J Resources obtains permit for FS at Gunung Pani gold concession

PT Puncak Emas Gorontalo (PEG), a subsidiary of IDX-listed mining firm PT J Resources Asia Pasifik Tbk, said it has obtained in February permit from the Ministry of Energy and Mineral Resources (MEMR) to carry out feasibility study (FS) at the Gunung Pani gold concession in Gorontalo, North Sulawesi.

Kontan daily quoted Wednesday PEG President Director Edi Permadi as saying that with the permit, the company can proceed to produce the necessary environmental impact assessment, or AMDAL, document.

This AMDAL document along with other permits including forest use permit from the Ministry of Forestry are required to allow the company to begin commercial production as planned in the first semester of 2016, Edi said. ?The capacity is 100,000 ounces per year,? he said, adding that the firm would require investment worth about US$2 billion to start production.

He said that he was optimistic the production target could be achieved particularly as local village cooperatives KUD Dharma Tani, which owns 100 hectares concession located within the group?s 7,385 ha Gunung Pani concession, has already decided on January 8 of this year to approve the business partnership with PED in developing the gold mine.

One Asia Resources has filed lawsuit against the KUD Dharma Tani as it claims as the rightful business partner in developing the gold mine.(*)