Asiamet Resources Ltd., (LSE: ARS), a miner based in Bermuda Island ready to build copper project in Central Kalimantan after get approval from Investment Coordinating Board, it said today (04/28) - Photo by the Company

JAKARTA (TheInsiderStories) Asiamet Resources Ltd., (LSE: ARS), a miner based in Bermuda Island, ready to build copper project in Central Kalimantan after get approval from Investment Coordinating Board, it said today (04/28). The exploration permit allows the company to undertake further exploration activity on its key target areas over the next two years.

Earlier, the miner has get permit from ministry of energy and mineral Resources and the environment and forestry ministry to run the project. The company’ contract of work (CoW) was granted on April 28, 1997 as a sixth generation of agreement. 

The executive chairman, Tony Manini commented, the receipt of the exploration permit, coupled with recent financing and the ongoing process underway with Aeturnum Energy, are all important steps that will enable Asiamet to continue a number of significant opportunities at the copper asset in the Asian region.

Based on exploration update announced on Nov. 26, 2019, the miner build the project through its Indonesian operation, PT Kalimantan Surya Kencana. The amendment of the contract allows the company to move with the development and financing of its Beruang Kanan Main (BKM) project.

The company has been working closely with the Indonesian government to align the CoW with the mining law introduced in 2009. The key amendments are an initial contract term of 30 years and has extending option for two additional 10-year periods under the Special Mining Business Permit system.

The unit will retain 40,000 hectares under the CoW, royalty and corporate income taxes shall be subject to the prevailing laws, net smelter return royalties for copper will be 4 percent (previously US$45 a ton), gold 3.75 percent (previously $225 per kilogram) and silver 3.25 percent from $1.9 a kilo.

The BKM feasibility study delivered a robust copper project with post-tax net present values of $124.8 million, life of mine revenue of $1.27 billion and EBITDA of $563.3 million.

Last year, Asiamet has raised GBP1.75 million ($2.18 million) through a placing of shares at 3.5 pounds each. The proceeds will be used to fund a number of the initiatives outlined in the recently completed BKM feasibility study and Beutong projects.

US$1: GBP0.80

Written by Staff Editor, Email: theinsiderstories@gmail.com