On 19 July 2016, Borneo Oil announced that its exploration activities had uncovered estimated Gold reserve of 1,892 kg in its Bukit Ibam Mine in Pahang. Based on conservative Gold price of RM150,000 per kg, the reserve is worth RM270 mil.
Upon publishing my first article, one of the major negative feedback from my readers is that Borneo Oil's existing gold inventories are acquired from trading activities, which was confirmed by the Company in its announcement dated 11 July 2016.
However, this latest discovery of physical Gold finally put the issue to rest. Borneo Oil's Gold is no more a figment of imagination. And it is only just the beginning. Borneo still have many promising sites which are pending exploration.
When I first started investing in Borneo Oil, I was a bit skeptical of its fundamentals. However, now I would say that I have more comfort with it. Hopefully they will announce further discoveries in the future.
BORNOIL (7036) - (Icon) Borneo Oil (2) - Struck Gold Worth RM270 mil