Golden Peaks closer to acquire Indonesian gold prospects

Vancouver-based firm Golden Peaks Resources Ltd. reported on Monday that it has received conditional acceptance for the acquisition of Indonesian-focused gold exploration company Reliance Resources Limited.

Final closing is subject to standard closing conditions.

Reliance holds the rights to five advanced gold exploration permits, covering 30,000 hectares, on the islands of Sulawesi and Halmahera in eastern Indonesia. All projects have been converted to IUP tenements as required under the new Indonesian Mining Act (2009).

The Reliance portfolio comprises three exploration projects on Sulawesi Island, and two areas on the island of Halmahera, 70km north of Newcrest Mining's Gosowong gold mine. Reliance has the second largest landholding behind Newcrest on Halmahera.

All five projects are within close proximity to operating gold mines or defined resources with similar geological settings.

A 5,000 metre drilling program is expected to commence in mid-December at the Tanoyan project on Sulawesi. (alex)