Taung’s interests in Indonesia arise from the company’s acquisition of Minex which owns a 95% interest in PT Bolmong Timur Primanusa Resources (“PT BTPR”) and which will acquire 75% of each of PT Bulawan Boltim Primas (“PT BBP”) and PT Kotabunan Emas Prima (“PT KEP”) upon approval of foreign ownership thereof.
The assets of these subsidiaries are located in North Sulawesi in a well-known gold-mining region previously explored and mined by Newmont. Preliminary metallurgical testing of ore samples from mineralised areas has been completed and indicates that gold recoveries of around 90% can be achieved. Further test work is being competed to determine a preliminary metallurgical flowsheet for processing of ore.
Foreign ownership approval for PT BBP and PT KEP is expected shortly and the Company will then formulate its plans in terms of growing the mineral resource base.