Kingsrose to spend $12m to develop Sumatra gold mine
Tuesday, November 3 2009 - 02:02 AM WIB
Australian mining firm Kingsrose Mining Limited said Monday that it would invest US$12 million to develop its Way Linggo underground gold mine project in Lampung province.
The company said the investment included construction of plant and equipment and mine development.
The up-scaled project is expected to produce approximately 45,000 gold ounces and around 750,000 silver ounces on an annualized basis. The plant is expected to be commissioned in end of March 2010, the company said.
The Way Linggo mine has a total JORC compliant resource of 669,000 tonnes at 8.44g/t gold and 129 g/t Silver (or 10.6 g/t Gold equivalent), and the company is planning to prove up resource to 1 million tonnes.
The Way Linggo Contract of Work, which is held by Kingsrose 85% owned Indonesian subsidiary PT Natarang Mining, covers an area of 10,540 hectares. (denny)