Kalimantan Gold (LON:KLG) the junior exploration company primarily focused on Indonesian gold and copper is currently involved with the largest drilling and exploration programme in its history alongside two experienced JV partners in, Tigers Realm Metals on the Jelai gold project in East Kalimantan and a wholly owned subsidiary of Freeport-McMoRan Exploration Corporation on its KSK CoW copper project located in Central Kalimantan.
The Jelai Gold project, which is 100% owned by Kalimantan Gold consists of 12 prospects, and has been the subject of considerable work, especially in tracking the results of the previous owner Indochina Goldfields. One of the prospects, the Mewet, is at an advanced exploration stage and has the potential to yield a major epithermal gold deposit, which the company compares in scale to the Vera Nancy mine in Australia, which has produced 2.3 million ounces to date. Tigers Realm Minerals, who in return for meeting certain project expenditure obligations and completing a bankable feasibility study, may earn up to 70% interest in Kalimantan Gold’s Jelai Gold Project.
The KSK CoW comprises of 38 mineral prospects, several of which are touted as potentially world class copper-gold porphyry deposits. Prior to the joint venture agreement with a wholly owned subsidiary of Freeport-McMoRan, Kalimantan Gold had spent a total of $16.4 million on 36,000 metres of drilling with the results analysed as a part of the JV due diligence process. The current programme is testing the deeper section and aiming to define a near-surface deposit which will, with various funding and percentage terms ratchet allow Freeport to earn up to 75% ownership by sole funding the operations up to the completion of a feasibility study. Faldi Ismail, the Kalimantan Gold CEO in a recent interview with Proactive Investors estimated that KSK the CoW will have a defined near-surface resource in 12 to 18 months’ time, going on to add “Things can change along the way. If we get some very good results on these deep holes, things will change very quickly. If we get 100 million tonnes at 0.8 or 0.9 per cent copper that’s worth quite a bit on the balance sheet.” 
Back in May, Gerald Cheyne, the Kalimantan Gold Director of Corporate Development participated in the Kalimantan Gold Director Interview Q2 FY12 and has now taken time out to provide an update on…
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