Baru Gold Corp. (TSX-V:BARU) has announced the receipt of official correspondence from the Director of Engineering and Environment at the Ministry of Energy and Mineral Resources of the Republic of Indonesia (MEMR), affirming the company’s legal status to operate and produce gold on Sangihe Island while also officially requesting police cooperate with Baru Gold and stop all illegal mining.
The junior gold company said the official letter satisfies a due diligence prerequisite for a prospective institutional investor and an administrative process for the police.
“Securing the previously announced financing is progressing well and the company is looking forward to entering into production,” Baru Gold CEO Terry Filbert said in a statement.
“Not only does the letter validate the hard work of our team in Indonesia but it also satisfies a prerequisite for the financing that will fund the company into production,” he added.
Baru Gold also noted the letter states that the company’s license (number 163.K/MB.04/DJB/2021) for the Sangihe gold project is active and valid.
A challenge had been previously filed in an Administrative Court and against the MEMR, which the company called the ‘Jakarta Lawsuit’, challenging only the Minister of MEMR’s decree to approve upgrading the Stage of Activity to Production Operation status.
Baru Gold added that the MEMR has determined, and in the official letter reaffirmed, that the company’s current Stage of Activity is Production Operation status.
Thus, as the Jakarta Lawsuit had reached the Supreme Court there cannot be additional lawsuits on the matter, according to the company.
Baru Gold is a junior gold project developer with NI 43-101 gold resources in Indonesia, one of the top 10 gold-producing countries in the world.
Contact Sean at sean@proactiveinvestors.com