Following an extensive round of drilling at the Beruang Kanan Main (BKM) copper deposit in Indonesia, Asiamet Resources announces that total contained copper has increased by 43% to 887 million pounds, or 402,000 tonnes.
Asiamet, formerly known as Kalimantan Gold, says the updated mineral resource includes a higher confidence indicated resource of 15 million tonnes of copper at a 0.7% cut-off, for the equivalent of 231 million pounds.
The resource confidence has been significantly upgraded with 26% now in the indicated category. Asiamet says the updated resource takes BKM another step along the value chain. CEO Tony Manini says, “Asiamet is very pleased with the updated mineral resource estimate for the BKM deposit. The positive attributes of the deposit delineated by the 2015 drilling program are clearly highlighted in this new estimate.
“The mineral resource inventory has significantly increased in size; resource confidence has been substantially upgraded; and discrete zones of shallow higher grade mineralization have been identified and delineated.”
Asiamet believes there is a substantial inventory of further copper at a 0.5% cut-off grade that provides a solid basis for mining studies being carried out as part of the preliminary economic assessment (PEA) of BKM, which forms part of its KSK Copper Project in Central Kalimantan.
The latest round of drilling has also identified two near-surface high-grade zones that could act as low cost starter pits with enhanced economics.
The PEA is expected to be published in the first quarter of 2016 and will provide Asiamet with some guide to the economics of a low cost mining operation on the BKM site.
“The focus of our work programs now moves to the key mining studies, detailed copper heap leach test work and the various inputs into the PEA,” Tony Manini says.
“Excellent progress has been made to achieve this important milestone on time and budget and our focus now moves to completing the PEA.
“This is an exciting time for Asiamet and we look forward to providing stakeholders with a strong news flow over the coming months as the various parts of the PEA are completed and reported.”