Announcement

South Korean Joint Venture Update

05 July 2019

South Korean Joint Venture Update

  • ‘Permit to Develop’ applications for Gubong and Kochang Gold Projects are still in process.
  • The Gubong gold project application is to be considered by an administrative panel at central government level.
  • The Kochang gold project application has been delayed due to recent law reform but remains on track.

Australian gold company Southern Gold Ltd (“Southern Gold”) advises that its development partner in South Korea, London Stock Exchange listed Bluebird Merchant Ventures Ltd (“Bluebird”), has provided an update on the Gubong and Kochang gold projects in South Korea under the 50/50 Joint Venture.

Gubong Project JV (Southern Gold 50%)

The Joint Venture has received initial feedback on the submitted ‘Permit to Develop’ from local government authorities. The process has now moved to the next stage where the application is to be considered by an administrative panel at central government level.

This next stage of the process is expected to occur during August on a specific date yet to be determined.

Kochang Project JV (Southern Gold 50%)

The Kochang Project ‘Permit to Develop’ application is still in process.

Bluebird has reported a delay in the process due to a change in the Counter Measure Against Natural Disasters Act (CMANDA) which has resulted in a new proclamation that is currently being distributed to all government departments. This recent clarification of the CMANDA will enable the ‘Permit to Develop’ application to proceed to the next stage.

Bluebird has also advised that the recently announced funding support from Korean Resources Corporation (KORES) for drilling at Kochang has been put on hold pending the grant of the ‘Permit to Develop’ as outlined above.

To read the full announcement please download the pdf below:

South Korean Joint Venture Update