An Overview of Cu-Ni Deposits in Minnesota: A Geological Perspective Jim Miller Department of Geological Sciences Precambrian Research Center University of Minnesota Duluth LAKE SUPERIOR BINATIONAL FORUM March 25, 2013 Virginia, MN Outline • Why are these deposits here? • History of exploration • Why “sulfide” mining? • What are the uses of Cu, Ni, and Pd and where else can they be found • Why these ores will be mined, someday A Looming Stewardship Question for Minnesotans: When should we develop this immense copper-nickelprecious metal mineral resource? _______________ THE MIDCONTINENT RIFT _______________ An attempt at continental rifting 1.1 billion years ago A. Rift Magmatism Basalt Flows Gabbro Crust Mantle Tectonic and Magmatic Evolution of the Midcontinent Rift 1,109-1,086 Ma Mantle Plume B. Sediment Infilling Sandstone 1,090-900 Ma C. Compression 1,000-900 Ma Midcontinent Rift Exposure in the Lake Superior Region Duluth Complex South Kawishiwi Intrusion Partridge River Intrusion Sequential Emplacement of Duluth Complex Intrusions Sulfur Contamination creating the Cu-Ni-PGE Sulfide Deposits of the Duluth Complex S Cu S Ni Co Pd + Pt + Au State land opens for mineral leasing Active exploration drilling Polymet, Teck, Franconia, Wallbridge (Duluth Metals) Cu-Ni sulfide discovered at Spruce Rd Cu-Ni Regional Study State land closed to new mineral leasing Bear Creek drills Babbitt INCO drills Maturi LTV shuts down PGE discovered 8,000 Current $ - 7,060 Cu Prices 1948-2006 7,000 $/ton 6,000 5,000 4,000 3,000 2,000 1,000 2006 2004 2002 2000 1998 1996 1994 1992 1990 1988 1986 1984 1982 1980 1978 1976 1974 1972 1970 1968 1966 1964 1962 1960 1958 1956 1954 1952 1950 1948 0 The Current Situation Current Exploration Activity Polymet – Northmet Teck American – Mesaba Twin Metals MN – Nokomis, Maturi, Dunka Pit, Birch Lake, Spruce Rd Encampment– South Filson Cr. Mineralogy of Magmatic Cu-Ni Sulfide Deposits Sulfide Minerals Pyrrohotite – FeS1-x Chalcopyrite - CuFeS2 Pentlandite - (Fe,Ni)9S8 Bornite - Cu5FeS4 Chalcocite - Cu2S Cobaltite – CoAsS Pt Group Minerals – Pt, Pd, Au, Bi, Te, As, ... Silicate/Oxide Minerals Olivine - (Mg,Fe)2SiO4 Plagioclase – (Ca,Na)(Al,Si)4O8 Augite – Ca(Mg,Fe)Si2O6 Titano-magnetite – (Fe,Ti)3O4 The Environmental Challenge Preventing Acid Rock Drainage (ARD) 2FeS2(s) + 7O2(g) + 2H2O(l) → 2Fe2+(aq) + 4SO42-(aq) + 4H+(aq) Why Sulfide Mining? Most of the world’s metals comes from sulfide minerals Chalcopyrite CuFeS2 Bornite Cu5FeS4 Chalcocite Cu2S Pentlandite (Fe,Ni)9S8 Cinnabar HgS Sphalerite ZnS Molybdenite MoS2 Galena PbS Cobaltite CoAsS Separating Metal from Sulfur THEN Roasting/Smelting NOW Hydrometallurgy Sudbury, Ont. Monchegorsk, Russia United States – The #1 consumer of mineral resources, that produces little for itself Metal % Mined by US vs. Total Mining % Imported for US consumption Copper 6.9% (Chile (41%), Canada (33%)) 30% Nickel 0% 43% (Canada (44%), Russia, Australia, Norway) Cobalt 0% 81% (Norway, Russia, China, Canada) Palladium 5.9% 58% (Russia (44%), South Africa (37%)) 2010 Domestic Cu Use 2010 Sources of Mined Cu Chile Peru Building Construction 10% 12% 9% Electrical/Electronics 49% 3% 5% 3% 16% 34% Consumer Products Industrial Machinery 35% from Recycled Cu US (AZ,UT,NV,NM,MT) Russia and Kazakhstan Transportation 20% China Australia 5% 7% 7% 7% 8% 6% Data from USGS Mineral Commodity Summaries Indonesia Zambia Canada Poland Rest of World COPPER An Important Metal in a Green Economy NW Mining Association, 2009 Cu in a Standard Car with Combustion Engine 43-55 lbs Cu in a Prius 80 lbs PGE – Platinum Group Elements Pt – Platinum, Pd – Palladium, Os – Osmium, Ru – Ruthenium, Rh – Rhodium, Ir - Iridium Bushveld Complex South Africa Supplying the 70% of the World’s Platinum Merensky Reef, Amplats Mine, Rustenburg, SA Merensky Reef, Eastern Bushveld Complex Palladium: Pd Uses “The Environmental Metal” Stillwater Mine (Montana) Only Precious Metals Mine in the U.S. (owned by Noril’sk Nickel) Noril’sk, Russia Cu-Ni-PGE Deposits Supplies 45-60% of the World’s Palladium Sulfide Smelters in Russia In 1998, responsible for ~half of SO2 in the northern hemisphere World Class Ores of the Duluth Complex Compared to other Magmatic Sulfide Deposits, the Duluth Complex is: #1 or 2 in contained Copper #4 in contained PGE #3 in contained Nickel Only the Bushveld, Great Dyke, and Noril’sk contain more PGE From Peterson, 2010 World Scale of the Maturi Deposit Nokomis Maturi Maturi Maturi From Peterson, 2010 and DM press release 12/2012 The Largest UNDEVELOPED Cu-Ni Deposit on Earth Duluth deposits are perceived as low grade. But compared to the source of most of the world’s copper - Porphyry Copper Deposits... …the Duluth Complex ores are HIGHER GRADE with MORE CONTAINED METAL than nearly all porphyry systems. The largest copper ore deposits in the USA are on this diagram, and the Duluth Complex ores are much larger then all of them. From Peterson, 2010 CONCLUSION: The base and precious metal deposits of the Duluth Complex are a World Class Resource that will be mined …. SOMEDAY Stewardship question - If not now, when?