A Malaysian company will soon start full-scale exploration of gold resources in Cambodia's

far north after successful pre-studies of the area, a senior company official said

on Nov 15.

Thavy Nhem, managing director in Cambodia for Kuala Lumpur-based Delcom Services

Sdn. Bhd., said that after drilling and economic studies the company was now ready

to set up a small pilot plant in the far northern province of Preah Vihear.

"I am very positive, prospects are good," Nhem told Reuters just before

opening a four-day seminar on gold exploration for employees at the Ministry of Industry,

Mines and Energy.

"Now we are getting to the second phase of the prospecting phase, we are going

into determination of the deposits, to find out the total amount of gold in the area,"

he said, while adding that the gold so far found was of "good quality."

Nhem said Delcom already had bought all the equipment needed for the exploration

process and was expecting to start the pilot plant within two months.

Delcom has been operating in Cambodia for just over two years in an area covering

200 sq kms mostly in Preah Vihear and some some small areas in central Kompong Thom.