Sumatra starts open pit mining at Tembang gold project

By Ruli Setiawan

ASX-listed Sumatra Copper & Gold plc said that open pit mining has commenced at the company?s 100%-owned Tembang Gold-Silver Project located in Sumatra, Indonesia.

The company said in a statement Tuesday construction of the carbon-in-leach (CIL) process plant and infrastructure remain on track for first gold pour during the fourth quarter of 2015.

David Fowler, Managing Director, commented;
?The overall Project plan remains on schedule and a significant milestone has been achieved with the start-up of open pit mine development,? said Managing Director David Fowler.

The company statement provides the following key points of operations.
- The open pit mining contractor has mobilized to site and commenced open pit pre-strip mining and clearing for tailings dam earthworks.
- Lime dosing and dewatering of the Belinau open pit has progressed to the point where the portal (underground entrance) location is accessible. Ground conditions for the portal location appear significantly better than previously anticipated. Half of the pit has been dewatered, sufficient to allow underground mining to commence on schedule.
- Infrastructure works for the dewatering of the Belinau, Bujang and Berenai open pits have been completed with the dewatering pumps for Berenai scheduled for mobilization in July 2015.
- The Jumbo for underground development has arrived in Indonesia and is scheduled to be at site to commence portal construction in July 2015.
- The first of two underground loaders is on site with the second loader and contractor equipment maintenance teams arriving in July 2015.
- Explosives supply contracts have been finalized.
- All key open pit, underground, geological and safety personnel appointments have been made.
- Mining office and workshop construction almost complete.
- Generators for Belinau underground mine power are on site.
- Nursery infrastructure for rehabilitation activities has been completed.
- Explosives magazine has been completed.
- 170 artisanal miners and local land owners have been inducted into the Company?s Pre-Employment Training Program (PETP) during May 2015. The company expects that artisanal mining within the active mining areas to soon cease. Sterilization of illegal activities within the active mining areas is being carried out by the Government led Integrated Team.
- The company continues to receive strong support from the local and regional governments. It is intended that upon completion of the PETP, the successful candidates will be deployed into the mining, processing, maintenance and environmental operations. 20 PETP candidates already have been placed into operations.

CIL plant
- All concrete works have been completed.
- All steel has been fabricated and delivered to site and installation is 91% complete.
- Mechanical installation of equipment is 65% complete.
- SAG mill shell and heads have been installed, bearing installation completed, and girth gear installation and drive train alignment scheduled for completion during June 2015.
- Electrical and instrumentation installation is 16% complete.
- Piping installation has commenced.

Infrastructure
- Power station equipment is scheduled to arrive on site during June with the power station planned to be operational by the end of July 2015.
- Camp capacity expanded to house 430 persons (over 400 operations and construction personnel are now housed in the camp).

Editing by Reiner Simanjuntak