Talang Santo mine on track to reach 40,000 oz pa by mid-2014

By Puspita Maylana Devi

ASX-listed Kingsrose Mining Limited said that development of its Talang Santo mine on the Way Linggo Project in Southern Sumatra is on track with ore being stockpiled in preparation for re-starting the processing plant in October.

?The development work has already resulted in some exposure of the high-grade hanging wall, revealing the bonanza style grades that will help underpin Talang Santo?s production and low costs as operations ramp up,? the company said in a statement obtained Thursday.

In light of this strong progress, Kingsrose expects to produce approximately 3,000 ounces of gold in the December 2013 quarter. With operations ramping up, production is expected to total 20,000 ounces of gold for the current financial year (ending June 2014). By July 2014, the production rate is scheduled to be around 40,000 ounces of gold per annum.

The Talang Santo mine is the second mine to be developed at the company?s 85 per cent owned Way Linggo Project in south-east Sumatra, Indonesia. The Project area encompasses 10,540 hectares and sits on the gold-rich Tran-Sumatran Fault.

Kingsrose is also stepping up its exploration efforts at the project. An exploration shaft has commenced at the Talang Samin prospect, located close to the Talang Santo, with the intention of gaining a better understanding of its potential. Excellent progress has also been made on the review of the potential surrounding the Way Linggo mine.

Editing by Reiner Simanjuntak