Trenggalek IUP extended until Nov 2018

By Romel S. Gurky

ASX-listed Arc Exploration Limited said it received confirmation on March 22, 2016 that the term of the Trenggalek IUP (tenement) has been extended to November 2, 2018.

Arc said it entered into formal documentation with PT Danusa Tambang Nusantara (Danusa) in Indonesia in respect of the Trenggalek project and accordingly it is anticipated that Danusa will fund all holding costs and any ongoing exploration during the course of 2016 and 2017 in order to earn an interest in the Trenggalek project;

Formal documentation was signed with PT Danusa Tambang Nusantara (Danusa) who can elect to fund expenditure of up to US$1,500,000 over the initial stage of exploration. Danusa will manage the exploration program and commenced a diamond drilling program in February 2016 to further test the large gold-bearing vein systems previously identified at Sentul and Buluroto in the southeast portion of the licence area.

Preliminary bottle-roll cyanide-gold leaching test work was completed on drill core material resampled from the Sentul Prospect at the PT Intertek Utama Services laboratory in Jakarta during the year.

Arc operates a joint venture with its local Indonesian partner, PT Sumber Mineral Nusantara, which holds the Trenggalek Exploration IUP tenement, located in the Southern Mountains of East Java. The IUP mining business license was initially valid until November 2016.

The Trenggalek Exploration IUP tenement covers about 300 km2 in the Southern Mountains of East Java.

Editing by Reiner Simanjuntak