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Exploration Potential

Exploration work since 2001 resulted in a significant overall increase in the Pebble deposit, including discovery of the higher grade eastern part of the deposit, and the identification of other copper, gold, molybdenum and silver occurrences along the extensive northeast-trending mineralized system that underlies the property.

Pebble Deposit


More than 800,000 feet of the more than 1 million feet drilled at site through 2013 targeted the Pebble Deposit, making it one of the most extensively drilled deposits in the world. The geological controls of the lithology and alteration models, the resource and grade distribution, the physical properties of the rocks and the impact of these variables on potential metallurgical response of the mineralization are well understood. There remains exciting exploration potential to add to the known resource. The deposit is most significantly open to the east, at depth and, possibly, to the south.

Plan of Pebble Deposit: Shows copper equivalent grades, drill holes used in resource estimate (solid black) and expansion potential. Two drill holes are highlighted: hole 7378 is the most significant intersection to date; hole 6348 is outside the current resource-area, exhibiting the high-grade potential to the east.

Hole
 
Interval (m)
Cu%
Au g/t
Mo%
CuEQ%
6348*  
289.1
1.24
0.79
0.042
1.98
7378**  
261.5
1.36
1.26
0.023
2.30
7378** Incl.
111.6
1.78
1.15
0.033
2.70
Both holes were drilled vertically.
Prices used for copper equivalent: $1.80/lb Cu; $800/oz Au; $10/lb Mo
*DDH 6348 is NOT included in the current Pebble Resource.
**DDH 7378 is within the current Pebble Resource. The second interval is included within the longer interval.

Other Exploration Potential

The potential to find delineated satellite deposits elsewhere on the Pebble property is clear, and warrants follow-up drilling in the years ahead.
Several zones of Cretaceous mineralization, comparable in age to the Pebble deposit have already been discovered in the area.
  • The Number 1 gold showing is located immediately northwest of and adjacent to the Pebble West Zone. Mineralization comprises gold grades to >1 g/t related to pyrite veins.
  • The 25 Zone is located about 4-5 km (2-3 miles) south of the Pebble deposit. It comprises auriferous, commonly polymetallic quartz and quartz-carbonate veins.
  • The 52 Porphyry Zone is located in the southwest corner of the district. It manifests anomalous values for copper and molybdenum in volcanic rocks.
  • The 308 Porphyry Zone is located in the southernmost part of the district. Cu-Mo-Au mineralization occurs within a granodiorite intrusion similar to those found in the Pebble deposit, and is associated with an alteration zone cut by quartz-sulphide veins.
  • The 38 Porphyry Zone is a significant deposit of Cu-Mo-Au mineralization associated with quartz-sulphide veins and alteration within granodiorite.
  • The 37 Skarn Zone is hosted by volcanic rocks near the southern margin of the district, and mainly comprises Cu-Au mineralization in veins related to calc-silicate alteration.
  • The 65 Zone is located in the south part of the district. Highly anomalous Au, Cu, Ag, Mo and other metals occur within a large zone of intense alteration, quartz-sulphide vein development and local zones of brecciation that extend over several square kilometers.
  • The 522 Zone is located a short distance east of Sharp Mountain. Drilling in this area intersected strongly anomalous Au and base metals in altered intrusive, volcanic and sedimentary rocks.
  • The 498 Zone is located in the southwest corner of the property. Cu-Au mineralization occurs as disseminated and fracture-controlled sulphides hosted by basalt and gabbro.
  • The 459 Zone is located between the Pebble deposit and the 25 Zone. Strongly anomalous Cu-Au mineralization in monzosyenite has characteristics of an alkalic Cu-Au porphyry center.

There are also two identified zones of precious-metals bearing, vein-style mineralization of Eocene age.
  • The Mount Sharp occurrence contains narrow, discontinuous quartz veins with epithermal textures and highly anomalous grades for gold and silver.
  • The Sill deposit comprises numerous epithermal quartz veins and associated silicified zones which contain significant, multi-gram grades of gold and silver.