Asiamet Resources Ltd (AIM:ARS) has hailed as a ‘major milestone’ a powerline route survey and site visit to the BKM Copper Project by the Indonesian State Electricity Company, also known as PLN.
It said there was a ‘high level of support’ for the development of a transmission line into the Central Kalimantan site, particularly given the fact the province is in a power surplus.
The current plan would see BKM linked to a substation 80 kilometres away at Kuala Kurun.
Connection to the grid would ‘significantly improve’ the project economics, Asiamet pointed out, negating the need for fuel-thirsty ‘gensets’.
At the same time it would reduce the long-haul transportation of fuel, and, depending on the route into BKM, could provide grid power to local communities.
The company said the results of the work will be incorporated in the company’s 2022 feasibility study update.
In a statement, Asiamet chief executive Darryn McClelland said: “The company will continue to work closely with all parties to deliver a solution for reliable, low-cost power for BKM Copper.
“Ongoing work to enable this solution is being advanced jointly with PLN and others and we will continue to provide regular updates on these activities.
“It is expected work on the power supply will be advanced to the required degree of confidence for inclusion in the FS [feasibility study] update with ongoing requirements taken through into the detailed design phase of the project.”