Palace secures expansion to the KCM project area
Friday, June 7 2013 - 03:31 AM WIB
ASX-listed Palace Resources Ltd reported on Thursday that it has been informed via vendors of the KCM project, that the vendors have successfully negotiated with the owners of the entire CCOW proposal to expand the initial project area, and to include a further 346 hectares.
It said that whilst the negotiations have resulted in an increase in the total site area, the terms and condition, plus the conditions precedent associated with the original KCM proposal have not been altered.
In relation to the KCM project, the additional area is located approximately 2kms to the north, they are not adjoining blocks and the new area lies over divergent coal seams.
In the statement, the company said that map adjoining this announcement displays the location of the new area, being to the north of the existing KCM project.
"It is the intention to complete the current drilling program on the original KCM project site prior to moving to the expanded location," it said.
Palace earlier entered into production and development agreement with JV Partner, which holds 100% of coal development project (KCM Project) in South Kalimantan.
The KCM Project covers a total license area of approximately 200 hectares in Desa Lok Tunggal District Pengaron.
Editing by Adianto P. Simamora