Coziron considers selling interest at Agam project

By Nellawati

ASX-listed Coziron Resources earlier had said it would maintain its interest in the Agam Iron Sands project in Sumatra. On its recent quarter report it said that its board is now considering other options including sale of its interest to a third party.

The company in its statement did not elaborate on all the options, stating only ?The board is currently considering alternatives for the project, including further work as recommended by the consultant geologist or sale to a third party.?

As previously reported, the company executed a heads of agreement of a joint venture in 2008 with PT Galian Endapan Buana to develop the Agam Iron Sand Project in West Sumatra.

It subsequently entered into a formal cooperation agreement in September 2008 in which subsidiary PT Coziron Copper International was granted an 80% interest in the Project including the mining rights attached to the Project.

Coziron undertook an initial exploration program to identify the mineralised iron sand layers at the Project, engaging an independent consultant to complete a geological assessment of the project which found that further geological work would be required to identify the most prospective area of the project.

In 2009, Coziron put further development of the project on hold pending fund raising.

Following the recent recapitalization, a review and evaluation of the project to determine the requirements for ongoing exploration and development has been commenced.

Editing by Adianto P. Simamora