Kupang JV on track for production start up
Monday, February 11 2013 - 02:29 AM WIB
ASX-listed resources company Kupang Resources Limited announced that the Kupang Joint Venture (JV), in which the company holds a 55 percent interest has completed the acquisition of additional land in the Belu District, on the island of Timor.
It said that the acquired land holding has a granted Manganese Production Licence attached, enabling Kupang Joint Venture to commence production and export of manganese.
Kupang Resources Limited Executive Director, Tony Sage, said, "The acquisition of the granted Production License by the Kupang Joint Venture is a key step towards the commencement of manganese exports from the Joint Venture's land position."
"The permit is a crucial milestone in commencing production, as Indonesian law requires such permits to be in place before processing and exports can commence.
"This will now allow finalization of the permit process. Once this permit is granted to the Kupang Joint Venture stockpiling and processing of manganese on the Kupang Joint Venture landholding can commence, with processing to occur utilizing the Joint Venture owned processing plant already on site."
Kupang Joint Venture owns a processing plant capable of producing 30,000 tonnes of High Grade Manganese lump product per month for direct smelter feed.
The company previously entered into a binding term sheet to acquire 95% of the issued share capital of a local Indonesian company, Indo Co, owner of an area of 926 hectares located in Belu District of Timor and a granted Production Licence.
Editing by Adianto P. Simamora