PT J Resources Asia Pasifik Tbk. (PSAB) has reported promising new gold prospects in the North Sulawesi mining area, operated by its subsidiary, with positive economic indications. The company revealed that the new gold prospect has the potential to support a processing plant with a mill throughput capacity of 1.3 million tons of ore per year.

“This prospect is expected to produce between 70,000 to 100,000 ounces of gold annually, or approximately 2 to 3 tons per year, over a period of more than 10 years,” said PSAB President Director Edi Permadi in an official statement on Monday (November 11, 2024).

Edi added that the company is currently evaluating the potential scale of its gold exploration target, determining processing methods, and conducting preliminary economic analysis for this new prospect.

The follow-up program is a continuation of the initial exploration conducted throughout 2023. 

“With this positive development, the company hopes to quickly proceed with the drilling program and other development initiatives so that this prospect can become a viable and economically feasible mine,” he said.

PT J Resources Asia Pasifik Tbk. (PSAB) has carried out several key programs, including detailed geological mapping, rock sampling, spectral analysis, gold resource modeling, exploration target estimation, gold inventory simulation, preliminary metallurgical studies, and initial economic analysis.

The modeling and exploration target estimation for the main Oboy vein indicate a target range of 10 million to 15 million tons, with gold grades ranging from 1.5 grams per ton to 2.5 grams per ton.

Exploration targets for the two other veins, Odik and Mangkasep, show a potential range of 7 million to 10 million tons, with gold grades ranging from 1 gram per ton to 3 grams per ton. 

According to PSAB’s report, the company has tested 959 kilograms of gold-bearing ore samples, representing five different ore types. Early metallurgical testing results have shown positive outcomes.

“Given the substantial exploration potential and relatively high grades, this prospect holds great promise for development into an economically viable gold mine,” he said.

According to its financial report, PT J Resources Asia Pasifik Tbk. (PSAB) posted a net profit of USD 10.08 million for the first half of 2024. This positive performance contrasts sharply with the loss of USD 18.32 million attributable to the parent entity during the same period in 2023. 

The company’s net profit was driven by strong sales, which totaled US$130.14 million, a 125.85% year-on-year (YoY) increase compared to USD 57.62 million in the first half of 2023. 

PSAB's largest gold sales were made to Metalor Technologies Singapore Pte. Ltd. and PT Aneka Tambang Tbk. (ANTM), which accounted for 83% and 12% of total sales, respectively, amounting to USD 108.66 million and USD 15.72 million.