Asiamet drilling highlights continuity of copper mineralization at the BK044 Zone

By Romel S. Gurky

Asiamet Resources Limited said Friday that Resource infill and extension drilling being completed as part of feasibility studies on the Beruang Kanan Main (BKM) copper deposit in Indonesia?s Central Kalimantan Province continues to substantially de-risk the Resource which underpins the project.

The company said in a statement that a total 93 holes for 9050 meters of diamond core drilling have now been completed and three holes are currently in progress. The results from nine holes are reported below. All nine holes were drilled in the northern part of the BKM deposit. A further 25 holes/1950 meters are planned and an updated Resource estimate incorporating all of the 2016-2017 drilling will be prepared for release shortly thereafter.

Better results from the most recent drilling include:

BKM32565-01 93.0 meters at 0.72% Cu (from 8.5 meters)
? Including 7.0 meters at 1.03% Cu (from 12.5 meters)
? Including 12.0 meters at 1.57% Cu (from 41.5 meters)
? Including 13.0 meters at 1.18% Cu (from 60.5 meters)
? Including 4.0 meters at 1.27% Cu (from 92.5 meters)

BKM32660-01 67.0 meters at 0.63% Cu (from 20.0 meters)
? Including 20.0 meters at 1.12% Cu (from 62.0 meters)

BKM32650-04 47.0 meters at 0.68% Cu (from 77.0 meters)
? Including 2.0 meters at 1.11% Cu (from 93.0 meters)
? Including 2.0 meters at 1.03% Cu (from 98.0 meters)
? Including 7.0 meters at 1.59% Cu (from 103.0 meters)
? Including 3.0 meters at 1.37% Cu (from 112.0 meters)

BKM32090-01 58.1 meters at 0.48% Cu (from 3.0 meters)
? Including 4.0 meters at 1.04% Cu (from 21.5 meters)

BKM32065-01 75.0 meters at 0.43% Cu (from 0.0 meters)
? Including 4.0 meters at 0.75% Cu (from 13.0 meters)
? Including 4.0 meters at 0.84% Cu (from 28.0 meters)
? Including 2.0 meters at 1.12% Cu (from 39.0 meters)

Resource infill hole BKM32050-04 (78.0m End of Hole 'EOH') was drilled west of BKM32050-03 (no significant assays) and south of the BK044 Zone. The hole confirmed a zone of near surface low to moderate grade chalcocite mineralization hosted in quartz stockwork and pyrite veins. Infill hole BKM32065-01 drilled off section to line BKM32050 (75.0m EOH) intersected a broad zone of shallow moderate to high grade copper mineralization, located south of the BK044 Zone.

Resource infill hole BKM32090-01 (97.0m EOH) drilled approximately 50m east of BKM32100-02 (92.3m EOH), confirmed the continuity of moderate to locally high grade copper mineralization further eastward. BKM32090-01 intersected chalcocite - covellite copper mineralization from near surface hosted in quartz-pyrite veins. Infill hole BKM32100-03 (98.4m EOH) drilled approximately 50m east of BKM32090-01 intersected moderate grade chalcocite-covellite mineralization of similar style. Both holes were drilled south of the BK044 Zone.

BKM32565-01 (109.4m EOH), drilled as a quality control twin hole to BK-3 (240.4m EOH; 79m @ 0.89% Cu, including 22m @ 1.25% Cu and 39m @ 0.99% Cu) successfully confirmed a broad zone of moderate and high grade copper mineralization as seen in BK03.

Infill hole BKM32660-01 (128m EOH) drilled at the northern area of BK044 Zone intersected moderate to strong chalcocite-covellite mineralization was just below the zone of oxidation, with individual samples (1-metre intervals) returning up to 3.31% copper in a broad zone of high grade mineralization. Infill hole BKM32650-03 (110m EOH) drilled approximately 50m east of BKM32660-01 intersected moderate to locally high grade chalcocite-covellite copper mineralization. Infill hole BKM32650-04 (140m EOH) drilled approximately 50m east of BKM32650-03 intersected moderate to high grade chalcocite-covellite mineralization. Expansion hole BKM32650-02 (94m EOH) drilled at the western edge of BKM, outside the resource envelope intersected narrow zones of high grade chalcocite-covellite mineralization at deeper levels and this hole closes off the mineralization to the west as expected.

Peter Bird, Asiamet's Chief Executive Officer commented: ?The drilling and feasibility studies work being undertaken by our highly-experienced team continues to substantially de-risk and thereby improve BKM project's potential economics.?

He said that drilling within the BKM resource envelope, and particularly the high grade BK044 zone, has delivered further excellent results. The goal of the drilling campaign is to upgrade and expand the Mineral Resources at the BKM deposit and we are very pleased with the geometry of the mineralization and both the lateral and vertical continuity. Several additional strategic and high value targets outside of the current resource envelope are also being targeted for drill testing.

Editing by Reiner Simanjuntak