Kalimantan Gold has been granted more time to explore its Jelai Gold Project in northeast Kalimantan. The company has also revealed it is in talks with a number of major mineral companies regarding a potential joint venture or similar for the project.
The relevant ministry has granted subsidiary PT Jelai Cahaya Minerals an extension to its borrow-and-use exploration forestry permit (IPPKH) to December 16 next year, the company said in a statement. It covers all existing permitted areas, namely the Mewet and 10 other of the 12 Jelai gold prospects, which total 4675 hectares of the 5000 hectares.
Kalimantan Gold also plans to issue an update in the near future on its KSK Copper Project, also in Kalimantan. It says it remains “confident on attracting a credible partner”.
In January it announced the joint venture had ended after mining giant Freeport-McMoran withdrew from KSK. The junior company regained 100% of the KSK CoW as of January 31, having struck the alliance in April 2011.
It stressed that Freeport’s decision to cease sole funding was “not based on the geological prospectivity of the project”, which it believes to be significant.
The company said it would make contact with a number of Indonesian groups that expressed an interest in the project last year to discuss possible partnerships.