Baru Gold Advances Towards Production Approval and Begins Fabrication of Automated Gold Production Plant
Mon 02 Mar 2026, 07:58 AM
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Baru Gold Corp, together with its 70%-owned Indonesian subsidiary PT Tambang Mas Sangihe, is pleased to update shareholders on substantial progress toward securing approval to commence production operations and to announce the initiation of fabrication of its automated gold processing plant.
Approval for Production Operations:
Indonesia’s Ministry of Energy and Mineral Resources (“ESDM”) requested two additional deliverables prior to issuing approval for Production Operations in November. The Company and ESDM have met and communicated regularly over the past several months to settle these new items.
Based on the meetings with the ESDM and the status of application, the Company believes that Approval for Production Operations is forthcoming.
Electrowinning Elution Column Plant:
The Company is now planning for the first gold pour.
The time required to fabricate the Production Plant isa bottleneck in the gold production schedule. To limit the delay between first gold pour and Approval for Production Operations, management plan to commence the fabrication of the Electrowinning Elution Column Plant (“Production Plant”).
As announced on September 30, 2025, the Production Plant has been designed as a modular, automated system to support rapid and cost-efficient gold recovery. The Processing Plant’s modular design enables scalable increases in output as additional processing modules are deployed.
Following the award of the tender, work started on developing both the detailed engineering schematics and design documents. These items are now complete and are critical milestones required prior to fabrication, construction and installation.
The Company is also happy to announce that all parties have developed and agreed to fabrication schedules, logistics, timelines, commissioning requirements and budgets for the construction and installation of the Production Plant.
The Production Plant is expected to require approximately three months from the commencement of fabrication through to installation. The fabrication will take two months to complete and then one month to transport and install on Sangihe Island.
Fabrication will occur entirely within Surabaya,Indonesia. The Company is proud to support Indonesia’s domestic manufacturing and engineering industries.
Production Plant Site Preparation and Land Survey:
During the fabrication period, the Company will advancesite readiness to ensure construction and installation can begin immediately upon delivery of the Production Plant. Company surveyors are already onsite and are now living on and fully mobilised to Sangihe Island. Currently, the survey team are finalizing the proposed plant location and supporting infrastructure layout. This parallel workstream is intended to minimize idle time and support the commissioning schedule.
Mr. Terrence Filbert, Chairman and CEO of Baru Gold, commented: “I believe Production Operations will be approved by the ESDM and fabrication of processing equipment requires time. We are using this period productively while awaiting final approvals. By advancing site preparation, and detailed operational planning in parallel, we aim to significantly reduce the time from receipt of operational approval to first gold pour. This approach positions the Company for an efficient ramp-up into higher production levels shortly after operations commence.”
ABOUT SANGIHE GOLD PROJECT
The Sangihe Gold Project (“Sangihe”) is located on the Indonesian island of Sangihe, off the northern coast of Sulawesi with a gold bearing area of approximately 25,000 ha. Sangihe has an existing National Instrument 43-101 report suitable for mining planning and production schedules for an area within the 65-ha area targeted for initial production. See the Company’s “Independent Technical Report on the Updated Mineral Resource Estimates of the Binebase and Bawone Deposits, Sangihe Project, North Sulawesi, Indonesia” (Mining Associates Pty Ltd, February 1st, 2025). 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 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
The Company's 70-percent interest in the Sangihe-mineral-tenement Contract of Work (“CoW”) is held through PT. Tambang Mas Sangihe (“TMS”). The remaining 30-percent interest in TMS is held by other Indonesian corporations. The term of the Sangihe CoW agreement is 30 years upon commencement of the production phase of the project. Baru has met all the requirements of the Indonesian government and has been granted its environmental permit.
ABOUT BARU GOLD CORP.
Baru Gold Corporation is a dynamic junior gold developer with NI 43-101 gold resources in Indonesia, one of the top ten gold producing countries in the world. Based in Indonesia and North America, Baru’s team boasts extensive experience in starting and operating small-scale gold assets
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