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General mining & base metals

Asiamet Resources eyeing completed feasibility study for BKM in early 2018

The resource estimate significantly upgraded the contained copper in the higher confidence measured and indicated categories

Asiamet Resources Limited (LON:ARS) expects to complete a feasibility study for its Beruang Kanan Main zone (BKM) in Kalimantan, Indonesia early next year, with a development decision thereafter, it told investors in its latest half year report.

As filed last month, the resource estimate significantly upgraded the contained copper in the higher confidence measured and indicated resources - increasing them by 207% versus the 2015 report.

The deposit is estimated to contain M&I resources of 49.2mln tonnes at 0.70% copper, equating to containing 711.3 mln pounds or 322,600 tonnes of copper at a 0.2% copper cut-off grade.

READ: Asiamet confirms resource base at Beruang Kanan Main

There are now plans for ongoing engineering and metallurgical studies and further optimisation of the BKM PEA open pit design.

The period also saw the group find additional high-grade polymetallic potential around 1km north of the BKM copper deposit at the BKZ prospect and also to the immediate south of BKM.

In the six months to end June, Asiamet posted a net loss of US$2.014mln against a loss of US$808,000 a year earlier - the increase mainly relating to ongoing feasibility work at BKM and exploration and advancing the mining license at the Beutong project to production from exploration.

READ: Asiamet Resources shares up as JPMorgan Asset management to become cornerstone investor after £6mln placing

Asiamet had US$137,445 of cash at the end of June but subsequently raised £6mln(US$7.7mln) via a share placing, in which JP Morgan Asset Management participated and became a new significant shareholder.

"Against a background of increasingly stronger underlying commodity prices and with new investment from globally recognised institutional investors and our highly supportive shareholder base post-period end, Asiamet is strongly positioned to deliver further significant value uplift from its portfolio of exciting copper, gold and polymetallic assets," said Asiamet's executive chairman Toni Manini.

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