Asiamet Resources Limited reported positive results flowing from recent optimisation work completed for the BKM heap leach project in Central Kalimantan, Indonesia. Detailed optimisation work on BKM by heap leap experts, Mineria & Servicos SPA, Chile (M&S) has been focused on a progressive development of the Heap Leach Facility (HLF) to reduce upfront project capital cost. The HLF is the single largest capital cost item in the 2023 Feasibility Study and is the critical path activity for project construction.

Optimisation Results: a revised location for the BKM HLF was assessed with updated HLF pad designs completed by M&S. The overall bulk earthworks volumes for the new pad are less than half that of the 2023 design. Critically, the revised location allows the HLF pad to be constructed in two stages, with the first stage development to enter production delivering a bulk earthworks volume of approximately one-third of that required for the 2023 FS design. Implications: the considerable reduction in bulk earthworks to achieve first production results in a substantial decrease in the upfront capital cost of this critical phase of the project.

A substantial reduction in bulk earthworks volumes is also expected to reduce construction timeline and move the HLF construction off the critical path in the project development schedule. BKM Project Heap Leach Facility Design Optimisation: On completion of the BKM 2023 FS, several project opportunities were identified by the Company. The first and most significant opportunity identified was the potential for construction of the BKM HLF in a revised location, with the opportunity described in the 2023 FS as such: The location of the HLF presented in the 2023 FS was chosen due to the proposed operational parameters of the project, namely copper production rate and time to leach/dissolve the copper from the BKM ore.

When compared to the 2019 BKM FS, the updated 2023 FS approach to developing the HLF significantly reduced the cleared area required, driven primarily by a reduction in ore volume stacked and the processing rate being reduced. The total excavated earthworks volume for the BKM HLF was 3.2 million cubic metres, however the location of the facility and its design necessitated all bulk earthworks for the final pad design be completed at the time of project construction with no opportunity to defer capital expenditure to later in the mine life. A review of previous work was undertaken to assess the potential for better alternatives for the BKM HLF.

As part of this work, an area previously considered to be too small for the proposed production rate and leach cycle, was re-evaluated using updated parameters and demonstrated the opportunity to build the HLF in two stages, thus reducing the volume of earthworks and ultimately the initial capital cost to get BKM into production. The overall earthworks volumes for the new HLF are as follows: Stage 1: Excavated Volume - 1.1M cubic metres, Fill Volume - 1.3M cubic metres. Final Stage: Incremental Excavated Volume - 1.0M cubic metres; Fill Volume - 0.74M cubic metres.

Additional fill to balance the earthworks for Stage 1 will be supplied from excess excavated material elsewhere on the project. The greatly reduced overall excavation volumes will be very positive from a cost and construction schedule perspective, and the revised location is easier to complete construction works on. In addition, several key aspects, including water management and the close proximity of excavation/fill materials, deliver a lower overall construction risk profile for the new HLF design.