Borneo Oil secures approval to start gold mining operations at Bukit Ibam

KUALA LUMPUR (Feb 11): Borneo Oil Bhd has received regulatory approval from the Department of Minerals and Geoscience Malaysia to undertake mine development, mining and gold processing operations at the gold mining tenement at Bukit Ibam, Pahang.

The Labuan-based group said the approval was granted to its wholly-owned subsidiary, Borneo Oil Corporation Sdn Bhd (BOC), under an approved Operational Mining Scheme (OMS), allowing the company to undertake mining activities and gold processing via the carbon-in-leach (CIL) method.

“ìThis approval marks a significant regulatory milestone that enables Borneo Oil, through BOC, to advance toward commercial-scale gold production at one of Peninsular Malaysiaís historically recognised gold belts,” it said in a statement on Tuesday.

The OMS approval covers a 187-hectare mining lease within a larger 1,200-hectare tenement located at the Bukit Ibam forest reserve, Rompin, and is valid until Dec 21, 2027, with an option for renewal.

The approval also allows for the construction of a full-scale CIL processing plant to support expanded gold mining operations.

Borneo Oil said that based on resource estimates, the Bukit Ibam Gold Project is estimated to contain 60,814 ounces of gold, with further inferred resources identified across several zones following exploration, drilling and technical assessments conducted over multiple phases.

In preparation for full operations, the company previously completed a pilot CIL plant. It is now moving ahead with the development of a full-scale processing facility, including the shortlisting of engineering, procurement, construction, and commissioning (EPCC) contractors for construction and commissioning works.

Borneo Oil said the regulatory approval strengthens its position in the gold mining sector and supports its strategy to build a sustainable upstream mining and mineral processing business in Malaysia.

“With regulatory approval in place and processing infrastructure progressing, Bukit Ibam is poised to become a key contributor to Borneo Oilís long-term growth,” it added.  — Bernama