TERRA Energy & Resource Technologies has reported that its satellite identification of a “substantial gold and ruby discovery” had been verified on the ground.
The New-York based company – which began its Cambodian analysis in early 2010 – had found deposits in hard rock in an undisclosed area of the Kingdom, a press release stated.
Millennium International Group, which contracted Terra, dispatched geologists to sample the identified deposits. Now, according to the release, commercial extraction of gems is projected “for at least five years”.
“Expeditious commercialization of the deposit should result in near-term royalty cashflow for Terra,” said Terra President Alexandre Agaian.
Terra has a 3 percent overriding royalties and 10 percent co-investment right as part of its contract, he said, and he predicted that the firm would decide whether to exercise its right in the “near future”.
Terra said its satellite technology was able to explore beneath the earth’s surface by reading radiation.
Cambodian Association of Mining and Exploration Companies president Richard Stranger said yesterday that satellite exploration was becoming standard procedure in mineral resource exploration.
Millennium Group and Terra could not be reached for comment yesterday. Terra closed at US$0.05 Friday on over-the-counter trading, near its 52-week low.
ADDITIONAL REPORTING SUN NARIN