Last checked at 29 Nov 2013 07:00
Kalimantan’s Third Quarter Results 2013
The unaudited Interim Consolidated Financial Statements and the management discussion and analysis (the “MD&A”) of Kalimantan Gold Corporation Limited (the “Company”) for the third quarter ended September 30, 2013, are available for viewing on www.sedar.com or www.kalimantan.com.
The Company incurred a comprehensive loss for the nine months ended September 30, 2013, of $131,579 (2012 – loss of $172,959). The expenditures in the nine-month period were mitigated by the $548,710 of management fees earned in the same period that relate to the Company being the operator of the KSK Agreement, and are directly correlated with the magnitude of the gross exploration expenditures funded by our joint venture partner and our continuance as operator.
The Company began the current fiscal quarter with $1,425,213 in cash. Operating activities used $283,053 in cash, used $35,561 to purchase equipment, received $361 as recovery of equipment purchases, and recorded $373 of unrealized foreign exchange loss on cash balances, to end the quarter with $1,069,736 in cash, of which $367,776 is held exclusively for use pursuant to the KSK Agreement.
The highlights of the third quarter and up to November 28, 2013, include:
The significant drilling and exploration program at the KSK CoW of up to $16,200,000 for 2013 is nearly complete. The 2013 activity has focused on five main areas: surface mapping; remote sensing; drilling; assaying and data compilation and modeling. The entire target areas are identified on the map included in the MD&A.
On August 22, 2013, Kalimantan Gold announced the latest drill and assay results from holes drilled at the Beruang Kanan, Mamuring, Low Zone and Bukit Dea projects located on the KSK CoW. The airborne magnetic and gravity gradiometer survey was completed in November. The results of this survey have assisted in developing a better understanding of the correlation between gravity, magnetics and mineralization. At Beruang Kanan, a moderate gravity high response is present over the known mineralized zone. This response extends to the south of the two most recent drill holes, BK57 and BK58, which both intersected significant mineralization. This moderate gravity high also extends to Beruang Kanan West which will be subject to drilling next year. Several new geophysical targets have also been identified within the COW.
Following two months of data compilation and project reviews, field work has recommenced at Mansur, Tumbang Huoi and Baroi in order to follow up and finalize drill targets for next year’s proposed drilling programs. Field teams will be deployed on the large and yet to be explored North Mansur circular magnetic anomaly and Tisoi, a well-defined magnetic anomaly where gold and magnetite are reported in the drainages.
Looking ahead, the 3D inversion modeling of airborne gravity and magnetic data is expected to assist in defining the Beruang Kanan volcanic-hosted massive sulphide (“VHMS”) system and, combined with recent drilling results, will help the Company refine and focus the future drilling program planned for early 2014.
During this period leading up to drilling in 2014, field mapping and sampling programs will continue at Mansur, Baroi and Tumbang Huoi prospects, and the geology team will also focus on compilation and evaluation of the enormous amount of data collected over the past 15 months. In addition, a Resistivity / Induced Polarization survey (using a down-hole radial electrode array) will be conducted in several of the deep holes at Beruang Kanan and Beruang Tengah.
SK LLC funded $5,852,152 of exploration expenditures on the KSK CoW in the three months ended September 30, 2013.
The Qualified Person responsible for the technical content and verification in this news release is Dr. Peter Pollard, a consultant to the Company and the Company's Qualified Person.
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For further information please contact:
Faldi Ismail Deputy Chairman and CEO, Kalimantan GoldMobile: +61 (0) 423 206 324Email: faldi.ismail@kalimantan.com
Gerald Cheyne Director Corporate DevelopmentTelephone: +44 (0) 2077311806Mobile: +44 (0) 7717473168Email: gerald.cheyne@kalimantan.com
VSA Capital Limited Katrina Damouni / Peter DamouniTelephone: +44 20 3005 5005 / +44 20 3005 5007Email: pdamouni@vsacapital.com
KLG's Nominated Adviser RFC Ambrian LimitedStuart LaingTelephone: +61 8 9480 2506Email: stuart.laing@rfcambrian.com
About Kalimantan Gold
Kalimantan Gold Corporation Limited is a junior exploration company listed on both the TSX Venture Exchange in Canada and on AIM in London. The Company has two exploration projects in Kalimantan: the Jelai epithermal gold project in East Kalimantan (which is optioned to Tigers Realm Minerals) and the KSK Contract of Work in Central Kalimantan with multiple porphyry copper and gold prospects (which is optioned to a wholly owned subsidiary of Freeport-McMoRan Exploration Corporation). For further information please visit www.kalimantan.com
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking statements that are based on the Company’s current expectations and estimates. Forward-looking statements are frequently characterized by words such as “plan”, “expect”, “project”, “intend”, “believe”, “anticipate”, “estimate”, “suggest”, “indicate” and other similar words or statements that certain events or conditions “may” or “will” occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
Copyright Business Wire 2013