Asiamet Resources Ltd (AIM:ARS, OTC:KMGLF) said it is making significant progress in arranging the finance required for its BKM copper mine development in Central Kalimantan, Indonesia.
Senior bank debt and offtake finance engagements, which represent potentially large components of the proposed BKM mine development capital structure, are progressing well.
Two separate due diligence visits to the BKM project site were also completed by a potential lead bank and technical expert over the past three weeks, Asiamet said in a statement.
Several leading international metals trading groups are undertaking detailed due diligence for copper cathode offtakes, while Chinese engineering, procurement and construction (EPC) contractors are also showing increased interest, it added.
Darryn McClelland, chief executive, said: “Visits to the company's drill core storage facility, which houses all drill core from across the entire KSK contract of work, enhanced the project's credibility and provided an opportunity to demonstrate the considerable upside potential of KSK.
“A key outcome of the site visits was the establishment of the financiers' expectations for engagement of project execution contractors.”