PT Archi Indonesia Tbk is very enthusiastic about the results of drilling at the Toka Tindung Gold Mine, where the exploration shows high grade findings,which will significantly increase its gold reserves, especially in the West Corridor.
At the beginning of this year, the Company has determined several targets to be achieved from the exploration program, namely to increase gold resources from 3.9 million ounces of ore reserves, and increase high grade mineral resources from suspected to indicated.The results of this exploration will update the Company’s JORC report in 2021.
This target was successfully achieved through an exploration drilling program at the Bima-Arjuna gold reserve in the West Corridor, using a total of 5diamond drill rigsand 1reserve circulation drill rigduring the period from December 2020 to August 2021, by completing an additional 84 drilling holes with a total depth about 25,000 meters, which results inintersectionsof high grade gold.
Archi’s Managing Director and Chief Executive Officer, Ken Crichton explained, the results of drilling at the Bima-Arjuna gold reserve in the West Corridor showed promising progress, some of which were of very high grade.
This result builds our confidence that the Toka Tindung Gold Mine is one of the best gold mining assets in Indonesia with significant exploration potential.Our priority right now is to convert these high grade yields into resources and reserves for our future mining plans, he said in an official statement, Thursday (14/10).
The company has also gone further in terms of a feasibility study to accelerate the location of the Bima-Arjuna gold reserve to enter the production stage.Both locations will provide additional high grade ore at the gold processing plant in Toka Tindung.The Company has built a large office and workspace in a location adjacent to the project, and currently employs more than 250 professional staff and local communities to carry out drilling and feasibility work.
Other exploration programs have also identified several large high grade targets very close to, but separate from the Bima-Arjuna gold reserve, and are ready to drill in the second half of 2021.
Our geological team has recognized the potential for the West Corridor to be as great as the current Toka Tindung mine in the East Corridor, where more than 6 million ounces of gold have been recovered there and 2 million ounces have been successfully mined since it first started production in 2011. .
To note, the Toka Tindung Gold Mine is one of the largest gold mines with 2 Contracts of Work owned by a wholly owned subsidiary of Archi, PT Meares Soputan Mining and PT Tambang Tondano Nusajaya.These two CoWs are valid until 2041 with the potential for 2 extensions, each with a maximum period of 10 years.
Archi plans to continue to drive its exploration activities, targeting thenear-mineproject areas, the West Corridor andGreenfields, which are expected to provide approximately 5.3 13.0 million ounces of additional gold ore reserves based on a study conducted by industry experts Energy and Mineral Technology. International (ENMITECH), and subsequently verified by an independent industry consultant, SRK Consulting Group (SRK).