Southern Arc granted another C. Java exploration license

Vancouver-based junior exploration company Southern Arc Minerals Inc. announced on Tuesday the granting of another exploration license (Kuasa Pertambangan KP) to the company, over part of the Wonogiri Regency, Central Java Province.

The property is located nearby the company's Karangtengah KP.

The new Tirtomoyo KP area of 4,896 ha was previously minimally explored by the state-owned company Timah Tbk between 1998 and 2002 under a large super KP license.

The KP license issued to Southern Arc by the regency authorities is valid for twelve months and can be extended for a further 12 months as part of the General Survey conditions of the license.

Following the enactment of Indonesia's new mining law on January 12, 2009, the Department of Energy and Natural Resources has indicated that KPs will transition automatically into a new mining business license (IUP).

Historical Dutch references on the Tirtomoyo area report evidence of exploitation by the Japanese during WWII of base metal skarn mineralization in the district, along with inferred porphyry style veining. Potential for porphyry Cu-Au mineralization was confirmed by Au-Cu-Mo-Zn stream sediment geochemistry from a joint Japanese-Indonesian government geochemical mapping program in early 1990s.(alex)