The boss of Asiamet Resources PLC (LON:ARS) has praised the AIM-listed explorer’s “strong first half” performance as it edges closer to delivering a bankable feasibility study for its BKM copper project in Indonesia.
The report is due to be delivered within the next few days before the project -the most advanced in Asiamet’s portfolio- goes into development in the second half of 2019.
READ: Arden praises Asiamet’s “world class” Beutong copper asset
“The company continued to make significant progress with the feasibility study for the BKM project,” said chief executive Peter Bird.
“This study has been the primary focus for much of the current half year with a number of peer reviews completed together with initial optimisation work for key technical areas including the open pit and the heap leach.”
The plan is to use the cash flows generated from BKM to fund the development of BKZ.
Asiamet reckons further drilling will demonstrate the extent of the system and increase the metal content at BKZ, which it believes could be part of a suite of porphyries.
Only after developing BKZ will Beutong, Asiamet’s ‘star asset’ and about six times the size of BKM, become the main focus for the company.
WATCH: Copper grades at BKM ‘off the chart’
Asiamet recorded a net loss of US$6.2mln (H1 17: US$2.0mln) for the six months ended June 30 2018, reflecting increased exploration costs.
Thanks to a US$10mln fundraise back in March, the company, which carries no debt on the balance sheet, ended the period with cash resources of US$4.0mln (31 Dec 17: US$3.1mln).
Asiamet shares were broadly flat at 9.9p on Tuesday afternoon.