J Resources seeks to expand reserves via acquisition

By Thomas Sembiring

Petromindo|Lucky

IDX-listed gold mining company PT J Resources Tbk aims to acquire greenfield gold mines in eastern region of the country and neighboring Malaysia in a bid to expand its gold reserves.

J Resources Director Edi Permadi said on Wednesday that the company was looking to increase its reserves by 2-3 million ounces over the next 15 years.

He said that the acquisition target should have reserves of at least 1 million oz, about the same with the reserves of its Pani block mine in Gorontalo Province.

Aside from the Pani gold mine, the company also operates the Bakan gold mine in North Sulawesi, Seruyung mine in North Kalimantan, and Lanut mine in North Sulawesi. The Bakan and Seruyung mines contributed about 83 percent to last year?s production.

J Resources through subsidiary J Resources Gold UK Ltd also operates two gold assets in Malaysia including Penjom mine which has been in production stage.

J Resources produces gold about 200,000 oz per year. Edi said that while first quarter 2017 production has yet to be unveiled, production activities during the period have been hampered by the rainy season.

Editing by Reiner Simanjuntak