Int'l Antam Resources net loss increases in Q1

International Antam resources Ltd, a subsidiary of State mining firm PT Aneka tambang which is listed in Canadian Venture Exchange on Monday announced a net loss of C$ 95,769 in the first quarter of 2001, compared to last years' corresponding period of C$ 26,979.

The company said that in the period ended March 31, 2001, revenue of $ 517,509 was generated from the sale of 965 ounces of gold and 15,754 ounces of silver from the Company's operations at Cikidang on the western part of Java, as compared to revenue of $ 752,087 for the three month period ended March 31, 2000.

The Company recorded negative cash flow from operations of (C$ 512,043) for the three-month period ended March 31, 2001 compared to a positive cash flow of C$ 588,911 for the three month period ended March 31, 2000. The Companys cash position declined to C$ 1,041,050 as at March 31, 2001 from C$ 1,376,735 at March 31, 2000. Cash was used for ongoing exploration programs and the further development of the 400 level of the Cikidang mine.

At March 31, 2001, the Companys working capital was C$754,240 compared to C$1,006,782 at March 31, 2000. Working capital at March 31, 2001 included inventories of approximately 2,640 ounces of gold and 4,846 ounces of silver in the form of precipitate or refined bullion. These inventories are stated in the financial statements at cost, which is below current market value.

The company's cash cost of production for the period was US$ 186 per ounce of gold equivalent produced. Amortization of property acquisition and development costs amounted to US $ 59 per ounce of gold equivalent for a total production cost of US$245 per ounce of gold equivalent produced. The average sales price received was US$ 264 per ounce of gold and US$ 4.52 per ounce of silver.

The Company has engaged Snowden Mining Industry Consultants to prepare a Resource Report for the Cikidang property in West Java, Indonesia. Subsequent to commencement of the report, Snowden's mandate was expanded to include a Reserve Report for the remainder of the Cikidang deposit. These reports should be completed by the end of May at which time the results will be disclosed.

Austindo Resources Corporation N.L. (Austindo), the Company's joint venture partner on the Cibaliung property in Western part of Java, has informed the Company that it has formally revised the operating budget for the year 2001 from U.S.$ 2,225,000 to U.S.$ 1,353,000.

The new budget represents less than Austindo's 63 percent of the original budget. Under the terms of the Agreement the Company has the option to elect to participate in the revised budget if it wishes to maintain its current interest.

The Company has notified Austindo of its intent not to participate in the amended budget and will accept the resultant dilution of the Company's interest in the project. (*)