On behalf of the Board of Directors (the “Board”) of Wilton Resources Corporation Limited (“Wilton”, and together with its subsidiaries, the “Group”), I am pleased to present our Annual Report and Financial Statements for the financial year ended 30 June 2018 (“FY2018”).
FY2018 was an exciting year for Wilton, as significant progress was made towards our gold production in Ciemas, West Java, Indonesia. The Group is pleased to have recorded our maiden sale of gold in June 2018, following the completion of three leaching pools with a capacity of 1,000 tonnes each. They have been in production since completion.
500 tpd Flotation and Carbon-In-Leach mineral processing plant
Besides the pool leaching plant which can only treat oxide ores, a more versatile and efficient Flotation and Carbon-In-Leach plant which can treat both oxide ores and higher grade sulphide ores has also been developed. Extensive metallurgical test work was done, and an optimum process flow route with high recovery rate was determined. We are now working towards the startup of the Group’s 500 tonnes per day (“tpd”) Flotation and Carbon-In-Leach mineral processing plant (“500 tpd CIL plant”).
The Group has engaged Yantai Jinyuan Mining Machinery (“Jinyuan”) as our Engineering, Procurement, Construction and Management contractor (“EPCM”) for the 500 tpd CIL plant. The EPCM work, including the civil and steel structural work on site, is progressing well. With Jinyuan’s extensive experience and proven track record, we are confident of a smooth construction and plant commissioning. Barring unforeseen circumstances, commercial production of gold is expected to commence by the end of FY2019 (i.e. by June 2019). We believe this 500 tpd CIL plant will play a key role in the Group’s growth strategy and serves as our showcase project.
Independent Qualified Person’s Report (“IQPR”) on the Feasibility Study of a 1,500 tpd plant
We are pleased to release an updated Independent Qualified Person’s Report (“IQPR”) dated 30 September 2018, which was based on the Feasibility Study of a 1,500 tpd Flotation and CIL mineral processing plant. Prepared by an independent consultant SRK Consulting China Ltd., the IQPR also detailed an estimation of mineral resources and ore reserves in our six prospect areas in the Ciemas Gold Project, namely Pasir Manggu West, Cikadu, Sekolah, Cibatu, Cibak and Cipancar.
It is estimated that the Ciemas Gold Project contains approximately 3,260 kt of ore reserves with an average grade of approximately 7.7 g/t of gold (in accordance with the JORC Code 2012 Edition).
In terms of mineral resources, there are approximately 3,415 kt of measured and indicated mineral resources and 2,559 kt of inferred mineral resources, with an average grade of approximately 8.6 g/t and 6.5 g/t of gold (in accordance with the JORC Code 2012 Edition), respectively.
The IQPR reaffirmed a relatively high grade of gold in our Ciemas Gold Project, as compared to other mines in Asia. This will spur us to expand our exploration programme to unlock the immense value in our concession blocks. A key priority for the Group is to develop the six prospect areas for which the mineral resources and ore reserves estimates have been quantified in the IQPR.
Upon the start of commercial gold production at our 500 tpd CIL plant, the Group plans to ramp up production capacity up to 1,500 tpd to tap the rich mineral resources in our Ciemas Gold Project. In the master plan, space next to the 500 tpd CIL plant has been reserved for the additional facility. This would facilitate the future construction and management of the expanded plant.
On behalf of the Board, I would like to express my gratitude to our shareholders for your patience and trust in the Group. Although we have taken some time to plan for the 500 tpd CIL plant, we are glad that the Group will soon be embarking on a new growth journey with the upcoming plant startup.
A special thanks also goes out to Karl Hoffman Minerals Pte. Ltd., for acknowledging our growth story and extending project financing to support the development of our 500 tpd CIL plant.
On another note, the Group is heartened to be named the Most Transparent Company (Mining/Quarrying) at the SIAS 19th Investors’ Choice Awards 2018, which recognises excellence in good corporate governance practices.
This achievement, along with the significant progress that we made in FY2018, was only possible because of the valuable guidance from my fellow Directors on the Board, as well as the dedication and hard work from our management and staff. Thank you from the bottom of my heart. I look forward to working closely with all of you to steer the Group forward.
Executive Chairman and President