• High Grade, Low Cost

    Mt Kare, PNG

  • Major Value Uplift

    With Mid-Tier Production Status

  • Rare Quality Asset

    Consistent Wide
    High Grade Zones


Indochine Mining Limited (ASX:IDC)  (POMSoX: IDC) is a gold development company on track to rapidly develop a high grade, low cost gold mine, the Mt Kare Gold/Silver project in the highlands of Papua New Guinea (PNG).

The company is focused on near-term, high margin, gold production of c.200,000 oz p.a. at 10 grams/tonne  with cash costs expected to be among the lowest in the industry.

Indochine is initially targeting high grade zones with +1 million ounces of 10 grams/tonne in 2014, expanding the 2.1 million ounce resource.

Preparation for development is well established with Indochine securing key partnerships with mining experts in underground drilling, mining and treatment plants.

Indochine's personnel have extensive experience and expertise in PNG which has enabled the company to develop broad and deep co-operation with local landowner clans and government with the implementation of the company's unique 'Melanesian' approach. This recently helped the company reach a key milestone with the Landowner Investigation Study completed on site.

The next key milestone is aimed to be a decision to mine and an application for a mining lease based on a feasibility study this year.  A major value uplift is forecast with the decision to mine enabling the company to progress multiple financing options for the construction of the mine.

Company Highlights

High Grade

  • Consistent wide, high grade gold zones have been identified at Mt Kare
  • ~ 0.5 million ounces at 10 grams/tonne gold defined in 2013
  • High grade zones within a larger resource of 2.1 Million ounces gold, 18 Moz silver in 43 M tonnes at 1.5 grams/tonne Au based on 454 diamond drill holes (73,639 m)
  • Initial target is 1 million ounces at 10 grams/tonne gold from close spaced drilling and bulk sampling for an underground development drive (adit)

Production Forecast

  • High grades deliver low cost, high margin production
  • Less than 20 gold mines or deposits have a grade of 10 grams/tonne or higher with 1 Moz
  • Gold mines producing in the lowest quartile of costs generate most of the profit in the gold sector
  • Mt Kare production forecast c.200,000 oz/year gold in mid-late 2015
  • Lowest quartile all-in costs forecast: US$500 - 700/oz
  • Payback c.1 year, based on capex c.US$100M


  • Major growth of high grade zones is expected as the project is similar to the adjoining world-class 500,000 oz/yr Porgera mine (15 km to NE) which has produced 17 Moz in 23 years.
  • Porgera started similarly from a high grade underground operation, and Mt Kare shares the same geological setting and a recently confirmed structural link between the two deposits
  • The technical advice from the expert geologists and underground miners consider that the grade may increase substantially, to be similar to Porgera's initial grades of 27 g/t, and that the high grade zones should be repeated at depth.


Major Value Uplift

  • A major value uplift is expected from the re-rating to a mid-tier gold producer status
  • Key milestone with decision to mine and application for a mining lease

Mt Kare Project

Indochine Mining acquired the Mt Kare project in Papua New Guinea (PNG) in 2011 and following a full data review converted the existing Canadian N143-101 compliant resource to a JORC compliant resource. Due to the conversion between reporting jurisdictions a large portion of the resource was classified as inferred at this point, although the deposit contained 339 drill holes.

2012 Drill Programme

Assay results from the 2012 Drill Programme continued to confirm the project's potential, with final results in March 2013. Indochine’s 2012 diamond drill programme was completed in August 2012, with 58 diamond drill holes for a total of 7791 metres. The drill programme was focused on ensuring a robust resource and geological model and to compare grade variability and density measurements with pre-Indochine drilling, as well as provide core for metallurgical work.

A major increase in the quality of the resource was announced in July, 2013 with two substantial high grade zones averaging 5-20 g/t gold, with intersections over 100 g/t gold.

Landowner Investigation Study

The completed Landowner Investigation Study has been a key focus for the company to formally identify local landowners. Ground identification of claims were conducted in the first half of 2013, leading to a completed Landowner Investigation Report under the auspices of the Land Act. This reports allows for full discussions to occur with landowners and the government on future benefits sharing when the project becomes a mining operation. Local communities and the government regulators have been overwhelmingly supportive of this process and it is being considered as a future guideline for unlocking the country’s mineral wealth.


The current focus is to extend the high grade zones as they allow for a rapid, low cost underground mining option at significantly reduced capital costs than announced the company's 2012 pre-feasibility study.

Constitution of Indochine Mining Limited

Click on the link (below) to download a copy of the Constitution:

Constitution of Indochine Mining Limited