East Asia Minerals Corporation (the “Company” or “EAMC”) is pleased to announce a meeting of North Sulawesi government and community representatives was held on September 2, 2020, and the Company received notice of the approval of the AMDAL environmental report (AMDAL) for Sangihe. In furtherance of the issuance of the final permit, the Company is now attending to the preparation and submission of the necessary filings to complete the process. The Company expects the permit will be issued in the next few days. EAMC will immediately apply for an upgrade of the licence to 30-year operation production status.
Terry Filbert, Chairman and CEO of East Asia Minerals commented, “This is a milestone achievement for EAMC, and I am very proud of the team for meeting all of the necessary requirements to get the Sangihe project approved for the AMDAL licence. Since joining EAMC in 2017, this has been my primary focus despite challenging markets for venture mining.”
“The timing has been fortuitous and impeccable given the recent rising of gold prices. The Company was able to take advantage of the delays we experienced waiting for the AMDAL environmental meeting to be held to initiate many of the steps necessary to secure the production licence, and prepare for construction.”
In the last few weeks, the Company signed an agreement and commenced the land survey work required for the land acquisition (as announced on August 20, 2020), completed the mining reclamation plan, paid all of the ancillary financial obligations, and completed all regulatory requirements to obtain the production licence.
Before the production licence is issued, the Company must pay US$400,000 for past and current deadrent. Deadrent is the annual mining licence tax paid to the federal government based on a cost per hectare for the area assigned in the contracted Sangihe gold area. The Company plans to use funds received from the current warrant exercises to pay this financial obligation. Subject to the final environmental permit being issued as well the Indonesian Government Operations Production License being granted, the Company intends to proceed to production without the benefit of first establishing mineral reserves supported by a feasibility study. The Company cautions readers that the any production decision made by the Company will not be based on a NI 43-101 feasibility study of mineral reserves that demonstrates economic and technical viability and as such, there may be involved increased uncertainty and various technological and economic risks such as the interpretation of drill results; the geology, grade and continuity of mineral deposits; the possibility that future exploration, development or mining results will not be consistent with our expectations; commodity and currency price fluctuation; failure to obtain adequate financing; regulatory, recovery rates, refinery costs, and other relevant conversion factors, permitting and licensing risks; general market and mining exploration risks and production and economic risks related to design and engineering, manufacturing, technological processes and test procedures and the risk that the project’s output will not be salable at a price that will cover the project’s operating and maintenance costs.
ABOUT SANGIHE GOLD PROJECT
The Sangihe gold-copper project is located on the island of Sangihe off the northern coast of Sulawesi and has an existing National Instrument 43-101 inferred mineral resource of 114,700 indicated and 105,000 inferred ounces of Gold as reported in the Company’s “Independent Technical Report on the Mineral Resource Estimates of the Binebase and Bawone Deposits, Sangihe Project, North Sulawesi, Indonesia” dated May 30, 2017. Only 10% of the gold bearing area has been explored. Readers are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability. The Company’s 70-percent interest in the Sangihe-mineral-tenement contract of work (“CoW”) is held through PT Tambang Mas Sangihe (PTTMS). The remaining 30-percent interest in PTTMS is held by three Indonesian corporations. The term of the Sangihe CoW agreement is for 30 years upon commencement of the production phase of the project.
ABOUT EAST ASIA MINERALS CORPORATION
East Asia Minerals is a dynamic junior gold developer with NI43-101 gold resources in Indonesia, one of the leading gold producer countries in the world. EAS plans to advance and permit Sangihe in near term and raise funds for a heap leach operation. The Company cautions readers that the any production decision made by the Company will not be based on a NI 43-101 feasibility study of mineral reserves that demonstrates economic and technical viability and as such, there may be involved increased uncertainty and various technological and economic risks outlined in the “forward looking statement” below.
East Asia has a team of mining professionals in North America and locally in Indonesia with extensive experience in starting and operating small-scale gold and coal assets. With the team in place, East Asia plans to raise capital and market awareness to develop it’s highly prospective project portfolio.
Frank Rocca, BAppSc. (Geology), MAusIMM, MAIG, Chief Geologist of East Asia Minerals Corp. is the Qualified Person as defined under NI 43-101 who has reviewed and approves the content of this release.
EAST ASIA MINERALS CORPORATION
Per: “Terry Filbert”
Terry Filbert, Director
Chairman & CEO
For investor contacts more information, please contact:
Kevin Shum –
647-725-3888 ext 702
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Certain statements in this News Release, which are not historical in nature, constitute “forward looking statements” within the meaning of that phrase under applicable Canadian securities law. These statements include, but are not limited to, statements or information concerning future work programs, results and timing of any work programs, the Company’s performance or events as of the date hereof. These statements reflect management’s current assumptions and expectations and by their nature are subject to certain underlying assumptions, known and unknown risks and uncertainties and other factors which may cause actual results, performance or events to be materially different from those expressed or implied by such forward looking statements.. Forward-looking statements should not be construed as investment advice. Readers should perform a detailed, independent investigation and analysis of the Company and are encouraged to seek independent professional advice before making any investment decision. Accordingly, readers should not place undue reliance on any forward-looking statement. Except as required by applicable securities laws, the Company disclaims any obligation to update or revise any forward looking statements to reflect events or changes in circumstances that occur after the date hereof.