KSK Copper Project gets sole funding from Freeport subsidiary

By Nellawati

Kalimantan Gold Corporation (KLG) recently stated that its PT Kalimantan Surya Kencana (KSK) Copper Project in Kalimantan is being sole funded by Surya Kencana LLC (SK LLC), a subsidiary of Freeport-McMoRan Exploration Corporation.

"Having completed sole funding exploration to $7,000,000, SK LLC has notified KLG that SK LLC has elected to continue to sole fund all remaining exploration and feasibility study expenditure under the Earn-In Agreement, subject to SK LLC?s right to withdraw from the Joint Venture in accordance with the terms of the Agreement. We have reached a historic milestone in the life of this project now that SK LLC has exercised its option to continue sole funding during the Feasibility Study period," said KLG CEO Faldi Ismail.

Drilling programs are continued in KSK, with process of applying for additional ground under the Forestry Borrow to Use system (Pinjam Pakai) is currently on going to gain access of other priority areas within the KSK Contract of Work, including Tumbang Huoi, Baroi and Mansur prospects, while two Duralite drill rigs have been utilized on the deep porphyry copper program, in addition to two smaller Jackro rigs for the Beruang Kanan near-surface delineation drilling program.

Two deep and six delineation holes have been completed and a further two deep holes (BTD06-01 and BKD02-02) are nearing completion.

Editing by Er Audy Zandri