Last checked at 5 Nov 2014 07:00
Kalimantan Gold Corporation Limited ("KLG” or the "Company") has filed a NI 43-101 compliant technical report supporting the independently estimated maiden resource for the Main Zone of the Beruang Kanan (“BKM”) prospect within the Company’s 100% held KSK Contract of Work project, in Kalimantan, Indonesia as announced on September 26, 2014.
As announced on September 26, 2014, the highlights of the estimate are:
Inferred Resource of 47 million tonnes averaging 0.6% Cu or 621,700,000 pounds of copper (reporting cut 0.2% Cu). Mineral Resource estimate is only for the Main Zone, a portion of the Beruang Kanan mineralized area and is based on assays from 74 diamond drill core holes that were drilled from 1998 to 2007 and then from 2012 to 2013. The Mineral Resource is contained within a near-surface, shallow-dipping and strongly mineralized system, that extends over an area of 1000m (N-S) and 950m (E-W) with depth extents ranging from surface to between 100m and 450m (amended from 350m noted in September 26, 2014 announcement) below surface (top to bottom). The mineralization remains open in several directions. Other priority targets in the BKM project area have been identified at Beruang Kanan South, Beruang Kanan West, Beruang Kanan Polymetallic North, Beruang Kanan Polymetallic South and the Low Zone prospects; each within 1.5km of the BKM Inferred Mineral Resource.The report is titled “Beruang Kanan Main Zone, Kalimantan Indonesia: 2014 Resource Estimate Report”, prepared by Duncan Hackman of Hackman and Associates Pty. Ltd. with an effective date of September 30, 2014.
KSK Contract of Work
The holder of the KSK Contract of Work is PT Kalimantan Surya Kencana (“KSK”). The Company holds 100% of the shares of Indokal Limited (“Indokal”). KSK is owned 75% by Indokal and 25% by PT Pancaran Cahaya Kahayan (“PCK”). Indokal owns 100% of PCK.
The Company is in discussions with the Government of Indonesia to amend the KSK Contract of Work (“CoW”). The six points being discussed include, 1) royalties, 2) size of the CoW in Exploration vs. Production, 3) domestic processing, 4) divestment obligations, 5) State Revenues and 6) prioritize the use of local manpower and local products. Continued progress is being made and we are encouraged by our discussions with the Indonesian Government.
As noted, the Beruang Kanan prospect is located within the KSK Contract of Work.
Qualified Person
Duncan Hackman (B. App.Sc., MSc., MAIG) of Hackman & Associates Pty Ltd (Australia) is the independent Qualified Person within the meaning of NI 43-101 for the purposes of Mineral Resource estimates contained within this press release. Information disclosed in this press release has been reviewed and verified by KLG’s qualified person, Stephen Hughes, P. Geo. a director of KLG and a Qualified Person within the meaning of NI 43-101.
ON BEHALF OF THE BOARD OF DIRECTORS
For further information please contact:
Faldi IsmailDeputy Chairman and CEO, Kalimantan GoldMobile: +61 (0) 423 206 324Email: faldi.ismail@kalimantan.com
Gerald CheyneDirector Corporate DevelopmentTelephone: +44 (0) 2077311806Mobile: +44 (0) 7717473168Email: gerald.cheyne@kalimantan.com
VSA Capital LimitedAndrew Raca / Justin McKeeganTelephone: +44 20 3005 5004 / +44 20 3005 5009Email: araca@vsacapital.com
Kalimantan Gold's Nominated AdviserRFC Ambrian LimitedAndrew Thomson / Trinity McIntyreTelephone: +61 8 9480 2500Email: andrew.thomson@rfcambrian.com / trinity.mcintyre@rfcambrian.com
About Kalimantan Gold Corporation Limited
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, Indonesia: the Jelai epithermal gold project in East Kalimantan and the KSK Contract of Work in Central Kalimantan with potential for multiple porphyry copper and gold prospects. 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 2014