History
We hold a Contract of Work (CoW) which was granted by the Government of the Republic of Indonesia (GOI) on February 18th, 1998.Under the terms of our CoW DPM explored for minerals in a 27,420 hectare area located in the North Sumatra and Nangroe Aceh Darussalam (NAD) provinces.
A high grade zinc deposit located in the Sopokomil area in the western region of northern Sumatra was initially drilled in 1997 and provided outstanding assay results. The deposit is known as Anjing Hitam. Over the next 6 years, following the granting of the CoW, further exploration was carried out in the region by DPM with success in both defining a significant resource at Anjing Hitam and also in identifying other local ore bodies that are the subject of further exploration activities. In 2002 we initiated a pre-feasibility study to determine the viability of the Anjing Hitam resource as a stand alone project. The results were positive with an identified resource of 6.3 million tonnes (MT) at 16% Zinc Sulfide and 9.9% Galena (Lead Sulfide). These results provided the incentive for further definition drilling of the ore body and the commencement of a definitive feasibility study (DFS) in September 2003.
The DFS was essentially completed towards the end of 2004 and the outcome was confirmation that the Anjing Hitam resource contained 7.7MT at 16% Zinc Sulfide and 9.8% Galena (Lead Sulfide) with a Zinc equivalent of 23.8%. Anjing Hitam was viable project on its own without inclusion of resources identified in surrounding associated ore bodies.
On 23 July 2012, The GOI issued the Company’s Borrow-Use Permit that clears the way to commence development and production of the mine. Pre-development planning continues at present.
Location and Access
The Anjing Hitam deposit is located in the Sopokomil area around 25 kilometers WNW of the Dairi Regency’s main town of Sidikalang. Sidikalang is approximately 150km SSW of the provincial capital of Medan, Indonesia’s third largest city. Medan and Sidikalang are linked by a standard bitumen public road.
The Polonia International Airport in Medan links North Sumatra to Jakarta, Singapore and Kuala Lumpur with frequent daily flights.
Geography
Much of the CoW and mine site area consists of rugged ranges, part of the Barisan Ranges, which form the backbone of Sumatra. Peaks rise to 1319m above sea level (ASL) in the project area with the main ridges over 1000m ASL rising from a NW sloping valley terrace level of 300-600m ASL in the valleys of Lae Renun (Renun River) and Lae Simbelin.
The climate is upland tropical with an average daily temperature of 19° – 29° in the Sopokomil area and an annual rainfall in the vicinity of 3000 to 5000 mm. The main wet season runs from September to January and a lesser one runs from April to May, although there is substantial rainfall in most months of the year.