A Cessna 208B airplane, N169LJ, sustained substantial damage during a forced landing shortly after takeoff from the Mekoryuk Airport, Alaska. Of the nine people aboard, the two pilots and six passengers were not injured, and one passenger sustained minor injuries. The airplane was being operated as Era Alaska Flight 140 to Bethel, Alaska. The pilot-in-command (PIC) stated that the second-in-command (SIC) was the flying pilot for the flight to Bethel. He said that the takeoff and initial climb were normal, but shortly after passing 1,000 feet, the engine “coughed,” started vibrating, and lost power. An attempt to restart the engine was not successful. The PIC assumed control of the airplane, and landed on a frozen bay approximately 5 miles northeast of the Mekoryuk Airport. Witnesses at the airport observed the airplane descending, and responded with snow machines, and all-terrain vehicles to transport the airplane’s occupants back to Mekoryuk. During the forced landing the airplane sustained substantial damage to the fuselage and right wing. A postaccident engine examination, performed at the facilities of Pratt & Whitney Canada, St. Hubert, Quebec, Canada, and under the direction of a senior NTSB powerplants investigator, revealed that a blade on the first stage compressor rotor failed as a result of a fatigue fracture. The fatigue crack initiated from the leading edge area and then propagated towards the trailing edge, and at mid-chord, the blade released by tensile overload. The initiation of the fracture could not be determined because of secondary damage to the fracture surface. PROBABLE CAUSE: “The total loss of engine power as a result of a fractured first-stage compressor blade due to fatigue cracking. The source of the fatigue crack could not be determined due to secondary damage sustained to the fracture surface”