Pebble Project Moves Forward: How far forward debatable.

• Author: Anderson, Tom
• Position: Mining

Pebble Mine, the burgeoning copper and gold project in the Bristol Bay region of Southwest Alaska, has for the first time in years taken steps forward, which may be attributed in part to the current federal political climate that is generally in favor of natural resource development. But politics are just one factor; the highly polarizing Pebble prospect is the largest undeveloped copper ore body discovered to date--not just in Alaska but globally--and such significant potential can create its own forward momentum.

Cominco Alaska Exploration (which subsequently became Teck Resources) staked the initial claim at the Pebble Mine site in 1987. Pebble ownership has transferred between several companies over the past thirty years. In mid-December 2017, current owner Northern Dynasty Minerals entered into a framework agreement with First Quantum Minerals targeting an ownership position of the Pebble Limited Partnership (PLP) through a $37.5 million contribution to the project.

Northern Dynasty Minerals is a mineral exploration and development company based in Vancouver and led by President and CEO Ronald Thiessen; its principal asset through PLP is a contiguous block of 2,402 mineral claims that include the Pebble deposit.

New partner First Quantum Minerals, also headquartered in Vancouver, is a metals and mining company operating seven mines and one copper smelter in six nations worldwide. The company primarily produces copper, gold, nickel, and zinc.

In a December media release, PLP announced the company would initiate the permitting and review process "with a much smaller and more environmentally sensitive plan for a mine," adding that the influx of financial support from partner First Quantum Minerals is a critical component of the business development process. PLP CEO Tom Collier and his team emphasized that the Pebble Project will benefit Alaskans and build sustainable communities in this pristine region while balancing protection of fish, wildlife, and ecosystems affected by geological alterations.

First Quantum Minerals Chairman and CEO Philip Pascall said in a release: "The option agreement is an important opportunity to carry out a detailed assessment of the Pebble Project which is widely acknowledged to be one of the outstanding unmined copper projects in the world." At present the Pebble deposit is estimated to contain 26 million tons of copper, 70 million ounces of gold, and 1.5 million tons of molybdenum. Molybdenum is an alloying agent used in stainless and structural steels because it is resistant to corrosion and able to withstand high temperatures. It is also used to make certain electrical filaments, as well as missile and aircraft parts.

An...