London-listed Asiamet Resources (AIM:ARS) revealed on Tuesday that the company was “not aware” of any operational or corporate reason for a large share price movement that took place on Monday 9 December.
The company did touch on 'a very active' 2019 however, highlighting certain operational milestones for the year.
Most notable was the drilling program at the BKM Project in Indonesia which demonstrated 'good copper results' further strengthening the resource.
The maiden ore reserve boasted 21.1 million tonnes grading 0.6% of copper in the proven category, and 30.4% million tonnes grading 0.5% in the probable category — an overall 51.5 million tonnes across both.
The company’s deliverance of a feasibility study for the BKM project highlighted an initial 9 year production run producing 25,000 tonnes of copper per year to generate a revenue of $1.27 billion.
Asiamet says they are also working on planned exploration work on four strategic targets near the BKM Copper project to 'further add life' through satellite discoveries.
The company explained how the KSK Contract of Work and Beutong IUP projects are both 'in full compliance and in good standing' and the company are now awaiting a drilling permit for further work over the proposed production area to be granted from the Indonesian Government.
Shares in Asiamet Resources were trading 5.63% higher at 1.875p on Tuesday morning.
Once approved, Asiamet will use its own drilling rigs and personnel to drill the four strategic targets identified to generate further upside for the Contract of Work area.
At Beutong, the strategy remains to test the deeper targets and the higher grade copper-gold zones of the porphyry system.
The company commented that strategic discussions with respect to partnering continue with 'highly reputable and interested parties' whilst participants are currently active in the corporate data room.
Additionally, Asiamet closed their statement offering their perspective of the copper market, which they say “continues to trade sideways” with macro factors including global trade negotiations and Brexit “driving uncertainty”.
“We are starting to see global copper inventories fall with restocking across Asia providing some short term support to the copper price,” the statement detailed.
“With a copper dominant portfolio and two projects in different stages of maturity the Company is well placed to take advantage of upcoming shortage in copper supply,” Asiamet emphasised.
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