Killara to execute plans to acquire coal concession in Bengkulu

By Harry Roy Gunawan

ASX-listed Killara Resources announced the execution of a Memorandum of Understanding agreeing on commercial terms to acquire an 85% equity interest in a 2,000 coal concession in Bengkulu coal project covering 2,000 ha.

It said that field evaluation program starting early January 2013 .

Executive Director Mr Darren Misquitta commented on the signing of the MOU as follows ?We are very happy to be progressing with this transaction on behalf of the company which is in line with our original corporate strategy.

Analysis by Killara of vendor geological data including field mapping, drilling and coal quality indicates that the Bintunan formation present in the project is likely to be miscorrelated Lemau formation, the foremost coal-bearing formation in the Bengkulu province.

In early January 2013 Killara plans to conduct technical due diligence that would lead to a stratigraphic drilling campaign.

Editing by Adianto P. Simamora