Star mine period extended

Star mine period extended

SYDNEY (Reuter): Lone Star Exploration NL said yesterday it now had until at least October 2000 to build a mine at its Awak Mas gold project after receiving a two-year work extension from the Indonesian government.

Lone Star had previously been given until October 1998 to build a mine after an initial feasibility study period expired in April last year.

Spokesman Bill Crossley said the Indonesian government had agreed to extend the study period until October 1998 and had pushed the date for construction of a mine back to October 2000.

"We are very pleased with the outcome and grateful to the Indonesian government," Crossley said.

Lone Star said last Friday it had significant gold and base metal results from its Tarra prospect north of Awak Mas, on the island of Sulawesi. It has four other target sites in the area.

Awak Mas has an estimated resource of 35 million tons of ore grading 1.7 grams of gold per ton for 1.95 million contained ounces.