The Pebble Porphyry Cu-Au-Mo Deposit, Alaska - Introduction

The Pebble Cu-Au-Mo deposit in southwest Alaska is one of the world's largest porphyry deposits. The western part of the deposit was discovered by Cominco America in 1987, who sold the project to Northern Dynasty Minerals Ltd., in 2001. Northern Dynasty discovered the high-grade eastern part of the deposit in 2004 and went into a 50:50 partnership with Anglo American PLC in 2007, forming the Pebble Limited Partnership (Lang et al., 2008). The Pebble Limited Partnership has continued to delineate the deposit through diamond drilling with the most recent resource estimate released in February 2010 (Pebble Limited Partnership, 2010). The Pebble deposit mineral resources comprise 5.94 billion tonnes of measured and indicated resources grading 0.78% Cu EQ, containing 55 billion pounds of copper, 67 million ounces of gold and 3.3 billion pounds of molybdenum. Also delineated are 4.84 billion tonnes of inferred mineral resources grading 0.53% Cu EQ, containing 25.6 billion pounds of copper, 40.4 million ounces of gold and 2.3 billion pounds of molybdenum (Pebble Limited Partnership, 2010). Resources are calculated using a 0.3% Cu EQ cutoff. GEOLOGY AND MINERALIZATION Deposit Geology The Pebble deposit is located in the Kahiltna terrane, between terminal strands of the north-east-striking Lake Clarke strike-slip fault. This fault represents an accretionary boundary and separates the Kahiltna terrane to the north-west from the Peninsular terrane to the south-east (Lang et al., 2008). The Pebble deposit represents a large magmatic-hydrothermal system centered on a group of 90 million year old porphyritic hornblende granodiorite intrusions. An east-west cross section through the southern part of the deposit (Figure 1A) shows the typical relationships between the various rock units which host sulfide mineralization. Sub-parallel ~96 million year old granodiorite and diorite sills were intruded into siltstones of the Jura-Cretaceous Kahiltna flysch. In the west, these sills were cut by a ~96 million year old alkalic intrusive complex composed of porphyritic monzonites and monzodiorites and related intrusion breccias (Bouley et al, 1995). The mineralized 90 million year old hornblende granodiorite intrusions cut all rock types and comprise four small stocks in the western part of the deposit and a larger pluton in the eastern part of the deposit. Recent deep drilling indicates that these intrusions coalesce at depth. The strongest porphyry-style mineralization is centered on the eastern granodiorite pluton and extends into the surrounding rock units (Figure 1A). The western half of the deposit crops out at surface, whereas the eastern side is un-conformably overlain by a cover sequence of Late Cretaceous to Eocene sedimentary and volcanic strata. The deposit was tilted 20º to the east during the Eocene.