Bornoil (7036) Has More Lucrative Gold Mining Lease
Gold prices having soared again to above USD 1850 this week. Gold futures headed higher adding to their climb to the highest level in more than three months as stocks in many parts of the world traded lower and trading stretch marked by rising concerns about inflation. The analyst’s next upside target for bullion is to produce a close above solid resistance at $1,881. Bornoil (7036) currently involves in gold mining operations and the latest filing news showed that the company acquired additional mining lease therefore the rising price of gold will give Bornoil even brighter prospects.
THE ADDITIONAL GOLD MINING LEASE ACQUIRED BY BORNOIL
On 7th May 2021 entered into a new mining area following the approval of a New Mining Lease pursuant to the Exclusive Production Sharing Agreement (EPSA) signed on the 11 March 2015 with HDL Global Sdn Bhd. The said new mining lease was part of the mining area measuring approximately 1,200 hectares (3,000 acres) at an area known as Blok A,SKC(H), 1/2001, Hutan Simpan Bukit Ibam Mukim Keratong, Daerah Rompin, Pahang, contracted to HDL by Perbadanan Kemajuan Negeri Pahang on 21st May 2010.
Bornoil is currently conducting mining works at a mining lease measuring 187 hectares (462.08 acres) and the new mining lease will add another 175.04 hectares (432.53 acres) for the company’s gold mining operations.
BENEFITS OF THE NEW GOLD MINING LEASE TO BORNOIL
The New Mining Lease of 175.04 hectares (432.53 acres) is adjacent to BOG’s Existing ML area of 187 hectares (462.08 acres) BOG will have a total mining area of 362.04 hectares (894.53 acres) at Mukim Keratong, Daerah Rompin, Pahang.
BOG has also recently acquired an interest in a company known as Ratna Pura Sdn Bhd which owns a mining lease measuring 194.14 hectares (479.73 acres) also located at Mukim Keratong, Daerah Rompin, Pahang.
With this New Mining Lease, BOG will operate a combined mining area of 556.18 hectares (1,374.26 acres) at Mukim Keratong, Daerah Rompin, Pahang and at the same time continue exploratory works on the remaining 837.96 hectares (2,070.64 acres) of the Mining Area pursuant to the EPSA.
BOG is able to leverage its expertise on the Mining Area with its present domain knowledge of Mukim Keratong and will also save on the deployment of equipment and machineries to the adjacent New Mining Lease for Mining Works.
The results from the New Mining Lease may be expected to contribute positively to its future earnings. Therefore, Bornoil has a big prospect to generate more revenue and increase its profitability when the gold excavation and mining started to produce GOLD.
""""Gold’s USD 1,850 Breach Mean USD 2,000 Anytime .
Fantastic ahead for BORNOIL..."""
Source: https://www.bursamalaysia.com/market_information/announcements/company_announcement/announcement_details?ann_id=3155565
* DISCLAIMER: All the information given is not for buy call or sell call purposes.
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