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General mining & base metals

Asiamet Resources expects results from BKM drilling program “shortly”

The exploration firm said the drilling was poised to be expedited through the sourcing of two additional drill rigs from an external contractor which were due to begin drilling shortly

Asiamet Resources Limited (LON:ARS) has said it expects initial results “shortly” from a 4,500 metre drilling program at its flagship Beruang Kanan Main (BKM) Copper project in Indonesia.

The exploration firm said the drilling, which is aiming to optimise mine design and improve the robustness of a bankable feasibility study (BFS) for the project, was poised to be expedited through the sourcing of two additional drill rigs from an external contractor which were due to begin drilling shortly.

READ: Asiamet Resources raises US$3.3mln in placing to fund feasibility study at BKM project

Asiamet added that it had also held a number of meetings in early December with several potential strategic investors and partners in Jakarta, adding that interest in its asset portfolio “remains high and several groups have signed confidentiality agreements and are actively engaged in technical due diligence”.

Peter Bird, Asiamet's chief executive, said that despite “general poor market sentiment for exploration and development companies at present”, the company thought its portfolio was “significantly undervalued” and that it was focused on the economic robustness of the BFS at a time of “compelling near term supply-demand fundamentals for copper”.

“This additional piece of study work is expected to significantly enhance the robustness of the BKM copper project and positively impact outcomes from both a project financing and strategic partnering perspective”.

At the end of November, Asiamet raised US$3.3mln (£2.6mln) in an oversubscribed share placing to fund the BFS at BKN.

In early trading Tuesday, Asiamet shares were steady around 3.9p.

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