IRL holds a strategic 15% shareholding in Pebble Creek Mining Limited (TSX-V: PEB), which owns 100% of the Askot Project through a subsidiary Adi Gold Mining Pvt Ltd. 

Pebble Creek is a Canadian-based minerals exploration company listed on the TSX Venture Exchange (TSX-V: PEB) with its primary project, the Askot base metal project, located in the Uttarakhand state, northern India. Further information on Pebble Creek is available at www.pebcreek.com.

The Askot project lies on a granted Prospecting Licence, and the Mining Lease application has been approved by State and Central Governments.  The Mining plan has also been approved and environmental clearance given.   

Geology and Resources

The Askot project is a polymetallic volcanogenic massive sulphide (VMS) deposit containing 5 metals of economic significance: gold, silver, copper, lead and zinc.  The full extent of the mineralised system has not been defined and there is further anomalism over a wide area.  The lens discovered to date has been defined for 800m and is open along strike and down dip.  Geochemical anomalies extend for 3000m along strike. 

 

In August 2008, SRK Consulting, the worldwide geology and engineering consultancy, estimated an NI43-101 (and JORC) compatible resource for the Askot Project of 2.0 million tonnes at 2.6% Cu, 5.7% Zn, 3.7% Pb, 0.5 g/t Au and 37 g/t Ag at a net smelter revenue cut off of $US100 per tonne.  This included 1.86 million tonnes in the Indicated category with 0.15 million tonnes in the Inferred category. The cut off grade estimation contained assumptions on metal recovery from metallurgical tests and conservative long term metal prices:

 

NSR Calculation Assumptions  

Metal	Metallurgical recovery	Metal price (US$)
Copper	85%	$2.00   pound
Lead	78%	$0.65   pound
Zinc	77%	$0.90   pound
Silver	60%	$15.00 ounce
Gold	60%	$900    ounce

The average grade of the resource, in terms of NSR is $US250 per tonne of ore, or in terms of “copper equivalent”, using the recoveries and prices above - 6.6% Cu.  Full details of the resource can be found in announcements by Pebble Creek.