Western Mining: First core drill hole to commence at Tamboli Project
Tuesday, July 15 2014 - 12:26 AM WIB
ASX-listed Western Mining Network Ltd (WMN) announced Tuesday the arrival of drilling equipment and crew on site at the Tamboli Project in Kolaka, Southeast Sulawesi.
The company said in a statement that core drilling of DH-MS-001 to 50-meter targeting a geophysical Resistivity and IP anomaly will commence shortly. Exploration has identified slate with visible graphite which has distinct geophysical chargeability/conductivity anomalies associated with a zone where diorite intrudes metamorphosed sediments, it added.
Should drilling be successful, PT Eagle Rich Nusantara plans to own an industrial estate and graphite beneficiation plant, which will be constructed in the immediate area.
WMN is continuing its due diligence on the Tamboli Project including legal and corporate due diligence simultaneously with the technical work. The acquisition of the Tamboli Project remains subject to ASX and any other regulatory approvals.
WMN said earlier in June that it has entered into a Heads of Agreement (HOA) with Milestone Link Pte. Ltd, providing WMN with rights to ultimately acquire 75 percent interest of the Tamboli Project.
Milestone also has indirect control of PT Eagle Rich via a 40 percent direct interest and call options to purchase a further 59 percent interest in the shares of Eagle, a company that plans to own an industrial estate area and a graphite beneficiation plant in South East Sulawesi Province, should future exploration of the Tamboli project be successful.
Editing by Reiner Simanjuntak