AN extensive round of drilling at Asiamet Resources’ Beruang Kanan Main (BKM) copper deposit in Central Kalimantan has enabled the company formerly known as Kalimantan Gold to announce a 43% increase in total contained copper. The deposit, which forms part of the KSK Copper-Gold Project, now contains 887 million pounds or 402,000 tonnes of copper.
The updated resource includes a large increase of 231 million pounds, or 105,000 tonnes, in the higher confidence indicated category. There has also been 35 million pounds, of 18,000 tonnes, added in the inferred category. There is now 26% of the total resource in the indicated category.
Asiamet CEO Tony Manini says, “Asiamet is very pleased with the updated mineral resource estimate. The positive attributes of the BKM deposit delineated by the 2015 drilling program are clearly highlighted in this 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.”
Drilling has delineated two near-surface high-grade zones that could act as low cost starter pits with enhanced economics. 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 BKM preliminary economic assessment (PEA).
The PEA is expected to be published in the current quarter and will provide Asiamet with some guide to the economics of a low-cost mining operation at BKM.
“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.”
Since announcing the new resource Asiamet has received highly encouraging drill results from a potential satellite deposit. They are from Beruang Kanan South (BKS) prospect, which is around 1km from the BKM deposit.
One hole yielded 10 metres at 2.52% copper from less than 20 metres below surface and within this was a two-metre section grading 7.45%. Grades across the other four holes drilled, which were fairly widely spaced, ranged from between 0.67% at the low end to 3.83% at the upper end. They were found over thicknesses of one to 3.5 metres and occurred at between 7.5 metres and 58.5 metres below surface.