Ceria has identified nickel mineral potential through Geo Penetrating Radar (GPR) in 2018. The results of this GPR survey reported an estimation of laterite volume as much as 505 million tons consisting of 260 million tons limonite and 221 million tons saprolite.
Based on the progress Report of JORC Mineral Resource in December 2019 by Competent Person, Ade Kadarusman, Ph.D., MAusIMM., reported the total Mineral Resource as much as 167.95 million tons (wet) consisting of 66.39 million tons with average 1.53% Nickel in saprolite and 101.56 million ton (wet) with average 1.26% Nickel and 0.13% Cobalt in limonite.
The total of current ore reserve, reported by Competent Person Lesbon AJ Sitorus ST, MBA, MAusIMM, is 52.71 million tons consisting of saprolite 18.16 million tons with grade 1.59% Nickel, and limonite 34.55 million tons with grade 1.26% Nickel and 0.12% Cobalt.
Moreover, based on the history of PT INCO power auger exploration data in 1969, outside the mineral resources area reported in 2019 but inclusive in the mining license (IUP) area, the potential exploration target is estimated between 86.6 to 225.3 million tons with grade range from 1.1% to 1.8% Nickel which can be proven in the future drilling exploration program.
The history of the drilling program in Lapaopao Block Nickel project was first conducted by PT INCO in 2007 with drill spacing 400 m stagger as much as 124 dots with total depth of 3,296.67 m (there were only 120 dots with complete geochemical analysis).
During the period after winning the open tender for Lapaopao Block from the government in 2011, Ceria has done drilling programs in 2012, with as much as 153 drilling dots with 3,770.15 m in depth at prospective Samaenre area (part of Lapaopao Block) to confirm the existence of mineralization zone (only 101 dots are used in resource estimation)
To increase the confidence level for mineral resources and ore reserve, since 2018 until 2019 Ceria has done expansive drilling programs with drill spacing 50 m, 100 m and 200 m which refers to JORC/KCMI code. As much as 995 drilling dots with total depth of 26,588 m so that the drilling data used in the mineral resource estimation and ore reserve report in December 2019 were as much as 1,216 drilling dots with total depth of 32,242 m.
Ceria is committed to continuously undertake drilling development activities to increase the confidence and to add the amount of mineral resources and reserve to ensure the company’s investment and sufficient feed of nickel ore material for the smelter in the future.