Aussie firm in Kalimantan zircon venture

Australian firm Matilda Zircon Limited announced on Monday it had signed an MoU with Indonesian firm PT Makmur Santosa Energi (MSE) to jointly own and operate mining projects in Kalimantan.

The first step will involve four zircon mining licenses with a total area of 15,000 hectares in Central Kalimantan, the company said.

Initial indication show potentially some 9-12 million tonnes of zircon sands capable of providing processed zircon oxide in excess of 65% with good gold credits, it said, adding that it would immediately commence due diligence on the project.

The company is eyeing production of 12,000 tonnes in the first year and double the next year should due diligence proved successful.

MSE is a mining company with various mining interest in Kalimantan.

Matilda currently has small zircon operations in Sampit, Central Kalimantan. (alex)