Awak Mas hits 2Moz

NUSANTARA Resources has increased the resource for its Awak Mas gold project in Indonesia to 2 million ounces.
Awak Mas hits 2Moz Awak Mas hits 2Moz Awak Mas hits 2Moz Awak Mas hits 2Moz Awak Mas hits 2Moz

The Awak Mas camp

Kristie Batten

Awak Mas now has a global resource of 45 million tonnes at 1.38 grams per tonne gold for 2Moz of gold, using a 0.5gpt cut-off and constrained within a US$1400 an ounce pit shell.

Using a $1200/oz gold price, the resource is 1.82Moz at 1.4gpt gold.

The increase in the project’s total was the result of a 70,000oz increase in inventory at the Salu Bulo deposit after the inclusion of an additional 12 diamond holes.

Salu Bulo has a resource of 180,000oz at 1.53gpt gold.

Roughly 86% of the Salu Bulo resource is in the indicated category, with 81% of the total resource sitting classified as indicated.

The upgrade comes ahead of the estimation of an ore reserve.

Nusantara managing director Mike Spreadborough said the upgrade was a milestone and highlighted the potential of the project.

“We eagerly await assay results from the step-out drilling currently in progress at the Awak Mas deposit, which has the potential for additional mineralisation for inclusion in the DFS that is on track for completion in mid-2018,” he said.

The company is aiming to make a development decision in the September quarter.

In December, Nusantara started talks with potential Indonesian project partners with the introduction of a partner due to coincide with financing requirements.

Nusantara had A$9.5 million cash at the end of December.

Shares in Nusantara were down by 1c to 28c today, valuing the company at around $28 million.