes in connection with the Pebble Project. These statutes govern titles,
operations, environmental, development, operating and generally all aspects of
exploration and development of a mine in Alaska.

Alaska Statutes 38.05.185 and the following statutes establish
the rights to mining claim and mineral leases on lands owned by the State of
Alaska and open to mineral entry. This group of statutes also covers annual
labour, annual rental, and royalties.

Operations on claims or leases on state owned land must be
permitted under a plan of operations as set out in 11 Alaska Administrative Code
86.800. This regulation generally provides that the State Division of Mining can
be the lead agency in coordinating the comments of all agencies, which must
consent to the issuance of a plan of operations, and sets the requirements for
the approval of a plan of operations.

Environmental conditions are controlled by Alaska Statute 46.08
(which prohibits release of oil and hazardous substances), Alaska Statute
46.03.060 and following (which sets water quality standards), and Alaska Statute
46.14 (which sets air quality standards).

Historical Acquisition Agreements ( 2001-2006)

Pursuant to an Assignment Agreement dated October 29, 2001 between
  the Company and Hunter Dickinson Group Inc., (“HDGI”), a related
  party to the Company, the Company was assigned an 80% interest in two options,
  which had been granted by Teck Cominco American Incorporated (“Teck Cominco”)
  under a single agreement to HDGI in respect of Teck Cominco’s “Pebble”
  copper/gold/molybdenum mining claims in southwestern Alaska. One option granted
  the right to purchase 100% of the lands containing the then known mineralized
  resource at Pebble (the “Resource Lands Option”) and the second
  option granted the right to purchase a 50% interest in the lands surrounding
  the Resource Lands (the “Exploration Lands Option”) (together, the
  “Options”). HDGI was a related party by virtue of (i) having certain
  directors in common with the Company, and (ii) its shareholders or their associates
  being at the time significant shareholders of the Company. The Assignment Agreement
  was ratified by shareholders of the Company on June 28, 2002.

The Company was assigned the 80% interest together with the right
  to acquire HDGI’s remaining 20% contractual interests in these option
  agreements in consideration of the Company reimbursing HDGI’s costs of
  $584,655 in connection with the options, which included the staking of 134 claims
  to expand the property and 30 kilometers of induced polarization surveying over
  the new claims, and agreeing to pay for HDGI’s 20% share of costs in respect
  to the Pebble property. The Resource Lands Option was extended by one year in
  an agreement dated December 19, 2002 under which the Company issued to Teck
  Cominco 200,000 shares for the extension. Pursuant to the Resource Lands Option
  the Company had the right to purchase the 36 claims of the Resource Lands, subject
  to HDGI’s 20% carried interests, by paying Teck Cominco US$10 million
  in cash or shares prior to November 30, 2004, which it did on November

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| |  10  | Annual Information Form
| | ------ | -----------------------

23, 2004 by the issuance of 1,772,775 shares to Teck Cominco
  (total value of $11,788,621). Teck Cominco had the right for 180 days to elect
  whether to require the Company to manage the resale of these shares (“NDM
  Resource Lands shares”) in a manner where Teck Cominco would be guaranteed
  the US$10 million in resale proceeds net of any excess or deficiency adjustments.
  The actual adjusted amount was US$9,938,600.

Other interim option payments to Teck Cominco were made during
  2001 to 2004, including US$250,000 in cash plus 500,000 two-year share purchase
  warrants (exercisable at $0.75) prior to December 31, 2001 and 500,000 shares
  and 500,000 two-year share purchase warrants (exercisable at $1.15) prior to
  March 31, 2002 and a further 500,000 shares and 250,000 warrants before December
  31, 2002. Pursuant to an agreement to extend the deadline to purchase the Resource
  Lands from November 30, 2003 to November 30, 2004, an additional 200,000 shares
  were issued to Teck Cominco on December 19, 2002. On May 9, 2005, Teck Cominco
  elected for the Company to guarantee the adjusted amount of US$9,938,600 in
  resale proceeds of the 1,772,775 shares. Under the agreement, the Company was
  to ensure proceeds totalling US$9,938,600 by May 22, 2006. At December 31, 2005,
  473,700 of the 1,772,775 NDM Resource Lands shares had been sold for proceeds
  of US$2,039,902. During the year ended December 31, 2006, the Company managed
  the sale of an additional 1,277,028 NDM Resource Lands shares for proceeds paid
  to Teck Cominco of US$7,898,698, thereby completing its commitment regarding
  the resale of the NDM Resource Lands shares. The remaining 22,047 unsold NDM
  Resource Lands shares relating to this acquisition were then returned to the
  Companys treasury.

At the time of the Company exercising the Resource Lands Option,
  the Company also exercised the Exploration Lands Option to earn a 50% interest
  in the adjacent Exploration Lands, subject to HDGIs carried interest,
  by having completed 60,000 feet of drilling on the Exploration Lands prior to
  November 30, 2004. As a consequence of the Company exercising the Exploration
  Lands Option, Teck Cominco could elect to either form a 50/50 joint venture
  with the Company with respect to the Exploration Lands, or to sell its 50% interest
  in the Exploration Lands to the Company for US$4 million and retain a net profits
  interest. On February 21, 2005, Teck Cominco elected to sell its remaining 50%
  interest in the Exploration Lands to the Company for the stipulated US$4 million
  payment, a 4% pre-payback net profits interest (after debt service), and a 5%
  after-payback net profits interest in any mine production from the Exploration
  Lands. The Company issued 977,795 shares of the Company at the then-prevailing
  market price as consideration for the required US$4 million payment but subject
  to Teck Comincos right to elect to have the proceeds guaranteed.

Teck Cominco had the right, until August 24, 2005, to elect whether
  to require the Company to manage the resale of these shares (NDM Exploration
  Lands shares) in a manner where Teck Cominco would be guaranteed US$4
  million in resale proceeds by August 24, 2006. On July 18, 2005, Teck Cominco
  elected for the Company to guarantee the US$4 million in resale proceeds. During
  the year ended December 31, 2006, the Company managed the sale of 654,502 NDM
  Exploration Lands shares for proceeds paid to Teck Cominco of approximately
  US$4,000,000, thereby completing its commitment regarding the resale of the
  NDM Exploration Lands shares. During 2006, the remaining 323,293 unsold NDM
  Exploration Lands shares relating to this acquisition were then returned to
  the Companys treasury. In total, 345,340 common shares of the Company,
  at a value of $1,772,776, unsold after the Companys obligations to Teck
  Cominco had been met, were returned to the treasury of the Company. As a consequence
  of the Company electing to exercise the Options, the Company was entitled under
  the Assignment Agreement with HDGI to elect to acquire HDGIs 20% carried
  contractual interests in the Options for cash or share consideration equal to
  the independently appraised value of the carried interests.

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| |  11  | Annual Information Form
| | ------ | -----------------------

On May 31, 2006, the Company acquired 100% of the outstanding
  common shares of HDGI for purchase price of 14,002,268 common shares of the
  Company. The agreed number of shares was based on negotiations between the Company,
  represented by a Special Committee of the Board of Directors, and HDGI with
  reference to an independent valuation of the carried interests performed by
  Ross Glanville & Associates Ltd in March 2005. Both parties agreed to a
  valuation of $6.37 per share, based upon the issuance of 14,002,268 common shares,
  as representing the fair value of the 20% carried contractual interest. The
  valuation report was publicly filed at www.sedar.com.
  The TSX Venture Exchange and the American Stock Exchange have accepted the acquisition
  transaction. Upon completion of the acquisition of HDGI, the Company, through
  two 100% owned Alaska subsidiaries, owned 100% of the Pebble Project (subject
  only to the Teck Cominco net profits interest in the Exploration Lands portion
  of the property). On September 30, 2006 the Pebble Project interests were held
  by a general partnership consisting of HDGI and the Company which partnership
  held the claims through two Alaska subsidiary nominee title companies.

Limited Partnership with Anglo American

On July 26, 2007, the Company converted a wholly-owned general
  partnership formed in 2006 to hold its Pebble Property interests into a limited
  partnership, the Pebble Limited Partnership (“the Partnership”),
  so that an indirect wholly-owned subsidiary of Anglo American plc (“Anglo”)
  could subscribe for 50% of the Partnership's equity effective July 31, 2007.
  Each of the Company and Anglo effectively has equal rights in the Partnership
  through wholly-owned affiliates. The Partnership's assets include the shares
  of two Alaska subsidiaries which hold registered title to the claims. To maintain
  its 50% interest in the Partnership, Anglo will be required to make staged cash
  investments into the Partnership aggregating to US$1.425 billion.

The purpose of the Partnership is to engineer, permit,
construct and operate a modern, long-life mine at the Pebble Project. The
transaction agreements lay out a schedule to accomplish this goal, targeting
completion of a prefeasibility study by December 2008, a feasibility study by
2011 and commencement of commercial production by 2015.

Anglos staged investment includes a committed expenditure of
US$125 million to complete a prefeasibility study targeted at the end of 2008.
After the completion of the prefeasibility study, Anglo must, in order to
retain its 50% interest, elect to commit to a further US$325 million for a
feasibility study, the completion and approval of which is targeted for 2011,
and this is expected to take the Partnership to a production decision. Upon the
decision to develop a mine, Anglo must elect to commit to the next US$975
million of expenditures to retain its 50% interest, completion of which will
meet the US$1.425 billion requirement. If the feasibility study is completed
after 2011, Anglos overall funding requirement increases to US$1.5 billion. The
Partnership agreement provides for equal project control rights for both
partners, with no operators fees payable to either party. After Anglos staged
contribution is completed, both partners will be equally responsible to fund the
Partnership operations in connection with the Pebble Project going forward.

Anglos contributions to the Partnership from August 1, 2007 to
December 31, 2007 amounted to $35.5 million (US$35.9 million) and have been
recorded as a non-controlling interest in the Partnership. Under the Partnership
agreement and applicable tax regulations, neither the Company nor its affiliated

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| |  12  | Annual Information Form
| | ------ | -----------------------

general partnership will be entitled to the benefits for tax purposes of the expenditures incurred by the Partnership from Anglos investment, as these benefits accrue exclusively to Anglo under the Partnership agreement and applicable tax
regulations.

2006 Equity Purchase by Rio Tinto Affiliate

In 2006, the Company issued 8,745,845 common shares in connection
  with a share purchase agreement with Kennecott Canada Exploration Inc. (“Kennecott”)
  for $10.00 per share for proceeds of approximately $87 million. Kennecott received
  a right of first refusal to participate in up to 50% of future share placements
  by the Company, subject to customary exceptions, until Kennecott reaches 19.9%
  of the Company’s outstanding share capital. In January 2007, Northern
  Dynasty was advised by Galahad Gold plc (“Galahad”), a significant
  shareholder of the Company that QIT-Fer Et Titane Inc., an affiliate of Rio
  Tinto, agreed to purchase 9.4 million shares of Northern Dynasty from Galahad
  at a price of $10 per share. The share purchase, which closed February 1, 2007,
  increased Rio Tinto’s indirect ownership in Northern Dynasty to approximately
  19.79% at the time. Currently, the holding represents approximately 19.6%.

2008 Secondary Market Purchases by Mitsubishi

On February 14, 2008, the Company was advised that Mitsubishi Corporation had acquired an aggregate of 8,296,108 shares in the open market for a total shareholding in Northern Dynasty of 9.0% .

Recent Operations

As a consequence of work done by Northern Dynasty between 2002 and 2007, two primary areas of mineralization have been identified at the Pebble Project and are referred to as the Pebble West Deposit (the original Resource Lands) and
Pebble East Deposit (the original Exploration Lands). Northern Dynastys (to July 31, 2007), and later the Pebble Partnerships (from August 1 to December 31, 2007) work program involved exploration drilling of the Pebble East
Deposit on the eastern flank of the Pebble West, and the continued collection of environmental and socioeconomic data and ongoing engineering studies to advance the project. The drilling component of the program consisted of 157,000 ft (48,000m).

Location, Access and Property Description

The Pebble Project is located in the Iliamna region of southwestern Alaska. It is approximately 200 mi (320 km) southwest of Anchorage and 17 mi (27 km) northwest of the village of Iliamna (Figure 1).

Access to the Pebble Project is via fixed wing aircraft to Iliamna. Iliamna has a state-operated airport with two 5,500 ft (1,700 m) paved runways. It is serviced by several passenger and cargo flights daily from Anchorage, using Convair, Hercules
and DC-6 aircraft, as well as smaller charter aircraft. Current access from Iliamna to the property is by helicopter.

The Pebble Project is located 60 mi (95 km) from tidewater. Access to the coast from Lake Iliamna is provided by a 19 mi (30 km), state-maintained road, which extends from Pile Bay at the eastern end of Lake Iliamna to Williamsport near Iniskin Bay
on Cook Inlet. Bulk fuel and heavy freight can also be barged in during the summer months to Lake Iliamna via the Kvichak River. There is currently no road from Iliamna northwest to the Pebble Project.

The property forms a continuous block consisting of 1,335 located Alaska State mineral claims totaling 39,900 hectares (98,600 acres).

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| |  13  | Annual Information Form
| | ------ | -----------------------



Figure 1 Location

Topography and Climate

The climate of the Iliamna area is similar to Anchorage with
summer daytime high temperatures ranging from 10 to 17 degrees Celsius, and low
temperatures varying from -10 to -13 degrees Celsius from December to March.
Average annual precipitation is 69 cm. The climate, although periodically harsh,
is sufficiently moderate to allow a well-planned mineral exploration program to
be conducted year-round.

The Pebble Project lies within an area of rolling hills and low
mountains. Valley bottoms are at elevations of 820 ft (250 m) above sea level.
The highest point on the property is Kaskanak Peak, at an elevation of 2,760 ft
(841 m). The Pebble West and Pebble East mineralized deposits are situated at
the 1,065 ft (325 m) elevation. Vegetation consists of sparse patches of alder
trees separated by expanses of tundra and grass. The area was recently glaciated
and glacial soil deposits and hummocky terrain abound. There are streams and
small, shallow ponds in the vicinity of the project, which provide water for
exploration drilling.

Exploration History

From the mid 1980s to 1994, Teck Cominco conducted exploration
in the Pebble region, including prospecting, geological mapping, geochemical
sampling, geophysical surveys and drilling of what is now known as the Pebble
West Deposit and adjacent areas. The Pebble West discovery outcrop was
identified in 1987, but the potential of the system was not fully realized until
after an Induced Polarization (IP) geophysical survey was completed in 1989.
Although limited in scope, the IP survey at Pebble displayed a response
characteristic of a large, porphyry-copper system. This interpretation was
validated through subsequent drilling by Teck Cominco that intercepted
significant intervals of porphyry-style copper, gold and molybdenum
mineralization. Engineering and metallurgical studies were carried out
concurrently with drilling from 1991-1994. HDGI entered into options agreements
with Teck Cominco to acquire the Pebble Project in November 2001.

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| |  14  | Annual Information Form
| | ------ | -----------------------

In 2001, HDGI staked the additional claims to cover ground
where Teck Cominco had detected a multi-element, soil-geochemical and
geophysical (high IP chargeability) anomalies on two, widely spaced,
reconnaissance lines. HDGI collected and analyzed 601 soil samples and did
30-line km of IP/resistivity surveying.

During 2002, Northern Dynasty drilled 68 holes totaling 37,090
  ft (11,306 m) exploring for additional porphyry deposits within which to define
  higher-grade resources. Four new mineral zones were discovered. One of these,
  the Thirty-Eight Zone, is a till-covered copper-gold porphyry deposit located
  12 km south-southwest of the Pebble West Deposit. Some 86% of Teck Comincos
  drill core from the Pebble West Deposit was relogged and a sectional geological
  model was completed. Based on this model, the Pebble West Deposit resource was
  estimated. Surface work included an 18.5 -line-km ground magnetometer survey;
  a 328-sample soil geochemical survey and a few man-days of geological traverses.

An independent mineral resource estimate of the Inferred resources
  in the Pebble West Deposit at that time were 1.0 billion tonnes grading 0.30%
  copper, 0.40 g/t gold, and 0.015% molybdenum (0.61% copper-equivalent) above
  a cut-off grade of 0.30% copper-equivalent, and 271 million tonnes of 0.43%
  copper, 0.59 g/t gold, and 0.018% molybdenum (0.86% copper-equivalent) above
  a cut-off grade of 0.70% copper equivalent.

In 2003, Northern Dynasty drilled 58 holes totaling 64,730 ft
(19,730 m) to define higher-grade portions in the Pebble West Deposit and 9
holes totaling 6,520 ft (1,990 m) to test four other prospective zones on the
Property, as well as limited surface exploration. The 2003 drilling continued to
indicate the presence of substantial porphyry mineralization at the 38 Porphyry
Deposit. Drilling at the 37 Skarn intersected moderate gold and copper values;
further work is necessary to fully determine the potential of the skarn
mineralization. A new independent estimate of the Pebble West Deposit was done
in February 2004, increasing the inferred mineral resources to 2.74 billion
tonnes grading 0.55% copper-equivalent1 (0.27% copper 0.30 g/t gold,
and 0.015% molybdenum above a cut-off grade of 0.30%
copper-equivalent1.

In November 2004, a preliminary economic assessment of the Pebble
  Project was done based on the early 2004 resource estimate for the Pebble deposit,
  now know as the Pebble West Deposit. The Preliminary Assessment was prepared
  in order to provide guidance for the ongoing engineering work.

The 2004 program involved collection of engineering,
environmental and socioeconomic data required for the completion of feasibility
studies. The program encompassed approximately 130,000 ft (40,000 m) of
drilling, including holes to establish measured and indicated resources in the
Pebble West Deposit and others to collect geotechnical, metallurgical and
hydrological data to use for mine planning. Some exploratory drilling for new
zones and unexplored targets was also done and enabled the Company to complete
the 60,000 ft of drilling required to exercise its option on the Exploration
Lands.

In 2005, Northern Dynasty completed surface mapping of the Exploration
  Lands at a scale of 1:10,000, and drilled 128,970 ft of core in the Pebble Resource
  Lands and 33,531 ft of core in the Exploration Lands (23,540 ft of in 15 holes
  adjacent to the Pebble Resource Lands, 9,112 ft in 53 engineering holes, and
  879 feet in Hole 5308 in the southwestern part of the Exploration Lands). This
  drilling led to the discovery of a significant, new porphyry centre on the eastern
  side of the Pebble West Deposit beneath a cover of Tertiary rocks that apparently
  thickens to the east, and further drilling expanded and deepened the Pebble
  East Deposit. The furthest east hole (5333) intersected a long interval of Tertiary
  rocks and did not reach the Tertiary-Cretaceous contact, suggesting the presence
  of a northeast-trending graben along

_________________________________1Copper
equivalent calculations use metal prices of US$0.80/lb for copper, US$350/oz for
gold, and US$4.50/lb for molybdenum. The contained gold and copper represent
estimated contained metal in the ground and have not been adjusted for
metallurgical recoveries. Adjustment factors to account for differences in
relative metallurgical recoveries for copper, gold and molybdenum will depend
upon the completion of definitive metallurgical testing. CuEQ = Cu % + (Au g/t x
11.25/17.64) + (Mo % x 99.23/17.64)

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| |  15  | Annual Information Form
| | ------ | -----------------------

the southeastern side of the Pebble East Deposit. An initial
  estimate of the inferred mineral resource in Pebble East in early 2006 was 1.82
  billion tonnes grading 0.60% copper, 0.37 g/t gold and 0.038% molybdenum at
  a 0.60% copper-equivalent cut-off.

In 2006, Northern Dynasty drilled 73,700 ft of core in 19 exploration
  holes and 3,200 ft of core in 11 geotechnical holes in the Pebble East Deposit.
  Fourteen percussion holes were also drilled for groundwater studies. Exploration
  drilling expanding the deposit to a north-south strike length exceeding 7000
  ft (2100 m), and over a width exceeding 4000 ft (1220 m); intersected grades
  consistently exceeded 1% copper equivalent. The inferred mineral resources in
  the Pebble East Deposit at year end were estimated to be 3.8 billion tonnes
  grading 0.57% copper, 0.36 g/t gold and 0.036% molybdenum at a 0.60% copper
  equivalent cut-off. The engineering effort was focused on collection of data
  to support the preparation of an integrated development plan with the Pebble
  West Deposit. The main areas in which analysis continued during the year were
  geotechnical evaluations of the surface soil deposits in the vicinity of potential
  tailings storage sites; analysis of power supply options; collection of geotechnical
  and hydrogeological data to support design of a potential underground mine at
  Pebble East; initial evaluation of bulk underground mining options for Pebble
  East, with a focus on determining potential mining rates and development scenarios;
  and initial scoping-level metallurgy on Pebble East and collection of samples
  for a metallurgy program in 2007.

Property Geology

The Pebble property encompasses the eastern and southern margins
  of the approximately 200 square km in size, Late Cretaceous (89.7 Ma) in age,
  tonalite-granodiorite Kaskanak Batholith (medium to coarse grained igneous rocks
  of intermediate composition, covering a large area), and the adjacent Jurassic-Cretaceous
  sedimentary and interbedded volcanic rocks that the batholith had intruded.
  On the east side of the batholith, a northeast-trending structural corridor
  is marked by a linear cluster of multi-phased, compositionally and texturally
  variable, irregular stocks, sills, dikes and breccia bodies (igneous bodies
  that are relatively small and circular, flat-lying, linear and structurally
  shattered, respectively) that are associated with and were formed slightly earlier
  than the batholith. Numerous copper-gold mineral occurrences, including the
  large Pebble West, Pebble East and Thirty-Eight porphyry copper-gold-molybdenum
  deposits, are related to this diverse group of intrusions (coarse grained igneous
  rocks).

The Pebble West Deposit is a calc-alkalic porphyry (hosted by
igneous rocks with quartz and potassium feldspar), encompassing four small
granodiorite-quartz monzodiorite (coarse grained igneous rocks of intermediate
composition) stocks and related sill-like intrusions. These stocks intrude
folded and previously hornfelsed (metamorphosed) volcaniclastic (eroded and
re-deposited volcanic rocks) sedimentary rocks that host earlier diorite
sill-like intrusions, and later intrusion breccias (composed of angular
fragments of intrusive rocks in crystalline matrix).

The Pebble East Deposit, discovered in 2005, occurs in a large
mineralized intrusion and adjacent volcaniclastic sedimentary rocks under a
cover of younger and unmineralized rocks.

Mineralization

Mineralization, consisting principally of pyrite, chalcopyrite
and molybdenite, occurs in zones of strong potassium-silicate alteration in and
disseminated adjacent to quartz-vein stockworks in all rock types. It is
strongest in and near the upper parts of the granodiorite stocks, especially in
diorite sills, and in a major granodiorite sill. In the Pebble West Deposit, the
gold/copper ratio is about 1.2 g/t gold to 1% copper. The copper/molybdenum
ratio is about 20/1. In the Pebble East Deposit, the gold/copper ratio is more
variable, generally being between 0.5 and 1.0 with some zones much lower than
this and a few 10 ft (3m) intervals with gold values from 30-65 g/t and copper
values less than 1%. The copper/molybdenum ratio ranges widely.

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| |  16  | Annual Information Form
| | ------ | -----------------------

At Pebble, copper-gold-molybdenum mineralization extends over a
known 3.9 km by 2.9 km area (2.4 mi by 1.4 mi) and to a depth of 610m (2,000 ft)
in the Pebble West Deposit and to a depth of 1,525 m (5,000 ft) in the Pebble
East Deposit.

Significant amounts of high-grade copper minerals
(predominantly bornite) were intersected in the four northernmost holes drilled
in 2006 and also in four holes near the southernmost area drilled. The presence
of significant bornite mineralization in these holes indicates their proximity
to mineralizing centers which are open to extension.

Estimates of Mineralization

|Cautionary Note to Investors Concerning
      Estimates of Measured and Indicated Resources This
        section use the terms measured resources and indicated
        resources. The Company advises investors that while those terms
        are recognized and required by Canadian regulations, the U.S. Securities
        and Exchange Commission does not recognize them. Investors are cautioned
        not to assume that any part or all of mineral deposits in these categories
        will ever be converted into reserves.
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

Pebble West

Detailed drilling on the Pebble West Deposit in 2004 led to an
updated resource estimate that was announced in March 2005. The Pebble West
resource estimate was completed in March 2005 under the direction of David W.
Rennie, P. Eng. of Scott Wilson Roscoe Postle Associates Inc., and R. Mohan
Srivastava, M.Sc., P.Geo., of FSS Canada Consultants Inc., who are independent
Qualified Persons.

PEBBLE WEST DEPOSIT - MEASURED MINERAL RESOURCES

Cut-Off
    Size
    Grade
    Contained MetalCuEQ %
    Million Tonnes
    Copper %
    Gold g/t
    Molybdenum %
    CuEQ %
    Copper B lb
    Gold M oz
    Molybdenum M lb0.30
    711
    0.33
    0.36
    0.016
    0.63
    5.1
    8.1
    2560.40
    655
    0.34
    0.37
    0.017
    0.66
    4.9
    7.8
    2440.50
    525
    0.37
    0.40
    0.018
    0.70
    4.3
    6.7
    2070.60
    355
    0.41
    0.43
    0.019
    0.78
    3.2
    4.9
    1500.70
    214
    0.47
    0.47
    0.021
    0.87
    2.2
    3.3
    97


PEBBLE WEST DEPOSIT - INDICATED MINERAL RESOURCES

Cut-Off
    Size
    Grade
    Contained MetalCuEQ %
    Million Tonnes
    Copper %
    Gold g/t
    Molybdenum %
    CuEQ %
    Copper B lb
    Gold M oz
    Molybdenum M lb0.30
    2,315
    0.27
    0.31
    0.014
    0.54
    13.7
    23.2
    7360.40
    1,757
    0.30
    0.34
    0.016
    0.59
    11.6
    19.2
    6110.50
    1,103
    0.35
    0.39
    0.017
    0.68
    8.4
    13.9
    4230.60
    615
    0.40
    0.45
    0.020
    0.79
    5.5
    8.9
    2700.70
    356
    0.46
    0.51
    0.021
    0.89
    3.6
    5.9
    167


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| |  17  | Annual Information Form
| | ------ | -----------------------

PEBBLE WEST DEPOSIT - MEASURED & INDICATED MINERAL
RESOURCES

Cut-Off
    Size
    Grade
    Contained MetalCuEQ %
    Million Tonnes
    Copper %
    Gold g/t
    Molybdenum %
    CuEQ %
    Copper B lb
    Gold M oz
    Molybdenum M lb0.30
    3,026
    0.28
    0.32
    0.015
    0.56
    18.8
    31.3
    9930.40
    2,413
    0.31
    0.35
    0.016
    0.61
    16.5
    27.0
    8550.50
    1,628
    0.35
    0.39
    0.018
    0.69
    12.7
    20.5
    6290.60
    970
    0.41
    0.45
    0.020
    0.78
    8.7
    13.8
    4200.70
    569
    0.46
    0.50
    0.021
    0.88
    5.8
    9.1
    265


|Cautionary Note to Investors Concerning
      Estimates of Inferred Resources The following
        section uses the term inferred resources. The Company advises
        investors that while this term is recognized and required by Canadian
        regulations, the U.S. Securities and Exchange Commission does not recognize
        it. Inferred resources have a great amount of uncertainty
        as to their existence, and great uncertainty as to their economic and
        legal feasibility. It cannot be assumed that all or any part of a mineral
        resource will ever be upgraded to a higher category. Under Canadian rules,
        estimates of Inferred Mineral Resources may not form the basis of economic
        studies, except in rare cases. Investors are cautioned not to assume
        that any part or all of an inferred resource exists, or is economically
        or legally mineable.
|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------

PEBBLE WEST DEPOSIT  INFERRED MINERAL RESOURCES

Cut-Off
    Size
    Grade
    Contained MetalCuEQ %
    Million Tonnes
    Copper %
    Gold g/t
    Molybdenum %
    CuEQ %
    Copper B lb
    Gold M oz
    Molybdenum M lb0.30
    1,133
    0.24
    0.30
    0.014
    0.50
    5.9
    10.8
    3610.40
    756
    0.27
    0.34
    0.017
    0.57
    4.5
    8.2
    2780.50
    417
    0.31
    0.42
    0.018
    0.67
    2.9
    5.6
    1680.60
    226
    0.36
    0.49
    0.020
    0.77
    1.8
    3.6
    1010.70
    143
    0.40
    0.56
    0.020
    0.85
    1.3
    2.6
    62


Pebble East

An updated resource estimate was done in early 2008, based on
  a database of assay results from 162 diamond drill holes completed in the Pebble
  East area completed to the end of 2007. The results are tabulated below. The
  new resource estimate was prepared by technical consultants to the partnership.
  David Gaunt, P.Geo., Hunter Dickinson Services Inc, who is not independent of
  the Company is the Qualified Person for the current resource estimate of Pebble
  East Deposit.

PEBBLE EAST DEPOSIT  INFERRED MINERAL RESOURCES

Cut-Off
    Size
    Grade
    Contained MetalCuEQ %
    Million Tonnes
    Copper %
    Gold g/t
    Molybdenum %
    CuEQ %
    Copper B lb
    Gold M oz
    Molybdenum M lb0.60
    3,860
    0.58
    0.36
    0.033
    0.99
    49
    45
    2.80.70
    3,100
    0.64
    0.39
    0.033
    1.07
    44
    39
    2.30.80
    2,420
    0.71
    0.42
    0.034
    1.16
    38
    33
    1.80.90
    1,900
    0.77
    0.46
    0.035
    1.25
    32
    28
    1.51.00
    1,520
    0.82
    0.49
    0.035
    1.32
    27
    24
    1.21.10
    1200
    0.87
    0.53
    0.035
    1.40
    23
    21
    0.9


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| |  18  | Annual Information Form
| | ------ | -----------------------

Notes to Tables:

|Note A | By prescribed definition, Mineral Resources do not have
      demonstrated economic viability.                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|------ | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|Note B | An Inferred Mineral Resource
        is that part of a mineral resource for which quantity and grade can be
        estimated on the basis of geological evidence and limited sampling and
        reasonably assumed, but not verified, geological and grade continuity.
        It can not be assumed that all or any part of an Inferred Mineral Resource
        will even be upgraded to a higher category.                                                                                                                                                   
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|Note C | A 0.30% CuEQ cut-off is considered
        to be comparable to that used for porphyry deposit operations in the Americas,
        but is subject to completion of a feasibility study. Cut-offs in the range
        of 0.60% CuEQ are typically used for bulk underground mining operations
        at copper porphyry deposits located around the world. Appropriate cut-offs
        for the Pebble Project’s open pit and underground resources will
        be defined during detailed engineering studies.                                                   
|       |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
|Note D | Copper equivalent calculations use metal prices of
      US$1.00/lb for copper, US$400/oz for gold, and US$6.00/lb for molybdenum.
      The contained gold and copper represent estimated contained metal in the
      ground and have not been adjusted for metallurgical recoveries. Adjustment
      factors to account for differences in relative metallurgical recoveries
      for copper, gold and molybdenum will depend upon the completion of
      definitive metallurgical testing. CuEQ = Cu % + (Au g/t x 11.25/17.64) +
      (Mo % x 99.23/17.64)

Cut-off information:

Pebble West Deposit (Open Pit scenario) as used in the
November 2004 Preliminary Assessment

Breakeven operating costs:

Mining
    $0.87/tonne minedProcessing
    $2.51/tonne mineralizationG&A, Maintenence, Environmental etc
    $0.79/tonne mineralizationOPERATING COST
    $4.17/tonne mineralizationRealization Costs (~$165/t conc)
    $1.65/tonne mineralizationTOTAL OPERATING COST
    $5.82/tonne mineralization


The CuEQ grade for resource estimation represents the
equivalent amount of copper in the ground, irrespective of the metallurgical
recoveries of the component metals utilized in the calculation. The following is
the suggested copper equivalent calculation for the open pit scenario for Pebble
West:

CuEQ% = Cu% + (Au g/t * Au$/g / Cu$/%) + (Mo% *
      Mo$/% / Cu$/%)where:
    Cu$/% =
      $1.00*22.046
    = $22.06Au$/g = $400/31.1035
    = $12.86Mo$/% =
      $6.00*22.046
    = $132.28


Note that the above simple CuEQ calculation is intended for
resource estimations only. Mine planning and reserve estimates will be based on
Net Smelter Return (NSR) values for the metals rather than metal price. The
breakeven cut-off grade (BEGrade), be it copper or copper equivalent, must
equate to an NSR that meets (or exceeds) the operating cost. As can be seen from
the equation below, the cut-off grade for which the recovered value matches the
operating + realization costs of $5.82/tonne is 0.30% Cu.

BEGrade * Recovery * lbs/tonne *
copper price = operating cost BEGrade = 5.82 / (0.88 * 22.046 * 1.00)
BEGrade = 0.29% Cu

The above operating costs and economic analysis were derived
from the preliminary economic assessment on the Pebble West Deposit. The
preliminary economic assessment is based partially on inferred resources that
are considered too speculative geologically to have economic considerations
applied to them that would enable them to be categorized as mineral reserves,
therefore there is no certainty that the results predicted by the preliminary
economic assessment will be realized. Investors are cautioned that the United
States Securities and Exchange Commission does not permit U.S. mining companies
to disclose economic results from a preliminary economic assessment based on
inferred resources.

Pebble East (Underground Bulk Mining Scenario)

Replacing the mining cost above for open pit ($0.87/tonne
mined) with costs that have been quoted by companies with block caving
experience ($2.50/tonne mined), then the total costs (including realization
costs) are $7.45/tonne, giving a value of 0.4% CuEq. A more conservative value
of 0.6% CuEq has been used.

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| |  19  | Annual Information Form
| | ------ | -----------------------

Sampling, Analysis, Security and Quality Assurance/Quality
Control Procedures

For all Northern Dynasty drilling programs, core is boxed at
the drill rig and transported daily by helicopter to the secure core logging
facility in Iliamna, Alaska, where it is geologically logged and digital
photographs of each box of core taken prior to sampling. These images are
archived on electronic data storage disk, and provide an indication and record
of the core recovery and rock quality. Sampling is performed by mechanically
splitting the core in half lengthwise. The remaining half core is returned to
the core boxes and is stored at a secure Iliamna warehouse. Samples are placed
in bags and stored in a locked aircraft hangar prior to shipping via
twice-weekly scheduled air service to Anchorage. From Anchorage, the samples are
taken by commercial surface transport to sample preparation laboratories at
Fairbanks, Alaska.

Drilling, sampling and QAQC are supervised by qualified persons
employed by Northern Dynasty. Core samples are logged and identified in the
field with consecutively numbered sample tags, on which the analytical QAQC
designations for standards and duplicates are pre-marked.

For details on the sampling and analytical procedures at Pebble
prior to 2007 are described in the 2007 technical report. Procedures in 2007 are
shown in the flow chart below:



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| |  20  | Annual Information Form
| | ------ | -----------------------

Recent Exploration  2007 Program

Drilling

The 2007 program focused on Pebble East and consisted of two
components: delineation drilling and infill drilling, totaling some 157,000 feet
in 36 holes. Drill holes intersected long intervals of high-grade
copper-gold-molybdenum mineralization, consistently exceeding 1% copper
equivalent. The deposit remains open. An updated estimate has been completed,
increasing the inferred mineral resources in the Pebble East Deposit by 14%.
Results are tabulated below. The estimate was prepared by technical consultants
to the Pebble Limited Partnership, based on geological and assay information
from 162 diamond drill holes completed in the Pebble East area.

Engineering

Engineering work in 2007 was focused in the following
areas:

- Collection of additional site and underground geotechnical data to support
  ongoing mine design work;
- Completion of metallurgical testwork on Pebble East to optimize
  conventional processing systems and designs;
- Continuation of assessments of the major infrastructure elements (access
  road, port and power) in order to establish the optimum alternatives and
  designs for these Project components; and
- Assessment of potential project mine plans that would extract portions of
      the extensive mineral resources available to determine likely scenarios
      for the prefeasibility study.

The Pebble East geotechnical data collection program is managed
  by an international independent consulting firm. The objective of this program
  is to collect geotechnical data to support design of an important underground
  mine at Pebble East. In the first quarter, data was collected from the acoustic
  logger and logged and collated by site staff. Personnel from the geotechnical
  consulting firm arrived on site in the second quarter of 2007 and, from then
  until the end of December, one rig was dedicated to a program that included
  drilling and logging oriented core. A number of holes were tested using the
  acoustic logger and geotechnical data was collected from all core by Pebble
  Limited Partnership personnel under the supervision of the independent consultant.

A surface geotechnical program, designed to supplement the
extensive database collected in previous years, took place during the third and
fourth quarters of 2007. The data will be used in the design of site
infrastructure, tailings and water management systems. A total of 46 holes were
laid out for the program, and 26 were completed by the end of the field
season.

More detailed flotation and comminution testwork for the Pebble
  East Deposit commenced in January 2007, building on the scoping work done in
  2006. Comminution techniques reduce the size of rock material to liberate minerals
  of interest. The initial phase of Pebble East comminution program was completed
  during the second quarter, and additional work identified for Pebble East and
  West. Samples were collected and shipped for tests to be completed in 2008.

In addition to testing for use of conventional grinding
technology, a suite of samples was subjected to High Pressure Grinding Roll
(HPGR) tests in 2007. The tests showed that there would be no advantage to
utilizing HPGR at Pebble. Crushing tests were also carried out in fourth
quarter.

A grind versus net present value analysis was completed on
Pebble East samples. The analysis indicated that the optimum primary grind size
would be approximately 200 microns, which is significantly coarser

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| |  21  | Annual Information Form
| | ------ | -----------------------

than the values used for planning to date. Using a coarser
grind could significantly increase throughput for the same power draw through
the currently planned grinding circuit or, alternately, obtain the same
throughput with less grinding power. This work continues, with expected
completion in the first half of fiscal 2008.

Flotation development work, including testing flotation conditions
  and determining reagent types, consumption, and recovery parameters, was completed
  in the second quarter. As the flowsheet is different than that originally devised
  for Pebble West, it must be re-tested with additional Pebble West samples. A
  new batch of samples was acquired by drilling nine holes at the Pebble West
  Deposit in 2007, which were prepared and shipped from site by the end of the
  program. Work to confirm the flowsheet and reagent scheme for Pebble East as
  well as Pebble West and blended ore scenarios will take place in 2008. Additional
  grinding tests will be conducted on these samples.

Copper, gold and molybdenum recoveries achieved to flotation
concentrate, projected to a 26% copper concentrate, were 91% for copper, 64% for
gold and 94% for molybdenum. Silver recovery is estimated at 50%. Palladium has
been detected in the Pebble East material. Payable levels of rhenium have also
been found in the molybdenum concentrate. Testwork is underway to determine
expected recoveries, as all of these metals have the potential to add
significant value to the project.

Although a base case for the project infrastructure has been
developed, previous studies had shown that there may be additional opportunities
provided through alternatives for the port site and road. Alternate port site
studies were completed by year-end. This study confirmed that the two port
alternatives that were studied rank very closely and further additional analysis
will be required to make a final selection.

Environmental, Cultural and Socioeconomic Studies

Comprehensive environmental and socioeconomic base-line study
  programs continued in 2007, with the objectives of collecting data in the area
  of the expanded Pebble East Deposit and comparing annual variability. This data
  provides a foundation for the sound environmental design of the project and
  preparation of state and federal permit applications in future years. The primary
  focus of 2007 programs was in the areas of water, aquatic/fish, terrestrial/wildlife,
  wetlands, and subsistence/traditional use.

Environmental and socio-economic baseline data studies have now
  been completed for four consecutive years. This work was undertaken by over
  45 independent consulting firms, and expanded the geographic scope of its investigations
  to support Pebble East planning. In addition to the currently obtained data,
  environmental base line information that was collected during the exploration
  activities by the prior operator has been obtained.

The Pebble Partnership team continued its efforts to engage people
  in the local communities, as well as other project stakeholders, in an informed
  dialogue on the deposit geology, project design alternatives, and environmental
  studies. Over the past 12 months, 430 meetings have been facilitated with project
  stakeholders throughout the State of Alaska. Local hire/recruiting, workforce
  training, and local business development initiatives were ongoing. Four community
  associates were hired to assist with project education in villages located in
  the area.

In 2007, the Stakeholder Relations team included eight people
  directly and many others indirectly. The primary goal was to be visible and
  available in the communities. Ninety communities were visited and more than
  45 mine tours were hosted. Those tours included representatives from 95 different
  stakeholder groups visiting the Pebble site and 47 representatives from stakeholder
  groups attending tours to operating mines in Alaska and British Columbia. In
  addition the team made presentations on the Pebble Project to 52 different groups
  around Alaska and 40 presentations made during site tours.

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| |  22  | Annual Information Form
| | ------ | -----------------------

The Pebble Partnership continues to focus on developing positive
  working relationships with many local Native and community institutions, supporting
  skills training, workforce and business development, local scholarships, search
  and rescue efforts, and other community initiatives.

More than 140 local people from more than 16 communities in the
  Bristol Bay area were employed by the Project last year, and significant expenditures
  were made on local goods, services and salaries. On-site training programs have
  enabled more local people to be hired and workers to be advanced to positions
  requiring more skill and responsibility. The Pebble Partnership has also continued
  to provide financial support to enable mining and natural resources career education
  to be introduced at schools in the local region.

Plans for 2008

The comprehensive program will continue in 2008, with a focus
on:

- Infill and step out drilling to upgrade a portion of the mineral resources
      in the Pebble East Deposit to an indicated category and to support a prefeasibility
      study. Drilling will also test for the full extent of the deposit.
- Geotechnical data collection, detailed metallurgical testwork and
  infrastructure studies.
- Ongoing community engagement programs with a focus on project
  presentations, mining education tours, employee training and economic
  development programs.




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| |  23  | Annual Information Form
| | ------ | -----------------------

Risk Factors

The securities of Northern Dynasty are highly speculative and
subject to a number of risks. A prospective investor or other person reviewing
Northern Dynasty for a prospective investor should not consider an investment in
Northern Dynasty unless the investor is capable of sustaining an economic loss
of the entire investment. The risks associated with Northern Dynastys business
include:

Northern Dynasty’s mineral property interests do
  not contain any ore reserves or any known body of economic mineralization

Although there are known bodies of mineralization on the Pebble
  Project, and The Pebble Partnership has completed a core drilling programs within,
  and adjacent to, the deposits to determine measured and indicated resources,
  there are currently no known reserves or body of commercially viable ore and
  the Pebble Project must be considered an exploration prospect only. Extensive
  additional work is required before Northern Dynasty or The Pebble Partnership
  can ascertain if any mineralization may be economic and hence constitute ‘ore”.
  Engineering, socioeconomic and environmental studies are ongoing. Additional
  drilling is planned to further define the Pebble East Deposit. Exploration for
  minerals is a speculative venture necessarily involving substantial risk. If
  the expenditures Northern Dynasty or The Pebble Partnership makes on the Pebble
  Project do not result in discovery and development of commercial quantities
  of ore, the value of exploration and acquisition expenditures will be totally
  lost and the value of Northern Dynasty stock negatively impacted.

Mineral Resources disclosed by Northern Dynasty or The
  Pebble Partnership for the Pebble Project are estimates only

Northern Dynasty has included mineral resource estimates that
  have been made in accordance with National Instrument 43-101. These resources
  estimates are classified as measured resources, indicated
  resources and inferred resources. Northern Dynasty advises
  investors that while these terms are mandated by Canadian securities administrators,
  the U.S. Securities and Exchange Commission does not recognize these terms.
  Investors are cautioned not to assume that any part or all of mineral deposits
  classified as measured resources or indicated resources
  will ever be converted into ore reserves.Further, inferred resources
  have a great amount of uncertainty as to their existence, and economic and legal
  feasibility. It cannot be assumed that all or any part of an inferred mineral
  resource will ever be upgraded to a higher category. Under Canadian rules, estimates
  of inferred mineral resources may not form the basis of feasibility or prefeasibility
  studies, except in rare cases. Investors are cautioned not to assume that
  part or all of an inferred resource exists, or is economically or legally mineable.

All amounts of mineral resources are estimates only, and
Northern Dynasty cannot be certain that any specified level of recovery of
metals from the mineralized material will in fact be realized or that the Pebble
Project or any other identified mineral deposit will ever qualify as a
commercially mineable (or viable) ore body that can be economically exploited.
Mineralized material, which is not mineral reserves, does not have demonstrated
economic viability. In addition, the quantity of mineral reserves and mineral
resources may vary depending on, among other things, metal prices and actual
results of mining.

Northern Dynasty has no history of earnings and no
foreseeable earnings and may never achieve profitability or pay dividends.

Northern Dynasty has a long history of losses and there can be
no assurance that Northern Dynasty will ever be profitable. Northern Dynasty has
paid no dividends on its shares since incorporation. Northern Dynasty presently
has no ability to generate earnings as its mineral properties are in the
exploration stage. If Northern Dynasty is successful in developing the Pebble
Project, Northern Dynasty anticipates that it will retain future earnings and
other cash resources for the future operation and development of its

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| |  24  | Annual Information Form
| | ------ | -----------------------

business. Northern Dynasty does not intend to declare or pay any cash dividends in the foreseeable future. Payment of any future dividends is solely at the discretion of Northern Dynastys board of directors, which will take into account many
factors including Northern Dynastys operating results, financial conditions and anticipated cash needs. For these reasons, Northern Dynasty may never achieve profitability or pay dividends.

Northern Dynastys consolidated financial statements have been prepared assuming Northern Dynasty will continue on a going concern basis

Northern Dynastys consolidated financial statements have been prepared on the basis that Northern Dynasty will continue as a going concern. At December 31, 2007, Northern Dynasty had working capital of approximately $33.8 million, which is
sufficient to fund its operations in fiscal 2008. Northern Dynastys continuing operations and the underlying value and recoverability of the amounts shown for mineral property interests are entirely dependent upon the existence of economically
recoverable mineral reserves, the ability of the Company to finance the completion of the exploration and development of the mineral property interests, obtaining the necessary permits to mine, and on future profitable production. Furthermore,
failure to continue as a going concern would require that Northern Dynasty's assets and liabilities be restated on a liquidation basis which would likely differ significantly from their going concern assumption carrying values.

As the Pebble Project is Northern Dynasty’s principal
  mineral property, the failure of Northern Dynasty or The Pebble Partnership
  to establish that the Pebble Project possesses commercially viable and legally
  mineable deposits of ore will cause a significant decline in the trading price
  of Northern Dynasty’s common shares and reduce its ability to obtain new
  financing.

The Pebble Project is, through The Pebble Partnership, Northern
  Dynasty’s principal mineral property. Northern Dynasty’s principal
  business objective is to carry out further exploration activities to establish
  whether the Pebble Project possess commercially viable deposits of ore. If Northern
  Dynasty in not successful in its plan of operations, Northern Dynasty may have
  to seek a new mineral property to explore or acquire an interest in a new mineral
  property or project. Northern Dynasty anticipates that such an outcome would
  result in a significant decline in the trading price of Northern Dynasty’s
  common shares. At this time, Anglo is only required to fund The Pebble Partnership
  for $125 million and there is no certainty that Anglo will elect to continue
  funding The Pebble Partnership if Anglo is not satisfied with the outlook for
  the Pebble Project, economically or politically. Furthermore, Northern Dynasty
  anticipates that its ability to raise additional financing to fund exploration
  of a new property or the acquisition of a new property or project would be impaired
  as a result of the failure to establish commercial viability of the Pebble Project.

The Pebble Project, like many major mining projects, has opponents.
  The opponents of the Pebble Project are well organized are trying to bring public
  and political pressure against the Pebble Project. If successful, the opponents
  could delay or prevent the commercialization of the Pebble Project even if it
  is found to be economically viable and technically legally permittable.

If prices for copper, gold and molybdenum decline, Northern Dynasty may not be able to raise the additional financing required to fund its exploration activities for the Pebble Project.

The ability of Northern Dynasty to raise financing to fund
  its exploration activities and, if warranted, development of the Pebble Project,
  will be significantly affected by changes in the market price of the metals
  it mines or for which it explores. The prices of copper, gold and molybdenum
  are volatile, and are affected by numerous factors beyond Northern Dynasty’s
  control. The level of interest rates, the rate of inflation, the world supplies
  of and demands for copper, gold and molybdenum and the stability of exchange
  rates can all cause fluctuations in these prices. Such external economic factors
  are influenced by changes in international investment patterns and monetary
  systems and political developments. The prices of copper, gold and molybdenum
  have fluctuated in recent years, and future significant price declines could
  cause investors to be unprepared to finance exploration of copper, gold and
  molybdenum, with the result that Northern Dynasty may not have sufficient financing
  with which to funds its exploration activities

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| |  25  | Annual Information Form
| | ------ | -----------------------

Northern Dynasty competes with larger, better capitalized competitors in the mining industry.

The mining industry is competitive in all of its phases, including financing, technical resources, personnel and property acquisition. It requires significant capital, technical resources, personnel and operational experience to effectively compete
in the mining industry. Because of the high costs associated with exploration, the expertise required to analyze a projects potential and the capital required to develop a mine, larger companies with significant resources may have a
competitive advantage over Northern Dynasty. Northern Dynasty faces strong competition from other mining companies, some with greater financial resources, operational experience and technical capabilities than Northern Dynasty does. As a result of
this competition, Northern Dynasty may be unable to maintain or acquire financing, personnel, technical resources or attractive mining properties on terms Northern Dynasty considers acceptable or at all.

Compliance with environmental requirements will take
  large resources and changes to these requirements could significantly increase
  the costs developing the Pebble Project and could delay these activities.

The Pebble Partnership and Northern Dynasty must comply with
  stringent environmental legislation in carrying out work on the Pebble Project.
  Environmental legislation is evolving in a manner that will require stricter
  standards and enforcement, increased fines and penalties for non-compliance,
  more stringent environmental assessments of proposed projects and a heightened
  degree of responsibility for companies and their officers, directors and employees.
  Changes in environmental legislation could increase the cost to Northern Dynasty
  of carrying out its exploration and, if warranted, development of the Pebble
  Project. Further, compliance with new or additional environmental legislation
  may result in delays to Northern Dynasty’s exploration and, if warranted,
  development activities.

Changes in government regulations and the presence of unknown environmental hazards on Northern Dynastys mineral properties may result in significant unanticipated compliance and reclamation costs

Government regulations relating to mineral rights tenure, permission to disturb areas and the right to operate can adversely affect Northern Dynasty. Northern Dynasty may not be able to obtain all necessary licenses and permits that may be required
to carry out exploration at our projects.  Obtaining the necessary governmental permits is a complex, time-consuming and costly process. The duration and success of Northern Dynastys efforts to obtain permits are contingent upon many variables
not within our control. Obtaining environmental permits may increase costs and cause delays depending on the nature of the activity to be permitted and the interpretation of applicable requirements implemented by the permitting authority. There can
be no assurance that all necessary approvals and permits will be obtained and, if obtained, that the costs involved will not exceed those that we previously estimated. It is possible that the costs and delays associated with the compliance with such
standards and regulations could become such that we would not proceed with the development or operation

Northern Dynasty is subject to many risks that are not insurable and, as a result, Northern Dynasty will not be able to recover losses through insurance should such risks occur.

Hazards such as unusual or unexpected geological formations and other conditions are involved in mineral exploration and development. Northern Dynasty may become subject to liability for pollution, cave-ins or hazards against which it cannot insure.
The payment of such liabilities could result in increase in Northern Dynastys operating expenses which could, in turn, have a material adverse effect on Northern Dynastys financial position and its results of operations. Although
Northern Dynasty maintains liability insurance in an amount which it considers adequate, the nature of these risks is such that the liabilities might exceed policy limits, the liabilities and hazards might not be insurable against, or Northern
Dynasty might not elect to insure itself against such liabilities due to high premium costs or

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| |  26  | Annual Information Form
| | ------ | -----------------------

other reasons, in which event Northern Dynasty could incur
significant liabilities and costs that could materially increase Northern
Dynastys operating expenses.

The market price of Northern Dynastys common shares is
subject to high volatility and could cause investor loss.

The market price of a publicly traded stock, especially a
resource issuer like Northern Dynasty, is affected by many variables in addition
to those directly related to exploration successes or failures. Such factors
include the general condition of market for resource stocks, the strength of the
economy generally, the availability and attractiveness of alternative
investments, and the breadth of the public market for the stock. The effect of
these and other factors on the market price of the Companys common shares
suggests Northern Dynastys shares will continue to be volatile. Therefore,
investors could suffer significant losses if Northern Dynastys shares are
depressed or illiquid when an investor seeks liquidity and needs to sell
Northern Dynasty shares.

If Northern Dynasty loses the services of the key
personnel that it engages to undertake its exploration, then Northern Dynastys
plan of operations may be delayed or be more expensive to undertake than
anticipated.

Northern Dynasty’s success depends to a significant extent
  on the performance and continued service of certain independent contractors,
  including Hunter Dickinson Services Inc (“HDSI”). The Company has
  access to the full resources of HDSI, an experienced exploration and development
  firm with in-house geologists, engineers and environmental specialists, to assist
  in its technical review of the various opportunities; however the Company does
  not have the right to require HDSI to bring to the Company all corporate opportunities
  that come to HDSI's attention. .

|ITEM 6. | DIVIDENDS
|------- | ---------

The Company has not paid any dividends on any of its shares
since incorporation and does not presently have any intention of paying
dividends.

|ITEM 7. | DESCRIPTION OF CAPITAL
      STRUCTURE
|------- | --------------------------------------

Northern Dynastys share capital consists of one class only,
  namely common shares without par value, of which an unlimited number of shares
  are authorized and 92,543,639 common shares without par value were issued and
  outstanding as fully paid and non-assessable as of December 31, 2007. As of
  March 28, 2008, there were 92,543,639 common shares issued and outstanding as
  fully paid and non-assessable. The accompanying audited consolidated financial
  statements provide details of all share issuances effected by Northern Dynasty
  and the issue price per share since January 1, 2006.

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| |  27  | Annual Information Form
| | ------ | -----------------------

There have been no changes in the classification of common shares
  (reclassifications, consolidations, reverse splits or the like) within the previous
  five years. All common shares of Northern Dynasty rank pari passu (i.e. equally)
  for voting and the payment of any dividends and distributions in the event of
  a windup.

There are no constraints imposed on the ownership of securities
of Northern Dynasty.

Northern Dynastys securities have not received any ratings
from any rating organization.

|ITEM 8. | MARKET FOR
      SECURITIES
|------- | ---------------------------

The following table shows the progression in high and low trading
  prices of the common shares of Northern Dynasty on the TSX Venture Exchange
  and AMEX for the periods listed. On October 30, 2007 the common shares of the
  Company commenced trading on the Toronto Stock Exchange and were de-listed from
  the TSX Venture Exchange.

|               |  | TSX Venture |  |  | AMEX   | 
|-------------- |  | ----------- |  |  | ------ | 
|               |  |             |  |  |        | 
|               |  |             |  |  |        | 
|               |  | High        |  |  | Low    | 
|               |  | (Cdn$)      |  |  | (Cdn$) | 
|Monthly        |  |             |  |  |        | 
|December 2007  |  | 13.40       |  |  | 10.95  | 
|November 2007  |  | 11.65       |  |  | 10.23  | 
|October 2007   |  | 13.08       |  |  | 10.40  | 
|September 2007 |  | 12.06       |  |  | 9.82   | 
|August 2007    |  | 16.75       |  |  | 9.28   | 
|July 2007      |  | 16.50       |  |  | 12.86  | 
|June 2007      |  | 14.40       |  |  | 11.46  | 
|May 2007       |  | 14.00       |  |  | 12.62  | 
|April 2007     |  | 14.00       |  |  | 11.85  | 
|March 2007     |  | 13.50       |  |  | 11.00  | 
|February 2007  |  | 13.00       |  |  | 9.70   | 
|January 2007   |  | 10.54       |  |  | 7.86   | 

Northern Dynasty share trading information is also available
through free internet search services (for example, see Yahoo.com, enter NDM.TO
or NAK)

|ITEM 9. | ESCROWED
      SECURITIES
|------- | -------------------------

There are no shares of Northern Dynasty held in escrow.

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| |  28  | Annual Information Form
| | ------ | -----------------------

|ITEM 10. | DIRECTORS AND
      OFFICERS
|-------- | ----------------------------

The names and municipalities of residence of the directors and
  officers of the Company, their principal occupations during the past five years,
  and the period of time they have served as directors or officers of Northern
  Dynasty are as follows. Except where indicated, each director and senior officer
  of Northern Dynasty has held the same or similar principal occupation with the
  organization indicated or a predecessor thereof for the last five years. The
  number of common shares of the Company beneficially owned by each, directly
  or indirectly, or over which each exercised control or direction, as at March
  26, 2007.

Name, Position and Country of Residence
    Period a Director of
      Northern Dynasty
    Securities Beneficially Owned or
      ControlledDavid J. Copeland Director Vancouver, British
      Columbia
    Since June 1996
    2,171,783 Common Shares 165,000 Options
      (1)Scott D. Cousens Director Vancouver, British
      Columbia
    Since June 1996
    1,684,133 Common Shares 165,000 Options
      (1)Robert A. Dickinson Chairman of the Board and Director
      Lions Bay, British Columbia
    Since June 1995
    3,263,583 Common Shares(5)204,000 Options (2)David Elliott Director Vancouver, British Columbia
    Since July 2004
    13,000 Common Shares 165,000 Options
      (1)Gordon J. Fretwell Director West Vancouver, British
      Columbia
    Since July 2004
    Nil Common Shares 165,000 Options
      (1)Wayne Kirk Director San Rafael, California
    Since July 2004
    20,000 Common Shares 165,000 Options
      (1)Jeffrey R. Mason Chief Financial Officer and Director
      Vancouver, British Columbia
    Since June 1996
    1,829,889 Common Shares 165,000 Options
      (1)Stephen Scott Director West Vancouver, British
      Columbia
    Since November 2007
    Nil Common SharesWalter T. Segsworth Director West Vancouver,
      British Columbia
    Since September 2004
    Nil Common Shares 165,000 Options
      (1)Ronald W. Thiessen President, CEO and Director West
      Vancouver, British Columbia
    Since November 1995
    2,095,838 Common Shares 249,000 Options
      (3)Trevor Thomas Secretary Vancouver, British Columbia
    Since February 2008
    Nil Common Shares 15,000 Options
      (4)      29 
      Annual Information Form


Notes:

|1. | Mr. Copeland, Mr. Cousens, Mr. Elliott, Mr. Fretwell, and
      Mr. Kirk, Mr. Mason, and Mr. Segsworth each hold options to purchase
      90,000 common shares at $7.25 per share expiring on April 30, 2011 and
      75,000 common shares at $10.95 per share expiring on February 20,
    2012.
|-- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|2. | Mr. Dickinson holds options to purchase 90,000 Common
      Shares at an exercise price of $7.25 per share expiring on April 30, 2011
      and 114,000 Common Shares at $10.95 expiring on February 20,
  2012.                                                                                   
|3. | Mr. Thiessen holds options to purchase 135,000 Common
      Shares at an exercise price of $7.25 per share expiring on April 30, 2011
      and 114,000 Common Shares at $10.95 expiring on February 20,
  2012.                                                                                   
|4. | Mr. Thomas holds options to purchase 15,000 Common Shares
      at an exercise price of $9.81 per share expiring on April 30,
  2009.                                                                                                                                                              
|5. | Certain of these shares are held by United Mineral
      Services, a private company that is wholly owned by Mr.
  Dickinson.                                                                                                                                                                      

At the annual general meeting of the Company held in June 7,
  2007, directors listed except for Mr. Stephen Scott, were re-elected to a one-year
  term of office expiring at the next annual general meeting of Northern Dynasty,
  which is expected to be held in June 2008. Several of the directors serve together
  on a number of boards of directors of other publicly listed companies. A cost
  sharing arrangement exists between a number of these companies pursuant to administrative
  and geological service agreements with Hunter Dickinson Services Inc. (“HDSI”),
  a private company owned equally by eight public companies, one of which is Northern
  Dynasty. HDSI provides extensive engineering, geological and administrative
  services to, and incurs costs on behalf of, these companies and allocates the
  full costs to them. All officers have a term of office lasting until their removal
  or replacement by the Board of Directors.

Based on insider reports filed on www.sedi.ca, as at March
  26, 2008, the above directors and officers beneficially owned, directly or indirectly,
  or exercised control or direction over 11,078,226 common shares of the Company
  (12.1%), or 12,701,226 common shares on a fully diluted basis (13.7%).

The following committees have been established by the members
of Northern Dynastys board of directors:

Committee
    MembershipAudit Committee
    David Elliott Gordon Fretwell Wayne
      KirkCompensation Committee
    David Elliott Gordon Fretwell Wayne
      Kirk Jeffrey MasonNominating and Governance Committee
    David Elliott Gordon Fretwell Wayne
      Kirk


The mandate of each of these committees is more particularly
described in Northern Dynastys corporate governance manual available on the
Companys website at www.northerndynastyminerals.com.

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| |  30  | Annual Information Form
| | ------ | -----------------------

Principal Occupation and Other Companies Served by Current
Directors of Northern Dynasty

DAVID J. COPELAND, P.Eng.  Director

David Copeland is a geological engineer who graduated in economic
  geology from the University of British Columbia. With over 30 years of experience,
  Mr. Copeland has undertaken assignments in a variety of capacities in mine exploration,
  discovery and development throughout the South Pacific, Africa, South America
  and North America. His principal occupation is President and Director of CEC
  Engineering Ltd., a consulting engineering firm that directs and co-ordinates
  advanced technical programs for exploration on behalf of companies for which
  Hunter Dickinson Services Inc. provides services. He is also a director of Hunter
  Dickinson Services Inc.

Mr. Copeland is, or was within the past five years, an officer
and/or director of the following public companies:

Company
    Positions Held
    From
    ToNorthern Dynasty
      Minerals Ltd.
    Director
    June
      1996
    PresentAmarc Resources
      Ltd.
    Director
    September 1995
    PresentAnooraq Resources
      Corporation
    Director
    September 1996
    September 2004Continental
      Minerals Corporation
    Director
    November 1995
    PresentPresident and Chief Executive Officer
    January 2008
    PresentFarallon Resources
      Ltd.
    Director
    December 1995
    PresentGreat Basin Gold
      Ltd.
    Director
    February 1994
    PresentRockwell Diamonds Inc.
    Director
    September 2006
    PresentChief
      Executive Officer
    September 2006
    September 2007Chairman
    September 2007
    PresentTaseko Mines
      Limited
    Director
    March
      1994
    Present


SCOTT D. COUSENS - Director

Scott Cousens provides management, technical and financial
services to a number of publicly traded companies. Mr. Cousens focus since 1991
has been the development of relationships within the international investment
community. Substantial financings and subsequent corporate success has
established strong ties with North American, European and Asian investors.

Mr. Cousens is, or was within the past five years, an officer
and/or director of the following public companies:

Company
    Positions Held
    From
    ToNorthern Dynasty
      Minerals Ltd.
    Director
    June
      1996
    PresentAmarc Resources
      Ltd.
    Director
    September 1995
    PresentAnooraq Resources
      Corporation
    Director
    September 1996
    PresentContinental
      Minerals Corporation
    Director
    June
      1994
    PresentFarallon Resources
      Ltd.
    Director
    December 1995
    April
      2007


---

| |  31  | Annual Information Form
| | ------ | -----------------------

Company
    Positions Held
    From
    ToGreat Basin Gold
      Ltd.
    Director
    March
      1993
    November 2006Rockwell Diamonds
      Inc.
    Director
    November 2000
    PresentTaseko Mines
      Limited
    Director
    October 1992
    Present


ROBERT A. DICKINSON, B.Sc., M.Sc.  Chairman of the Board
and Director

Robert Dickinson is an economic geologist who serves as a member
  of management of several mineral exploration companies, primarily those for
  whom Hunter Dickinson Services Inc. provides services. He holds a Bachelor of
  Science degree (Hons. Geology) and a Master of Science degree (Business Administration
  - Finance) from the University of British Columbia. Mr. Dickinson has also been
  active in mineral exploration over 40 years. He is a director of Hunter Dickinson
  Services Inc. He is also President and Director of United Mineral Services Ltd.,
  a private investment company.

Mr. Dickinson is, or was within the past five years, an officer
and/or director of the following public companies:

Company
    Positions Held
    From
    ToNorthern Dynasty Minerals Ltd.
    Director
    June
      1994
    PresentCo-Chairman
    November 2001
    April
      2004Chairman
    April
      2004
    PresentAmarc Resources Ltd.
    Director
    April
      1993
    PresentCo-Chairman
    September 2000
    April
      2004Chairman
    April
      2004
    PresentAnooraq Resources Corporation
    Director
    November 1990
    September 2004Director
    October 2004
    PresentChairman
    April
      2004
    September 2004Co-Chairman
    October 2004
    PresentContinental Minerals Corporation
    Director
    June
      2004
    PresentChairman
    June
      2004
    January 2006Co-Chairman
    January 2006
    December 2006Detour Gold
      Corporation
    Director
    August
      2006
    PresentFarallon Resources Ltd.
    Director
    July
      1991
    April
      2007Chairman
    April
      2004
    September 2004Co-Chairman
    September 2004
    April
      2006Great Basin Gold Ltd.
    Director
    May
      1986
    November 2006Co-Chairman
    September 2000
    April
      2004Chairman
    April
      2004
    December 2005Co-Chairman
    December 2005
    November 2006Rockwell Diamonds Inc.
    Director
    November 2000
    September 2006Chairman
    November 2000
    September 2006


---

| |  32  | Annual Information Form
| | ------ | -----------------------

Company
    Positions Held
    From
    ToTaseko Mines Limited
    Director
    January 1991
    PresentChairman
    April
      2004
    July
      2005Co-Chairman
    July
      2005
    May
      2006


DAVID ELLIOTT, B. Comm, ICD.D. FCA  Director

David Elliott graduated from the University of British Columbia
with a Bachelor of Commerce degree and then acquired a Chartered Accountant
designation. In 2006, he became a certified director with the Institute of
Corporate Directors. Mr. Elliott joined BC Sugar Company in 1976, working in a
number of senior positions before becoming President and Chief Operating Officer
of the operating subsidiary, Rogers Sugar. In 1997, he joined Lantic Sugar in
Toronto as Executive Vice President. He also served as Chairman of the Canadian
Sugar Institute. He became President and Chief Operating Officer of the
International Group based in St Louis, Missouri in 1999, a company involved with
food distribution as well as manufacturing and distribution of pet and animal
feed. For several years, he worked with companies developing e-mail and data
management services. Currently, Mr. Elliott is a director and Audit Committee
chairman of Anooraq Resources Corporation, Great Basin Gold Ltd., Northern
Dynasty Minerals Ltd. and Taseko Mines Limited.

Mr. Elliott is, or was within the past five years, an officer
and/or director of the following public companies:

Company
    Positions Held
    From
    ToNorthern Dynasty
      Minerals Ltd.
    Director
    July
      2004
    PresentAnooraq Resources
      Corporation
    Director
    April
      2005
    PresentGreat Basin Gold
      Ltd.
    Director
    July
      2004
    PresentStorageFlow Systems Corp.
    Director
    May
      2002
    June
      2004President and Chief Operating Officer
    May 2002
    June 2003Taseko Mines
      Limited
    Director
    July
      2004
    Present


GORDON J. FRETWELL, B.Comm. LLB.  Director

Gordon Fretwell holds a B.Comm, degree and graduated from the
University of British Columbia in 1979 with his Bachelor of Law degree. Formerly
a partner in a large Vancouver law firm, Mr. Fretwell has, since 1991, been a
self-employed solicitor (Gordon J. Fretwell Law Corporation) in Vancouver
practicing primarily in the areas of corporate and securities law.

Mr. Fretwell is, or was within the past five years, an officer
and/or director of the following public companies:

Company
    Positions Held
    From
    ToNorthern Dynasty Minerals Ltd.
    Director
    June 2004
    Present


---

| |  33  | Annual Information Form
| | ------ | -----------------------

Company
    Positions Held
    From
    ToAntarex Metals
      Ltd.
    Director
    December 2000
    September 2002Bell Resources
      Corporation
    Director
    June
      2001
    PresentBenton Resources
      Corp.
    Director
    March
      2005
    PresentContinental
      Minerals Corporation
    Director
    February 2001
    PresentCopper Ridge
      Explorations Inc.
    Director and Secretary
    September 1999
    PresentGrandcru Resources
      Corp.
    Director
    December 2002
    PresentIcon Industries Limited
    VP of
      Legal Services
    December 2000
    PresentDirector
    July
      2004
    PresentInternational
      Royalty Corporation
    Director
    February 2005
    PresentKeegan Resources
      Inc.
    Director
    February 2004
    PresentLignol Energy
      Corporation
    Director
    January 2007
    PresentMeritus Minerals
      Ltd.
    Director
    June
      2007
    PresentPine Valley Mining
      Corp.
    Director
    August
      2003
    PresentQuartz Mountain
      Resources Ltd.
    Director and Secretary
    January 2003
    PresentRockwell Diamonds Inc.
    Secretary
    March
      1998
    November 2007Director
    March
      1998
    September 2006Tri-Gold Resources Corp.
    Director
    July
      2001
    October 2003Secretary
    July
      2001
    September 2003CFO
    November 2005
    January 2006


WAYNE KIRK, LLB - Director

Wayne Kirk is a retired California State Attorney and
Professional Consultant. With over 35 years professional experience Mr. Kirk
also has over 10 years senior executive experience in the mining industry.

Mr. Kirk is a citizen of the United States and is a resident of
California. A Harvard University graduate, Mr. Kirk received his law degree in
1968. From 1992 to 2001 Mr. Kirk was the Vice President, General Counsel and
Corporate Secretary of Homestake Mining Company. Prior to his retirement in June
2004 he spent two years as Special Counsel for the law firm, Thelen Reid &
Priest, in San Francisco.

Mr. Kirk is, or was within the past five years, an officer
and/or director of the following public companies:

---

| |  34  | Annual Information Form
| | ------ | -----------------------

Company
    Positions Held
    From
    ToNorthern Dynasty
      Minerals Ltd.
    Director
    July
      2004
    PresentAnooraq Resources
      Corporation
    Director
    July
      2005
    PresentGreat Basin Gold
      Ltd.
    Director
    July
      2004
    PresentTaseko Mines
      Limited
    Director
    July
      2004
    Present


JEFFREY R. MASON, B.Comm., CA  Director, Chief Financial
Officer

Jeffrey Mason holds a Bachelor of Commerce degree from the University
  of British Columbia and obtained his Chartered Accountant designation while
  specializing in the mining, forestry and transportation sectors at the international
  accounting firm of Deloitte & Touche. Following comptrollership positions
  at an international commodity mercantilist and Homestake Mining Group of companies
  including responsibility for North American Metals Corp. and the Eskay Creek
  Project, Mr. Mason has spent the last several years as a corporate officer and
  director to a number of publicly-traded mineral exploration companies. Mr. Mason
  is also employed as Chief Financial Officer of Hunter Dickinson Services Inc.
  and his principal occupation is the financial administration of the public companies
  to which Hunter Dickinson Services Inc. provides services.

Mr. Mason is, or was within the past five years, an officer and
or director of the following public companies:

Company
    Positions Held
    From
    ToNorthern Dynasty Minerals Ltd.
    Director
    June
      1996
    PresentSecretary
    June
      1996
    February 2008Chief
      Financial Officer
    June
      1998
    PresentAmarc Resources Ltd.
    Director
    September 1995
    PresentSecretary
    September 1995
    PresentChief
      Financial Officer
    September 1998
    PresentAnooraq Resources Corporation
    Director
    April
      1996
    September 2004Secretary
    September 1996
    September 2007Chief
      Financial Officer
    February 1999
    June
      2007Coastal Contacts
      Inc.
    Director
    October 2006
    PresentContinental Minerals Corporation
    Director
    June
      1995
    February 2008Secretary
    November 1995
    February 2008Chief
      Financial Officer
    June
      1998
    February 2008Detour Gold Corporation
    Chief Financial Officer/Secretary
    July 2006
    December 2007Farallon Resources Ltd.
    Director
    August
      1994
    February 2008Secretary
    December 1995
    December 2007


---

| |  35  | Annual Information Form
| | ------ | -----------------------

Company
    Positions Held
    From
    ToChief
      Financial Officer
    December 1997
    December 2007Great Basin Gold Ltd.
    Director
    February 1994
    November 2006Secretary
    February 1994
    November 2006Chief
      Financial Officer
    June
      1998
    November 2006Quartz Mountain
      Resources Ltd.
    Principal Accounting Officer
    January 2005
    February 2008Rockwell Diamonds Inc.
    Director
    November 2000
    September 2007Chief
      Financial Officer
    November 2000
    April
      2007Taseko Mines Limited
    Director
    February 1994
    PresentSecretary
    February 1994
    PresentChief
      Financial Officer
    November 1998
    Present


STEPHEN V. SCOTT, CPA  Director

Mr. Scott has over 20 years of experience in the mining
industry, encompassing both international and domestic assignments. He is
currently General Manager Commercial, Rio Tinto Exploration, Project Generation
Group, a position that he has held since 2005. Between 2000 and 2005, he held
other senior managerial positions within the Rio Tinto plc group. Rio Tinto plc
owns, or controls indirectly through affiliates, approximately 19.6% of Northern
Dynasty's outstanding shares. Mr. Scott is not an officer and/or director of any
other public companies.

WALTER T. SEGSWORTH, P.Eng.  Director

Walter Segsworth has been an active and respected member of the
international mining industry for over 30 years. He has an excellent track
record in employee safety, environmental excellence and turn around production
situations. During Mr. Segsworths tenure as President, Chief Operating Officer
and Director at Homestake Mining Company, the Company set a 125 year gold
production record and its operating costs reached 25 year lows. Mr. Segsworth is
a past Director and Chairman of the Mining Associations of Canada and British
Columbia, and was voted British Columbia Mining Industry Person of the Year in
1996. He is a member of the Canadian Institute of Mining, Metallurgy and
Petroleum and until recently, was part of the Mining Curriculum Advisory Board
of the Michigan Technological University, from which he earned his degree in
Mining Engineering.

Mr. Segsworth is, or was within the past five years, an officer
and/or director of the following public companies:

Company
    Positions Held
    From
    ToAnooraq Resources
      Corporation
    Director
    March
      2004
    December 2004Yukon Zinc
      Corporation
    Director
    February 2001
    PresentGreat Basin Gold
      Ltd.
    Director
    January 2003
    PresentNorthern Dynasty
      Minerals Ltd.
    Director
    September 2004
    Present


---

| |  36  | Annual Information Form
| | ------ | -----------------------

Plutonic Power
      Corporation Inc.
    Chairman and Director
    September 2002
    PresentUEX Corporation
    Director
    March
      2002
    Present


RONALD W. THIESSEN, CA  Director, President and Chief
Executive Officer

Ronald Thiessen is a Chartered Accountant with professional experience
  in finance, taxation, mergers, acquisitions and re-organizations. Since 1986,
  Mr. Thiessen has been involved in the acquisition and financing of mining and
  mineral exploration companies. Mr. Thiessen is employed by Hunter Dickinson
  Services Inc., a company providing management and administrative services to
  several publicly-traded companies and focuses on directing corporate development
  and financing activities. He is also a director of Hunter Dickinson Services
  Inc.

Mr. Thiessen is, or was within the past five years, an officer
and/or director of the following public companies:

Company
    Positions Held
    From
    ToAmarc Resources Ltd.
    Director
    September 1995
    PresentPresident and Chief Executive Officer
    September 2000
    PresentAnooraq Resources Corporation
    Director
    April
      1996
    PresentPresident and Chief Executive Officer
    September 2000
    August 2007Continental Minerals Corporation
    Director
    November 1995
    PresentPresident and Chief Executive Officer
    September 2000
    January 2006Co-Chairman
    January 2006
    PresentDetour Gold
      Corporation
    Director and Chairman
    July
      2006
    PresentFarallon Resources Ltd.
    Director
    August
      1994
    PresentPresident and Chief Executive Officer
    December 1999
    September 2004Co-Chairman
    September 2004
    December 2005Chairman
    December 2005
    PresentGreat Basin Gold Ltd.
    Director
    October 1993
    PresentPresident and Chief Executive Officer
    September 2000
    December 2005Co-Chairman
    December 2005
    November 2006Chairman
    November 2006
    PresentNorthern Dynasty Minerals Ltd.
    Director
    November 1995
    PresentPresident and Chief Executive Officer
    November 2001
    Present


---

| |  37  | Annual Information Form
| | ------ | -----------------------

Company
    Positions Held
    From
    ToRockwell Diamonds Inc.
    Director
    November 2000
    September 2007President and Chief Executive Officer
    November 2000
    September 2006Chairman
    September 2006
    September 2007Taseko Mines Limited
    Director
    October 1993
    PresentPresident and Chief Executive Officer
    September 2000
    July 2005Co-Chairman
    July
      2005
    May
      2006Chairman
    May
      2006
    PresentThe Vancouver
      Board of Trade
    Director
    June
      2007
    PresentTri-Gold Resources
      Corp.
    Director
    July
      1992
    December 2006


Other Officers

BRUCE JENKINS - Chief Operating Officer

Bruce Jenkins is a corporate and government relations executive
with over 30 years of experience in project and corporate management. He is COO
of the Partnerships US subsidiary, Pebble East Claims Corporation (formerly
Northern Dynasty Mines Inc.) and directs Northern Dynasty's environment,
government, community relations and permitting activities.

STEPHEN HODGSON - Vice President, Engineering

Stephen Hodgson is a professional engineer with 30 years of experience
  in mine operations, mine development and project engineering. He is Vice President
  of the Partnership’s US subsidiary, Pebble East Claims Corporation (formerly
  Northern Dynasty Mines Inc.), Vice President of Engineering for Hunter Dickinson
  Services Inc. and Feasibility Study Director for the Pebble Project.

TREVOR THOMAS, LLB  Secretary

Trevor Thomas has practiced in the areas of corporate commercial,
  corporate finance, securities and mining law for over 12 years, both in private
  practice environment as well as in house positions and is currently in-house
  counsel for Hunter Dickinson Services Inc. Prior to joining Hunter Dickinson
  Services Inc., he served as in house legal counsel with Placer Dome Inc.

Company
    Positions Held
    From
    ToNorthern Dynasty
      Minerals Ltd.
    Secretary
    February 2008
    PresentAnooraq Resources
      Corporation
    Assistant Secretary
    November 2007
    PresentContinental
      Minerals Corporation
    Secretary
    February
    PresentFarallon Resources
      Ltd.
    Secretary
    December 2007
    Present


---

| |  38  | Annual Information Form
| | ------ | -----------------------

Cease Trade Orders, Bankruptcies, Penalties or
Sanctions

No director or officer of Northern Dynasty is, as of the date
of this AIF, or has been within the 10 years before the date of this AIF, a
director or officer of any company that while that person was acting in that
capacity, was the subject of a cease trade order, penalties, sanctions or
bankruptcy, during the time the individual was a director or within a one year
period thereafter, or was a director or officer of a company during the time in
which an event occurred which led to a cease trade order, penalties, sanctions
or bankruptcy subsequent to the individual ceasing to act as a director or
officer. This information has been provided by each director or officer, as the
Company is unable to verify these statements independently.

Potential Conflicts of Interest

Directors of Northern Dynasty also serve as directors of other
similar companies involved in natural resource development. Accordingly, it may
occur that properties will be offered to such other companies. Furthermore,
those other companies may participate in the same properties as those in which
Northern Dynasty has an interest. As a result there may be situations which
involve a potential conflict of interest or issues in connection with the
doctrine of corporate opportunity. In that event, a financially interested
director would not be entitled to vote at meetings of directors in respect of a
transaction involving the Company if it evokes any such conflict. The directors
will attempt to avoid dealing with such other companies in situations where
conflicts or corporate opportunity issues might arise and will at all times use
their best efforts to act in the best interests of Northern Dynasty.

|ITEM 11. | PROMOTERS
|-------- | ---------

Not applicable.

|ITEM 12. | LEGAL
      PROCEEDINGS
|-------- | -----------------------

None.

|ITEM 13. | INTEREST OF MANAGEMENT
      AND OTHERS IN MATERIAL TRANSACTIONS
|-------- | ----------------------------------------------------------------

None of the directors or senior officers of the Company, nor
any person who has held such a position since the beginning of the last
completed financial year end of the Company, nor any associate or affiliate of
the foregoing persons, has any substantial or material interest, direct or
indirect, by way of beneficial ownership of securities or otherwise, in any
material transaction of the Company other than as set out herein.

Hunter Dickinson Services Inc. (“HDSI”) is a private
  company owned equally by eight public companies, one of which is Northern Dynasty.
  HDSI has certain directors in common with the Company and provides geological,
  corporate development, administrative and management services to, and incurs
  third party costs on behalf of, the Company and its subsidiaries on a full cost
  recovery basis pursuant to an agreement dated December 31, 1996. Certain members
  of the company’s senior management are employed by HDSI rather than by
  Northern Dynasty directly.

---

| |  39  | Annual Information Form
| | ------ | -----------------------

|ITEM 14. | TRANSFER AGENT AND
      REGISTRAR
|-------- | ----------------------------------

The Company's registrar and transfer agent is Computershare
Trust Company of Canada, located in Vancouver, BC.

|ITEM 15. | MATERIAL
      CONTRACTS
|-------- | ------------------------

The Company’s material contracts during the fiscal year
  ended December 31, 2007 are the contracts dated July 31, 2007 establishing The
  Pebble Partnership with an affiliate of Anglo-American plc agreement in connection
  with the further exploration and where warranted development of the Pebble Property.
  A redacted version of the limited partnership agreement was filed on www.sedar.com
  on March 26, 2008 as a material agreement and can be down-loaded.

|ITEM 16. | INTERESTS OF
      EXPERTS
|-------- | --------------------------

Mark Rebagliati, P.Eng., James Lang, P.Geo., Eric Titley, P.Geo.,
  David Rennie, P.Eng., David Gaunt, P.Geo., Lawrence Melis, P.Eng., Derek Barratt,
  P.Eng., and Stephen Hodgson, P.Eng., are each persons

|(a) | who are named as having prepared, or co-prepared, a
      report described in a filing, or referred to in a filing, made under
      National Instrument 51-102 by the Company during, or relating to, the
      Companys most recently completed financial year; and
|--- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|    |                                                                                                                                                                                                                                                                       
|(b) | whose profession or business gives authority to the
      report made by him.                                                                                                                                                                                         

Each of Messrs. Rebagliati, Lang, Titley, Rennie, Gaunt, Melis,
  Barratt and Hodgson interests in the common shares of the Company, directly
  or indirectly, or through stock options, represent less than 1% of the Company's
  outstanding share capital.

|ITEM 17. | ADDITIONAL
      INFORMATION
|-------- | ----------------------------

Additional information, including directors' and officers'
remuneration, indebtedness of officers, executive stock options and interests of
management and others in material transactions, where applicable, is contained
in annual financial statements, proxy circulars and interim financial statements
of available at the SEDAR internet web site (www.sedar.com).

The following documents can be obtained upon request from
Northern Dynastys Shareholder Communication Department by calling (604)
684-6365:

|(i)   | this Annual Information Form, together with any document
      incorporated herein by reference;                                                                                                                                      
|----- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|      |                                                                                                                                                                                                                                       
|(ii)  | the Annual Report of the Company and any interim
      financial statements filed with Securities Commissions subsequent to the
      audited financial statements for the Company's most recently completed
      financial year; and
|      |                                                                                                                                                                                                                                       
|(iii) | the Proxy Circular for the annual general meeting of the
      Company.                                                                                                                                                               

---

| |  40  | Annual Information Form
| | ------ | -----------------------

The Company may require the payment of a reasonable charge from
persons, other than security holders of the Company, requesting copies of these
documents.

|ITEM 18. | DISCLOSURE FOR COMPANIES
      NOT SENDING INFORMATION CIRCULARS
|-------- | ----------------------------------------------------------------

Not applicable.

|ITEM 19. | CONTROLS AND
      PROCEDURES
|-------- | -----------------------------

DISCLOSURE CONTROLS AND PROCEDURES

As of the end of the period covered by this report, our
management carried out an evaluation, with the participation of our Chief
Executive Officer and Chief Financial Officer, of the effectiveness of our
disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e)
under the Securities Exchange Act of 1934 (the Exchange Act)). Based
upon that evaluation, our Chief Executive Officer and Chief Financial Officer
concluded that, as of the end of the period covered by this report, our
disclosure controls and procedures were effective in recording, processing,
summarizing and reporting, on a timely basis, information required to be
disclosed by us in reports that we file or submit under the Exchange Act.

It should be noted that while our Chief Executive Officer and
our Chief Financial Officer believe that our disclosure controls and procedures
provide a reasonable level of assurance that they are effective, they do not
expect that our disclosure controls and procedures or internal control over
financial reporting will prevent all errors and fraud. A control system, no
matter how well conceived or operated, can provide only reasonable, not
absolute, assurance that the objectives of the control system will be met.

There were no changes in our disclosure controls and procedures
during the fiscal year ended December 31, 2007 that materially affected, or are
reasonably likely to materially affect, our internal control over financial
reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act).

MANAGEMENT'S REPORT ON INTERNAL CONTROL OVER FINANCIAL
REPORTING

The management of the Company is responsible for establishing
and maintaining adequate internal controls over financial reporting. The
Companys internal control system was designed to provide reasonable assurance
to the Companys management and the board of directors regarding the preparation
and fair presentation of published financial statements. Internal control over
financial reporting includes those policies and procedures that: (1) pertain to
the maintenance of records that in reasonable detail accurately and fairly
reflect the transactions and dispositions of the assets of the Company, (2)
provide reasonable assurance that transactions are recorded as necessary to
permit preparation of financial statements in accordance with Canadian GAAP,
with a reconciliation to United States GAAP, and that receipts and expenditures
of the Company are being made only in accordance with authorizations of
management and directors of the Company, and (3) provide reasonable assurance
regarding prevention or timely detection of unauthorized acquisition, use or
disposition of the Companys assets that could have a material effect on the
financial statements. All internal control systems, no matter how well designed,
have inherent limitations. Therefore, even those systems determined effective
can provide only reasonable assurance with respect to financial statement
preparation and presentation.

---

| |  41  | Annual Information Form
| | ------ | -----------------------

The Companys management, with the participation of the Chief
Executive Officer and the Chief Financial Officer, has evaluated the
effectiveness of internal control over financial reporting based on the
framework and criteria established in Internal Control  Integrated Framework,
issued by the Committee of Sponsoring Organizations of the Treadway Commission.
Based on this evaluation, our management has concluded that internal control
over financial reporting was effective as of December 31, 2007 to provide
reasonable assurance regarding the reliability of financial reporting and the
preparation of financial statements in accordance with Canadian GAAP, and the
reconciliation to United States GAAP.

|ITEM 20. | AUDIT COMMITTEE, CODE OF
      ETHICS, ACCOUNTANT FEES AND EXEMPTIONS
|-------- | ---------------------------------------------------------------------

|A. | AUDIT COMMITTEE FINANCIAL EXPERT
|-- | --------------------------------

The board of directors has determined that Mr. David Elliott
  is a member of the audit committee of the Company who qualifies as an audit
  committee "financial expert" based on his education and experience.
  Mr. Elliott is "independent", as that term is defined by the rules
  of Canadian National Instrument 58-101 the rules of the American Stock Exchange.
  Mr. Elliott is an accredited Chartered Accountant in Canada.

|B. | CODE OF ETHICS
|-- | --------------

The Company has adopted a code of ethics that applies to all
personnel of the Company. A copy of the Code of Ethics was attached as an
exhibit to the Company's Annual Report on Form 20-F filed in June 2005.

|C. | PRINCIPAL ACCOUNTANT FEES AND SERVICES
|-- | --------------------------------------

The following table discloses the aggregate fees billed for
each of the last two fiscal years for professional services rendered by the
Company's audit firm for various services.

Year ended
    
    
    Year endedDecember
    
    
    DecemberServices:
    
    31,
      2007
    
    
    31,
      2006Audit Fees
    $
    70,000
    
    $
    40,000Audit-Related Fees(1)
    
    
    
    
    Tax Fees
    
    
    
    
    All Other Fees
    
    
    
    
    $
    70,000
    
    $
    40,000


|Note:
|-----
|(1)  

From time to time, management of the Company recommends to and
requests approval from the audit committee for audit and non-audit services to
be provided by the Company's auditors. The audit committee routinely considers
such requests at committee meetings, and if acceptable to a majority of the
audit committee members, pre-approves such non-audit services by a resolution
authorizing management

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| |  42  | Annual Information Form
| | ------ | -----------------------

to engage the Company's auditors for such non-audit services,
with set maximum dollar amounts for each itemized service. During such
deliberations, the audit committee assesses, among other factors, whether the
services requested would be considered "prohibited services" as contemplated by
the US Securities and Exchange Commission, and whether the services requested
and the fees related to such services could impair the independence of the
auditors.

|ITEM 21. | OFF BALANCE SHEET
      ARRANGEMENTS
|-------- | ------------------------------------

None.

|ITEM 22. | TABULAR DISCLOSURE OF
      CONTRACTUAL OBLIGATIONS
|-------- | ---------------------------------------------------

Contractual obligation
    Nil
    Nil
    Nil
    Nil
    NilLong
      term debt obligations
    Nil
    Nil
    Nil
    Nil
    NilOperating lease obligations
    Nil
    Nil
    Nil
    Nil
    NilPurchase obligations
    Nil
    Nil
    Nil
    Nil
    NilOther
    Nil
    Nil
    Nil
    Nil
    NilTotal
    Nil
    Nil
    Nil
    Nil
    Nil


The term purchase obligation means an agreement to purchase
goods or services that is enforceable and legally binding on the registrant that
specifies all significant terms, including: fixed or minimum quantities to be
purchased; fixed, minimum or variable price provisions; and the approximate
timing of the transaction.

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