VANCOUVER (Yosefardi) – Kalimantan Gold Corporation Limited has been in discussions with a number of major mineral companies regarding a potential joint venture or similar arrangement in respect of Jelai IUP.
These discussions are continuing and some site visits have already been undertaken.
The Indonesian Ministry of Forestry granted JCM an extension to its Borrow and Use Exploration Forestry Permit (IPPKH).
The permit, which is renewable, extends the authorization for the Company to conduct exploration activities until December 16, 2015.
It covers all the existing permitted areas, namely the Mewet and ten of the other 12 Jelai IUP prospects, comprising 4,675 hectares of the 5,000 hectare IUP.
Kalimantan Gold is also holder PT Kalimantan Surya Kencana (KSK) Contract of Work (CoW). On December 2, 2013, the company applied for a 2-year renewal of the forestry permit for a total area of 7,688ha of which 170.25ha falls within the Hutan Lindung.
This 7,688ha area covers all of the main prospect areas within the KSK CoW. This renewal has been processed and is expected to be issued shortly.
Surya Kencana LLC (SK LLC) delivered their notice to withdraw from the KSK CoW pursuant to the KSK Agreement, after spending in excess of US$35 million in exploration and evaluation expenditures.