What Asiamet Resources does:
Asiamet Resources Limited (LON:ARS) is an AIM-listed mine developer. It owns large copper-gold and polymetallic deposits on the Indonesian islands of Kalimantan and Sumatra. The deposits are adjacent to the key growth markets in Asia.
The group’s ‘flagship’ Beruang Kanan Main (BKM) copper project is northwest of Palangkaraya, the regional capital of Central Kalimantan, and is part of the Kalimantan Surya Kencana (KSK) district projects, which are 100%-owned by the company.
The Beruang Kanan Zinc (BKZ) polymetallic project is within the south-eastern area of the KSK, less than 800 metres north of the BKM copper project.
The wider KSK district also incorporates a number of targets in addition to BKM and BKZ, including the BK South (BKS) and BK West (BKW) copper prospects, and the Baroi polymetallic system prospect.
On Sumatra, the Beutong Project - in which Asiamet has an 80% equity interest –comprises the Beutong East Porphyry (BEP), Beutong West Porphyry (BWP) and the Beutong Skarn (BSK).
In January 2020 Asiamet said it plans to relocate its corporate head office function to Jakarta, Indonesia from Melbourne, Australia.
How’s it doing?
At the end of 2019, Asiamet said BKM boasted an ore reserve of 21.1mln tonnes grading 0.6% copper in the proven category, and 30.4mln tonnes grading 0.5% copper in the probable category.
A subsequent feasibility study highlighted the operating parameters of a potential mine at BKM, including an initial nine year production run producing 25,000 tonnes of copper cathode per year, to generate revenue of US$1.27bn.
The company is also currently working up four strategic targets in close proximity to the BKM copper project to further add life through satellite discoveries.
Both of Asiamet’s licences are in full compliance and in good standing. On 15 May 2020 the company received a key approval from the government for the BKM project, following on from the granting of an exploration permit late in April.
At Beutong, the strategy remains to test the deeper targets and the higher grade copper-gold zones of the porphyry system.
In March, Aeturnum Energy Pte, a Singapore-based trading group took a 19.9% stake in the company. In May Aeternum completed its due diligence and entered into negotiations with Asiament in regard to a full or a partial acquisition of the KSK contract of work.
Asiamet is continuing to look at ways to fund potential development and construction work.