Copper explorer Asiamet Resources PLC (LON:ARS) expects proposed upgrades to bridges and roads in Central Kalimantan in Indonesia to take a chunk out of transport costs at its BKM project.
A revised feasibility study was completed at BKM in June but the proposed infrastructure developments now allow the possibility of using the port at Bagendang (Sampit).
The original feasibility study used the port at Banjarmasin but the new port option would allow faster transport times both in and out of the mine and shorter distances with 280km less travelling per round trip.
That would lead to savings of several millions of dollars over the mine life.
Peter Bird, chief executive, said Asiamet is continuing to refine the costs of BKM and that the associated reduction in operating costs over the life of mine by using an alternative port was an excellent example of the value expected to be delivered from this process.
“The delivery of a robust feasibility study and the opportunity for further significant upside through value engineering and exploration has increased awareness of the BKM project amongst a number of strategic investors and potential partners with whom discussions are continuing."