While Indonesia is seen as a golden opportunity for British firms doing business in the high-growth country, a London-listed firm has struck gold – literally.
Archipelago Resources, listed on the AIM Market, has announced encouraging initial results of gold deposits after drilling at two pits close to the Toka Tindung gold mine in North Sulawesi.
Commenting on the find, Marcus Engelbrecht, managing director and CEO of Archipelago Resources, said: "These initial drilling results from two of our high grade satellite deposits, Blambangan and Pajajaran, are encouraging and confirm the significant mineralisation and resource prospectivity at the Toka Tindung Mine.
"We envisage further positive drilling results from these and other deposits in the near future."
Archipelago’s vision is to "grow into a respected and regionally dominant mid-cap gold producer, managing a portfolio of gold mines and delivering significant value and returns for our shareholders."
It also has projects in Vietnam and the Philippines.
This year it expects to produce between 135,000 and 145,000 gold equivalent ounces at a cash cost of between $540 and $590 per ounce, and it owns 95% of the Toka Tindung gold mine.
Pajajaran and Blambangan have been subject to only relatively shallow drilling for far, and are in addition to drilling exploration efforts at other near site targets, including at Toka East.