Masmindo gold mine to start production end 2019

By Nova Farida

Gold mining firm PT Masmindo Dwi Area, which is developing a gold mine project in Luwu Regency, South Sulawesi Province, has set a target for production to start at the end of 2019 or early 2020 at a volume of 100,000 oz per year.

President Director of Masmindo Dwi Area, Boyke Abidin, said that construction stage has recently started, and is expected to be completed within three years. The company, which is a subsidiary of ASX-listed Nusantara Resources Ltd, has allocated investment worth US$350 million.

Boyke explained that of its total concession of 14,390 ha, the company has so far only made exploration on 500-ha area with JORC resources estimate of 1.74 million oz of gold. ?The reserves are quite huge, we could produce 100,000 oz per year for 30 years. Once this has been completed, we could make other study as the remaining concession area is still huge,? he said.

Masmindo will produce gold in the form of dore bar to be later processed into pure gold by state-controlled mining firm PT Aneka Tambang Tbk. ?The gold will be sold in the domestic market and overseas,? Boyke said.

Editing by Reiner Simanjuntak