Exploring Resource Rich Indonesia. Kalimantan Gold Corporation Gerald Cheyne, Director Corporate Development October 2008

Transcription

1 Exploring Resource Rich Indonesia Corporation Gerald Cheyne, Director Corporate Development October 2008

2 Disclaimer General Disclaimer Corporation Limited "KLG" has taken all reasonable care in producing and publishing information contained in this presentation. Material in this presentation may still contain technical or other inaccuracies, omissions, or typographical errors, for which KLG assumes no responsibility. KLG does not warrant or make any representations regarding the use, validity, accuracy, completeness or reliability of any claims, statements or information in this presentation. Under no circumstances, including, but not limited to, negligence, shall KLG be liable for any direct, indirect, special, incidental, consequential, or other damages, including but not limited to, loss of programs, loss of data, loss of use of computer of other systems, or loss of profits, whether or not advised of the possibility of damage, arising from your use, or inability to use, the material on this site. The information is not a substitute for independent professional advice before making any investment decisions. Furthermore, you may not modify or reproduce in any form, electronic or otherwise, any information in this presentation, except for personal use unless you have obtained our express permission. No stock exchange has reviewed the information in this presentation and no stock exchange accepts responsibility for the adequacy or accuracy of it. This presentation contains information about adjacent properties on which we have no right to explore or mine. We advise U.S. investors that the SEC's mining guidelines generally prohibit information of this type in documents filed with the SEC. U.S. investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties. Forward-Looking Statements This presentation contains forward-looking statements, including but not limited to comments regarding predictions and projections. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements. 2

3 Coal East Kalimantan Gold East Kalimantan Copper Central Kalimantan 3

4 Coal East Kalimantan Gold East Kalimantan Copper Central Kalimantan Options over 9 coal concessions Replacing oil as an energy source 80% of China s and India s electricity Indonesia largest thermal coal exporter 60% from East Kalimantan - ooa world hot spot for coal Demand has produced oosharp price increases Coal Tarakan Samarinda Balikpapan Palangka Raya 4

5 Option Agreement with Mesra Group Coal 9 concessions totaling,,,32,545ha Located in areas where coal,,,occurrences known to exist Some adjacent to, or along,,,strike, from existing mines Some within 7 km of port,,,facilities 5

6 Option Agreement terms Coal Option period to 12 th Jan 2009 j Upon option exercise: Mesra 25%, KLG 70% and GMT 5% (incentive shares) j Upon decision-to-mine, bonus payment to Mesra based on JORC reserve tonnage 6

7 Prospect locations in relation to major mines Coal

8 Surveys and drilling confirm coal potential Coal Work underway in association with GMT Indonesia which manages several coal exploration projects in Kalimantan Field Surveys completed on 9 concessions 7 holes drilled at PT Emas Hitam Coalhindo, Mandul Island, with multiple seams to four meters thick, confirm significant, commercial thermal coal occurrences High calorie coal showings at PT Central Indo Coal and PT Tenjin Sejahtera concessions. Starting early October, 6 holes will be drilled in each of these 8

9 The Coal Opportunity Coal Mandul Island: further drilling to increase resource potential three additional concessions totalling 8,000 ha are under application PT Central Indo Coal and PT Tengin Sejahtera concessions: drilling to test prospective areas for their resource potential Surveys and evaluations underway on several near bproduction projects Exercise options and develop coal resource 9

10 Coal East Kalimantan Gold East Kalimantan Copper Central Kalimantan Jelai epithermal gold project Jelai Gold Project Previously explored by Ivanhoe Mines (Indochina) 12 prospects over 5,000 ha only one drilled Work to date confirms potential for a major resource Jelai Palangka Raya Tarakan Samarinda Balikpapan 10

11 Jelai project prospect areas Gold 12 prospects Low sulphidation nepithermal vein system nstyle of mineralization Right geological setting, nie sediments and nvolcanics intruded by ndacite porphyries 11

12 Mewet Vein System - completed and planned drilling Gold

13 Mewet Prospect - Ivanhoe drilling Gold Hole From To Metres Au g/t Ag g/t 26 holes over 4000 m,,,depths to 200 m Bonanza grades to,,,54g/t gold Less than 5% of 5 km strike,,,length drilled JM JM JM JM JM JM JM JM JM

14 Mewet Prospect sample KLG drilling Gold 73 holes drilled over,,,6500m,,, 4 rigs working 24/7 Hole From To Metres Au g/t Ag g/t Vein JCM-69 including Mewet JCM Mewet Drilling includes,,,bonanza mineralization,,,of 62.3 g/t,,,au 256 g/t Ag JCM JCM-26 includes JCM Sembawang Central Sembawang Central Sembawang South Deep drilling underway JCM Lipan JCM-38 includes Lipan 14

15 Comparing Vera-Nancy and Mewet veins Gold Mewet vein system comparable in scale to Vera-Nancy, part of the Pajingo mine in northeastern Australia Mewet gold shoot is open north, south down dip Vera-Nancy production to date: 2.3M Oz 15

16 Comparing Vera-Nancy and Mewet veins Gold 16

17 Jelai - Summary Gold Work to date confirms potential for,,,a major resource Extensive scout drilling has,,,produced highly encouraging,,,results and targets for deeper,,,drilling 4 rigs working 24/7 Estimated initial inferred,,,resource by end of

18 Coal Gold Copper East Kalimantan East Kalimantan Central Kalimantan KSK Contract of Work (CoW) 941 km2 Summary of exploration work since 1997: 38 prospects identified and magnetic magnetic surveys surveys 265 km of IP and 35,558 m of drilling Nearly 20,000 samples sent sent for for analysis Tarakan KSK CoW Samarinda Balikpapan Palangka Raya 18

19 KSK Contract of Work Copper Large scale intense copper mineralisation over 38 prospects Copper Prospect Gold Prospect Liang Bulau II Liang Bulau I Beruang Kanan 0.59% Cu Baroi 2.64% Cu. mineralisation shows similarities with that which occurs in similar arc-related settings in Indonesia and the south-west Pacific, which are known to host economically significant copper deposits. SRK Competent Persons Report, 2006 North Mansur BAROI Mansur Dangoi Kalang FEZ Tumbang Huoi Focus 1 Volcano Sama Tuan Nabalang Derajoi Mamuring Rinjen BERUANG Beruang Tengah Gold Zone Low Zone Beruang South

20 KSK: sample Baroi prospect drill results Copper The Baroi Central Zone prospect has produced significant drill results and contains a number of untested targets according to a Jan 2008 report by Dr Peter Pollard Hole From To Meters Cu (%) Pb (%) Zn (%) Ag(g/t) Au(g/t) BF BF Incl BF BF28/ Incl BF29/ BF BF

21 KSK summary Copper Discovered a new copper porphyry province Limited Oxiana program has left substantial untested potential KLG currently seeking jv partner that will commit funds for a thorough programme 21

22 Community Development our social license Working in advance of mining to foster good relationships & strengthen local capacity using a Hand Up approach Building local capacity to self manage,,,village development Linking villages with local government,,,services Link donor agency support to the needs,,,of communities Providing technical support to improve,,,livelihoods Programs currently operating in 24,,,villages 22

23 Directors and Senior Management Murray Clapham Chairman Rahman Connelly Deputy Chairman, CEO Doris Meyer CFO Peter Bojtos Director Mansur Geiger VP Exploration Brett Gunter Technical Advisor, Jelai Gerald Cheyne Director Corporate Development Bardolf Paul Community Development Nick Cottam Corporate Relations Manager Dr Peter Pollard Technical Adviser 23

24 In summary the KLG opportunity Coal East Kalimantan Option over 9 concessions Coal confirmed - quick to production Gold East Kalimantan Significant intercepts resource estimate by end 2008 Copper Central Kalimantan Potential for large porphyry seeking a new JV partner 24

25 Share Structure AIM & TSX.V code: KLG Shares outstanding 75.0 million Warrants 650,000 Options 6.9 million Fully diluted 82.5 million Kalimantan Investment Corporation Management Retail and Institutional Holders Note: KGC is acquiring 25% of KSK CoW from Kalimantan Investment Corporation in exchange for 20 million shares 25

26 Contact Gerald Cheyne, Director Corporate Development Office +44 (0) Mobile +44 (0)