Kingsrose secures forestry permit for Lampung gold project

Australian firm Kingsrose Mining Limited announced on Wednesday that it has secured forestry permit, a valid period of 20 years, for its Way Linggo gold project in Lampung province.

The Way Linggo project is expected to produce over 45,000 gold ounces per annum at a cash cost of approximately USD150/oz, includes ongoing underground mine development costs, payable royalties and silver by-product credits.

The Company expects first pour in the first half of July this year. The Company earlier reported that construction of the process plant has fallen behind schedule due to a combination of heavy rains, delays in delivery of several components and slippage in construction of the gold room. ?It is now expected that commissioning will commence in the first week of June starting with the crusher and followed by the milling circuit towards the end of June,? the Company said.

The Company reported that as at 21 May 2010 the ore stockpile on the surface comprises 18,284 tonnes grading 20.7 g/t Gold and 244 g/t Silver.(kanti)